NEGOTIATION

Negotiation involves the parties in conflict trying to allocate resources to each other to resolve the conflict. Third-party negotiation involves using a neutral party that is not involved in the conflict. A mediator does not force the parties to accept a resolution. An arbitrator can impose a solution that the parties are bound to accept.

Distributive negotiation and integrative bargaining

1. Distributive negotiation – the parties compete to divide up a "fixed- pie" of resources among themselves.

2. Integrative bargaining – the parties try to create a win-win situation in which all the parties gain.

Strategies to encourage integrative bargaining

1. Emphasizing superordinate goals – goals that are common to all parties in conflict.

2. Focus on the problem, not the people – the parties attack each other instead of trying to resolve the conflict.

3. Focusing on interests, not demands – demands are what a person wants, while interests are why that person wants them.

4. Creating new options for joint gain – the parties create new alternative solutions.

5. Focusing on what is fair – trying to distribute outcomes based on the meaningful contributions made by each party.

Assignment:

What are your favorite strategies to negotiation that were listed above?

On which of them could you improve in your leadership skills?

Source Quoted:

http://highered.mcgraw-hill.com/sites/0072860820/student_view0/chap…
Jones, G. R., George, J. M., and Hill, C. W.L. (2006). Contemporary management. 4th Ed. Boston: Irwin. ISBN: 0073049212.