Negotiation concerned in their own outcomes despite the

Negotiation can be identified as a method or approach
used to resolve the differences faced by people. It is a process with the
intention of reaching an agreement with the involvement of at least two parties
(Trajkovi? and Nikoli?, 2014). Weingart et al. (1990) states that negotiation
strategy is the set of target oriented behaviors used by people in order to
attempt to reach an agreement. As stated by Åge et al. (2017) negotiations has
been identified as a decision making process which is inter-personal where at
least two parties representing different interests at any rate attempt to
arrive at a joint agreement. Jagodzinska (2016) brings the cause for
negotiations through his definition. Accordingly negotiation is defined as a
formalized process between two parties contending for limited resources.
Moreover it is stated that the ‘System of Negotiation’ is formed by three
components. 1. Determinants of negotiation: two parties, conflicting needs,
pursuit for agreement, 2. Object of negotiation (the differentiator): most
often limited resources, 3. Negotiation approach: reason vs. emotion. Trajkovi?
and Nikoli? (2014) depicts that negotiation process is an effective method of
resolving conflicts. Negotiation is a compromise between the ideal outcomes and
achievable outcomes of a certain situation, and the process of negotiation of
communication between two or more parties who are looking forward to institute
a new relationship. Another description depicts
negotiation as a method exercised willingly for resolving conflicts or
contradictions or divide and distribute resources among two or more parties.
Communications occur between the parties in order to offer suggestions and
counter suggestions. Each side works its own strategies and methods in order to
grasp the maximum results from the situation (Zohar, 2015).

 

 

 

 

Objectives
of Negotiation

 

Negotiation was started to be recognized as an
important field of study since the publication ‘A behavioral theory of labor
relations’ by Walton and McKersie (1965). The book explains two main strategies
associated with negotiations namely distributive strategy and integrative
strategy (Brett and Thompson, 2016). A negotiation can be identified as
distributive when the negotiators are primarily concerned in their own outcomes
despite the outcomes of all other parties. 
On the other hand integrative negotiations represent a situation where
the outcomes satisfies both the parties concerned (Thompson et al., 2010). As
stated in the article Anderson (1992), one of the principal enticements for
negotiating is the hunt of material, substantive outcomes: the raise, the
promotion, or any other materialistic outcome. However the current and desired
relationship between the concerned negotiating parties is a vital and decisive
context for any negotiating session. It is important to analyze and evaluate
the impact of their respective negotiation strategies on the relationship that
currently exist between the parties, before rushing to safeguard the best
possible substantive outcome. Understandably respective levels of power and
conflict weigh heavily in this assessment. Furthermore as stated in the study
Thompson et al. (2010), the initial focus with regards to negotiations had
primarily been focused heavily on economic outcomes. However at recent times
the scope of negotiation outcomes has widened to take subjective outcomes into
account. While rationally negotiation behavior is paralleled with economic gain
maximization, some have argued that it is similarly important to reflect social
or psychological effects. Furthermore, Brett and Thompson (2016) depicts that,
social interactions take place with social objectives hence Messick and
McClintock (1968) cited in Brett and Thompson (2016) explains three social
motives that replicate the importance placed by people on their own versus
joint gains in socially interdependent communications such as negotiations.
Pro-social negotiators act with the intention of maximizing outcomes for own self
and others; pro-self negotiators represent individualistic motives by trying to
maximize outcomes for own self; and pro-self negotiators with competitive
motives try to maximize the difference between own and others. The BATNA of a
negotiator provides the primary indication of the relative power of a certain
negotiator. The concept of BATNA was formally introduced by Fisher and Ury in
1981. BATNA indicates the point of walking away for a negotiator from the
negotiation table. This explains that the negotiators are ready to accept any
set of terms that are superior to their BATNA and to reject outcomes that are
worse than their BATNA (Thompson et al., 2010). Accordingly regardless of the
objectives of the respective parties BATNA represents a point of substantial
importance in any negotiation. It explains the value threshold that should be
exceeded in order to form an agreement. Therefore establishing the BATNA is
important for any party before entering into a negotiation hence it provides an
indication for either party what lowest gain to accept.

