(Lewicki, Saunders & Barry. 2011)

Ch 1 - The Nature of Negotiation

(Lewicki, Saunders & Barry. 2011)

LRD 655 - Wallace

(Lewicki, Saunders & Barry. 2011)

Daily Occurrences

Negotiation is something

that everyone does to varying

degrees.

1-2

(Lewicki, Saunders & Barry. 2011)

Negotiations

• Sharing or dividing limited resources

• Creation of something new

• Collaboration• Mergers & acquisitions• Dispute resolution• Customer service

(Lewicki, Saunders & Barry. 2011)

Not Bargaining

• Bargaining is a competitive win-lose tactic (old school).

• Negotiation requires win-win objectives for complex situations that are mutually acceptable to all stakeholders.

1-4

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Negotiation Key Themes

1. Definitions and characteristics

2. Interdependence

3. Conflict dynamics and management processes.

(Lewicki, Saunders & Barry. 2011)

Characteristics

• Two or more parties• Conflict between

needs and desires• We believe we can do

better by negotiating• We should expect a

“give-and-take” process

(Lewicki, Saunders & Barry. 2011)

Characteristics

• We seek agreement over:– Openly arguing– Surrendering– Discontinuing contact permanently– Hiring third party mediation

• Successful negotiation involves:– Managing the tangibles– Resolving intangibles

• Psychological motivations

(Lewicki, Saunders & Barry. 2011)

Interdependence

Mutual need• Interdependent goals are

a highly important aspect of negotiation• Win-lose: I win, you

lose won’t work.• Win-win: Both sides

gain.• Win-win-win: Other

stakeholders gain.

(Lewicki, Saunders & Barry. 2011)

Interdependence

InterdependentGoals

A’s Goals

Conflicting

Convergent

B’s Goals

(Lewicki, Saunders & Barry. 2011)

Outcomes

• Interdependence levels and situation structure guide both processes and outcomes– Zero-sum or distributive

– one winner– Non-zero-sum or

integrative: mutual benefits

(Lewicki, Saunders & Barry. 2011)

Alternatives (BATNA)

Desire

Alternatives

(Lewicki, Saunders & Barry. 2011)

Mutual Adjustment

Share

Observe

Listen

Understand

Adjust • Mutual influence is ongoing

• Primary change force

• External locus of control

• Continual adjustment

(Lewicki, Saunders & Barry. 2011)

Concession Making

(Lewicki, Saunders & Barry. 2011)

Two Dilemmas

HONESTY TRUST

1-14

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Value Claiming & Creation

Selfish Sharingor

(Lewicki, Saunders & Barry. 2011)

Value Claiming & Creation

Claimin

g

Creating

(Lewicki, Saunders & Barry. 2011)

Value Differences

• Interests

• Visions

• Risk

• Time

(Lewicki, Saunders & Barry. 2011)

Conflict

(Lewicki, Saunders & Barry. 2011)

Levels of Conflict

Intrapersonal-

IntrapsychicInterpersonal

(Lewicki, Saunders & Barry. 2011)

Group Levels of Conflict

Intragroup Intergroup

(Lewicki, Saunders & Barry. 2011)

Dysfunctions

1. Competitive, win-lose goals2. Misperception and bias3. Emotionality4. Decreased communication5. Blurred issues6. Rigid commitments7. Magnified differences - minimized similarities8. Escalation of conflict

(Lewicki, Saunders & Barry. 2011)

Functions and Benefits

1. Organizational members more engaged with increased coping skills via discussion.

2. Promises organizational adaptation and change.3. Improves relationships and heightens morale.4. Promotes self awareness and empathy.5. Enhances personal development.6. Builds psychological development

& improving self analysis.7. Can be stimulating and fun.

(Lewicki, Saunders & Barry. 2011)

Dual Concerns Model

(Lewicki, Saunders & Barry. 2011)

Dual Concerns Model

Graphic Source: Emerald Insight

(Lewicki, Saunders & Barry. 2011)

Conflict Management1-25

ContendingInaction

Yielding Problem Solving

Compromising

(Lewicki, Saunders & Barry. 2011)

Your Patterns?

(Lewicki, Saunders & Barry. 2011)

Assignments

• Watch the Video• Read Chapter 1• Research Body

Language and post in the Discussion Thread

• Journal• Take the Chapter 1 Quiz

(Lewicki, Saunders & Barry. 2011)

Time to Grow