Session 3 2 Principled Negotiation Module 3 Persuasive

Session 3. 2: Principled Negotiation Module 3: Persuasive Communication & Resource Development Leadership and Management Course for ZHRC Coordinators and HTI Principals, and ZHRC/HTI Management Teams

Learning Objectives By the end of the session, participants will be able to: § Define negotiation. § Identify three criteria for assessing the effectiveness of a negotiation method. § Describe the four principles of negotiation on the merits. § Describe strategies for overcoming common barriers to principled negotiation. 2

What is negotiation? § A discussion intended to accomplish one or more of the following: • • Resolve disputes Reach an agreement on a course of action Bargain for individual or collective advantage Craft outcomes to satisfy various interests. § Negotiation can happen between two or more parties/sides. 3

When does negotiation happen? § Work Situations • • Project deliverables & deadlines Contracts Delegating work, assignments Employment offers § Personal situations • Marriage/relationships • Parenting • Day-to-day life § Government proceedings 4

Competition vs. Cooperation § Competition pits people against one another § Cooperation brings people together to reach shared goals Successful negotiation begins with cooperation. 5

Negotiation Philosophies § Win/Win • Cooperative, all parties feel good and are committed to the plan of action § Win/Lose • Authoritarian, adversarial, competitive § Lose/Win • Capitulation, no standards or expectations § Lose/Lose • Focused on the other party as “enemy” regardless of cost to self • No Deal • Agree to Disagree 6

Win/Win Approaches Win/Win is a frame of mind and heart that constantly seeks mutual benefit in all human interactions. - Steven R. Covey Win/Win is a belief that it’s not your way or my way; it’s a better way. - Steven R. Covey 7

Two Levels of Negotiation § Negotiation involves substance and process. § Parties must engage with both levels. § Substance • What are the issue(s) or problem(s) at hand? • What are the interests? § Process • • How do we choose to deal with the substance? What are the “rules of engagement”? What is the relationship between the parties? How will we communicate with each other? 8

Assessing Methods of Negotiation § There are many different approaches and methods to negotiation. § Any method of negotiation can be fairly judged by three criteria. Criteria for Effective Negotiation • Produces a Wise Agreement • • • If agreement is possible Is Efficient Improves the Relationship between parties • At minimum, does not damage relationship 9

What is a “Wise Agreement”? § Meets the legitimate interests of each side (to the extent possible) § Resolves conflicting agreements fairly § Is durable (long-lasting and sustainable) § Takes community interests into account 10

Phases of Negotiation § Analysis • Diagnose the problem, Consider the people, Identify interests, Consider objective agreement criteria § Planning • Prioritize your interests, Generate ideas for agreements/solutions, Create plans for addressing perception, emotions, & communication differences § Discussion • Acknowledge and address differences, challenges • Jointly develop mutually beneficial options 11

Positional Bargaining & Principled Negotiation § Most approaches to negotiation fall into one of these categories: • Positional Bargaining • Principled Negotiation § Each category is based on different “rules” for the game 12

Positional Bargaining § Hard Positional Bargaining • Contest of will, adversarial battle • Starts with an extreme position, and holds to it • Ignores underlying concerns/interests • Difficult, time-consuming • Hard on relationships – breeds anger, resentment § Soft Positional Bargaining • Rarely produces wise agreements • Usually quick; leaves very little time for thoughtful consideration • Emphasizes relationships, avoids confrontation • Vulnerable to hard bargaining 13

Principled Negotiation § Separate the people from the problem • Focus on the real issue(s) at hand, not character § Focus on interests, not positions • Consider needs and priorities of all parties § Create options for mutual gain • Common ground, win/win • Create several possibilities before selecting one § Use objective assessment criteria • Standards that all parties can buy into to define a good agreement 14

Principled Negotiation: Separate People from Problem § Parties to a negotiation are people first. § Don’t let your relationship with the person become entangled with the problem itself. § Consider the other party’s perspective. • How do they see the issues? • Do not blame them for the problem. § Acknowledge that emotion is present. • Express emotions, but avoid outbursts. § Communicate clearly, and listen actively to the other party. 15

