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The Art of Negotiation

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The Art of Negotiation

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  1. The Art of Negotiation

  2. The Art of Negotiation • Objectives: • To list examples that require successful negotiating skills in your personal and professional life • To explain the elements of successful negotiation • To describe the barriers to successful negotiation

  3. The Art of Negotiation • Outline: • Elements of Successful Negotiation • Preparation • Communication Skills • Emotional Control • Final Negotiations - Closing the Deal • Final Tips

  4. Negotiations

  5. The Art of Negotiation Exercise #1: List 2 examples where negotiation skills might be required in your professional life. 1. ________________________________ __________________________________ 2. ________________________________ __________________________________

  6. Elements of Successful Negotiation • Preparation • Setting goals and limits • Communication Skills: • Listening skills • Clarity • Understanding body language • Emotional Control • Final Negotiations – ‘Closing the Deal’

  7. Preparation • Preparation develops a position of strength • Understand the issues and potential hidden agendas • Know the people/personalities you’ll be negotiating with • Preparation establishes a foundation for success and builds confidence Donaldson, M. Negotiations for Dummies. New York, NY: Hungry Minds, Inc, 1996. Kramer, H. Game, Set, Match:  Winning the Negotiation Game, A Step-by-Step to Getting What You Want From Any Negotiation. New York, NY: ALM Publishing, 2001.

  8. Preparation: Goals • Set goals with a specific purpose of negotiation in mind • Example – Purpose: Fully staff the department by January of next year • Example - Goal: Increase wages/benefits to meet or exceed local standards Donaldson, M. Negotiations for Dummies. New York, NY: Hungry Minds, Inc., 1996.

  9. Preparation: Limits • Define minimum and maximum limits • What you’re willing to give up • What will cause you to walk away • Know that you have other choices • Know what those choices are • Know your ‘or else’ position • Know how to enforce your limits

  10. Preparation Caution: NEVER begin a negotiation until you are fully prepared! Donaldson, M. Negotiations for Dummies. New York, NY: Hungry Minds, Inc., 1996.

  11. Communication Skills • Successful communication requires: • Active listening • Open, two-way communication • Clarity – understanding and being understood • Ability to correctly interpret body language Maddux, R. Successful Negotiation: Effective “Win-Win” Strategies and Tactics. Los Altos, CA: Crisp Publications, Inc. 1988.

  12. Active Listening • Tips to demonstrate active listening: • Clear away distractions • Sit up straight • Face the speaker • Make eye contact • Uncross arms/legs • Lean forward • “THINK” before you respond…pause, to make certain you understand and are responding to the message delivered

  13. Active Listening • Exercise #2: List two additional examples that demonstrate active listening. 1. ______________________________________ ________________________________________ 2. ______________________________________ ________________________________________

  14. Active Listening • Barriers • Pre-conceived ideas • Defense mechanism (don’t want to hear information) • Fatigue • Poor listening habits • Lack of respect for ideas/people • Lack of self confidence • Donaldson, M. Negotiations for Dummies. New York, NY: Hungry Minds, Inc., 1996.

  15. Clarity • Tips to clarify information: • Ask questions to identify key issues and topics • Plan questions in advance to narrow issues and topics • Tailor questions to the listener using appropriate terminology • Follow-up general responses with specific questions • Keep responses short and concise Maddux, R. Successful Negotiation: Effective “Win-Win” Strategies and Tactics. Los Altos, CA: Crisp Publications, Inc. 1988.

  16. Clarity • Tips to present information more clearly: • Present information in a logical format that is easily understood: • Point to be made: Our wage scale is too low • Reason supporting the point: Low wages result in job dissatisfaction and the loss of technologists

  17. Clarity • Example emphasizing the reason: In the past three months, we have lost four technologists to local community hospitals with wages exceeding our top range by $5.25 and have been unsuccessful in recruiting new technologists to fill those vacant positions. • Summarize the point: Our wage scale is too low

  18. Clarity • Barriers to Clarity: • Fear of rejection • Fear of hurting someone else • General distractions/interruptions • Sidebar discussions • Poor preparation • Too busy to be clear Donaldson, M. Negotiations for Dummies. New York, NY: Hungry Minds, Inc., 1996.

  19. Body Language • Body language plays a critical role in communication • Accurate interpretation of body language is required for successful negotiations • Body language is expressed by: • Eye and facial expressions • Arm and hand positions • Leg and foot positions • Posture and body position Donaldson, M. Negotiations for Dummies. New York, NY: Hungry Minds, Inc., 1996.

  20. Body Language • Body language signaling receptive communication: • Direct eye contact • Body position relaxed – arms and legs uncrossed • Alert and smiling facial expression • Movement of head to indicate interest (nodding in agreement or tilting with interest) • Attentive posture or slightly leaning forward Donaldson, M. Negotiations for Dummies. New York, NY: Hungry Minds, Inc., 1996.