 

Types
of Negotiation

 

Negotiation
types and models can be divided according to the situation. (1) One time
negotiation: this represents a situation where the negotiation is single time
and unprecedented. This type of negotiation offers maximum success in minimum
time and yields predictable results in which one party wins and the other party
loses. Total attention is at successful resolution of the issue at hand without
any further relation of parties in future. (2) Continuous negotiations: this
type of negotiations are done in the framework of ongoing relationships. It is
dependent on the experience and nature of former relationships between the
parties. These type of negotiations involve each side’s prospects for the
future with the emotional involvement gathered over the time period. Even if no
agreement is reached there is a possibility of such event in future. (3) Direct
negotiation: this represent a situation where connection between the parties
exist in terms of personal and direct contact. (4) Indirect negotiation:
mediators or representatives will be present for this type of negotiation to
take place. A shortcoming of this type of negotiation is that the interest of
mediators can be different from the interests of the parties concerned (Zohar,
2015). It is important to understand that the objectives and concern for future
relationship with the other party will differ from the negotiation type. The
parties engaged in one time negotiation may try to derive the maximum out of
the negotiation while providing minimum concern towards the relationship with
the other party while the continuous negotiations may concern the other way
around.

 

 

 

 

 

 

 

The
Negotiation Process

 

The
negotiation process comprises of four steps. Preparation: this is a vital part
where before the negotiation, the parties define what they want to achieve
through the negotiation, Exchange of information: this includes learning new
information for the further course of negotiations, Contracting: exchange of
resources which determines the power of the parties involved, Conclusion: parties
are contracted to accept rights and obligations (Trajkovi? and Nikoli?, 2014). Emotions,
motivations, cognitions and behaviors of negotiators are involved in the
process of negotiation. Intrapersonal processes such as mood, psychological
power and interpersonal processes such as emotions impact the negotiation
process (Thompson et al., 2010). After the negotiation process the parties can
review and reflect regarding the most influential factors established, what
created unexpected situations and how to proceed next time (Zohar, 2015). The
success of the negotiation process relies actually on the success of communication
between the negotiators (Maria, 2014). The study Ahammad et al. (2016) which
provides empirical analysis of the factors influencing negotiation on a cross
cultural basis affirms that communication is of dire importance for the success
of negotiation process. Therefore it is important to establish a smooth
negotiation process in order to achieve effective outcomes from a negotiation
process.

 

 

Tactics and Strategies used in Negotiation

 

A strategy of negotiation is a key
element for any experienced negotiator in the process of negotiation. The
strategy represents a proactive approach to the negotiations and the approach
is targeted to influence the course of negotiations (Trajkovi? and Nikoli?,
2014). The study McKersie (2012) provides an analysis of the tactics and
negotiations strategies used by a school dean in complex environments. The
study claims that the suitable negotiation strategy can change depending on the
role of the “other party”. Furthermore the study depicts that the students
often want to occupy in formal negotiations at times use forced power to bring
an officer in to a negotiation. The author claims that a suitable way of handling
the situation is to keep such negotiations informal to a possible extent and to
use consultation as a way of averting formal negotiations.

 

Skills used in Negotiation

 

As stated in the study Zohar (2015) it
is important to listen to the other party during a negotiation. This involves
gaining an insight into thee thoughts, needs and feelings of other party
through actively listening and concentrating. The study affirms that one is
less expected to express unplanned and unintended nonverbal signals by
listening actively and not preparing an immediate mental reply. The paper Van
Hasselt et al. (2008) provides an insight into negotiation skills used in
hostage and crisis situations in USA. It states how negotiation skills are used
in order resolve a situation when a person is being held captive against his or
her will by another party. It confirms the importance of active listening
skills for the negotiator as he or she proceeds to develop her relationship
with the subject.

 

