1. Interests – power - right
“Reconciling interests costs less and yields more satisfactory results that determining who is right, which, in turn costs less and satisfies more than determining who is more powerful”

2. Interest-based negotiation
Reconcile interests
Problem-solving approach
Creative solutions
Common ground
Trade-offs
Concessions

3. Rights-based negotiation
Cased on laws
Negotiation
arbitration

4. Power-based negotiation
Coercion
Aggression
Witholding benefits

5. Which is the best option?
Transaction costs eg strikes, replacement
Satisfaction of outcomes: “fairness”
Effect on the relationship: long-term, the ability to work together
Recurrence – agreement does not ¡stick’

6. Bear in Mind Interests v Rights/Power – often off the topic
Rights v Power – strain relationship (eg parents/kids)
Power and coercion can damage relationships

7. ‘Classical’ options/styles
AVOID Lose- Lose
ACCOMODATE Lose - Win
COMPETE Win - Lose
COLLABORATE Win – Win
COMPROMISE Win – Win? / Lose – Lose?
NO STRATEGY “let the chips fall” / ‘laissez faire’, lazy?

8. Selecting a Strategy Relationship concerns: past present and future
Outcome concerns: how important is it?
Situation
Preferences
Experience
Style
Perceptions

9. On style

10. Effective Negotiators
Focus on the right problem:
Daniele Vare “the art of letting them have your way”

11. Mistake 1: Neglecting the other side’s interests
“Power doesn’t come from telling the other side you are powerful”
“If you want to change someone’s mind you should first learn where that person’s mind is” Rupert Murdoch

12. Mistake 2: Thinking Price is more important than other factors
50% emotion, 50% economics
Life is more than economics
Perceived fairness, Self-image, Reputation
Relationship
Social contract “spirit of the deal”
Process: personal, straight forward, respectful, fair
Interests of ALL (there are others involved)

13. Mistake 3: Position drives out interests
Issues are on the table for agreement
Positions: how a party stands on an issue
Interests: underlying concerns

14. Mistake 4: Searching too hard for common ground

15. Mistake 5: Neglecting BATNAs

16. Mistake 6: Skewed vision

17. 3 phases The information phase The competitive phase
The cooperative phase

18. Tactics in the competitive phase
“principled” offers and concessions
Argument
Threats and promises
Silence and patience
Limited authority
Anger
Aggressive behaviour
Uproar

19. More tactics Settlement brochures and video presentations
Boulwareism : best offer/take it or leave it
Br’er Rabbit: reverse psychology
Mutt and Jeff:
Belly up
Passive-aggressive

20. Any questions?
For next week, bring in a CV and a covering letter for an internship of your choice