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Negotiation

The document discusses negotiation and leadership, highlighting their definitions, purposes, and importance. It emphasizes the flaws of traditional positional bargaining and introduces principled negotiation, which focuses on interests rather than positions to achieve mutually beneficial outcomes. The four principles of effective negotiation are outlined: separating people from the problem, focusing on interests, inventing options for mutual gain, and using objective criteria.

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Navya Arora
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4 views

Negotiation

The document discusses negotiation and leadership, highlighting their definitions, purposes, and importance. It emphasizes the flaws of traditional positional bargaining and introduces principled negotiation, which focuses on interests rather than positions to achieve mutually beneficial outcomes. The four principles of effective negotiation are outlined: separating people from the problem, focusing on interests, inventing options for mutual gain, and using objective criteria.

Uploaded by

Navya Arora
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
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NAME: NAVYA ARORA

COURSE: BCOM
SECTION: B
ROLL NO.: 22503069
SEM: 6
SUBJECT: SEC
TOPIC:
NEGOTIATION AND
LEADERSHIP
PROJECT
“SMART NEGOTIATION: GETTING THE
BEST DEAL WITHOUT CONFLICT”
INTRODUCTION
NEGOTIATION:
 Definition:
Negotiation is a process where two or more parties
discuss and exchange ideas, information, and
proposals to reach an agreement or resolve a conflict.
 Purpose:
The goal of negotiation is to find a solution that satisfies
the interests of all parties involved.
 Importance:

 Conflict Resolution: Negotiation helps to resolve


disagreements and find common ground.
 Building Relationships: Effective negotiation fosters
trust and strengthens relationships between parties.
 Achieving Goals: Negotiation allows parties to reach
agreements that help them achieve their objectives.
 Adaptability: Negotiation requires adaptability and
flexibility to accommodate different perspectives and
needs.

LEADERSHIP:
 Definition:
Leadership involves influencing and motivating others
to work towards a common goal.
 Purpose:
Leaders inspire and guide their teams, helping them to
achieve success and make a positive impact.
 Importancce:

 Motivation and Inspiration: Leaders motivate their team


members and inspire them to achieve their best.
 Decision-Making: Leaders make informed decisions that
guide the team towards success.
 Problem-Solving: Leaders help their teams identify and
solve problems effectively.
 Collaboration: Leaders foster a collaborative
environment where team members work together
effectively.

The Interplay of Negotiation and Leadership:


 Effective Leaders are Skilled Negotiators:
Leaders often need to negotiate with their teams,
stakeholders, and other parties to achieve their goals.
 Negotiation Skills Enhance Leadership:
Strong negotiation skills can help leaders build
relationships, resolve conflicts, and achieve their
objectives.
 Leadership Skills Facilitate Negotiation:
Leadership skills, such as communication, active
listening, and empathy, are essential for successful
negotiation.
 Negotiation and Leadership are Interdependent:
Both negotiation and leadership are essential for
achieving success in various aspects of life
UNIT-1
THE PROBLEM
This unit shows an example of this negotiating minuet is the
haggling that takes place between a customer and the
proprietor of a secondhand store where both of them
negotiate or bargain their price accordingly and reach at a
certain price with the agreement of both the individuals.
Any method of negotiation may be fairly judged by three
criteria:
 It should produce a wise agreement if agreement is
possible.
 It should be efficient.
 It should improve or at least not damage the
relationship between the parties. (A wise agreement
can be defined as one which meets the legitimate
interests of each side to the extent possible, resolves
conflicting interests fairly, is durable, and takes
community interests into accounts)

Key idea for this particular part of the book is:

Positional bargaining—where each side takes a fixed stance


—creates inefficiencies and conflicts, often leading to bad
agreements or no agreement at all.

Problems with Positional Bargaining:


1. Arguing over positions produce Unwise Agreements –
Stubbornness prevents creative solutions.
2. Arguing over positions is inefficient – Lengthy
arguments waste time.
3. Arguing over positions endangers an ongoing
relationship– Hard bargaining can lead to resentment.
4. When there are many parties, positional bargaining is
even worse- Although it is convenient to discuss
negotiation in terms of two persons, you and "the other
9 side," in fact, almost every negotiation involves more
than two persons.

