1. 1 Course 200: Principles of Real Estate Negotiation Welcome to the International Right of Way Association’s © 2014 International Right of Way Association - All Rights Reserved 209.PPT.R4.2014.09.01.0.0

2. Introductions Who we are… What we do… Where we do it… How long we’ve been doing it… Our goals for the course... 2

3. 3 © 2014 International Right of Way Association - All Rights Reserved Objectives At the conclusion of the course, you will be able to... Identify, understand, and apply the principles associated with effective attitudinal, integrative, bargaining, and intra-agency negotiation. Articulate the conditions necessary for negotiations to proceed and the primary roles of the agent. Discuss the characteristics of successful negotiators. Exhibit the communication skills of successful negotiators. Explain and implement a plan for effective negotiations. Identify and analyze variables that may influence the negotiation process. Identify alternative strategies to pursue when negotiations fail.

4. 4 © 2014 International Right of Way Association - All Rights Reserved Housekeeping

5. The schedule will proceed as follows: Day One 8:00 - 8:30 Introductions, etc. 8:30 - 9:00 Overview 9:00 - 10:00 Negotiation Principles 10:15 - 11:45 Characteristics of the Successful Negotiator 12:45 - 2:15 Communication Skills 2:30 - 4:45 Attitudinal and Integrative Negotiations Day Two 8:00 - 8:30 Recap Day One 8:30 - 10:00 Bargaining and Intra-agency Negotiations 10:15 - 11:45 A Plan 12:45 - 1:15 Variables that May Influence Negotiations 1:15 - 2:15 When Negotiations Fail 2:30 - 3:30 Summary and Review 4:00 - 5:00 Exam Schedule 5

6. 6 © 2014 International Right of Way Association - All Rights Reserved Negotiation … the process by which two or more people resolve differences to reach a mutually acceptable agreement.

7. 7 © 2014 International Right of Way Association - All Rights Reserved Types of Negotiation IntegrativeBargainingAttitudinalIntra-agency

8. 8 © 2014 International Right of Way Association - All Rights Reserved Integrative “Win-Win”Mutually beneficial outcomesInquiryCollaborative

9. 9 © 2014 International Right of Way Association - All Rights Reserved The Pie

10. 10 © 2014 International Right of Way Association - All Rights Reserved Bargaining Compromise Advocates positions “Zero-Sum” “Win-Lose”

11. 11 Attitudinal Trust Common ground Shared frame of reference

12. 12 © 2014 International Right of Way Association - All Rights Reserved Intra-agency Intra-organization

13. 13 Conditions Necessary... Issues must be negotiable Parties must be willing to negotiate Parties must trust each other

14. 14 © 2014 International Right of Way Association - All Rights Reserved Trust Placing confidence in another, based on that person’s character, ability, strength, or truthfulness

15. 15 Characteristics(1) Credibility CourageEmpathyIntegrity/EthicsPatience

16. 16 Power Legitimate RewardCoercive ReverentCharismatic ExpertiseSituation Information

17. 17 Characteristics(2) CredibilityCourageEmpathyIntegrity/EthicsPatience

18. 18 Questions “Would you like a drink?” “My spouse doesn’t need to meet with us. Let’s just get started. OK?” “What happens if I don’t sign?”

19. 19 Communication Model Message Send Interference Received Encoded Decoded Transmitted

20. 20 Communication Skills (1) ListeningRelationship buildingAsking good questionsMaintaining relationshipsFeedbackManaging impressionsMotivation

21. 21 PrimaryClosed-endedOpen-ended Completion probes Clarity probesChannel probes Irrelevant answer probes Reactive probes Non-response probes Questions

22. 22 Maintaining Relationships Shared controlEqualitySimilaritiesTrust“Liking”OpennessInterdependenceSelf-worthNo jargon

23. 23 Communication Skills (2) ListeningRelationship buildingAsking good questionsMaintaining relationshipsFeedback

24. 24 Maslow

25. 25 Attitudinal Trust Common ground Shared frame of reference

26. 26 Attitudinal Tips Communicate Stage setting Inquiry rather than advocacy

27. 27 Listening Strategies Focus Track Reflect Clarity Diplomacy Redirect

28. 28 Integrative Collaborative Inquiry Mutually beneficial outcomes “Win-Win”

