K.V.PENDHARKAR (ART, SCIENCE, COMMERCE)

DEPT. OF BACHELOR OF MANAGEMENT STUDIESSUBJECT- FOUNDATION OF HUMAN SKILLSTOPIC - NEGOTIATION WLECOME

index INTRODUCTIONDEFINATIONNEGOTIATION PROCESSNEGOTIATION STRATEGIESNEGOTIATION TYPESNEGOTIATION OUTCOMESNEGOTIATION TACTIESIMPORTANCE OF NEGOTIATION

INTRODUCTION Negotiation skills plays an important role not only in work life but also in our personal life. The need for negotiation arises in situations when our interests/wants conflicts with someone elses interests/wants. in a business area of partnerships ,the ability to successfully negotiate has become incredibly important. It is a process of interaction by which two or more parties who consider that they need to be jointly involved in an outcome, but who initially have different objectives, seek by the use of argument and persuasion to resolve their difference in order to achieve a mutually acceptable solution. DEFINITIONIt is a process of interaction by which two or more parties who consider that they need to be jointly involved in an outcome, but who initially have different objectives, seek by the use of argument and persuasion to resolve their difference in order to achieve a mutually acceptable solution. Another important consideration is that negotiation implies acceptance by both parties that agreement between them is required before a decision can be implementedWHY NEGOTIATE

Animals do not negotiate. They use violence or the threat of violence to get what they want, whether it be food, a mate or territory.

Have you ever seen 2 dogs negotiate over a bone?

Trade is the human foundation of human civilisation. It is what makes humans different from animals.

Negotiation is anathema to tyrants, who usually want something for nothing and do not recognise a need for another persons voluntary consent before they get what they wantNEGOTIATION PROCESSGOALS

TRADING

THE RELATIONSHIP

EXPRECTED OUTCOMES

POWER

POSSIBLE SOLUTIONS

NEGOTIATION STRATEGIESCOMPROMISING

FORCING

AVOIDING

SMOOTHING

CONFRONTING

Negotiation typesDISTRIBUTIVE NEGOTIATION

INTEGRATIVE NEGOTIATIONDISTRIBUTIVE NEGOTIATION The term distributive means there is a giving out ;or the scattering of things. By its mere nature, there is a limited amount in the thing being distributed or divided among the people involved. Hence ,this type of negotiation is often referred to as The Fixed Pie. There is only so much to go around, but the proportion to be distributed is limited but also variable. A distributive negotiation usually involves people who have never had a pervious interactive relationship, nor are they likely to do so again in the near future. INTEGRATIVE NEGOTIATION The word integrative means to join several parts into a whole. Conceptually, this implies some cooperation, or a joining of forces to achieve something together. Usually involves a higher degree of trust and a forming of a relationship. Both parties want to walk away feeling they have achieved something which has value by getting what each wants. Ideally, it is a two fold process.NEGOTIATION OUTCOMESLOSE -LOSE OUTCOMES

LOSE WIN OUTCOMES

WIN- LOSE OUTCOMES

WIN-WIN OUTCOMESNEGOTIATION TACTIESNIBBLING

OUTRIGHT REFUSAL

CONDITIONING

CALLING BLUFFS

IMPORTANCE OF NEGOTITION IN BUSINESS WORLD The importance of negotiation in business is an invaluable component in any great business endeavor. Truly ,the importance of negotiation in business can be the difference between companies that thrive and companies that soon falter and often go out of business. Any business owner or business entrepreneur knows that the difference between company survival and company failure comes down to dollars and sense. When a company is making money a company will survive, when a company is losing money it is possible to still survive, but it must make quick turn around. Negotiation Check List Actively listen Question for clarification Summarising Test commitment Seeking & giving information Encourage two way conversation State and plan your proposal then summarise Use the if you .then well principle

InterruptingAttackingBlamingTalking too muchSarcasmThreatsTaking it personallyClosed body language

Good Practice

Avoid

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