Principled Negotiation: Focus on Interests, not positions § Interests define the problem. • The problem is usually not conflicting positions, but is the conflict between the needs, desires, concerns, and fears of each side. § Identify all parties’ interests. • Ask “why? ” and “why not? ” • Most parties have many interests. • Don’t assume the other side shares your interests. § Discuss interests with all parties present. • Explain your interests clearly. Listen to theirs. • Focus on future solutions, not on past events. • Remain open to proposals and ideas. 16

Principled Negotiation: Create Options for Mutual Gain § Consider many ideas before agreeing to one. • There is no single answer! § Invent options now, evaluate and decide later. • Hold creative, joint brainstorming sessions § Broaden your options. • Consider partial solutions. Refine and improve ideas. • Only evaluate after many ideas are proposed. § Aim for shared goals, common interests, and mutual benefit. § Make their decision easy. • Try to appeal to the other side with your solutions. 17

Principled Negotiation: Use Objective Criteria § Use legitimate and practical criteria. • Professional standards, scientific findings, legal precedents, etc. § Approach each issue as a shared search for objective criteria. • Explore the other party’s reasoning. § Keep an open mind. • Reconsider your position, when reasonable. § Do not give in to pressure, threats, or bribes. 18

Aim for Win/Win Solutions § See the problem from another point of view. § Identify key issues and concerns. § Determine what makes a fully acceptable solution. • Mutually beneficial § Identify options to achieve those results. 19

Preparing for a Substantive Negotiation § Select the team. • Who should be at the table? • Strive for the right mix of expertise, experience, relationships, skills, and authority § Develop your team. • Minimize internal conflict prior to negotiating. • Clarify roles, responsibilities, decision-making protocols, and lines of communication. § Jointly set goals & process with all parties. • Set goals for relationship, substance, & agreement. • Agree on objective assessment criteria. 20

Know Your BATNA § BATNA: Best Alternative to a Negotiated Agreement § You should not decide to accept a negotiated agreement unless you know your alternative(s). § Your BATNA sets a standard that protects you from: § Accepting terms that are unfavourable The reason negotiate is to produce § Rejecting termsyou it would be in your interest to accept. something better than the results you can obtain without negotiating. - Roger Fisher & William Ury 21

Determining Your BATNA 1. Create a list of actions you can take if no agreement is reached. 2. Review the list, and refine promising ideas into practical options. 3. Tentatively select the option that seems best. This is your BATNA. § Keep your BATNA in mind during the negotiation process. 22

Overcoming Barriers § Power Dynamics • Concentrate on BATNA § Refusing Principled Negotiation • Stick to technique, focus on problem, Use 3 rd party § Using “Dirty Tricks” • Establish procedural rules, raise the issue § When the people are the problem • Build a working relationship independent of agreement/disagreement § Differences in Culture, Gender, Personality, etc. • Listen actively, avoid assumptions, be sensitive 23

Practicing Principled Negotiation § Start small. • Experiment in low-risk situations. § Make an investment in improving your skills. • Remember to focus on long-term potential. § Review your performance. • Self-evaluate your performance. • What worked? What didn’t? What could you have done differently? § Prepare and plan ahead! • Allow enough time. • Explore interests, facts, arguments, etc. 24

Activity: Principled Negotiation Scenario § You serve on a task force at a health training institution. § The task force must agree on one Tsch 5, 000 capital improvement project. § Use the principled negotiation method to discuss interests and reach a shared solution. Principled Negotiation Method • • Separate the people from problem. Focus on interests, not positions. Generate options before settling on an agreement. Insist that agreement be based on objective criteria. 25

Key Points § Successful negotiation begins with cooperation. § Negotiations are concerned with substance and process. § Effective negotiation produces wise agreements in an efficient manner, and does not damage a relationship. § Principled negotiation separates people from problems, focuses on interests, strives for mutual benefit, and uses objective assessment criteria. 26