NEGOTIATION TECHNIQUES

References:
1.

Negotiation Strategy and Techniques Bill Scott

2.

Getting to Yes Roger Fisher & William Ury

Negotiation
A form of interaction between two parties with
the objective to reach to an agreement

Types of
NEGOTIATION

HARD

SOFT
-----------------------------------------------------------------------------------H---A--R--D--------------------------POSITIONAL BARGAINING

I WIN

BOTH WIN

I WIN!
The objective:
I get what I want, the rest does not matter
Long term relationship is not important
Examples of I WIN negotiation:

Bully your opponent (Gertak Sambal)

The Eagle and The Dove

(Elang dan Merpati)

I am OK, you are not OK

Time Pressure!

Examples of I WIN negotiation:

Bully your opponent
The Eagle and the Dove
I am ok, you are not ok
Time pressure
Pretending
Asking why, what if
Reciprocation

WIN WIN NEGOTIATION

It is also called: NEGOTIATION ON THE MERITS
The objective is to reach to an agreement which makes
both parties happy and is done in the most efficient
way
Focus on the subject matter, not positions
Both parties are problem solvers

WHAT SHOULD WE ACHIEVE?

A wise decision resulting to a good
agreement between both parties
It is done in an efficient manner
It does not affect the relationship

THE METHOD
Separate people from the issue
Focus on each others interest not each others position
Search and explore any possibilities which can help lead
into a solution that makes both party happy
Hold on to objective criteria

WHAT DO WE NEED TO PREPARE?

1. Who are we dealing with?

SELF
ACTUALIZATION

RECOGNITION
SOCIAL NEEDS
SECURITY NEEDS
PHYSICAL NEEDS

Hierarchy of Human Needs by Maslow

The preparation
2. What is the subject matter?
3. What is your target?
4. When and where?
5. What is your strategy?
6. Equip yourself with sufficient references/information
7. Be prepared physically and mentally

CREATE A CONDUSIVE ATMOSPHERE

Find a cozy place and a convenient time
Create a friendly atmosphere, full of team-work spirit
Establish mutual trust
I am Ok and you are Ok
Fit your physical appearance to the situation

PHASES IN NEGOTIATION
Exploration
State your offer
Bargaining
Finishing
Confirmation

Phases in Negotiation: EXPLORATION

1. Collect all data/information you need
2. Find out and agree on each partys objectives
3. Put yourself in your opponents shoes
4. Put your opponent into your shoes
5. Create understanding
6. Avoid conflicts

GOOD COMMUNICATION
What is said may not be heard
What is heard may not be understood
What is understood may not be accepted
The speaker may not know what have been heard,
understood or accepted by the audience
Paraphrase!

Phases in Negotiation: YOUR OFFER

Do you state your offer as high as possible, or straight to
the point?

Phases in Negotiation: YOUR OFFER

Support your offer/call with solid arguments

Avoid giving impression that you just want to win alone

Explain why our offer/call is fair

Phases in Negotiation: BARGAINING

Do not easily discount your proposal without clear and
sensible explanation
Say NO with a smile

Think and explain why your offer is good/beneficial for

your opponent

Phases in Negotiation: BARGAINING

Listen to the counter offer of your opponent
Avoid confrontation, look for meeting points
If it is difficult to find meeting points, try and look for a
creative solution (think outside the box)

EXERCISE
Connect these 9 dots with 4 straight lines. Do not lift your
pen from the paper/screen.

PHASES IN NEGOTIATION
Exploration
State your offer
Bargaining
Finishing
Confirmation

THINGS TO CONSIDER WHEN FORMULATING

A NEGOTIATION STRATEGY
Importance of the relationship
Strength, position and character of our opponent
Strength, position and character of ourselves
How important is the negotiation
Time frame
What options do we have?
Who will do the negotiation?

OTHER TIPS FROM THE SYNECTICS

A section of the Synectics problem solving technique:
Ask your opponent to look for and point out what are the positive
things that he can see from your proposal

Ask him to evaluate areas that need to be improved

Find the best solution together, how to improve or make
the proposal better.

The End