Chapter 10

Phase 2: Determine Your BATNA

"best alternative to a negotiated agreement. important to helping you decide whether to accept an offer you receive during the negotiation. You need to know what your alternatives are. Your BATNA is an important indicator of how much power you have in the negotiation. Could you get a better outcome than the proposed deal? Your BATNA will help you reject an unfavorable deal. f the deal is better than another outcome you could get (that is, better than your BATNA), then you should accept it. BATNA—your Best Alternative To a Negotiated Agreement? The party with the best BATNA has the best negotiating position Once you've gotten a clear understanding of your own goals, investigate the person you'll be negotiating with. What does that person (or company) want? Put yourself in the other party's shoes. What alternatives could they have?

Create a Common Opposing Force

Group conflict within an organization can be mitigated by focusing attention on a common enemy such as the competition

Conflict management

refers to resolving disagreements effectively.

Accommodation

style is cooperative and unassertive. In this style, the person gives in to what the other side wants, even if it means giving up one's personal goals. People who use this style may fear speaking up for themselves or they may place a higher value on the relationship

Problem Solve

the individuals or groups in conflict are asked to focus on the problem, not on each other, and to uncover the root cause of the problem.

Arbitration

the parties submit the dispute to the third-party arbitrator. It is the arbitrator who makes the final decision The arbitrator is a neutral third party, but the decision made by the arbitrator is final (the decision is called the "award")

Letting Past Negative Outcomes Affect the Present

there is a tendency to let the past repeat itself those who had unsuccessful negations in the past had lower outcomes than those whose negotiations have worked in the past

Avoidance

uncooperative and unassertive. People exhibiting this style seek to avoid conflict altogether by denying that it is there.

Phase 3: Presentation

you assemble the information you've gathered in a way that supports your position. you can present facts that show what you've contributed to the organization in the past (or in a previous position), which in turn demonstrates your value.

Distributive Approach

,negotiators see the situation as a pie that they have to divide between them. Each tries to get more of the pie and "win" Focusing on a fixed pie is a common mistake in negotiation, because this view limits the creative solutions possible.

You Know It's Time for a Mediator When...

-The parties are unable to find a solution themselves. -Personal differences are standing in the way of a successful solution. -The parties have stopped talking with one another. -Obtaining a quick resolution is important

letting your ego get in the way

-Thinking only about yourself is a common mistake -Falling into the self serving bias -think why the other person would accept the deal

Positive outcomes (written)

1) Consideration of a broader range of ideas, resulting in a better, stronger idea Surfacing of assumptions that may be inaccurate Increased participation and creativity Clarification of individual views that build learning

Examples of negative outcome

1) Increased stress and anxiety among individuals, which decreases productivity and satisfaction 2) Feelings of being defeated and demeaned, which lowers individuals' morale and may increase turnover 3) A climate of mistrust, which hinders the teamwork and cooperation necessary to get work done

* What if you don't have enough conflict?

1) t may mean that people are silencing themselves and withholding their opinions. 2) within meaningful group discussions there are usually varying opinions about the best course of action. If people are suppressing their opinions, the final result may not be the best solution the disagreement healthy is to keep the discussion focused on the task, not the personalities.

How Can You Stimulate Conflict?

1)Encourage people to raise issues and disagree with you or the status quo without fear of reprisal. 2)Assign a devil's advocate to stimulate alternative viewpoints 3)Create a competition among teams, offering a bonus to the team that comes up with the best solution to a problem. 4)Build some ambiguity into the process.

*Mistakes

1)letting your ego get in the way 2)having unrealistic expectations 3)Failing to negotiate/ accepting the first offer 4)Getting Overly Emotional 5)Letting Past Negative Outcomes Affect the Present

When All Else Fails: Third-Party Negotiations

Alternative Dispute Resolution Mediation Arbitration

Phase 5: Closure

At the close of a negotiation, you and the other party have either come to an agreement on the terms, or one party has decided that the final offer is unacceptable and therefore must be walked away from.

Ways to Manage Conflict

Change the Structure Change the Composition of the Team Consider Majority Rule Create a Common Opposing Force Problem Solve Consider the Role of Mood Conflict-Handling Styles

Negotiation Strategies(WRITTEN QUESTION)

Distributive Approach Integrative Approach

* What if you don't have enough conflict? WRITTEN QUESTION

If conflict is too low, then performance is low. If conflict is too high, then performance also tends to be low Task conflict can be good in certain circumstances, such as in the early stages of decision making, because it stimulates creativity Personal conflicts, such as personal attacks, are never healthy because they cause stress and distress, which undermine performance. The worst cases of personal conflicts can lead to workplace bullying On the positive side, conflict can result in greater creativity or better decisions. As a result of a disagreement over a policy, a manager may learn from an employee that newer technologies help solve problems in an unanticipated new way.