29. 29 Integrative I. Information Getting II. Information Giving III. Problem Census IV. Problem Solving V. Closing IV. Problem Solving

30. Today, we… Articulated some of the conditions necessary for negotiations to proceed and the primary roles of the agent. Discussed the characteristics of successful negotiators. Looked at communication skills of successful negotiators. Examined attitudinal and integrative negotiation, including the Funnel Technique. 30 Day One Recap

31. Day Two Today, we will... Examine bargaining and intra-agency negotiation. Look at a negotiation plan. Analyze variables that influence the negotiation process. Identify alternate strategies when negotiations fail. 31

32. 32 © 2014 International Right of Way Association - All Rights Reserved Bargaining Compromise Advocates positions “Zero-Sum” “Win-Lose”

33. 33 © 2014 International Right of Way Association - All Rights Reserved Bargaining Tips Separate people from problemsQuestion tactics not characterAvoid diversionsFocus on interestsMutual gainBrainstormObjective criteria (Facts)Set standardsBroaden range

34. 34 © 2014 International Right of Way Association - All Rights Reserved Intra-agency

35. 35 © 2014 International Right of Way Association - All Rights Reserved A Plan (1) BATNA Remember the “rules” Incorporate listening and conflict management skills Optimize strengths and opportunities and minimize weaknesses and threats Develop an understanding of the owner Analyze the project’s impacts

36. 36 © 2014 International Right of Way Association - All Rights Reserved A Plan (2) BATNA Remember the “rules” Incorporate listening and conflict management skills Optimize strengths and opportunities and minimize weaknesses and threats Develop an understanding of the owner Analyze the project’s impacts

37. 37 © 2014 International Right of Way Association - All Rights Reserved A Plan (3) BATNA Remember the “rules” Incorporate listening and conflict management skills Optimize strengths and opportunities and minimize weaknesses and threats Develop an understanding of the owner Analyze the project’s impacts

38. 38 © 2014 International Right of Way Association - All Rights Reserved Listening People oriented listenersAction oriented listenersContent oriented listenersTime oriented listeners

39. 39 © 2014 International Right of Way Association - All Rights Reserved Conflict Management Styles AvoidanceAccommodationCompetitionCompromiseIntegration

40. 40 © 2014 International Right of Way Association - All Rights Reserved A Plan (4) BATNA Remember the “rules” Incorporate listening and conflict management skills Optimize strengths and opportunities and minimize weaknesses and threats Develop an understanding of the owner Analyze the project’s impacts

41. 41 © 2014 International Right of Way Association - All Rights Reserved A Plan (5) BATNA Remember the “rules” Incorporate listening and conflict management skills Optimize strengths and opportunities and minimize weaknesses and threats Develop an understanding of the owner Analyze the project’s impacts

42. 42 © 2014 International Right of Way Association - All Rights Reserved A Plan (6) BATNA Remember the “rules” Incorporate listening and conflict management skills Optimize strengths and opportunities and minimize weaknesses and threats Develop an understanding of the owner Analyze the project’s impacts

43. 43 © 2014 International Right of Way Association - All Rights Reserved A Plan (7) BATNA Remember the “rules” Incorporate listening and conflict management skills Optimize strengths and opportunities and minimize weaknesses and threats Develop an understanding of the owner Analyze the project’s impacts

44. 44 © 2014 International Right of Way Association - All Rights Reserved Problem Solving or Bargaining? Acquisition type (fee, fee without access, permanent easement, temporary easement) Property owner’s “style” Project funding source The magnitude of the offer The project schedule Other variables

45. 45 © 2014 International Right of Way Association - All Rights Reserved BATNAs Condemnation preparationMediationAdvisory arbitrationFact findingMed-ArbBinding arbitration

46. Objectives Now you should be able to... Identify, understand, and apply the principles associated with effective attitudinal, integrative, bargaining, and intra-agency negotiation. Articulate the conditions necessary for negotiations to proceed and the primary roles of the agent. Discuss the characteristics of successful negotiators. Exhibit the communication skills of successful negotiators. Explain and implement a plan for effective negotiations. Identify and analyze variables that may influence the negotiation process. Identify alternative strategies to pursue when negotiations fail. 46

47. 47 Thank you! 209.PPT.R4.2014.09.01.0.0