Joe Monaco

Negotiating Power You Can Use!

Lunch & Learn Workshop

MONACO GROUP, INC.

Human Performance Systems - Design and Management

732-563-4430

jmonaco@LIFTOR.com

Identify differences between traditional and principled negotiation approaches

Objectives

Practice planning for a negotiation in a small group

Access resources to learn more about enhancing your power in your next negotiation

Introduction

Agenda

Form Small Groups (n=5)

Four Power-Enhancing Actions

Questions and Post Workshop Sign-Ups?

Negotiation: a discussion intended to produce agreement

Definitions

Opponent: each party to a negotiation wanting to resolve their differences.

Traditional Negotiation

Haggling or Positional Bargaining

• Pick a position and stay with it

• Deception is a key tactic

• Frequently leaves “value” on the table

• View other as “enemy”

• Discount relationship or sacrifice it for gain

Haggling can be useful and appropriate!

Principled Negotiation

Mutual Gains Based Upon Interests

• Separate the people from “the problem”

• Develop a BATNA

• Interests -NOT Positions

• Invent multiple alternatives

• Use objective criteria

Separate “People” From “Problem”

Substantive Issues

• Terms

• Conditions

• Prices

• Dates

• Numbers

• Risks / Liabilities

Relationship Issues

• Balance of emotion/reason

• Degree of Mutual Understanding

• Relative emphasis on persuasion or coercion

• Attitude of acceptance (or rejection)

• Degree of trust & reliability

A. Walk-a way position B. Purpose of negotiation is to improve it

C. MOST POWERFUL thing you can do

Decide a BATNA (Best Alternative To a Negotiated Agreement)

A. Self –select into groups (n=5).

B. Introduce selves.

C. Select member’s negotiation. (Use worksheet)

D. Decide possible BATNA. Report-out in turn.

Group Exercise #1 (10 Minutes)

A. Interests are the reasons for positions B. Interests answer “why” of a position

C. Two daughters and an orange

Negotiate on Interests

NOT Positions

A. Re-state negotiation project & BATNA

B. Reference handout page: “Dovetail Different Interests”

C. Brainstorm possible interests

D. When asked, report-out.

Group Exercise #2 (6 Minutes)

A. Derive multiple options from interests B. Create now. Decide later.

C. Ex: Orange rind for flavor or

orange meat to eat?

Invent Alternatives/Options

(Creative thinking counts!)

A. Cut orange in half and distribute halves B. Call mom to bring home more oranges

C. Flip a coin to decide who gets the orange

More Orange Alternatives /Options

A. Brainstorm possible options/ alternatives

B. When asked, report-out.

Group Exercise #3 (6 Minutes)

A. Factual pieces of information, independent of the parties in the negotiation

B. Persuasive not only to you, but to the other party, and to a neutral observer

C. Can establish a range, but should not become a position or anchor

Invoke Objective Criteria

Invoke Objective Criteria

More Examples

• What a court would decide

• Moral standards

• Equal treatment

• Tradition

• Reciprocity

• Costs

Examples

• Market Value

• Precedent

• Scientific judgment

• Published Standards

• Efficiency

• Law / Statutes

A. Reference handout page: “Develop Objective Criteria” B. For each option, brainstorm possible objective criteria

C. When asked, report-out.

Group Exercise #4 (6 Minutes)

A. You are fully ready to negotiate when you can make your opponent’s case for them.

A. To the extent that you can complete both columns of the “Plan the

Negotiation Worksheet”, you are prepared to negotiate.

B. Practice any of the principles with low risk negotiations until you get comfortable . Good Luck!

Final Thoughts

Thank You

MONACO GROUP, INC.

Human Performance Systems - Design and Management

732-563-4430

jmonaco@LIFTOR.com