There are two types of positional bargaining:


SOFT- In a soft negotiating game the standard moves are to make
offers and concessions, to trust the other side, to be friendly, and to
yield as necessary to avoid confrontation.

HARD- Hard positional bargaining is a negotiation strategy where


parties focus on holding firm to their initial positions, often leading to
an adversarial and potentially unproductive outcome, prioritizing
winning over finding mutually beneficial solutions.

To sum up, in contrast to positional bargaining, the principled


negotiation method of focusing on basic interests, mutually satisfying
options, and fair standards typically results in a wise agreement. The
method permits you to reach a gradual consensus on a joint decision
efficiently without all the transactional costs of digging in to positions
only to have to dig yourself out of them. And separating the people
from the problem allows you to deal directly and empathetically with
the other negotiator as a human being, thus making possible an
amicable aggreement.
UNIT-2
The Method
The Four Principles of Principled
Negotiation
This section introduces the four fundamental principles of effective
negotiation:

1.Separate the People from the Problem-

This principle is explained beautifully by an example of about an


union leader and his men.

Where an union leader says to his men, "All right, who called the
walkout?" Jones steps forward. "I did. It was that bum foreman
Campbell again. That was the fifth time in two weeks he sent me out
of our group as a replacement. He's got it in for me, and I'm tired of
it. Why should I get all the dirty work?" Later the union leader
confronts Campbell. "Why do you keep picking on Jones? He says
you've put him on replacement detail five times in two weeks.
What's going on?" Campbell replies, "I pick Jones because he's the
best. I know I can trust him to keep things from fouling up in a group
without its point man. I send him on replacement only when it's a
key man missing, otherwise I send Smith or someone else. It's just
that with the flu going around there've been a lot of point men out. I
never knew Jones objected. I thought he liked the responsibility."

So from here we can see that the negotiators are human and bring
emotions, biases, and perceptions to the table.

Also the solution for the same can be Address the relationship
separately from the issue being negotiated.
2. Focus on Interests, Not Positions

To illustrate focusing on interests rather than positions, imagine two


chefs needing an orange: one wants the juice for a sauce, the other
the peel for a cake. Instead of arguing over who gets the whole
orange (positions), they could focus on their interests (juice and peel)
and find a solution where both needs are met.

So from this principle we got to know that positions (what people


demand) hide real interests (why they want it).

Also the solution for this could be that look beyond fixed demands to
uncover shared and conflicting interests.

3. Invent Options for Mutual Gain

Consider a scenario where two colleagues need to share a printer


but one needs to print a large document while the other needs to
print a small document urgently. Here's how you can brainstorm
solutions: Instead of arguing over who gets the printer first,
brainstorm options like printing the large document overnight,
splitting the printing tasks, or using a different printer if available.

From this principle we got o know about that there are many
negotiations fail due to limited thinking.

The solution for this could be that be creative in exploring multiple


solutions before making decisions.

4. Insist on Using Objective Criteria

 From this principle we got to know that the negotiations should


be based on fair and independent standards, not power
struggles.
CONCLUSION
FOR UNIT-1

Traditional positional bargaining is flawed because it encourages


rigid stances, wastes time, and can damage relationships. While
people often see negotiation as a choice between being soft (making
concessions easily) or hard (fighting for every demand), both
approaches lead to suboptimal outcomes.

A better method is principled negotiation, which focuses on


interests rather than positions. This allows negotiators to create
solutions that maximize mutual benefits while maintaining a positive
relationship. The shift from position-based arguments to problem-
solving discussions leads to more efficient, fair, and lasting
agreements.

Thus, negotiation should not be a battle of wills but a cooperative


effort to find solutions that work for all parties involved.

FOR UNIT -2

Principled negotiation offers a structured approach to effective


negotiation by focusing on four key principles:

1. Separating people from the problem to avoid emotional


conflicts.
2. Focusing on interests, not positions to uncover real
motivations.
3. Inventing options for mutual gain to create win-win solutions.
4. Using objective criteria to ensure fairness and avoid power
struggles.

By applying these principles, negotiations become more productive,


less adversarial, and more likely to result in sustainable
agreements. This approach works across different scenarios—
business deals, legal disputes, or personal conflicts—because it
encourages collaboration rather than confrontation.

Ultimately, successful negotiation is about finding common ground,


fostering relationships, and ensuring fair outcomes for all parties
involved.

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