Negotiation Strategy and Planning.mpg

Summary

This video covers the critical aspects of negotiation strategy and planning. It emphasizes the importance of setting clear goals, distinguishing between strategy and tactics, and preparing thoroughly. The speaker explains different negotiation strategies, including avoidance, competition, collaboration, and accommodation, and the significance of balancing desired outcomes with maintaining relationships. Key phases of negotiation, such as preparation, data gathering, bidding, and implementation, are also outlined. The message highlights the importance of adaptability and planning for long-term success in negotiations.

Takeaways

• 😀 Strategy and planning should focus on goals. The clearer the goals, the better the negotiation results.
• 💡 Wishes are not goals. Effective goals must be specific and concrete.
• 🔄 Strategy is the overall plan to achieve goals, while tactics are short-term actions supporting the strategy.
• 🛤️ Planning involves outlining how to implement the strategy, considering both unilateral and bilateral approaches.
• 🤝 There are four main negotiation strategies: avoidance, competition, collaboration, and accommodation, each with different priorities on outcome and relationship.
• 📊 Active engagement in negotiations includes competition (win-lose), collaboration (win-win), and accommodation (I lose, you win).
• 🗂️ The negotiation process ideally has seven phases: preparation, relationship building, data gathering, using data, bidding, closing, and implementation.
• 🔍 Planning involves defining issues, interests, limits, alternatives, and assessing participants and their strategies.
• 🧠 It's essential to understand your opponent's goals, resources, and walkaway points to build an effective strategy.
• 📅 Negotiation protocols include setting an agenda, timeline, participants, and planning for possible negotiation failure.

Q & A

What is the first step in the negotiation process?

The first step is determining the goals for the negotiation process. Negotiators should clearly specify their goals and objectives, as unclear goals will lead to muddled results.

How are strategy and tactics differentiated in negotiations?

Strategy is the overall plan to achieve one's goals in negotiation, while tactics are short-term adaptive moves designed to pursue broad strategies. Tactics are always subordinate to the strategy and are driven by it.

What are the two types of negotiation approaches mentioned?

The two approaches are unilateral, where the negotiation is done without active involvement from the other party, and bilateral, where the impact of both sides is considered.

What are the four outcomes of the Dual Concerns Model?

The four outcomes are avoidance, competition, collaboration, and accommodation. Each outcome depends on the concern for achieving desired outcomes and maintaining relationships.

When should avoidance be used as a negotiation strategy?

Avoidance is used when the outcome of the negotiation is not important, or when one's needs can be met without negotiating at all. It saves time and effort if there's no possible gain.

What are the seven phases of an ideal negotiation process?

The seven phases are: preparation, relationship building, data gathering, using data in negotiation, bidding, closing the argument, and implementation.

Why is information gathering important in a negotiation?

Information gathering is important because it helps negotiators understand the issues at hand, build their case, and use data to support their points and challenge the other party's arguments.

How does the 'bargaining mix' contribute to negotiation planning?

The bargaining mix involves defining the list of issues and combining them to decide which ones have priority in the negotiation process, allowing negotiators to focus on key goals.

What role do 'constituents' and 'social context' play in negotiations?

Constituents are the parties involved in the negotiation, while the social context includes the authority to make agreements, reputation, and negotiation style of the other party. Both factors influence the negotiation process.

Why is it important to define negotiation protocol before starting?

Defining negotiation protocol ensures clarity on the process, including the agenda, participants, location, and timeline, preventing confusion and helping both parties stay aligned during negotiations.

Outlines

00:00

🔍 Understanding Negotiation Goals and Strategy

This paragraph introduces the main focus of negotiation strategy, emphasizing that clearly defined goals are essential for effective strategy. It highlights the importance of specificity in goals, both direct and indirect effects, and the relationship between a negotiator's goals and those of the other party. The difference between strategy and tactics is explained, with strategy being the overarching plan and tactics the short-term actions. The paragraph also distinguishes between unilateral and bilateral approaches in negotiation.

05:01

🎯 Strategic Approaches and Phases of Negotiation

This section covers various strategic approaches in negotiation, such as avoidance, competition, collaboration, and accommodation. It delves into the different outcomes associated with these strategies, ranging from win-lose scenarios to mutually beneficial outcomes. It introduces the seven phases of negotiation, from preparation to implementation, emphasizing the importance of planning and relationship-building throughout the process. The focus is on understanding the goals, relationship dynamics, and assembling relevant data.

