INFLUENCE & NEGOTIATION

Transcription

1 INFLUENCE & NEGOTIATION 2 Competencies to be successful in LIFE

2 AH2 & Beyond Consulting can tailor this workshop to meet your needs and we pride ourselves on that flexibility. The next few slides is a very abbreviated version of the entire training, and again can be manipulated to fit your training needs. For more information and pricing options contact: Andre Harrell AH2 & Beyond Consulting aharrell2000@comcast.net andre.harrell@ah2andbeyond.com

3 This slide presentation was given by AH2 & Beyond Consulting and is for illustration purposes only to show how AH2 & Beyond Consulting can help train your sales organization the entire Art Of Influence & Negotiation program curriculum

4 Introduction As a professional, your ability to influence and negotiate both corporately and externally is critical to your business success. This skill is natural to some and more difficult for others. But like many soft skills, influence and negotiation takes time to master and requires continuous learning, implementation, and refinement by anyone who has customers.

5 The Roots Of Principled Negotiation Principled Negotiation was developed by the Harvard Negotiation Project, a research project at Harvard University that works on negotiation problems and produces improved methods of negotiation and mediation. It is part of the Program on Negotiation at Harvard Law School, a consortium of scholars and projects from Harvard, MIT, Simons, and Tufts working to improve the theory and practice of conflict resolution. These practices have been used successfully at the highest levels of international diplomacy as well as in common business practice. Principled Negotiation was chosen for this training because it is particularly effective in business negotiations. The Principled Negotiation method is further explained in the book Getting to Yes, by Roger Fisher and William Ury,

6 Presentation Objectives Distinguish Positional Bargaining from Principled Negotiation Apply Principled Negotiation techniques to ensure favorable negotiations Identify and overcome typical problem scenarios Create win/win outcomes and lasting relationships

7 Influence & Negotiation Competencies Persuades others to pursue positive actions and structures win-win agreements to achieve mutually agreed upon goals, maximize business results, and maintain strong relationships Can utilize resources (internal and external) that result in gaining support and overcoming resistance in order to meet customer needs Maintains and enhances positive relationships throughout the course of negotiations Strives for balance between customers and personal goals Maintains positive relationships at the conclusion of the negotiations Anticipates other s needs and reactions and takes appropriate steps to influence them Demonstrates respect for all parties and negotiates successfully, then follows through on all commitments Leads the initiative to develop new resources that create value in the negotiation process so that it s a win/win outcome

8 Positional Bargaining The problem of reaching agreement is that many negotiations bargain over positions. Each side takes a position, argues for their position, and makes concessions to reach a compromise. This method is called positional bargaining, but does not tend to produce very good agreements. Arguing about positions induces parties to lock themselves into positions that may result into less than optimal agreements. Arguing about positions can take longer than focusing on interests because both parties may try to make several offers and counter-offers before they reach an agreement that satisfies their interests. Arguing about positions may hurt an ongoing relationship between parties. Positional bargaining is even more difficult where there are more than two parties. Positional bargaining can be appropriate for short-term, one-time agreements. An example might be haggling over the price of a used table at a flea market. For longer-term relationships, positional bargaining can be destructive.

9 Positional Bargaining: Types There are two types of positional bargaining: hard ( don t give in ) and soft ( make concessions ). Characteristics and Outcomes Soft Approach Participants are friends Agreement is the goal Easily makes concessions Is soft of people and the problem Easily trusts others Changes positions easily Makes offers Discloses bottom line Accepts one-sided loss Searches for an acceptable answer Insists on agreement Avoids contests of will Yields to pressure Outcome: You may make too many concessions Hard Approach Participants are adversaries Victory is the goal Concessions are demanded as a condition of the relationship Negotiations are hard on the people and the problem Creates distrust of others Digs into your position Makes threats Demands one-sided gains as the price of agreement Search for single answer: one you will accept Insistent on your position Becomes a contest of will Pressure is applied Outcome: You may damage the relationship In long-term relationships, neither approach will allow you to reach an optimal agreement. Positional bargaining is short-sighted, inefficient, neglects parties interests, encourages stubbornness, and tends to harm the parties relationship.

