NEGOTIATION TECHNIQUES PART – I INTRODUCTION BY TEJ MAGAZINE

HIGHLIGHTS PART – I :INTRODUCTION NEGOTIATING SITUATIONS BUSINESS NEGOTIATIONS NEGOTIATING CREDIBILITY TACTICS STRATEGY PLANNING PROCESS -ELEMENTS -ESSENTIALS -EVALUATION -VALUE SYSTEM -BEHAVIOUR -BODY LANGUAGE POSITIVE CONCLUSION PART - II ROLE PLAY

NEGOTIATING SITUATIONS BUSINESS COMMERCIAL CONTRACTS…..PSYCHOLOGICAL INTERNATIONAL TRADE…..WTO INDUSTRIAL WORKFORCE ISSUES…..HUMAN APPROACH POLITICAL COLIATION POLITICS…..MIGHT IS RIGHT WATER / POWER SHARING…..MUD SLINGING DIPLOMATIC DIPUTES BETWEEN COUNTRIES…..INTERNATIONAL CLOUT HIJACKING…..WISDOM …..CIRCUMSTANCES SOCIAL MARRIAGES…..BEST BRIDE DOWRY…..MAX, OR NO DIVORCE…..EGO FRIENDLY SPORTS EVENT CULTURAL EVENTS…..GODWILL ORGANISING A CLUB

BUSINESS NEGOTIATIONS THEME : -MARK TWAIN: “ IT IS DIFFERENCE OF OPINION THAT MAKES HORSES RACE” -JOHN RUSKIN : “ It is unwise to pay too much. But, it is worse to pay too little. When you pay too much, all you loose is little money. But, when you pay too little, you sometimes loose everything. Because, the thing you bought, was incapable to do the thing, it was bought to do. The Common law of business balance prohibits paying a little and getting a lot. It can not be done. If you deal with the lowest bidder, it is as well to add something for the risk, you run. It you do that, you will have to pay enough for something better.” PROBABILITY ASSESSMENT OF EVENTS DERIVE FROM COMBINATION OF : PRIOR BELIEFS -OBSERVED EVIDENCE

NEGOTIATING CREDIBILITY CREDIBILITY OF SELLER CREDIBILITY OF BUYER CREDIBILITY OF REQUIREMENT CREDIBILITY OF OFFER CREDIBILITY OF PERSONNEL INVOLVED CREDIBILITY OF CONFIDENCE LEVELS CREDIBILITY OF KNOWLEDE CREDIBILITY OF AUTHORITY CREDIBILITY OF INTENT CREDIBILITY OF INTEGRITY CREDIBILITY OF SELLER TACTICS TO INFLUENCE PERCEPTION TO IMPACT BEHAVIOUR EVERY TACTIC IS AN ATTEMPT TO DEVELOP POWER PREDOMINENT AT COMPETITIVE LEVEL STRATEGY PLAN PROCESS

NEGOTIATING STRATEGY DEPENDS ON TYPES OF TENDERS -SINGLE -LIMITED -OPEN (GLOBAL) ELECTRONIC COMMERCE PSYCHOLOGICAL “ WARFARE” STRONG INFORMATION BANK POWER OF KNOWLEDGE

NEGOTIATING STRATEGY COMPETITIVE STRATEGY – PERSUE OWN GOALS AT THE EXPENSE OF OTHER PARTY: TACTICS – THREATS – BLUFFS – ONE UPMANSHIP COLLABORATIVE STRATEGY – A PURPOSEFUL BEHAVIOUR IN PURSUING GOALS HELD IN COMMON WITH OTHERS SHARE INFORMATION HONESTLY & TRANSPARENTLY WITH EACH OTHER TRUST – FAITH – RESPECT FOR EACH OTHER (REPUTATION RELATED) SUBORDINATIVE STRATEGY – CONSCIOUSLY SURRENDER OWN GOALS TO AVOID CONFLICTWITH OTHER PARTY -LACK OF CONFIDENCE WEAK STATE OF MIND. SINGLE VENDOR SITUATION. -RESULT : GIVE UP POSITION – MAKE CONCESSION -UNSATISFACTORY DEAL FOR BUYER. MATCHING STRAGETY – SOCIALISATION