10:01

⚖️ Defining Issues, Interests, and Bargaining Strategy

Here, the focus shifts to defining the issues, prioritizing them, and creating a bargaining mix for negotiation. The negotiator must understand their own limits and alternatives, set realistic objectives, and carefully assess the social dynamics and stakeholders involved in the negotiation. It underscores the need for strategic planning around opening bids and target outcomes while assessing the style and reputation of the other party. The paragraph emphasizes nonverbal cues, such as body language, and their role in negotiations.

🏛️ Negotiation Protocols and Adjustments

This paragraph discusses the formal and informal rules that govern the negotiation process, including the agenda, timeframes, and decision-making authorities. It outlines the importance of flexibility, adjusting strategies as needed during the negotiation, and ensuring that all involved parties are aware of their responsibilities. The metaphor of chess is used to highlight the ongoing adjustments required in negotiation. It closes by stressing the importance of implementation following successful negotiation, noting that planning without action leads to failure.

Keywords

💡Strategy

Strategy refers to the overall plan or approach used to achieve goals in a negotiation. In the video, it is emphasized as a long-term, comprehensive framework that guides how the negotiation will unfold. Strategy is key to ensuring that the goals set are attainable, and it's distinguished from tactics, which are short-term moves. Examples include planning how to handle both the outcome and relationship aspects of negotiation.

💡Tactics

Tactics are the short-term, adaptive actions taken to achieve the broader strategy. Unlike strategy, which is focused on long-term goals, tactics are flexible and used to respond to immediate situations. The video highlights tactics as subordinate to strategy, meaning they serve the overall plan. Examples include how negotiators adapt during discussions, such as adjusting offers or responding to counterarguments.

💡Goals

Goals are the specific objectives a negotiator aims to achieve by the end of the negotiation. The video stresses the importance of clear, concrete goals, distinguishing them from mere 'wishes.' Effective goals must be realistic and often consider the objectives of the other party. Examples include determining whether the focus is on relationship building or resource gain in a negotiation.

💡Relationship Development

Relationship development refers to the process of building and maintaining a positive connection with the other party in negotiation. The video mentions this as an indirect effect of setting goals, where negotiators must balance their objectives with the need to foster long-term cooperation. For instance, focusing on relationship development may lead to accommodating the other party’s needs.

💡Dual Concerns Model

The Dual Concerns Model is a framework used to analyze negotiation strategies based on two factors: concern for achieving one's own outcomes and concern for the relationship with the other party. The video discusses four strategies within this model: avoidance, competition, collaboration, and accommodation, each reflecting different levels of concern for outcomes and relationships.

💡Avoidance

Avoidance is a non-engagement strategy where a negotiator chooses not to pursue the negotiation. This occurs when the outcome is not important, or there are alternatives available that meet the negotiator’s needs without engaging the other party. The video notes that avoidance can be used if there is no potential gain in the negotiation or the effort isn't worth it.

💡Collaboration

Collaboration is a negotiation strategy focused on achieving a win-win outcome where both parties benefit. The video highlights collaboration as an integrative approach, often leading to better outcomes and relationship enhancement. This strategy is commonly used when the negotiators expect to continue doing business in the future and want to foster a positive relationship.

💡Accommodation

Accommodation involves one party letting the other win in order to preserve or enhance the relationship. The video explains that this strategy may be chosen when the relationship is more important than the immediate outcomes, such as financial or resource gain. This tactic could be used when one party prioritizes long-term cooperation over short-term objectives.

💡Preparation

Preparation is the first and one of the most critical phases of negotiation, as described in the video. It involves determining goals, understanding the other party’s interests, gathering data, and planning strategies. Proper preparation ensures that negotiators know what they want, how they will achieve it, and how to build a relationship with the other party.

💡Bargaining Mix

The bargaining mix refers to the combination of issues involved in a negotiation. The video explains that defining the bargaining mix is essential to strategy planning, as it helps negotiators prioritize which issues are most important and how to address them. This concept allows negotiators to organize and structure the negotiation process more effectively.

Highlights

Step one in negotiation is determining goals and understanding where you want to be at the end of the process.

Wishes are not goals; effective goals must be concrete and specific to guide strategy.

Negotiation strategies are shaped by both direct and indirect effects, including relationship development.

Strategy is the overall plan, while tactics are short-term adaptive moves that align with the strategy.

There are two approaches to negotiation planning: unilateral (working independently) and bilateral (considering both parties).

The dual concerns model categorizes negotiation into four types: avoidance, competition, collaboration, and accommodation.

Active engagement in negotiation can take the form of competition (win-lose), collaboration (win-win), or accommodation (imbalance of outcomes).

