Negotiation is a part of life as every agreement between two or more parties often involves striking a bargain and agreeing to terms. Negotiation as an art is thus compulsory to anyone who seeks to tame the business jungle. According to Lande (2017), within the different definitions of negotiation, it is identified as being interpersonal, which means it involves two or more persons (Korobkin, 2014), it involves matters of common concern, and that negotiators, although they have differing interests, they are still interdependent and need each other to achieve their goals. De Moor and Weigand (2004) state that within business negotiations, the end goal may either be dispute resolution, or to bolster voluntary cooperation between businesses that ends in a mutual exchange of money, goods or services. As a result, business negotiation requires a skilful artistry that is based on negotiation principles. Based on the principles of negotiation learnt in the chapter, as well as other credible sources, this essay will outline some of the theories, principles and processes outlined as a means of mastering the art of negotiation.
Negotiation Model
The negotiation process is very delicate, often involving the collection of data, the analysis of such data, its presentation to the negotiator and opponents, and coming to an agreement (Lande, 2017). The negotiation process can thus fail at any of these given stages if there is laxity by personnel or firms invested in the negotiations. Therefore, understanding how mastering business negotiations take place calls for an appreciation of the guiding processes and principles of negotiations. Nonetheless, the classification of negotiation models differs greatly with different authors.
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The different negotiation models determine the negotiation process taken by the negotiator. There are two major models identified by De Moor and Weigand (2004); the descriptive model, and the prescriptive model. The descriptive model attempts to give descriptions of the actual occurrences expected with the negotiations, while prescriptive negotiations only give a prescription of what should be done to achieve any desired results (De Moor and Weigand, 2004). The prescriptive model, as presented by Howard Raiffa in his 1982 book The Art and Science of Negotiation as quoted by Tsay and Bazerman (2009) in their article, is a more decision-analytic approach, which means that the prescription is based on deep analysis of the options available to come up with the final decision (Tsay and Bazerman, 2009). However, though the use of a prescriptive model is highly regarded for its ability to offer prescriptive remedies within negotiation, Raiffa also called for the use of descriptive research in assessing the likely behavior of the counterparts.
On the other hand, Zohar (2015) identifies the different negotiation models as one time negotiations, continuous negotiations, direct negotiations and indirect negotiations, with each name indicating the model’s characteristics.
Finally, Lande (2017) recognizes two negotiation models; an integrative model and a distributive model. An integrative model, also called an interest based model, is one where the involved parties take on a cooperative stance, while the distributive model is called the positional or competitive model due to the hard stances taken by the competitors (Lande, 2017).
Negotiation Principles and Processes
After identifying the types of negotiations to be carried out, the first step is usually to collect information on the negotiation variables. This stage ensures that negotiators enter into the negotiation process well prepared. The structure of the negotiation process often follows the motivations, goals and interests of the teams negotiating (Lande, 2017). For the sake of relevant information, mixed models of negotiations may be suitable for the process. For example, as earlier stated, Raiffa (1982) had proposed the use of a prescriptive model of negotiations since it is more flexible and applicable in real life situations. Nevertheless, the postulation that negotiators always act rationally is wrong as per Raiffa, and thus, a solid description of the negotiators is necessary through the use of descriptive research (Tsay and Bazerman, 2009).
The data collection stage also allows for the creation of a comradely relationship with the negotiator since negotiators are the intermediaries between the two negotiating parties. The next point is to determine the bargaining zone, or the alternatives to the negotiated agreement. In identifying the bargaining zone, there are three alternatives. First, there are the alternatives to a negotiated agreement (ATNA), which is simply considering potential offers in comparison to possible alternatives (Lande, 2017). Often, however, negotiators have to bargain for the best alternative to a negotiated agreement (BATNA) (Korobkin, 2014: Sebenius, 2017). In the case of BATNAs, the negotiator then must be certain as to what the best alternatives may be. In cases where the negotiators are uncertain what would happen in case they fail to reach an agreement, then they can make comparisons of the offers on the table compared to the most likely alternative to a negotiated agreement (MLATNA) (Lande, 2017). Clearly, the process of identifying the ATNA, BATNA and MLATNA is of great consequence to the outcome of a negotiation since it allows for a comparison of the offers by the groups, to the alternatives available.
The next step in the negotiation process is to follow the rules (Zohar, 2015). All negotiations should be guided by ethical decision making, which characterizes all forms of professionalism. Therefore, according to Zohar (2015), for businesses and negotiators to become good at the negotiation game, they need to be able to identify and review their moral map prior to any negotiation engagement to ensure that there is a guide for the entire negotiation process.
As part of improving the negotiation skill, Zohar further proposes among other things that negotiators and the competitors practice open listening, strategic planning, the use of open ended questions and tactical maneuvers. Failure to listen effectively can easily derail any other negotiating skills by the negotiator or the opponents. The art of active listening calls for expertise in discussing as well as conferring with the competitors, as opposed to bargaining against, as this is the best way to truly understand what the other party is saying (Zohar, 2015). Strategic planning facilitates negotiators in using the power of purpose for the preparation, planning and practice within any negotiations.
Finally, negotiations must be centered on good communication. Part of communication is signals, which span from body signals, to planning signals such as having deadlines to the negotiations. Ensuring the correct signals are sent to all teams on the negotiating table facilitates a smoother and faster negotiation process (Zohar, 2015). Good communication also means knowing what to divulge, and when to divulge it; it is unwise to reveal one’s target in the first stages of negotiation (Korobkin, 2014).
In conclusion, negotiation is indeed an art that requires expertise to fulfill successfully. Being an art, then negotiation is something that can be learnt. Part of learning negotiating skill includes knowing the negotiation models available and choosing the best for each case. Having good negotiation skills also calls for proactive planning, including through activities such as descriptive research of the competitors and negotiator to ensure that the team enters into negotiations with all the necessary information at hand. These are just some of the many principles and processes required to master the art of negotiation.
References
De Moor, A., & Weigand, H. (2004). Business negotiation support: theory and practice. International Negotiation , 9 (1), 31-57.
Korobkin, R. (2014). Negotiation theory and strategy . New York: Wolters Kluwer Law & Business.
Lande, J. (2017). Taming the Jungle of Negotiation Theories. University of Missouri School of Law.
Sebenius, J. K. (2017). BATNAs in Negotiation: Common Errors and Three Kinds of “No”. Negotiation Journal , 33 (2), 89-99.
Tsay, C. J., & Bazerman, M. H. (2009). A decision‐making perspective to negotiation: A review of the past and a look to the future. Negotiation Journal , 25 (4), 467-480.
Zohar, I. (2015). “The Art of Negotiation” Leadership Skills Required for Negotiation in Time of Crisis. Procedia-Social and Behavioral Sciences , 209 , 540-548.
