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ENG 333 Communication for Science and Research

 

Jamie Larsen, Instructor

Professional Negotiation

Professional negotiation can involve a lot of different aspects. You may be negotiating a salary or promotion with your manager, or delegation of resources for your team with other managers, or contract issues with vendors or customers. With all negotiations, you must consider your audience's interests first even though this may seem counter-productive on the surface. You always want to strive for a win-win solution.

Let's say you are negotiating with your manager for a salary increase. You need to understand what is motivating your manager first. Just as your manager will evaluate your performance on the job, he or she is evaluated by their manager. Their evaluation includes how successfully they develop and reward good performers. If you can make your manager's job easier, create a strong case with evidence and facts about why you deserve a salary increase, then you have a better chance of winning.

One piece of advice I can offer from my years as an employee, and manager, with IBM, is to "care, but not that much." By this, I mean before you step into any negotiation, take the emotion out of it. Often, it is easier to negotiate a tough contract deal then it is to negotiate bed time with your kids. Why? Because emotions come into play.

The following is a brief outline of a presentation I used to give to new hires at IBM about professional negotiation:

The Problem

  • People stake out initial positions and negotiate from these fixed positions
  • The problem is that the position becomes more important than the object of negotiation -- resolution
  • Suggestion 1 - Think of where you want to get rather than where you are starting from
  • Suggestion 2 - Think of what your negotiation partner wants to get too (it's OK if you both win!)

The Method

  • Separate the people from the problem
  • Focus on interests, not positions
  • Invent options for mutual gain (e.g., perhaps take a smaller salary increase at the present time for a guarantee of a faster time frame for your next promotion)
  • Insist on using objective criteria (always ask your manager "What do you need to see" and write down what you need to do to achieve the next promotion)

Obervation 1

Key to negotiation powerfully is to know your BATNA (Best Alternative to Negotiated Agreement) before you enter into any negotiation.

Example: Buying a car. If you can live with your existing car or are willing to try and sell the car yourself, you go into negotiations with a new car dealer with a powerful BATNA. If the dealer refuses to negotiate in good faith, you can walk. He loses a sale and has to carry the inventory longer. You still have a car and can try to sell it by yourself. However, if your muffler falls out in the parking lot as you drive up, your BATNA is probably significantly reduced - Ha!

To quantify the above example, consider the following:

What you want to pay Dealer's lowest price Most you will pay for the car Dealer's asking price
$14,000 $14,500 $15,500 $16,000

If you are a good negotiator, and have done your homework, then you will probably pay as close to $14,500 as your can persuasively get.

Observation 2

Never forget that you are negotiating with another person. That person has needs, requirements, objectives, pride, and feelings. A successful negotiator will address all of these.

A famous piece of negotiation that is well documented was the Gaza strip negotiation in the 1970's between Egypt's President Muhammad Anwar al-Sadat and Israel's Prime Minister Menachem Begin. You might want to read about a brief account of this negotiation and be sure to scroll to the bottom of the page to see how the solution was a win-win for both countries.

Negotiation: What if they won't play?

Negotiation jujitsu
  • Don't attack their position, look behind it
  • Don't defend your ideas, invite criticism and advice
  • Recast an attack on you as an attack on the problem
  • Ask questions and pause
What if they use dirty tricks?
  • Recognize the tactic
  • Raise the issue explicitly
  • Question the tactic's legtimacy and desirability

Don't be a victim!