There are seven ideal phases in negotiation: preparation, relationship building, data gathering, data using, bidding, closing, and implementation.

The preparation phase is crucial, involving defining goals, analyzing relationships, and understanding similarities and differences with the other party.

Negotiators must gather and use data strategically to emphasize their points and deemphasize the opposing party's arguments.

Bidding is a give-and-take process where both parties state opening offers and negotiate toward a final agreement.

Effective negotiation involves assessing constituents, the social context, and using non-verbal cues like body language.

Resources, issues, and the bargaining mix must be well understood, and negotiators must know their walk-away point.

The negotiation process includes defining an agenda, selecting participants, determining the location, and setting timelines for the discussion.

Planning is essential in negotiation, but it is useless without implementation. Organizations must ensure plans are executed.

Transcripts

welcome back to negotiations as process

we're in chapter four this week strategy

and

planning goals Focus your strategy can't

put it any simpler than that so Step One

is determining the goals for the

negotiation process where where do you

want to be at the end of the negotiation

negotiators should specify goals and

objectives clearly if things are muddled

you're going to get muddled results the

goals have direct and indirect effect on

what your strategy is going to be on the

direct side wishes are not goals now

those of you who've just had me for

strategic planning this is a little

simplistic for you but wishes are not

goals goals are often linked to the

other party's goals there are limits to

what goals can be and effective goals

must be concrete and specific if they're

not specific they won't be effective

indirect effects of setting goals

includes relationship development and

there may be something else some other

things you can think of based on your

life strategy versus tactics strategy is

the overall plan to achieve one's goals

in a negotiation tactics are the

short-term adaptive moves designed to

enact or pursue broad strategies tactics

are always subordinate to the strategy

and tactics are driven by the strategy

planning is the action component of the

strategy process how will I implement

the strategy we say here's the goals but

if you set goals and don't map out a

path to get there again as you learned

from those of you who just had me in

strategic planed you're not going to get

there there are two approaches

unilateral we do it by ourselves without

active involvement of the other party

and bilateral we consider the impact of

both sides uh and we consider the other

strategy I mean while you're planning a

strategy for a negotiation you

understand that whoever's on the other

side of the table is also planning a

strategy again the Dual concerns model

comes up

and there are four things that happen

here avoidance where the outcome is not

important about the

relationship and the outcome of the

organization or the need the goal is not

important well then we've got avoidance

in competition I gain and you lose and I

ignore the relationship Factor because I

don't care where we're never going to be

doing business again in the first place

in collaboration I gain you gain we

enhance a relationship because there's a

good chance we're going to be back doing

business again together in the future

plus you'll achieve better outcomes and

when you're accommodating I let you win

and enhance the relationship because

maybe the goal is for me is to enhance

the relationship more than it is to

achieve resource or financial gain out

of the negotiation that's entirely a

legitimate

strategy strategic options are reflected

in the answers to two questions how much

concern do I have in achieving my

desired outcomes in this negotiation

ation and how much concern do I have for

the current and future quality of the

relationship with the other party you

have to reconcile those two and figure

out where outcome and relationship fit

in terms of the overall plan avoidance

is a non-engagement strategy and it's

very simple if I'm able to meet my needs

without negotiating at all it why should

I negotiate with you if there's nothing

in it for me there's no possible gain

it's not worth the time and the effort

and maybe there's available alternatives

to what I need to achieve without

negotiating

anything active engagement includes

three different levels competition which

is the distributive win- lose bargaining

kind of scenario we've talked about it

before Zero Sum not good collaboration

is integrative negotiation and win-win

and accommodation involves an imbalance

of outcomes I lose you win but again

sometimes that may be the choice that

you make because the relation ship is

more important than the short-term

Financial or resource gain there are

seven ideal phases in negotiation

preparation you got a plan for where

you're going to get to building the

relationship with the other party

Gathering data for both your

organization and on the other

party using that data within the

negotiation to emphasize your points and

deemphasize their points the bidding

process where we go back and forth the

closing up of the argument and the final

agreement that comes to give us the

desired outcomes and then the actual

implementation you can come to an

agreement but if nobody actually acts

upon it afterwards it wasn't any good as

we've studied in strategic planning

where they said on the Shelf the ideal

key faces again if we break them down

and the preparation you need to know

what your goals are and how you're going

to work in the relationship with the

other party you're going to work on

relationship building there are

differences between you and similarities

between you if you overemphasize the

differences you'll have problems if you

find the similarities then you'll have

grounds you can work on and Building

Together on both sides of the

negotiation commitment to the desired

outcomes information gathering you learn

what you need to know and what you need

to know about the issues in using data

