March 11 Pakistani Prunes! PowerPoint Summary of: Key Negotiation Concepts Negotiation
PowerPoint Summary of: Key Negotiation Concepts • Business negotiation • Dr. Rubio Sanchez – UN Standing Committee on World Hunger (White sheet) & • Dr. Kim Wilson, TechnoGen (medical /nutritional company)
You are competing for a crop of rare and very valuable prunes…. that only grow in limited numbers …and only in Pakistan. Those facts are fixed—you can’t grow more prunes somewhere else!
PowerPoint Summary of: Key Negotiation Concepts In the past, these prunes had been purchased by the UN, and no one else has been interested. But this year another organization—TechnoGen-- has surfaced and they want the prunes too.
Pakistani Prunes To your knowledge, no one else wants the prunes, but you fear you will be in a bidding war with each other. Dr. Sanchez requests a meeting with Dr. Wilson to see if they can work out some sort of arrangement.
What to do: Prep first: (About 10 minutes—you can do this in pairs). Each person fill out a “prep sheet” to turn in. What do you want to figure out before you meet?
What to do: Find your partner/competitor and negotiate. Write down your agreement—and sign it. (Also put your name and # on it legibly—you’ll be handing this in too.)
Debrief How many pairs reached agreement? How many pairs split the prune crop in some way (each getting ½, each taking different years, etc?) Did you trust the other side to follow through on their agreement? Why or why not? If not—what did you do about this?
Debrief How many figured out that you wanted different parts of the prune? How did you figure that out? Did you trust the other side to follow through on their agreement? Why or why not? If not—what did you do about this?
Key learning element here is the difference between Positions and Interests Positions: Simple statements about what you want. No reasons, no No subtlety, no justification. Just a demand: • I want the orange! Interests: The reasons underlying the position —what you really want or need —the answer to the question WHY. • I need the rind to bake a cake. • I'm hungry. I want to eat the orange.
PowerPoint Summary of: Key Negotiation Concepts Identifying Interests… Is key to: Cooperative Interest-based Integrative Principled Different words, same thing! Negotiation
PowerPoint Summary of: Key Negotiation Concepts 7 Principles of “Principled Negotiation” – Getting to Yes • Separate the People from the Problem • Attend to Communication Issues • Focus on interests, not positions • Generate options for mutual gain (win-win) • Apply Objective Criteria • Compare with your BATNA • Work with fair and realistic committments
PowerPoint Summary of: Key Negotiation Concepts Make up Assignment • Do the “Pakistani Prunes” Negotiation. Get the scenarios from Heidi, and give one role or the other (doesn’t matter which) to a friend. (Promise me you won't read both roles before you do it--you'll lose all the learning and fun that way!!) • Prep the negotiation before you do it (send me your “prep sheet”); Do the negotiation (prep and negotiating should take 20-30 minutes) and write up a summary of your agreement. • THEN (after the exercise and your write up of it), watch the video and hand in the notes you took --on the video--to me to show you watched it. What did you learn about negotiating differently than you did during the Pakistani Prunes Negotiation?