1. Negotiation Seminar - page 1 NEGOTIATION SEMINAR - NCMA Sally Cunningham Dave Pronchick March 14, 2012

2. Negotiation Seminar - page 2 TODAY’S TOPICS - SALLY -8-STEP APPROACH FOR COMPLEX NEGOTIATIONS -SIMPLE APPROACH FOR ONE-TIME SHORT TERM NEGOTIATIONS

3. Negotiation Seminar - page 3 1.PREPARE 2.ARGUE 3.SIGNAL 4.PROPOSE 5.PACKAGE 6.BARGAIN 7.CLOSE 8.AGREE 8 STEP APPROACH FOR COMPLEX NEGOTIATIONS

4. Negotiation Seminar - page 4 1. PREPARE A.ESTABLISH OBJECTIVES -MINIMUM (MUST) -TARGET (INTEND) -MAXIMUM (LIKE) B.GATHER INFO ABOUT OTHER PARTY C.FACT V. JUDGMENT

5. Negotiation Seminar - page 5 2.ARGUE A.DON’T INTERRUPT OTHER SIDE – LISTEN B.DON’T TRY TO SCORE POINTS C.USE A CONSTRUCTIVE RESPONSE

6. Negotiation Seminar - page 6 3.SIGNAL A.WATCH FOR CLUES, E.G., MUST, LIKE, ETC. B.LISTEN MORE THAN TALK

7. Negotiation Seminar - page 7 4.PROPOSE A.PROPOSE INSTEAD OF ARGUING B.BEGINNING – USE TENTATIVE NON- COMMITTAL PROPOSALS C.USE ADJOURNMENTS TO CONSIDER PROPOSALS

8. Negotiation Seminar - page 8 5.PACKAGE THINK CREATIVELY; TRADE-OFF

9. Negotiation Seminar - page 9 6.BARGAIN A.USE IF-THEN WORDS B.MAKE EVERYTHING CONDITIONAL C.LINK ISSUES TO PREVENT PIECEMEAL PICKING OFF

10. Negotiation Seminar - page 10 7.CLOSE A.TIMING – NOT TOO EARLY B.MEET OPPONENTS NEEDS C.USUALLY CONCESSION CLOSE D.ALWAYS LEAVE A LITTLE MORE ROOM

11. Negotiation Seminar - page 11 8.AGREE A.SUMMARIZE B.NO MISUNDERSTANDINGS

12. Negotiation Seminar - page 12 SIMPLE APPROACH FOR ONE TIME SHORT NEGOTIATIONS A DIAGNOSTIC CHECKLIST 7 AREAS 1.ALTERNATIVES WHAT IS OUR BATNA? CAN WE IMPROVE IT? CAN WE LEGITIMATELY WORSEN OPPOSITIONS?

13. Negotiation Seminar - page 13 DIAGNOSTIC CHECKLIST (Continued) 2.INTERESTS OURS? THEIRS? WHAT IS THEIR CURRENT PERCEIVED CHOICE? ARE WE GIVING THEM A PROBLEM OR AN ANSWER?

14. Negotiation Seminar - page 14 DIAGNOSTIC CHECKLIST (Continued) 3.OPTIONS CAN WE INVENT MORE POSSIBLE AGREEMENTS? GOOD FOR BOTH? CAN WE CHANGE THEIR CHOICE? 4.LEGITIMACY ARE WE USING OBJECTIVE CRITERIA? WILL THE CRITERIA APPEAL TO THE OTHER SIDE?

15. Negotiation Seminar - page 15 DIAGNOSTIC CHECKLIST (Continued) 5.COMMUNICATION ARE WE LISTENING? OPEN TO PERSUASION? DO THEY KNOW IT? 6.RELATIONSHIP CAN WE IMPROVE THE INTERACTION? MORE CONCERNED/SOFT ON THE PEOPLE? MORE RIGOROUS/HARDER ON THE PROBLEM?

16. Negotiation Seminar - page 16 DIAGNOSTIC CHECKLIST (Continued) 7.COMMITMENTS WHAT REALISTIC COMMITMENTS COME NEXT? ARE THEY “YES-ABLE”? ARE THEY COMPLIANCE PRONE?

17. Negotiation Seminar - page 17 NEGOTIATION – A GOOD OUTCOME 1.IS IT BETTER THAN OUR BATNA? (BEST ALTERNATIVE TO A NEGOTIATED AGREEMENT) 2.DOES IT SATISFY OUR INTERESTS AS WELL AS THEIRS? 3.IS IT A NO-WASTE SOLUTION; BEST OF MANY OPTIONS? 4.IS IT LEGITIMATE FOR ALL? NO ONE IS SEVERELY DISADVANTAGED

18. Negotiation Seminar - page 18 Review of 4 Seminal Works Preparation Bad Traits Conclusion Today’s Topics - Dave

19. Negotiation Seminar - page 19 Don’t be Nice; Separate People from Problem Mutual Gain Options Use Objective Criteria Countering Dirty Tricks Getting to Yes, Fister & Ury 1983 Bestseller, Harvard

20. Negotiation Seminar - page 20 Barriers and Breakthroughs Preparation the Key Build Golden Bridges Turn Adversaries into Partners Getting Past No Ury 1991

21. Negotiation Seminar - page 21 Critical elements – Time, Information, Power Questioning, Listening and Nonverbal Behavior Counteragents, Styles and Preparation 101 Tactics – “Ways to Win” - These Boots are Made for Walking - Feel, Felt, Found The Only Negotiation Guide You Will Ever Need Stark & Flaherty 2003

22. Negotiation Seminar - page 22 Displaying Confidence Prepare, Probe, Propose Achieve Win-Win Participate, Engage and Personalize The Power of Nice Shapiro & Jankowski 1998

23. Negotiation Seminar - page 23 W – 5 W’s H – Hypothesize A – Answer T – Tell Me More Probe – WHAT?

24. Negotiation Seminar - page 24 Show Me How Who Says Restatement Parry - Counters

25. Negotiation Seminar - page 25 Precedents Alternatives Interests Deadlines Strengths/Weaknesses Walk Away Point Strategy for Team Preparation the Key

26. Negotiation Seminar - page 26 Anxious Addicted Apathetic Aristocratic Amiable Traits of Lousy Negotiators

27. Negotiation Seminar - page 27 Practice and Preparation the Keys - Dry runs / Murder Boards - Anticipate Problems and/or Concerns Listen - Drill Conclusion

28. Negotiation Seminar - page 28 LAST THOUGHT “ A readiness to make concessions is a sign of strength, not weakness… In negotiations we are…seeking to give all the chance to begin again. The rigid will have a tough time. The flexible, those who are ready to make principled compromises, end up being the victors.” Desmond Tutu