Welcome to the International Right of Way Association’s Course 205 Bargaining Negotiations

1

Welcome to the International Right of Way

Association’s

Course 205Bargaining Negotiations

205-PT – Revision 3 – 06.25.06.INT

2

Introductions

Who we are…What we do…

Where we do it…

How long we’ve been doing it…

Our goals for the course...

3

Objectives At the conclusion of the two days,

you will be able to...

• Distinguish between integrativeand bargaining negotiations

• Articulate the basic concepts inthe funnel technique to integrative negotiations

• Discuss and employ characteristicsof successful bargaining negotiations.

4

Objectives At the conclusion of the two days,

you will be able to...

• Exhibit interpersonal communicationskills 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.

5

Housekeeping

6

ScheduleDay One (1)

8:00 - 8:30 Introductions, Etc.

8:30 - 10:00 Negotiation

10:15 - 11:15 The Funnel Technique

11:15 - 11:45 Bargaining Negotiations

12:45 - 2:15 Intrapersonal Issues

2:30 - 4:00 Interpersonal Issues

4:00 - 4:45 A Negotiation Model

7

ScheduleDay Two (2)

8:00 - 8:30 Recap

8:30 - 9:00 Bargaining Process

9:00 - 11:45 Approach to Bargaining Negotiations

12:45 - 1:30 Tough Tactics

1:30 - 2:15 Manipulative Ploys

8

ScheduleDay 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

9

Negotiation

… the process by which twoor more people resolve

differences to reach a mutually acceptable agreement.

10

Types of Negotiations

Integrative

Bargaining

11

Integrative

“Win-Win”

Mutually beneficial outcomes

Inquiry

Collaborative

12

Bargaining

“Win-Lose”

“Zero-Sum”

Advocates positions

Compromise

13

Integrative v. BargainingIntegrative BargainingInquiry AdvocacyMutual Interests Individual PositionsCollaborative CompetitiveWin-Win Win-Lose Trust DistrustCooperative AdversarialWilling to change Unbendable“Soft ball” “Hard ball”Acceptance AgreementOpen Communications Restrictive

Communications

14

The Funnel Technique

I. Information Getting

II. Information Giving

III. Problem Census

IV. Problem Solving

V. Closing

15

Bargaining

“Win-Lose”

“Zero-Sum”

Advocates positions

Compromise

16

Transitioning to Bargaining

Specific discrepancy

High commitment

Highly informed

Intelligent

17

Price and… (1)

the best deal

the quality of solutions

the level of service

the terms

18

Price and… (2)

the project’s schedule

reputation

the agency’s entire staff

the negotiator

19

Inner Speech

Speed

Ellipsis

Synthesis

20

Strategies Look for inconsistencies

Monitor the owner’s speech

Make unexpected disclosures

Use balanced appeals

Use interpretive appeals

21

Reducing Defensiveness (1)

Linkages

Align

Determine needs

22

Maslow

23

Reducing Defensiveness (2)

Control the outcome

Read

24

Negotiating Drives

Competitive

Solutional

Personal

Organizational

Attitudinal

25

Physical Factors

Body Language

Attire

Territory and Personal Space

“Face”

Props

26

Emotional Factors (1)

Negotiator’s past experiences

Negotiator’s self-concept

Openness or willingnessto self disclose

Can-do attitude

27

Emotional Factors (2)

Property owner’spressure to conform

Need to participate

Need for inclusion

28

Social Factors

Communication

Name-dropping

Etiquette and protocol

29

Environmental Factors

Negotiator’s place, neutral place, property owner’s place

Physical arrangementsand comforts

Temporal

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

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

32

Culture (1)

33

Culture (2)

34

Negotiation Model

35

Day One Recap

• Distinguished between integrativeand bargaining negotiations

• Articulated the basic concepts inthe funnel technique to integrative negotiations

• Exhibited interpersonal communication skills of successful negotiators

36

Day Two

• Discuss and employ characteristicsof 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.

37

Bargaining Process (1)

Opening moves

Concessions

Cooperation

Toughness

38

RetreatSuperordinate Goals

ThreatsPromises

Bluffs

Bargaining Process (2)

39

Separate people from problemsNo counter attacks

TimingRedirect to “interests’

People orientationBe objective

Initial positionFair decision-making

Close or BATNA

Approach (1)

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:

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:

42

Tough Tactics

Promises and ThreatsNegative Outcomes

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.

44

Manipulative Ploys

Highballing

Red herring

Fake Authority

Raising the Ante

Good guy/Bad guy

45

Why…?

A failure to learn

A failure to practice

A failure to prepare

A failure to self improve

A failure to care

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

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

48

Thank you.

205-PT – Revision 3 – 06.25.06.INT