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Seal the Deal by

Negotiating a Win

Bruce Hardie

Bruce Hardie

2

Northwest Region

Regional Director

Seal the Deal by Negotiating a Win

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3 Seal the Deal by Negotiating a Win

Main Ideas

• Power Negotiations

• Critical Elements of Negotiating

• Negotiating and Personality Type Styles

• Tactics and Countertactics of Negotiating

Win-Win Negotiations

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• Underlying Facts About Negotiating

• You are negotiating all of the time

Power Negotiations – An Art Form

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• Underlying Facts About Negotiating

• Anything you want is owned or controlled by

someone else

Power Negotiations – An Art Form

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• Underlying Facts About Negotiating

• Predictable responses to strategic maneuvers and

gambits

Power Negotiations – An Art Form

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• Underlying Facts About Negotiating

• Three critical factors to every negotiation

Power Negotiations – An Art Form

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• Underlying Facts About Negotiating

• Different personality styles must be accounted for in

negotiating

Power Negotiations – An Art Form

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• Simple Rules of Win-Win Negotiating

• Include all of the issues

Power Negotiations – An Art Form

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• Simple Rules of Win-Win Negotiating

• Get to know the other person

Power Negotiations – An Art Form

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• Simple Rules of Win-Win Negotiating

• Never assume that money is the bottom line

Power Negotiations – An Art Form

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Power Negotiations – An Art FormThree Stages of Every Negotiation:

1. Establish negotiation criteria

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Power Negotiations – An Art FormThree Stages of Every Negotiation:

2. Gather information about the other side

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Power Negotiations – An Art Form Three Stages of Every Negotiation:

3. Reach for the compromise and find the win-win

situation

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Requirements of a Good Negotiator:

• Know that negotiation requires interaction

Power Negotiations – An Art Form

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Requirements of a Good Negotiator:

• Desire to acquire negotiating skills

Power Negotiations – An Art Form

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Requirements of a Good Negotiator:

• Understand principles and gambits

Power Negotiations – An Art Form

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Requirements of a Good Negotiator:

• Practice

Power Negotiations – An Art Form

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Requirements of a Good Negotiator:

• Desire to create win-win outcomes

Power Negotiations – An Art Form

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• Power

• Information

• Time

Critical Elements of Negotiating

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1st critical element = Power

• Possibly the most important element

• In any negotiation:

• One is controlling (has power)

• One is being controlled (no power)

• Eight types of power

Power: Understanding It and Gaining It

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Power: Understanding It and Gaining It

Eight Types of Power

1. Legitimate Power

2. Reward Power

3. Punishment Power

4. Reverent Power

5. Charismatic Power

6. Expertise Power

7. Situation Power

8. Information Power

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Power: Understanding It and Gaining It

Eight Types of Power

1. Legitimate Power

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Eight Types of Power

2. Reward Power

Power: Understanding It and Gaining It

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Power: Understanding It and Gaining It

Eight Types of Power

3. Punishment Power

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Power: Understanding It and Gaining It

Eight Types of Power

4. Reverent Power

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Power: Understanding It and Gaining It

Eight Types of Power

5. Charismatic Power

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Power: Understanding It and Gaining It

Eight Types of Power

6. Expertise Power

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Power: Understanding It and Gaining It

Eight Types of Power

7. Situation Power

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Power: Understanding It and Gaining It

Eight Types of Power

8. Information Power

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2nd critical element = Information• More information = more power• Gathering information:

• Ask open-ended questions

• Keep repeating a question

• Question other people

• Bring in an expert

• Carefully select the negotiation location

• Shop around

Managing Information

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3rd critical element = Time

• Flexibility and concessions come with pressure and

time

• Higher pressure = worse outcome in negotiations

• 80 percent of concessions occur in the last 20

percent of negotiation time

Managing Time

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To be a successful negotiator:

• Understand personality types/styles

• Adapt negotiation tactics to personality types/styles

Negotiating and Personality Types/Styles

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• Negotiating types / styles based on personality:

• “D” – Pragmatic

• “I” – Extrovert

• “S” – Amiable

• “C” – Analytical

Negotiating and Personality – D I S C

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• Street fighters

• Go for what they want

• Certain that there are “winners”

and “losers”

• Want to be “winners”

• Fight hard and see little need for concessions

• Negotiation challenge: Hold a fixed position

Pragmatic – “D”

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• Enthusiastic, often overly so

• Lose sight that others are not

as enthusiastic

• Negotiation challenge:

• Often ignore feelings of others

in a negotiation

Extrovert – “I”

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• Pacifiers

• Goal: Make everyone happy, not

necessarily win the negotiation

• Dread high pressure encounters

• Long for a solution, even if it doesn’t meet their

requirements

• Negotiation challenge: Easily swayed

Amiable – “S”

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• An executive by nature

• Rigid in negotiation

• Reluctant to be flexible

• Precise on the details

• Concerned with underlying principle of any issue

• Negotiation challenge: Inflexibility

Analytical – “C”

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• What are the tactics and countertactics of

negotiating?

• There are many; we will review the tactics and how to

counter them next.

• Why are they important for me to understand?

• Know when to use them and how to respond when

they are being used on you.

Tactics and Countertactics

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Will I use all of these?

• Probably not. Use what is appropriate based on the

situation and the personality type of the other

players.

Tactics and Countertactics

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• Nibbling

• Hot Potato

• Higher Authority

• Set-aside Gambit

• Mediator

• Never Take the First Offer

Tactics and Countertactics

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• Good Guy/Bad Guy

• Feel, Felt, Found

• Smart/Dumb

• Service Value

• Walk Away

• Flinching

Tactics and Countertactics

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• Trade-off Principle

• Vise Technique

• Power of the Printed Word

• Withdraw Offer Principle

• Easy Acceptance

• Funny Money

Tactics and Countertactics

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• Decoy Technique

• Red Herring

• Puppy Dog Close

• Reluctant Buyer

• Want-It-All Philosophy

• Splitting the Difference

Tactics and Countertactics

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Tactics – Nibbling

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Tactics – Hot Potato

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Tactics – Higher Authority

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Tactics – Set-aside Gambit

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Tactics – Mediator

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Tactics – Never Take the First Offer

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Tactics – Good Guy/Bad Guy

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Tactics – Feel, Felt, Found

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Tactics – Smart/Dumb

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Tactics – Service Value

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Tactics – Walk Away

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Tactics – Flinching

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Tactics – Trade-off Principle

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Tactics – Vise Technique

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Tactics – Power of the Printed Word

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Tactics – Withdraw Offer Principle

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Tactics – Easy Acceptance

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Tactics – Funny Money

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Tactics – Decoy Technique

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Tactics – Red Herring

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Tactics – Puppy Dog Close

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Tactics – Reluctant Buyer

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Tactics – Want-It-All Philosophy

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Tactics – Splitting the Difference

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• Always maintain perspective when negotiating

• Don’t lose sight of key issues

Remember

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• Study the personality styles / types

• During your next negotiation, track the tactics and

counter tactics used

• Practice negotiating with a partner to learn what

works best for you

Ideas into Action

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