  21. Body Language • Body language signaling barrier to communication: • Slouched posture indicating boredom or lack of interest • Lack of eye contact • Body position tense, crossed arms and legs • Neutral or frowning facial expression • Movement of head in a distracted manner (turning away) Donaldson, M. Negotiations for Dummies. New York, NY: Hungry Minds, Inc., 1996.

  22. Emotional Control • Emotional control = emotional distance • Understand your personal strengths and weaknesses • Identify your ‘hot buttons’ and know how to control them • Call for a ‘time-out’ whenever necessary to maintain control and confidence Kolb, D. Everyday Negotiation: Navigating the Hidden Agendas in Bargaining. San Francisco, CA: A Wiley Imprint, 2003.

  23. Emotional Control • Emotional Control = Emotional Distance • Express enthusiasm…but not at the expense of others • Be assertive, not aggressive • Learn to deal with frustration and discouragement • Learn to deal with difficult people Kolb, D. Everyday Negotiation: Navigating the Hidden Agendas in Bargaining. San Francisco, CA: A Wiley Imprint, 2003.

  24. Emotional Control • Exercise #3: Give two additional examples of techniques to maintain emotional control. 1. ______________________________________ ________________________________________ 2. ______________________________________ ________________________________________

  25. Emotional Control: Difficult People • People come with all types of personalities: • Bully • Rude/insensitive • Passive/aggressive • Manipulative • Understanding and addressing specific personalities can assist in a successful negotiation process Kolb, D. Everyday Negotiation: Navigating the Hidden Agendas in Bargaining. San Francisco, CA: A Wiley Imprint, 2003.

  26. Emotional Control: Difficult People • Techniques to address difficult people: • Encourage participation • Discourage dominators and ramblers • Be firm and assertive • Maintain focus and a clear direction • Give people the benefit of the doubt • Use ‘time-outs’ whenever necessary to maintain emotional control Kolb, D. Everyday Negotiation: Navigating the Hidden Agendas in Bargaining. San Francisco, CA: A Wiley Imprint, 2003.

  27. Difficult People • Exercise #4: Give one tactic for successfully interacting with each of the following personality traits: Bully: _______________________________________ Rude: _______________________________________ Know-it-all: __________________________________ Passive: ______________________________________

  28. Final Negotiations:“Closing the Deal” • A ‘win/win’: • Relies on each side accepting responsibility for achieving their own interests • Is a subjective perception • Relies on honesty and respect • A successful negotiator recognizes when to ‘close the deal’ or walk away from negotiations • Once an agreement has been reached, the negotiator should briefly summarize the discussion and conclude the meeting Kramer, H. Game, Set, Match:  Winning the Negotiation Game, A Step-by-Step to Getting What You Want From Any Negotiation. New York, NY: ALM Publishing, 2001.

  29. Empathy Respect Personal Integrity Fairness Patience Responsibility Flexibility Sense of Humor Self Discipline Stamina Final Tips: Traits of A Great Negotiator • Maddux, R. Successful Negotiation: Effective “Win-Win” Strategies and Tactics. Los Altos, CA: Crisp Publications, Inc. 1988.

  30. Final Tips: Successful Techniques • Avoid personal attacks • Break up large ideas/issues into smaller parts • Stress facts from simple to complex • Use informality: • talk face-to-face • use humor • Illustrate ideas with real world examples Kolb, D. Everyday Negotiation, Navigating the Hidden Agendas in Bargaining. San Francisco, CA: A Wiley Imprint, 2003. 

  31. Final Tips: Techniques to Avoid • Starting negotiations before you are ready • Negotiating with the wrong person • Inflexibility early in negotiations • Losing control, feeling powerless • Losing sight of fixed goals and limits • Being concerned about the ‘other guy’ • Failure to focus on the end result – a successful outcome Donaldson, M. Negotiations for Dummies. New York, NY: Hungry Minds, Inc., 1996.

  32. Summary • Successful negotiations rely on: • Preparation: Setting specific goals and limits • Communication skills • Emotional control • Closing the deal

  33. Application Workshop • Select 4 individuals from the audience to act as a committee representing the technologists in the department • Select 1 individual from the audience to act as the department administrator. • Note: the department administrator has no clinical experience and is only interested in the financial bottom line.

  34. Application Workshop • Problem to be addressed: • Overtime has been determined as ‘excessive’ in a fully staffed department and normal patient volume • Management’s solution: begin rotating 2 technologists to a later shift (10 am – 7pm) - - current department hours: 8 am – 5:30 pm • Extenuating Circumstances: • All technologists have either family or evening commitments (school, etc.) and cannot work the later shift.

  35. Application Workshop • Goal: • Reduce overtime by a minimum of 80% within 60 days • Solution: The committee will determine alternative solutions to the 10 am-7 pm shift and negotiate an acceptable resolution that meets management’s mandate of a reduction in overtime by 80% while maintaining working hours acceptable to the technical staff.