we're assembling our case in bidding

each party States their opening offer

and then each party engages and give and

take back and forth until we finally

close the deal build commitment and then

imp lement the agreement across the

organizations or between the parties and

again we just look at that graphic of

the seven phases preparation

relationship building data Gathering

data using bidding closing and

implementation when you're planning your

strategy both in terms of the outcomes

and the process that will take place of

the negotiation you need to define the

issues and assemble the issues and

Define the bargaining mix which is very

simply just combining that list of

issues and deciding which which one has

priorities you need to Define your

interests in this negotiation why do we

want what we want as an

outcome in planning the strategy you

need to know your limits and the

Alternatives what's the least we can

accept what are the other options that

we might run into set your objectives

your targets and your opening bids where

you're going to start your target is the

outcome that you realistically expect

you can't expect to get everything

though some folks do and opening is the

best that can be achieved to start with

and you hope to settle somewhere in the

middle and you assess the constituents

the parties the people who are involved

and the social context of the

negotiation that's why in week one you

were asked to do some research on body

language constantly paying attention to

who's speaking who's listening how

they're talking their eye movement their

note taking their legs crossed their

arms folded the interaction among the

negotiators this graphic is on page 104

as a figure 4.3 in your text as an arena

like facility where you know games take

place because it is partially Game

Theory the direct actors on our side are

a while the direct actors on the other

side are the B's C are the indirect

actors and there are some for both of us

now these would in general we'd think

about stakeholders we've talked about

them before who have influence on the

sidelines for both parties D are

interested observers now those may be

state steh holders with little influence

outside pundits who need to something to

write about or talk about in their media

Outlets among other possible

stakeholders and finally is e the

environmental factors outside the

negotiation but with definite impact on

shaping what happens in the arena and in

the global Marketplace today it has to

be considered if you're working for a

nonprofit organization for instance the

mandates the funding changes that are

continually going on are highly

important when it comes to things like

like mergers and Acquisitions or taking

over program that another entity has

been offering to the community

beforehand as we're planning our

strategy you've got to analyze your

opponent not only before you get to the

table but once you get to the table

what's the reason that they have their

objectives the goals that they've set

why do they want what they want and you

have to present a clear case refuting

their position this is debate if you

can't make effective arguments

suggesting why they need to pay

attention to your position as opposed to

their position you're going to get

walked down and then you're going to

present of course your issues to the

other party both your concerns and the

outcomes indirectly that you're trying

to get to it's a negotiation process we

don't come out and say I've got to have

X tomorrow or we're done you won't me

negotiate

anymore some of the information that you

absolutely must have the resources the

issues and the bargaining mix you must

understand what resources are on the

table and resources is a very broad term

and it's meant to be the interests and

the needs of both sides the walkway

point is there a point of negotiation

where we absolutely cannot do this

anymore and we just have to walk away

because their demands are too excessive

and that comes and the alternatives to

finishing the negotiation if we're

walking away there must be an acceptable

alternative and we want to know that

before we get into the negotiation too

far into it who the constituents the

parties are the folks involved the

social structure and the authority to

make an agreement if we don't have the

people who have the authority to make a

decision at the table then we've got

something else we need to work on the

reputation of the other party and their

negotiation style how do they like to

work and the likely strategy and tactics

that they might take as well as deciding

what ones you're going to

take you need to define the negotiation

protocol as it will the process what's

the agenda who's going to be there where

will the negotiation occur what is the

time period that it's going to take

place and I don't mean just we're going

to meet from 2: to 5: but a negotiation

rarely happens and concludes in one

session so is there a length of weeks

month are we going to beet bi-weekly how

long is it going to take completely

what's going to happen if the

negotiation fails how will we keep track

of what's agreed to and how do we know

whether or not we have good agreement

you have to sort through all these

issues before you get to the table and

be continually in adjusting again just

like a game of chess so once again your

assignments for this week and you are

already right on track because you just

finished watching the video read chapter

4 continue your journaling you need to

post in the discussion thread what your

major Topic's going to be you need to

take the chapter 4 quiz and you need to

smile and breathe and if you have any

questions or concerns you need to

contact me and I will solve them for you

as best as possible it might be a

negotiation so wake up as it were

planning is the most critical important

activity in negotiation it is also one

of the most important activities of all

within our organization so often though

the planning and the strategy don't

actually have an implementation with

this you should because if you don't

know where you're going You're probably

end up there thanks for listening have a

great week I'll see you in class next

week