10 6 Techniques For Managing Emotion 1. Recognize and understand your own emotions as well as your customer s. 2. Determine the source of the feelings. 3. Talk about feelings--yours and your customer s. 4. Acknowledge your customer s feelings as legitimate. 5. Do not react emotionally to emotional outbursts. 6. Use symbolic gestures.

11 4 Methods To Minimizing Communication Problems 1. Engage in active listening. The goal of active listening is to understand your customer as well as you understand yourself. 2. Speak directly to your customer. This is not considered appropriate in some cultures, but when permitted, it helps to increase understanding. 3. Speak about yourself, not about your customer. Describe your own feelings and perceptions, rather than focusing on your customer s motives, misdeeds, or failing. 4. Speak for a purpose. Too much communication can be counter-productive.

12 Focus On Interests.NOT Positions Negotiators often define what they want in all-or-nothing terms, take overly simple views of the problem, and seek solutions that meet their positions one hundred percent, without considering the views of the other side as important or legitimate. Arguing over positions can be very ineffective, and even destructive. Parties can get more and more entrenched in their positions, and positions will often move farther and farther apart, as disputants make ever-more extreme statements in an effort to counter their opponent s position. Negotiating about interests means negotiating about things that people really want and need, not what they say that want or need. Often, these are not the same. If the parties work to clarify WHY they want or do not want something, however, it often turns out that the parties' interests are, at least in part, compatible. This makes negotiating a solution--or at least a partial solution--much easier. Your position is something you have decided upon. Your interests are what caused you to decide.

13 What If Your Customer Won t Play?

14 What If They Won t Play? Strategy 1: Continue to Use Principled Negotiation Try ignoring their position and concentrate on merits. This method can be contagious and they may let you change the game without realizing it. Strategy 2: Use Negotiation Jujitsu Turn their attacks against them to move them toward principled negotiation. Rather than responding to force, let it come to you and them work on the underlying interest that is creating the force. Attacks usually consist of three maneuvers: Asserting their position forcefully Attacking your ideas Attacking you

15 What If They Won t Play? Using Negotiation Jujitsu Asserting their position forcefully Don t attack their position. Try to ask questions to better understand it. Their position must reflect a set of principles. If you probe to find out what their principles are, you can better understand how to reach agreement. Discuss what would happen if their ideas were adopted. Often people who want too much can appreciate the uncomfortable position their ideas will put everyone in. Attacking your ideas Don t defend your ideas. Invite criticism and advice. Instead of asking people to accept or reject an idea, ask them what is wrong with it? Examine their negative judgments to understand their underlying interests. Ask them what they would do if they were in your position? Attacking you If personally attacked, resist the temptation to defend yourself or launch a counter-attack. Let them blow off steam, tell them you understand what they are saying, and then recast an attack on you as an attack on the problem. We re both here to resolve the issue, we both have the same concerns, what do you suggest we do?

16 FREQUENTLY ASKED QUESTIONS 2 Competencies to be successful in LIFE

17 Does Positional Bargaining ever make sense? The short answer is yes, as long as one of several conditions applies: You don t plan on having an ongoing relationship with the other side, you don t want to spend the time arguing a point on its merits, and it can be a quick way to finalize a deal after you ve used Principled Negotiation to identify each other s interests, invented options for mutual gain and discussed relevant standards of fairness.

18 What if the customer believes in a different standard of fairness? Agreement on the best standard is not necessary. You and your customer may have two different standards in mind based on individual values, culture, experience, and perception. That s why it is best to use a standard that comes outside of the negotiation. People can argue on why a car should cost more money or less money. They often use to a separate standard like Kelly s Blue Book as a fair and impartial standard.

19 Should I negotiate even with unscrupulous or unethical? When does it make sense not to negotiate? However unsavory your customer, unless you have a better BATNA, the question you face is not whether to negotiate but how to negotiate. Negotiation does not mean giving in.

20 Thank You!