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1 Welcome to the International Right of Way Association’s Course 205 Bargaining Negotiations 205-PT – Revision 3 – 06.25.06.INT
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2 Introductions Who we are… What we do… Where we do it… How long we’ve been doing it… Our goals for the course...
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3 Objectives At the conclusion of the two days, you will be able to... Distinguish between integrative and bargaining negotiations Articulate the basic concepts in the funnel technique to integrative negotiations Discuss and employ characteristics of successful bargaining negotiations.
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4 Objectives At the conclusion of the two days, you will be able to... Exhibit interpersonal communication skills of successful negotiators. Understand tough tactics and manipulative ploys and negative outcomes and learn ways to counter or use them to advantage in bargaining negotiations.
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5 Housekeeping
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6 Schedule Day One (1) 8:00 - 8:30Introductions, Etc. 8:30 - 10:00Negotiation 10:15 - 11:15The Funnel Technique 11:15 - 11:45Bargaining Negotiations 12:45 - 2:15Intrapersonal Issues 2:30 - 4:00Interpersonal Issues 4:00 - 4:45A Negotiation Model
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7 Schedule Day Two (2) 8:00 - 8:30Recap 8:30 - 9:00Bargaining Process 9:00 - 11:45Approach to Bargaining Negotiations 12:45 - 1:30Tough Tactics 1:30 - 2:15Manipulative Ploys
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8 Schedule Day Two (3) 2:30 - 3:15 Why Negotiators Fail to Improve Becoming a Power Negotiator 3:15 - 3:45 Summary and Review 3:45 - 4:45 Exam
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9 Negotiation … the process by which two or more people resolve differences to reach a mutually acceptable agreement.
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10 Types of Negotiations Integrative Bargaining
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11 Integrative “Win-Win” Mutually beneficial outcomes Inquiry Collaborative
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12 Bargaining “Win-Lose” “Zero-Sum” Advocates positions Compromise
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13 Integrative v. Bargaining IntegrativeBargaining InquiryAdvocacy Mutual InterestsIndividual Positions CollaborativeCompetitive Win-WinWin-Lose TrustDistrust CooperativeAdversarial Willing to changeUnbendable “Soft ball”“Hard ball” AcceptanceAgreement Open Communications Restrictive Communications
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14 The Funnel Technique I. Information Getting II. Information Giving III. Problem Census IV. Problem Solving V. Closing
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15 Bargaining “Win-Lose” “Zero-Sum” Advocates positions Compromise
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16 Transitioning to Bargaining Specific discrepancy High commitment Highly informed Intelligent
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17 Price and… (1) the best deal the quality of solutions the level of service the terms
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18 Price and… (2) the project’s schedule reputation the agency’s entire staff the negotiator
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19 Inner Speech Speed Ellipsis Synthesis
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20 Strategies Look for inconsistencies Monitor the owner’s speech Make unexpected disclosures Use balanced appeals Use interpretive appeals
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21 Reducing Defensiveness (1) Linkages Align Determine needs
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22 Maslow
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23 Reducing Defensiveness (2) Control the outcome Read
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24 Negotiating Drives Competitive Solutional Personal Organizational Attitudinal
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25 Physical Factors Body Language Attire Territory and Personal Space “Face” Props
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26 Emotional Factors (1) Negotiator’s past experiences Negotiator’s self-concept Openness or willingness to self disclose Can-do attitude
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27 Emotional Factors (2) Property owner’s pressure to conform Need to participate Need for inclusion
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28 Social Factors Communication Name-dropping Etiquette and protocol
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29 Environmental Factors Negotiator’s place, neutral place, property owner’s place Physical arrangements and comforts Temporal
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30 Gender Differences (1) Men want to prioritize; women want to empathize Men want to solve problems; women want to discuss them Women notice subtleties; men are more oblivious
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31 Gender Differences (2) Men tend to hold their emotions; women tend to express them Men feel bad when they don’t solve problems; women feel bad when relationships don’t succeed Men and women have different body language
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32 Culture (1)
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33 Culture (2)
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34 Negotiation Model
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35 Day One Recap Distinguished between integrative and bargaining negotiations Articulated the basic concepts in the funnel technique to integrative negotiations Exhibited interpersonal communication skills of successful negotiators
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36 Day Two Discuss and employ characteristics of successful bargaining negotiations. Understand tough tactics and manipulative ploys and negative outcomes and learn ways to counter or use them to advantage in bargaining negotiations.
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37 Bargaining Process (1) Opening moves Concessions Cooperation Toughness
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38 Retreat Superordinate Goals Threats Promises Bluffs Bargaining Process (2)
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39 Separate people from problems No counter attacks Timing Redirect to “interests’ People orientation Be objective Initial position Fair decision-making Close or BATNA Approach (1)
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40 Approach (2) Interests The MTA’s interests (problems or issues that are function of the MTA’s needs, desires, concerns or fears) are: Mr. La Clair’s interests (problems or issues that are function of Mr. La Clair’s needs, desires, concerns or fears) are: Other interested parties and their interests are: Objective evaluation criteria: Examples of objective evaluation criteria (e.g., market value, professional or moral standards, impact on schedule, etc.) are:
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41 Approach (3) Fair processes for decision-making Fair processes for decision-making (e.g., reciprocity, concession, neutral third party) are: BATNA (Best Alternative To a Negotiated Agreement) The MTA’s BATNA is: Mr. La Clair’s BATNA may be:
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42 Tough Tactics Promises and Threats Negative Outcomes
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43 Impasse, Stalemate and Deadlock An impasse is a point in the negotiation when neither side is capable of willing or is willing to give in. A stalemate occurs when both sides are still talking but seem unable to make any progress toward a solution. A deadlock is the point in the negotiation when lack of progress has frustrated both sides so much that they see no point in continuing.
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44 Manipulative Ploys Highballing Red herring Fake Authority Raising the Ante Good guy/Bad guy
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45 Why…? A failure to learn A failure to practice A failure to prepare A failure to self improve A failure to care
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46 Objectives Now, you should be able to... Distinguish between integrative and bargaining negotiations Articulate the basic concepts in the funnel technique to integrative negotiations Discuss and employ characteristics of successful bargaining negotiations
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47 Objectives Now, you should be able to... Exhibit interpersonal communication skills of successful negotiators Understand tough tactics and manipulative ploys and negative outcomes and learn ways to counter or use them to advantage in bargaining negotiations
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48 Thank you. 205-PT – Revision 3 – 06.25.06.INT
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