NEGOTIATION

FAIZA BATOOL
1-Negotiation
Introduction

Definition

Negotiation strategies
INTRODUCTION
Negotiation is a process where each party
involved in negotiating tries to gain an
advantage for themselves by the end of the
process. Negotiation is intended to aim
atcompromise.
 DEFINITIONS
1-ROBBINS:
A process in which two or more parties exchange goods and
services and attempt to agree upon the exchange rate for them.
2- KAVITA SINGH:
Negotiation is a process by which two or more parties each
which its own goals & perspectives coordinate areas of interest
through concessions & compromise to reach an agreement and
take the joint decision about areas of common concerns in a
situation in which neither side has nor wants to use power.
DEFINITIONS
3- Rubin and Brown (1975)
Negotiation refers to a process in which individuals work
together to formulate agreements about the issues in dispute.
This process assumes that the parties involved are willing to
communicate and to generate offers, counter-offers, or both.
Agreement occurs if and only if the offers made are accepted
by both of the parties.
4- Minton( 2001)
The degree to which the interests of the parties are aligned
can facilitate the range and type of outcomes available for
resolution.
NEGOTIATION STRATEGIES
1-DISTRIBUTIVE NEGOTIATION
The most distributive feature is that it operates under a zero
sum game, that the gain made by one person is loss incurred
by the other person.
Each person involved in the negotiation defines ultimate
point where the settlement will be made.
2-INTEGRATIVE NEGOTIATION
The characteristic feature of integrative bargaining is that it
relies in win-win situation and therefore uses a collaborative
model of conflict resolution. Both parties involved in
negotiation process jointly look at the problem, try to search
for alternatives and try to evaluate them and reach a
mutually acceptable decision or solution.
NEGOTIATION STRATEGIES
1-DISTRIBUTIVE NEGOTIATION
Strategies used in it are
I want it all

Good cop, bad cop

Time wrap

ultimatums

2-INTEGRATIVE NEGOTIATION
Strategies used in it are
Focus on interests and not position

Separate the people from the problem

Insist on using objective criteria

Invest option for mutual gains

FAISAL HAFEEZ

Importance of negotiation
Roles and responsibilities of

negotiators
 IMPORTANCE OF NEGOTIATION
Certainty

The aim of contract negotiation is firstly to achieve certainty, to record what is being
supplied, when, in what quantities and to what standard, and what are the consequences
of delay or failure to meet the agreed requirements.
The best deal

Seeking clarity does not conflict with the view that negotiations should achieve the best
deal, it merely points out that both parties to a negotiation have to understand what it is
that they have agreed to.
Achievement of an Organization's objectives

The goal of every negotiation must be to achieve a result which, even

if it falls short of the original objective, can be considered a
satisfactory advancement towards it.
Create of a long-term relationship between the parties

Whilst this is not always possible, and some cultures, such as the
Japanese, place more emphasis on this aspect of negotiation, this is
increasingly important as companies build networks of alliance
partners.
Roles and Responcibilties of Negotiator
Negotiation is a dialog intended to resolve
disputes and reach to an agreement
It is the primary method of alternative dispute
resolution
Negotiation can also be done to satisfy
individual interests
Negotiations are daily affairs in business, legal
proceedings, government affairs, and other such
activities
Roles and Responcibilties of Negotiator
Negotiation Skills and Role Distribution:
A good negotiating team has members with diverse skills
Technical Knowledge
Relationship Skills
Patience
Observational Skills
Behavior Analyzing Skills
Having people with these qualities is a definite
advantage during the process of negotiation.
Depending on their skills, the members are assigned
certain roles and responsibilities in the negotiation
process
 Roles and Responsibilities

There are some roles and responsibilities of

negotiators that can use during
negotiation are;
Unity within the team is the most important attribute
the team should understand the subject
Decide which information is needed and which is not in
the process
Took some points that provide help to other side try to
avoid them
prepared with full range of knowledge and expertise
knowing the other side very well
Team leader discus eith other team members such as
behavior analysts, and take their feedback
It is good way to solve internal disputes
 Muhammad Usman Ahmed
The Negotiation Process
 . Preparation
1 and Planning
The Negotiation Process
Definition of
2 Ground
Rules

Clarification
3 and
Justification
Bargaining
and
4
Problem
Solving
Closure and
5 Implementatio
n
1.Prparation and Planning

Prpare You + your team

Know the other party
Know the Picture
Identify the objectives
Priortize the objectives
Prparation and Planning
Create options
Select fair standards
Examine Alternatives
Select your strategy , tactics and
counter tactics
Develop a solid & approved team
Negotiation plan
2.Dfinition of Ground Rules
Introduction
Dtermine who has authority
Rules and procedures
Prepare the facility
Use and agenda
Create a positive working climate
Exchange issues
 3.Clarification and
Justification

Specify what you want

Problem identification
Put forward the solutions
Exchange information
Focus on objectives
Listen carefully and question thoroughly
Seek compromise: get win/win if possible
Remember optimum and fallback positions
4.Bargaining and Problem Solving

Ask for what you want:modify if you need

Don`t concede without exchanging
Decide on areas of possible flexibility
Use stratagies ,tactics and countertactics
Make counter offers
Know when to walk away
 Bargaining strategies

Distributive Bargaining:
Negotiation that seeks to divide up a fixed
amount of resources : a win loose situation

Integrative Bargaining :
Negotiation that seeks one or more settlements
that can create a win win sloution.
5.Closure and Implementation

Statement of agreement
Document the agreement
Prepare Negotiation results and summary
Close the remaining gaps
Reach at a tentative agreement
Implement the deal
Monitor the implemantation
 Issues in Negotiation

The role of personality traits in negotiation :

Traits do not appear to have a significantly
direct affect on the outcomes of either
bargaining or negotiating process
Gender Differences in Negotiations
Women negotiate no differently from men, although
men apparently negotiate slightly better outcomes.
Men and women with similar power bases use the
same negotiating styles.
Womens attitudes toward negotiation and their
success as negotiators are less favorable than
mens
REFERENCES
http://www.uvm.edu/extension/community/nnco/cd/unit4a.ht
m#4a

http://www.teachingenglish.org.uk/lesson-
plans/negotiations-1-building-relationships

http://www.bms.co.in/explain-different-types-of-negotiation-
strategies/

http://www.psych-it.com.au/theses/article.asp?page=6

http://www.negotiation.biz/negotiation_objectives.htm