Negotiations in Tough Environments (Inter-Organisational Negotiation)

Group	Teacher	Department	Language
Year 1	Steven Guest	Dirección de Personas y Organización	ENG

COURSE CONTRIBUTION TO PROGRAM

Highly competitive environments often lead to exceptionally tough negotiations. As managers we will spend an enormous part of our time trying to negotiate deals and terms with other companies and clients that form part of our business network. Dealing with suppliers and outside stakeholders is an opportunity for hard bargainers to win value at the expense of third parties. However, it can also create impasse in negotiations.

1. You have to negotiate with a difficult customer known for their tough bargaining stance and getting their own way in commercial deals. Do you play along with them or go head-to-head?

2. A client demands a discount because they have found, they say, a cheaper supplier. Should you appease them?

3. You have been told to negotiate the acquisition of another firm. How should you approach the deal?

4. You have to renew a deal with a supplier. The market is going flat and you need to seal an agreement as soon as possible, says your boss. What tactics should you emply?

The Department of People Management and Organisation at ESADE offers this a highly practical Negotiation skills course on the Masters programme which is specifically aimed at deal making and negotiating with clients and suppliers. The course involves simulations around the sorts of situations that have been outlined above and these will be carried out in class in all the sessions. The course is particularly focused on how to negotiate when dealing with external stakeholders to your organisation.

Key words: value creation and sharing value; dealing with difficult tactics and difficult people; communicating; asserting and empathising; external negotiations; ethics; reconciling ¿red¿ and ¿blue¿ approaches

The course aims to work on these key management competences required for good negotiators, especially negotiation theory, values, and competences.

Values are key to the reputations we build for ourselves and these reputations reflect how people perceive you. If you have a reputation for being an open problem solver or a strident antagonist, then this will affect the way people deal with you. So the course aims to reflect on how we want to be seen by others.

Students will work on the following competencies:
Emotional self-awareness, understanding how their feelings affect their behaviour in negotiations;
Self-confidence, building self assurance in legal negotiations and the wider negotiations frame,
Achievement orientation, thinking about their performance improvement objectives and anticipating problems;
Emotional self-control and holding back on personal needs or desires for the benefit of organizational, family, or group needs, managing impulses and dealing calmly with stress.
Flexibility. changing your behaviour to fit the situation and situational needs. Empathy. understanding others.
Assertiveness: getting across what you want in a non-aggressive way.
Influence, persuasively engagingly and convincing others by appealing to their self-interest.
Conflict management, surfacing conflict, acknowledging the feelings and views of all sides, talking about and de-escalating conflicts, communicating to those involved,

Course Learning Objectives

Long-term business relationships require win-win outcomes yet in daily business, we all know the negotiator has to achieve the best results for his or her team. This course helps students focus on what game to play in inter-organisational bargaining and what sort of opponent they face across the table with a view to finding the balance between these objectives we develop the principled negotiation model based on Fisher and Ury's work and the more practical commercial negotiation model of Gavin Kennedy.

The seminar is highly interactive and all participants are involved in practical exercises, feedback and interpretation of the positions taken, the negotiable issues and the importance of the interests lying behind these.

A major objective of this seminar is to give students more self-confidence with respect to their negotiation skills. This workshop helps students develop an analytical understanding of negotiations and the management of inter-organisational conflicts so they can become more effective. The aim of effective negotiation is to create maximum value in the deal making process and we role play cases that show how this can be achieved.

CONTENT

1. Topic 1: Distributive Negotiations Students apply a toolkit to negotiate a two party commercial scenario involving 1 variable, namely price. This type of negotiation is known as distributive bargaining
2. Topic 2: Integrative Negotiations Students are faced with more complex negotiations involving a variety of variables which need to be traded offering the opportunity for value creation.
3. Topic 3. Highly-complex Integrative Negotiations Students face the complexity of uncertainty and the role of contignecy as a value creation tool in negotiation.
4. Topic 4. Multiparty Negotiation Students are exposed to multiple party scenarios dealing with multiple variables requiring new coalition building techniques.

1. Topic 1: Distributive Negotiations

Students apply a toolkit to negotiate a two party commercial scenario involving 1 variable, namely price. This type of negotiation is known as distributive bargaining

2. Topic 2: Integrative Negotiations

Students are faced with more complex negotiations involving a variety of variables which need to be traded offering the opportunity for value creation.

3. Topic 3. Highly-complex Integrative Negotiations

Students face the complexity of uncertainty and the role of contignecy as a value creation tool in negotiation.

4. Topic 4. Multiparty Negotiation

Students are exposed to multiple party scenarios dealing with multiple variables requiring new coalition building techniques.

Methodology

Highly practical, hands-on seminar that also involves key conceptual inputs to create a dynamic course of active learning.

Assessment criteria

Grading requires attendance at the seminars but this alone is not enough. The following criteria must be satisfied in order to gain credit:

- Active and appropriate contribution
- Readiness to share experience
- Showing understanding of the criteria for the relevant competencies
- Demonstrating awareness of the extent to which you command the indicators for the competences required or improve if it is felt you do not yet command them

At Esade, skills seminars require that students attend the majority of the time.
Otherwise, evaluation will be based on the following:

60% Journal
40% Participation and challenges (preparation and feedback and on-going involvement)

Students can only be assessed if they attend the established minimum number of classes. As a percentage, the minimum is 80% for students. If students do not meet this condition, their mark will be recorded as "NP". These percentages, however, do not include justified absences. Re-sits that have not achieved sufficient attendance can only achieve a capped pass mark in this subject as will those failing the assignments.

Bibliography

Bargaining with the Devil: When to Negotiate, When to Fight. Robert Mnookin Simon and Schuster 2010

I Is for Influence: The New and Surprising Science of Persuasion . Rob Yeung Mcmillan 2011

Influence: The Psychology of Persuasion Collins. B. Cialdini. Harper 2007.

Bargaining with the Devil. When to negotiate and when to fight. R Mnooking. Simon and Schuster paperbacks. 2010

Getting past no: Negotiating with difficult people
William L. Ury, Random House, 2001

Getting to Yes: Negotiating Agreement Without Giving In
Roger Fisher , William L. Ury, Bruce Patton
Penguin Books, 2011

The Power of a Positive No: Save The Deal Save The Relationship and Still Say No. William Ury, Bantam Books. 2007

Negotiation Analysis: The Science and Art of Collaborative Decision Making by Howard Raiffa, John Richardson and David Metcalfe. Belknap Press of Harvard University Press. 2007

Difficult Conversations: How to Discuss What Matters Most, Douglas Stone, Bruce Patton, Sheila Heen. Penguin 2010

Essentials of Negotiation by Roy J. Lewicki, Bruce Barry, David M. Saunders and John W. Minton ( 2003) Irwin McGraw-Hill

Negotiation: Readings, Excercises and Cases Lewicki S., Saunders, Minton & Barry. (McGraw 2002 4e)

Bargaining for Advantage: Negotiation Strategies for Reasonable People. Shell, G. Penguin Books, 2006.

Everything Is Negotiable: How to Get the Best Deal Every Time
Gavin Kennedy Random House (2010)

Type:	OPT	Curs:	1	Period:	S semester
ECTS Credits:	2 ECTS

Negotiations in Tough Environments (Inter-Organisational Negotiation) (2235.YR.007142.1)

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