model (Figure 11-1). Formulating the appropriate strategy is not an easy task. Good negotiation strategy requires analytical ability, an understanding of communication, a refined set of skills, and creativity. However, after you have studied this chapter, you should be able to enter a negotiation confidently. Summary Negotiation is an appropriate tool for compromise in conflict resolution situations. Before negotiating, the manager should establish the maximum supportable outcome (MSO) and least acceptable outcome (LAO) to know the negotiation range. Both limits must be carefully thought out so managers can protect their best interests while negotiating in a credible manner. The MSO must be one the manager can support convincingly, and the LAO must be one the manager can live with. It is also wise to define BATNA (the best alternative to a negotiated agreement) to prevent a stalemate. Negotiators need to consider when to negotiate, how long to continue, and when to make a counteroffer. Since negotiation is liable to be most fruitful when close to an opponent's deadlines, several suggestions about deadlines are appropriate: (1) do not reveal the true deadlines, if possible; (2) be patient; (3) use the clock. Strategic negotiators should also seek an optimum physical environment that benefits them without giving advantage to the opposition. Another consideration is language used during the negotiation. Negotiators should use common basic language, should strive for clarity,
should be specific, and should not be apologetic. Questions asked during negotiations have five purposes: to create attention, to obtain information, to clarify, to stimulate thinking, and to conclude or summarize. In phrasing questions, strategy dictates whether to use open-ended, leading, or closed questions. In answering questions, the negotiator must protect his or her interests by taking time to think through the answer and respond only when the question is fully understood. The chapter suggests strategies for adapting answers to suit one's interests. The channel chosen for negotiation is important. Which channel is chosen depends on the circumstances. The letter or memo of intent that follows many negotiations requires care in preparation and can work to the advantage of the person preparing it. Six core strategies can be applied in negotiations—surprise, unexpectedly introducing a goal or a concession; bluff, creating an illusion without lying; stacking, linking one idea with another for argument's sake; fait accompli, acting as if terms are acceptable to the opposition before any agreement has occurred; take it or leave it, letting the opponent know that this offer is the last; and the screen, using a third party as part of the negotiation. Role Play Scenario Employment Agreement Background:Managers seeking new positions may find there is far more to agree to than just pay, benefits, and job responsibilities. Today, companies want to protect their trade secrets, inventions, and clients. To do so, they ask new executives and managers
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