Change the Composition of the Team

If the conflict is between team members, the easiest solution may be to change the composition of the team, separating the personalities that were at odds

Outcomes of Conflict

One of the most common outcomes of conflict is that it upsets parties in the short run On the positive side, conflict can result in greater creativity or better decisions. As a result of a disagreement over a policy, a manager may learn from an employee that newer technologies help solve problems in an unanticipated new way.

Causes of Conflict

Organizational Structure Limited Resources Task Interdependence Communication Problems Personality Differences

role ambiguity

Perhaps you've been given the task of finding a trainer for a company's business writing training program. You may feel unsure about what kind of person to hire—a well-known but expensive trainer or a local, unknown but low-priced trainer. If you haven't been given guidelines about what's expected, you may be wrestling with several options

Personality Differences

Personality differences among coworkers are common. By understanding some fundamental differences among the way people think and act, we can better understand how others see the world.

The Five Phases of Negotiation

Phase 1: Investigation Phase 2: Determine Your BATNA Phase 3: Presentation Phase 4: Bargaining Phase 5: Closure

Alternative Dispute Resolution

mediation, arbitration, and other ways of resolving conflicts with the help of a specially trained, neutral third party without the need for a formal trial or hearing

Consider the Role of Mood

Research shows that negotiators in positive moods tend to be more cooperative and less likely to engage in conflict as well as even come to agreements that are more advantageous to all parties.

Limited Resources

Resources such as money, time, and equipment are often scarce. Competition among people or departments for limited resources is a frequent cause for conflict.

Steps to Negotiating a Higher Salary

Step 1: Overcome your fear. Many people don't even begin a salary negotiation Step 2: Get the facts. Before you enter into the negotiation, do some background research. What are other companies paying people in your position? Step 3: Build your case. How important are your skills to the organization? How have you contributed? Be sure to focus on the contributions that your boss values most. Step 4: Know what you want. Set your target salary goal based on your research and the norms of what your organization will pay. Step 5: Begin assertively. Start the discussion on a strong but friendly tone. Step 6: Don't make the first offer. Let your boss name a specific offer Step 7: Listen more than talk. You will learn more by listening rather than talking. The more you listen, the better the boss will feel about yo

Arbitration-Mediation

The format of this conflict resolution approach is to have both sides formally make their cases before an arbitrator. The arbitrator then makes a decision and places it in a sealed envelope. Following this, the two parties work through mediation. If they are unable to reach an agreement on their own, the arbitration decisions become binding.

Conflict-Handling Styles

There are five common styles of handling conflicts. 1)Avoidance 2)Accommodation 3)Compromise 4)Competition 5)Collaboration

Change the Structure

When structure is a cause of dysfunctional conflict, structural change can be the solution to resolving the conflict

Is Conflict Always Bad?

a moderate amount of conflict can actually be a healthy (and necessary) part of organizational life In fact, lack of conflict may be an indicator that individuals do not care about their jobs or the organization, or do not feel comfortable enough with each other to bring up differences. it is important not to assume that an absence of conflict is a signal that the group is effective. To understand how to get to a positive level of conflict, we need to understand its root causes, consequences, and tools to help manage it

Conflict

a process that involves people disagreeing. Researchers have noted that conflict is like the common cold. Everyone knows what it is, but understanding its causes and how to treat it is much more challenging

Compromise

middle-ground style, in which individuals have some desire to express their own concerns and get their way but still respect the other person's goal each person sacrifices something valuable to them

Interpersonal Conflict

among individuals such as coworkers, a manager and an employee, or CEOs and their staff. Interpersonal conflict is an important source of stress. Competition could be a key reason behind interpersonal conflict Interpersonal conflict can also rise due to personality or values differences. one person's style may be to "go with the gut" on decisions, while another person wants to make decisions based on facts. Those differences will lead to conflict if the individuals reach different conclusions.

Mediation

an outside third party (the mediator) enters the situation with the goal of assisting the parties in reaching an agreement. The mediator can facilitate, suggest, and recommend The mediator works with both parties to reach a solution but does not represent either side. mediator's role is to help the parties share feelings, air and verify facts, exchange perceptions, and work toward agreements A mediator does not resolve the charge or impose a decision on the parties. Instead, the mediator helps the parties to agree on a mutually acceptable resolution. One of the advantages of mediation is that the mediator helps the parties design their own solutions, including resolving issues that are important to both parties

Getting Overly Emotional

anger hurts the mediation process facial expressions are universal across cultures

InTRApersonal conflict

arises within a person when you're uncertain about what is expected or wanted, or you have a sense of being inadequate to perform a task, you are experiencing intrapersonal conflict. when you're uncertain about what is expected or wanted, or you have a sense of being inadequate to perform a task, you are experiencing intrapersonal conflict A manager may want to oversee an employee's work, believing that such oversight is a necessary part of the job. The employee, on the other hand, may consider such extensive oversight to be micromanagement or evidence of a lack of trust - Role conflict: having two different job descriptions that seem mutually exclusive. This type of conflict can arise if you're the head of one team but also a member of another team

Competition

competing style want to reach their goal or get their solution adopted regardless of what others say or how they feel

Communication Problems

conflict arises simply out of a small, unintentional communication problem, such as lost e-mails or dealing with people who don't return phone calls. Giving feedback is also a case in which the best intentions can quickly escalate into a conflict situation. When communicating, focusing on behavior and its effects, rather than the person is one strategy that may prevent well-intentioned feedback from creating conflict.

