Integrative Negotiation Flashcards
What is an Integrative Negotiation?
Also known as interest-based bargaining
- mutual benefit
- value creating
- builds long-term solution
What is the main focus of integrative bargaining?
- Highlight commonalities
- Address needs and interests
- commit to meeting the needs of all parties
- exchange of information
- invent alternatives
What is a Negotiator’s Dilemma?
- whether to value claim or create
Value claimers; little to no concessions, biding high, and intimidating
Value creator: pursuing a join negotiation through collective problem solving
Framing and Facilitating
- the wording of the issue matters!
- use more collaborative words to describe the process
- context + process
Context
- create an information flow
- understand the needs and objectives of the other side: kelly’s dilemma of trust and honesty
- emphasize commonalities: meta goals
- search for solutions that are beneficial to both sides
- firm on primary and flexible on others
Process
- fully understand the situation
- generate alternatives
3.MESO - Understand the other side’s constraints
- Demand = Opportunity
- Contingency Contract
- Never stop Negotiating
Define and fully understand the situation
Different types of interests may be in the room
1. Substantive interests: focal issues intrinsic or instrumental
2. Process: what kind of negotiation people want
3. Relationship: Intrinsic (pleasure) vs instrumental (gain)
Ask why they want what they want
Generate Alternative Solutions
- Logrolling: trading issues
- Expanding the resources (alternatives)
- Bridging: Invention of new alternatives, underlying interest
- non-specific compensation: making both parties happy
- cost-cutting: reducing the cost of the opposition
MESO
- Provide multiple simultaneous offers
- shows that you are flexible
- build a package
What are the issues with MESO?
- hard to come up with real-time
- hard to replicate in real life
key: preparation
How to construct MESO?
- Pick a constant variable across all your option
- understand the values of your offer
- create 2-3 offers
Define and understand the other side’s constraints
- mitigate the other side’s constraints
- use outside forces
- our problem rather than your problem
define Interpret demand as an opportunity
Unreasonable demand? ask why
define Contingency contract
- adjust circumstances as they unfold
- exploit differences in risk tolerance (logrolling: package that recognizes different risks)
- exploit differences in time preference (long-term vs short-term rewards)
- exploit differences in expectations (future likelihood of something happening)
define Never quit negotiating (Postsettlements -settlements)
- current agreement becomes BATNA
- reiterate if you are not satisfied
- dispute settlement
What is Return to Definitions?
when no option is suitable, the initial problem was defined poorly
Return to standards
the standards that were developed for the solution were not right. Thus, implementation can not happen
