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Integrative Negotiation. Key factors Information Exchange Understand others’ needs, interests, positions Emphasize commonalities, minimize differences E.g., in goal Search for solutions that meet needs and objectives of both sides.

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integrative negotiation
Integrative Negotiation
  • Key factors
    • Information Exchange
    • Understand others’ needs, interests, positions
    • Emphasize commonalities, minimize differences
      • E.g., in goal
    • Search for solutions that meet needs and objectives of both sides
creating and claiming value and the parento efficient frontier
Creating and Claiming Value and the Parento Efficient Frontier

Increasing Value to Buyer

Claiming Value

Parento Efficient Frontier

Increasing Value to Seller

Lewicki, R.J., Barry, B., & Saunders, D.M. (2010). Negotiation, Sixth Edition. Figure 3.1 | Creating and Claiming Value and the Parento Efficient Frontier, pg. 76

slide3

Steps in Integration Process

    • Identify & Define problem
    • Identify needs/interests
    • Generate alternatives/solutions to problem
    • Evaluate alternatives and select best one
  • How is this different from Other types of negotiation?
slide4
Planning for Integrative Exercise
    • Before you meet with your partner, you should do some planning for your role…
    • Answer the handout provided
      • Note definitions of needs, priorities, interests, mix etc.
slide5
Steps in Integration Process
  • Identify & Define problem- together
    • Mutually acceptable definition
    • Make it simple (identify linked vs. separate issues)
    • Frame as goal & Outline addressable obstacles
    • Separate person from issues
    • Develop standards (see also planning chp.) to assess quality of agreement
slide6
Steps in Integration Process

II. Interests

  • Interests=why you want what you want (also, why you have the goal you
    • Vs positions=what you want
slide7
II. Types of Interests
  • Parties Can have more than one interest at a time
  • Parties can have differing interests
  • Interests are often based on values
    • E.g., recognition, safety etc.
  • Can change over time
  • Clarify own AND others’ interests
    • Ask why,
    • differentiate b/w intrinsic and instrumental
    • Need not be to one’s best advantage (objective vs. subjective)
slide11

Agreement Circumplex

Interest achievement

Costcut

Complex

Logroll

Position Accommodation

Position Achievement

Compromise

Expand

Superordinate

Simple

Compensate

Interest substitution

Person Based

Issue Based

slide12

Agreement Circumplex

Interest achievement

Costcut

Bridge

Complex

Logroll

Modify

Position Accommodation

Position Achievement

Compromise

Expand

Superordinate

Simple

Compensate

Interest substitution

Person Based

Issue Based

slide13

Agreement Circumplex

Interest achievement

Costcut

Bridge

Complex

Logroll

Modify

Position Accommodation

Position Achievement

Compromise

Expand

Superordinate

Simple

Compensate

Interest substitution

Person Based

Issue Based

slide14

III. Generate alternative solutions

  • Person vs. issue based
    • changing positions on issues, vs. changing the issues themselves
  • Achieve vs. substitute underlying interests
    • Achieve= bridging, cost cutting
    • substitute = non specific compensation, super-ordination
  • Position accommodation vs. achievement
  • Simple vs. complex
slide15
IV. Evaluate & Select Alternatives
  • Evaluate on Quality and Acceptability
  • Decide on objective criteria before negotiation, periodically verify priorities
  • Articulate your reason for interests
  • Be aware of, and discuss intangibles
  • Subgroups for complex issues
  • Cool off periods
  • Logrolling techniques
    • Risk preferences, expectation differences, time preferences
  • Soft bundling
  • Minimize formality via written agreements
slide16
Things that make integrative negotiation happen!
    • Sharing a common goal/objective
    • Problem solving ability
    • Valuing own & other’s position
    • Motivation to work together
    • Trust
    • Clear & Accurate communication
    • Understanding dynamics
slide17
Things that prevent integrative negotiation
    • Relationship history
    • Belief in resolving issue distributively
    • Mixed motive features