Task Interdependence

conflict arises when two parties think that their goals are mutually exclusive. incompatible goals often arise because of the different ways department managers are compensated. For example, a sales manager's bonus may be tied to how many sales are made for the company. As a result, the individual might be tempted to offer customers "freebies" such as expedited delivery in order to make the sale. In contrast, a transportation manager's compensation may be based on how much money the company saves on transit. In this case, the goal might be to eliminate expedited delivery because it adds expense. The two will butt heads until the company resolves the conflict by changing the compensation scheme.

Intergroup conflict

conflict that takes place among different groups. Types of groups may include different departments or divisions in a company, and employee union and management, or competing companies that supply the same customers. Departments may conflict over budget allocations; unions and management may disagree over work rules; suppliers may conflict with each other on the quality of parts. Merging two groups together can lead to friction between the groups—especially if there are scarce resources to be divided among the group Intergroup conflict is often made even worse due to individual tendency for in-group bias,

Understanding Conflict

managing conflict and engaging in effective negotiation are both key for effective organizational behavior Conflicts range from minor annoyances to outright violence. One of the major ways to avoid conflicts escalating to these levels is through understanding the causes of conflict and developing methods for managing potential negative outcomes. Negotiation is one of the most effective ways to decrease conflict

Phase 4: Bargaining

each party discusses their goals and seeks to get an agreement A natural part of this process is making concessions, namely, giving up one thing to get something else in return concession is not a sign of weakness—parties expect to give up some of their goals. Rather, concessions demonstrate cooperativeness and help move the negotiation toward its conclusion. Concessions are often in the areas of money, time, resources, responsibilities, or autonomy. When negotiating for the purchase of products, for example, you might agree to pay a higher price in exchange for getting the products sooner One key to the bargaining phase is to ask questions. Don't simply take a statement such as "we can't do that" at face value.

having unrealistic expectations

establish goals big enough to include key interests of each party and resolve the specific impasse we are currently facing setting reasonable goals at the outset that adressess each parties concerns will decrease the tension in the room

Role conflict: another type of intrapersonal conflict

having two different job descriptions that seem mutually exclusive. This type of conflict can arise if you're the head of one team but also a member of another team

in-group bias

may be defined as a tendency for individuals to favor the group to which they belong The resulting "us versus them" mentality is often the reason behind organizational as well as international conflict.

Collaboration

high on both assertiveness and cooperation. This is a strategy to use for achieving the best outcome from conflict—both sides argue for their position, supporting it with facts and rationale while listening attentively to the other side. The objective is to find a win-win solution to the problem in which both parties get what they want. n the end, the employee may decide to pursue the degree while taking online classes, and the company may realize that paying for the employee's tuition is a worthwhile investment. This may be a win-win solution to the problem in which no one gives up what is personally important, and every party gains something from the exchange.

Organizational Structure

if a company uses a matrix structure as its organizational form, it will have decisional conflict built in, because the structure specifies that each manager report to two bosses.

Integrative Approach

in this approach, both parties look for ways to integrate their goals under a larger umbrella. That is, they look for ways to expand the pie, so that each party gets more. first step of the integrative approach is to enter the negotiation from a cooperative rather than an adversarial stance The second step is all about listening. Listening develops trust as each party learns what the other wants and everyone involved arrives at a mutual understanding Then, all parties can explore ways to achieve the individual goals. the general idea is, "If we put our heads together, we can find a solution that addresses everybody's needs.

Is Your Job at Risk for Workplace Violence?

increased risk for workplace violence if: 1) Dealing With People -Caring for others either emotionally or physically, such as at a nursing home. -Interacting with frustrated customers, such as with retail sales. -Supervising others, such as being a manager. -Denying requests others make of you, such as with customer service. 2)Being in High-Risk Situations -Dealing with valuables or exchanging money, such as in banking. -Handling weapons, such as in law enforcement. -Working with drugs, alcohol, or those under the influence of them, such as bartending. -Working nights or weekends, such as gas station attendants

Phase 1: Investigation

information gathering stage the first place to begin is with yourself: What are your goals for the negotiation? What do you want to achieve? What would you concede? What would you absolutely not concede? It's best to know what you want, so that in the heat of the moment you're able to make the best decision.