About Negotiations

About Negotiations

1. Negotiation

Negotiation is discussion between two or more parties to reach a common goal and agreement.  Negotiation should not take sides, but should consider both parties. It is a process by which compromise or agreement is reached while avoiding argument and dispute.

2. What are the negotiation style? Explain!

There is five negotiation style:

Competing

Competitors who are assertive but uncooperative treat the negotiation as a competition. Competitors use their power as a means of achieving victory, and are less concerned with maintaining the relationship between the negotiators.

They may be individualists, narrowly focused on achieving their own goals, but at their worst, competitors try to dominate their opponents. When competitors stop focusing on themselves, they start comparing their outcomes to the other side, attempting to maximize the difference, rather than achieving their goals or claiming available value.

Accomodating

The Altruist is the opposite of the Competitor. Rather than looking out for their own interests, the altruist is concerned with how they can accommodate the other party. They are cooperative, but unassertive, leading to generosity and self-sacrifice. While very good effective in caring for relationships between parties, Altruists risk losing track of their own interests in an effort to please people.

Collaborating

The Problem-Solver tackles negotiations like an engineer. There are goals that both sides want to accomplish, and with the right plan it should be possible. These negotiators are clear about what they want, and not afraid to pursue it, but they also try to include the other party in the final plan.

Avoiding

Dodgers are neither assertive enough to pursue their own interests, nor cooperative enough to help others. The result is that nothing gets done and the conflict is avoided altogether. This could be done with a diplomatic sidestep, or by postponing an issue until a “better time”.

While there are times when delaying or avoiding can be strategically sound, avoiding conflict repeatedly often leads to greater conflict down the road. Left unchecked, avoidance can fester into passive-aggressive behavior as parties seek unilateral solutions.

Compromising

Compromisers fall in the middle of both axes and form a distinct style of their own. These Compromisers go into negotiations trying to quickly agree on a deal that is acceptable to both sides, which fosters ongoing trust between the parties. This mindset can balance amiability and with expedience, allows business to carry on indefinitely and unremarkably.

3. Explain the negotiation Process !

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A.      Preparation and Planning

Before the start of negations, one must be aware of the conflict, the history leading to the negotiation the people involved and their perception of the conflict expectations from the negotiations etc.

B.         Definition of Ground Rules

Once the planning and strategy are developed, one has to begin defining the ground rules and procedures with the other party over the negotiation itself that will do the negotiation. Where will it take place?

What time constraints, if any will apply? To what issues will negotiations be limited? Will there be a specific procedure to follow in an impasse is reached? During this phase, the parties will also exchange their initial proposals or demands.

C.·     Clarification and Justification

When initial positions have been exchanged both the parties will explain amplify, clarify, bolster and justify their original demands. This need not be confrontational.

Rather it is an opportunity for educating and informing each other on the issues why they are important and how each arrived at their initial demands.

This is the point where one party might want to provide the other party with any documentation that helps support its position.

D.      Bargaining and Problem Solving

The essence of the negotiation process is the actual give and take in trying to hash out an agreement, a proper bargain. It is here where concessions will undoubtedly need to be made by both parties.

E.       Closure and Implementation

The final step in the negotiation process is formalization the agreement that has been worked out and developing and procedures that are necessary for implementation and monitoring.

For major negotiations – this will require hammering out the specifics in a formal contract.

Negotiation Process has five stages. In all steps of a negotiation process, the involved parties bargain at a systematic way to decide how to allocate scarce resources and maintain each other’s interest.

4. The Characteristic of negotiation !

There are certain characteristics of the negotiation process. These are:

       

·                 There are a minimum of two parties present in any negotiation.

·                  Both the parties have pre-determined goals which they wish to achieve.

·                  There is a clash of pre-determined goals, that is, some of the pre-determined goals are not shared by both the parties.

·                  There is an expectation of outcome by both the parties in any negotiation.

·                  Both the parties believe the outcome of the negotiation to be satisfactory.

·                  Both parties are willing to compromise, that is, modify their position.

·                  The incompatibility of goals may make the modification of positions difficult.

·                  The parties understand the purpose of negotiation

5. Possitive and Negative

Negotiation positive effect has beneficial consequences as well. It increases satisfaction with achieved outcome and influences one's desire for future interactions. Negotiation can also preventing risk of misunderstanding between the parties. The positive effect aroused by reaching an agreement, which result in affective commitment that sets the stage for subsequent interactions.

Negotiation negative effect cause emotions between the two or more parties, when do negotiation, emotional control is very important if not done, negotiation will be fail.