NEGOTIATING SKILLS AND TECHNIQES.ppt

NEGOTIATING
SKILLS AND
TECHNIQES
Dr Goutam Saha
Director-Strategic Development
ICEEM, Aurangabad

Introduction
 Negotiating and negotiations are a constant feature of everyday life.
 We do it all the time with family, friends and a range of people and
organisations

Formal Bargaining
 Collective bargaining is a formal and highly developed form of
negotiating.
 It is very similar to diplomacy.
 Doing it successfully requires analytical skills, forethought,
preparation, presentational skills, realism and detachment.
 The purpose of negotiations is to secure an outcome as close as
possible to your objectives.
 The aim of the people you are negotiating with is to secure an
outcome as close as possible to their objectives

 Forethought means determining and evaluating the objectives
carefully and objectively.
 Key tests include the credibility of the objectives and the strength of
the supporting evidence.
 Preparation means being well briefed and knowledgeable about
what you are seeking to achieve and how that can be justified.
 Presentation is about how you can present your case in an
accessible and persuasive way to the employer or government.
 Try to show how your objectives will benefit employer/government
as well as your own members.

 Present your claims in a pleasant, logical, friendly and firm way.
 Realism means being aware from the start that it is very unusual to
achieve 100 per cent of your objectives.
 A Negotiated Agreement is normally a compromise between
opposing objectives which both parties are prepared to accept.
 Detachment means not believing all your own propaganda.

The 5 Cs to Stay Smart and Safe
A smart way to say “no” and still keep your friends
1. CAUTION- Ask Questions
2. COOL IT-Name the negative behaviour and say “NO”
3. CHANG THE PLAN-Suggest a better idea
4. CATCH YOU LATER-Leave if Necessary
5. CALL ME-Call me if you change your mind

Skills and Techniques
 Try to imagine yourself as the other side to the negotiations and
consider how they might view or react to your proposals and
arguments.
 There is no one perfect style of negotiating.
 Different people do it equally successfully in different styles and
manners .
 To be successful your individual style has to be the one you are
most comfortable with and which matches your individual
personality
 Successful negotiators range from colourful charismatic performers
to quiet, calm and methodical people.

The Collective Bargaining Process
 Collective bargaining negotiations are a ritual process, a stately
minuet, a symphony or a novel.
 There are different stages the sequence of which is essential to the
whole process.
 The opening presentation of the claim should set the scene and
seek to define the parameters for the subsequent stages of the
negotiations.
 It is a strategic exercise setting out the case and the supporting
evidence.
 It should not be too long or too detailed as that can obscure and
weaken the case.
 Dealing with detail comes later.

WORKSHEET
An important part of any business is communication. To communicate
effectively, you need to select the best method of communication for
the situation at hand. For each of the questions below, decide which
method you prefer and explain why you selected that option
A. Send a text message.
B. Make a phone call.
C. Send an email.
D. Talk face to face.
1. You need to cancel an appointment with your client. Which of the methods
of communication would you use, and why?
2. You need to negotiate a price with a supplier. Which of the methods of
communication would you use, and why?
3. You want to advertise a big sale. Which of the methods of communication
would you use, and why?
4. You need to thank a customer for their recent purchase. Which of the
methods of communication would you use, and why?

Initial Response
 The next stage is the employer/government response – again it
should be strategic and address the union’s arguments.
 It may make counter proposals, make an offer for an agreement,
and/or give a broad indication of what they might offer.
 You need to listen carefully and closely to that response.
 Take a written note of the key parts of the response.
 Evaluate and analyse the language, the precise words used and
their body language
 Assess the extent to which any of their counter arguments do or do
not weaken your case.

Countering to Response
 Do not feel obliged to respond immediately other than in a
preliminary way ,or to seek clarification-but not necessarily too much
at that stage.
 Have a break/adjournment of the plenary joint negotiations to
consider their response in more detail and depth with your
colleagues.
 The employer/government first response is unlikely to be their final
response.
 Usually they will be prepared to offer more particularly if they believe
an agreement between the two sides is possible.

 Consider how you can respond and show how your arguments and
supporting evidence have not been properly addressed or,
hopefully, seriously weakened.
 Look for weaknesses and inconsistencies in their response which
you can objectively demonstrate and exploit.
 Look for any clues or indications of how or where they might move
closer to your objectives.
 On return to plenary negotiating meeting answer their response –
normally in a logical, firm and not insulting way.
 Try to show a willingness to consider more favourably an improved
offer – if possible with some indications of what might be acceptable
in general terms.

 Do not make explicit threats unless you are confident they can be
delivered and that they would be effective.
 Consider using more general expressions of potential adverse
consequences of the initial offer if not improved upon.
 Present the response in the resumed plenary in a calculated and
persuasive way emphasising the strong parts of your case.
 Try to avoid immediate subsequent exchanges becoming too
confrontational. Encourage them to have an adjournment to
consider your response carefully and in depth.
 At such an adjournment review your position, identify possible
employers responses and how you might respond but avoid getting
into an interminable hypothetical maze of speculation.

Final Stages
 Third plenary session likely to be key session.
 Final or near final response from employer/government very likely if
negotiating seriously and constructively.
 Do not summarily reject it unless it really is a deliberately poor and
provocative offer.
 Withdraw to consider it with your side. If it is a deliberately poor and
provocative offer respond quickly by asking them to go away and
reconsider their position and come back to a future meeting with an
improved offer.
 If it is a sensible offer consider what modest further improvements
might be possible and decide which are the priority issues.

 Consider without prejudice/informal/behind the chair meetings
between a small number of key representatives from both sides -
generally the smaller the better but start with a minimum of two
 Consider possible improvements through staging a settlement-
some now- more later - end loading a pay award – continued
negotiations on unresolved issues while reaching agreement on
those that can be agreed by both sides.
 Employer/government may be prepared informally to improve the
offer through a without prejudice offer if your side can confirm that
they would accept such an offer if made formally. These offers are in
effect confidential -they have not been made unless they are
accepted. Respect that negotiating protocol or forget about that
facility for future negotiations.

Sealing The Deal
 If there is an agreement acceptable to both sides go through it in
detail jointly before resuming plenary session in order to be sure that
both sides have the same understanding
 Resume in plenary. If an informal agreement has been reached the
employer/government representatives make the offer formally and
the trade union side accept it
 Try to have a written agreement at this stage to prevent future
arguments about what has been agreed
 Conclude on good terms. Remember collective bargaining and
employer/employee negotiations are a long term business –
circumstances will vary and at different times in the future will
favour one side or the other

NEGOTIATING SKILLS AND TECHNIQES.ppt

More Related Content

Similar to NEGOTIATING SKILLS AND TECHNIQES.ppt (20)

Recently uploaded (20)

NEGOTIATING SKILLS AND TECHNIQES.ppt