NEGOTIATION PLANNING CONSIDER POINTS OF VIEWS SELLER WHAT IS YOUR OPENING OFFER? HOW LONG WOULD YOU LIKE TO PROLONG ?. WHAT ARE YOUR WALK AWAY TERMS ? ENSURE A DECISION MAKER IN THE TEAM YOU MAY LOOSE BUSINESS WITH REFER BACK SITUATIONS BUYER WHAT ARE YOUR TARGET TERMS ? WHAT IS YOUR FLEXIBILITY ON TARGET TERMS ? DO YOU HAVE A CLEAR MANDATE FROM TOP MANAGEMENT TO STRIKE A BALANCE & CONCLUDE THE DEAL CLARITY OF THINKING & ACTION

PROCESS……….. ESSENTIALS OF PROFESSIONAL NEGOTIATION PEOPLE SEPARATE PEOPLE FROM PROBLEM INTERESTS & FOCUS ON INTERESTS & ISSUES AND NOT ON STANDS ISSUES OR POSITION OPTIONS THINK OF & GENERATE A VARIETY OF POSSIBILITIES WITH AN OPEN MIND, BEFORE DECIDING WHAT TO DO CRITERIA INSIST THAT THE RESULT OR OUTCOME BE BASED ON REALISTIC & LOGICAL STANDARD

PROCESS……….. EVALUATING NEGOTIATIONS 3 PHASES OF NEGOTIATION -PLANNING -ACTUAL NEGOTIATION -CONCLUSION EVALUATION IS A CONTINUOUS PROCESS EACH STAGE NEEDS TO BE CONSTANTLY EVALUATED

NEGOTIATION PROCESS VALUE SYSTEM CREATING VALUECLAIMING VALUE POSSIBLE RESULTS WIN WINDEADLOCK OR BREAKDOWN INCASE OF DEADLOCK OR FAILURE “BATNA” – BEST ALTERNATIVE TO A NEGOTIATED AGREEMENT INVENTING A LIST OF ACTIONS YOU MIGHT TAKE, IF NO AGREEMENT IS REACHED. POSITIVE APPROACHNEGATIVE APPROACH OPENNESSMANIPULATING COMMUNICATION LEARNING ADVANTAGEOUSLY SHAPING OPPONENT’S PERCEPTION OF BARGAINING RANGE

BEHAVIOUR -ASSERTIVE -AGGRESSIVE -SUBMISSIVE -PASSIVE -COMBINATIONS -COMPROMISING -CORRECTIONAL

BODY LANGUAGE -BODY MOVEMENTS OR EXPRESSION OF CONFIDENCE -NERVOUSNESS -CONFIDENT SPEECH OR INCOHERENCE -L.L.T.T. (LOOKING LONDON – TALKING TOKYO) -UNNECESSARY MOVEMENT OF HANDS & ARMS -FOOT TAPPING COOL COMPOSURE- CONFIDENT ATTITUDE–NATURAL SELF : THE BEST

POSITIVE CONCLUSION REMUNERATIVE PRICE BALANCED PERFORMANCE WIN SITUATIONS

CONCLUSION ANALYSIS ORGANISATIONS OBTAIN RESULTS ONLY PEOPLE WIN OR LOOSE NEGOTIATIONS BETWEEN INDIVIDUALS, NOT ORGANISATIONS OUTCOME HEAVILY DEPENDENT ON PERSONAL DIMENSIONS -NEEDS-PERCEPTIONS-ORIENTATIONS SHOULD BE LOGIC DRIVEN – NOT EMOTION DRIVEN WHETHER OBJECTIVES ACHIEVED CLARITY ON UNDERSTANDING RECORDING OF UNDERSTANDING WHETHER RESPECT FOR EACH OTHER MAINTAINED WHETHER RELATIONSHIP BETWEEN ORGANSIATIONS MAINTAINED WAS IT A WIN WIN OR EXPLOITARY NEGOTIATION SHORT TERM OR LONG TERM GAIN IMPACT ON FURURE BUSINESS LIMITS OF NEGOTIATIONS – UNDERSTANDING ALTERNATIVES TO AGREEMENT