As stated in Zohar (2015) it is crucial
to establish a high degree of trust at the beginning of a negotiation in order
to build a relationship. It is difficult to negotiate without trust for the
parties involved and trust is an essential factor in order to persuade
successfully. Relationship building involves opposing parties not been treated
as an object to be pushed but rather be treated with respect, and as a person
to be persuaded. Gaining a reputation as a negotiator with honesty and
trustworthiness will make it more likely for negotiators to achieve the
objectives through negotiations. Unless there will be a loss in the credibility
of the negotiator resulting in fewer opportunities for successful negotiations
concluding with reaching the expected outcomes. Reputation is crucial in the
process of establishing effective negotiation relationships (Parke, 2013). The
paper Kelley (2016) based on negotiation skills used by hostage negotiators
claims that it is important to create a relationship on trust and collaboration
with the involvement of small deals in order to succeed in such situations.
However the study Sinaceur (2010) depicts a completely different viewpoint
stating that trust over suspicion will hinder information search by the parties
hence making the negotiation process ineffective. Therefore when analyzing the
importance placed on trust and relationship, it can be analyzed that higher
level of trust in a negotiation can lead to a better relationship with the
party in future prospects but in turn provide space for exploitation through limited
information hence restricting value creation in negotiation. Parke (2013)
claims that gathering information is an important skill in negotiation.
Obtaining as much relevant information as possible throughout the negotiation
process through inoffensive and mild questions will keep the other party off
guard and usually lead the other party to support the negotiator rather than
compete with him/ her in the negotiation. Questions have the ability to lead
the other party to adopt the unstated viewpoint as their own and it can be used
as a non-confrontational way of making a point. In the negotiation process it
is very valuable to be informed with regards to the preferences of the other
party. This can lead the negotiator to make an offer which is marginally better
than the expectation of the other party. Being informed about other party’s
sources of power, specifically their alternatives, can be stated as a key to
negotiating in a successful manner. Accordingly information with regards to the
culture and background, relevant market information, insights into the opposing
party’s strengths and weaknesses prove to be very valuable in achieving desired
outcomes from a negotiation. Such information pertaining to the other party can
be used as leverage by the negotiator in achieving his or her objectives
throughout the negotiation process (Galinsky et al., 2017). Adaptability is another
crucial skill when concerning the process of negotiations. An adaptable
negotiator will learn which sets of skills are most effective by watching
others in different contexts (social learning). Such a negotiator will take
prompts and signs from the context and adapt his or her skill set by
counterpartying in order to promote more effective negotiation. This is also
termed as social adaptation. Accordingly he or she will involve both
distributive and integrative skills while interpreting the most suited set of
skills for the specific negotiation context (Chapman et al., 2017).
Negotiations are uncertain situations and represents the possibility of
unexpected circumstances. Therefore negotiators must have the ability to adapt
in effective ways in order to face the conditions. Dealing with unexpected
situations, responding in the moment, and effective adaptation to sudden
changes can be stated as a skill set of an improvisational artist which are
crucial for negotiators to practice (Balachandra et al., 2005). The study
McKersie (2012) carried out based on the experience of tenure of eight years of
a past dean of New York State School exerts that persistence is a key element
in carrying out negotiations with students and an administration personnel. The
study claims persistence as one of the most effective forcing tactics.

 

 

Conclusion

 

Many
negotiation writers affirm that everyone is a negotiator and engages in
negotiating something almost every day in their personal or professional lives (Chapman
et al., 2017). Negotiation is an activity used by people in everyday life when
communicating with other people. It is often done unconsciously in certain
situations. Negotiation has been used for various purposes by mankind
throughout the history. It is the way in which people resolve their differences
and problems faced by them (Trajkovi? and Nikoli?, 2014). Accordingly
negotiation is used by people at any point of time if they are unable to reach
their goals without the assistance and cooperation of other parties.
Accordingly negotiation is a universal social activity. A diverse set of fields
impact and inspire research on negotiation including organizational behavior,
sociology, management, social psychology, political science and mathematics
(Thompson et al., 2010). Negotiations can be conducted on all topics, except
ethics and religion. Negotiations take place daily, whether on a conscious or
subconscious level. The risk in conducting negotiations is that there is no
guarantee of successful results and often the hopes of the parties influence
their tactics and the outcome of the negotiations (Zohar, 2015).

 

Based
on the skills used in negotiation context, it can be identified that
establishing trust, information gathering, being proactive and adaptability are
recognized as some of the key skills for any negotiator to practice in
different contexts of negotiation. The literature suggests that regardless of
the context it is important to establish trust in the opposing party in order
to build a relationship throughout the negotiation process. The trust between
the parties exhibit the willingness of the parties to negotiate with the other
party in the future (Thompson et al., 2010). Information gathering and being
well informed with regards to the opposing party can hold considerable leverage
when achieving the desired outcomes from the negotiation process. Adaptability
is also a key skill for any negotiator in order to use different skill sets at
different negotiation contexts. It is used as a key factor in both personal and
professional negotiation contexts in order to reach desired outcomes.

 

The
article Zohar (2015) provides examples of how leaders have used negotiation at
times. It states that in the middle of the Cold War President Kennedy suggested
that negotiation was an intelligent option rather than hostility, and that
civil resolution cannot be depicted as a sign of weakness, but must be
illustrated as a candor of effort.

 

It
can be identified that the tactics and strategies used in negotiations and
specific skills used in negotiation process have very limited variations in
different contexts. Regardless of personal or professional contexts, such
strategies, tactics and skills depict a high degree of uniformity through the
negotiation process. Hence negotiation cannot be reserved as a process for only
professional individuals, but a process used by almost everyone daily.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Notes

having a plan negotiations and take
principled bargaining position. – 3

Strategy
is the manner of conscious behavior, including long term planning in view of
perceiving and evaluating

conditions, the situation and the power
of the opponent. – 9