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Negotiation Skills
Negotiations are formal discussions between people who have different aims or intentions,
especially in business or politics, during which they try to reach an agreement. They try to reach
a common ground eliminating their differences.
Negotiation in business has become one of the most important skills and abilities. While
negotiation will happen between two parties for reaching an agreement, it is said that the most
effective negotiator will be both competing as well as collaborating. An effective negotiator is
one who creates value for the other while claiming value for the self. There must be meaningful
give and take that should happen in negotiation.
Negotiation should always be win-win, where agreements are created by taking care of the
interests of both the sides. Negotiation requires interpersonal skills, communication skills as well
as problem solving skills.
Types of negotiation
There are broadly two types of negotiation namely distributive negotiation and integrative
negotiation.
In distributive negotiation, the parties area only looking for their gain. It leads to a win-lose kind
of outcome. In distributive negotiation, negotiation is carried out more as an one time
transaction, not keeping in mind any kind of long term relationship.
While in integrative negotiation, the negotiators look for long term relationships and they try to
ensure value for both sides. It leads to a win-win outcome.
Negotiation can always be sensitive and should be carries out in a planned manner keeping in
mind the end goals to be achieved. We should take care to ensure that negotiation does not get
into an argumentative situation.
In order to achieve the desired outcomes from negotiation, it will be extremely important to do
the initial homework. We must identify what we are looking at achieving from the negotiation.
What are our best alternatives to a negotiated agreement (BATNA). It is also important for us to
understand about the expectations of the other party and more information about their BATNA.
It is important to lay down the procedures for carrying out the negotiation, such as who will be
part of negotiation, where the negotiation will happen and some basic ground rules to be
followed.
Then the actual information and offers must be exchanged between the parties. Arguments and
confrontations must be avoided in the process. At this stage the required bargaining should be
done keeping good faith. Negotiation should always be done as a win-win outcome for both
sides.
Skills in Negotiation
An effective negotiator will be using some of the below skills during the process of negotiation.
1. Active listening
2. Asking good questions
3. Communication skills (Specially verbal communication)
4. Decision making ability
5. Emotional control
6. Interpersonal skills
7. Preparing BATNA (Best alternative to a negotiated agreement, your alternatives)
8. Problem solving
9. Smart trade-off development
10. Ethics and collaboration
Conclusion
Negotiation skill is one of the most important skills. It is through effective negotiation we are
able to eliminate differences and we arrive at common agreements. While we can adopt a
structured approach for negotiation, but negotiation is an art which one can master only with
time and experience.
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Comments
Prakruthi
In these project management tutorials, I have learned the Techniques & methodologies and in
this article, anyone can learn the basics of PMP to latest and advanced levels of PMP. I have
referred some other website but no website provided this much detailed information about
project management really thanks for the website for guiding the professionals to be good at our
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Clife
Clear and understandable notes
Muwanguzi Edward
Good information to enhance good communication
Ali
Thanks .the information you provide is very important
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