BUS 132 -Negotiation & Conflict Resolution: BSN Chapter 8

Role of power

Power defined:

• ability or official capacity to exercise control; authority
• ability to influence or control others

Sources of power

1. information
2. status
3. social networks
4. physical appearance

Rules for the Use of Power in Negotiation

#1. Establish credibility

1. - introduction by others
2. - biographical sketch
3. - take notes
4. - be a good listener
5. - demonstrate recall & understanding of information
6. - suggest an agenda

#2. Do Your Research (Information is power)

1. Smart talk - sounding confident, articulate or eloquent
2. Stay abreast of content areas and read a broad range of materials
3. knowledge leads to confidence
4. present information constructively and with the intent to help

#3. Don't Have All The Answers

1. Don't flaunt your experitse
2. Help the other side remain confident (face issues)
3. Utilize esteem-reviving comments

• Useful when the other side takes offense or negatively reacts to statements
• "If you don't mind, let' sback up here to see if I've misstated my intentions"
• "If I seemed to be abrasive a few moments ago..."
• "I may have spoken too quickly"

#4. Don't Sweat the Small Stuff

1. Don't push too hard for minor gains
2. Quibbling over small stuff creates bad will
3. Bundle small items with others to one package

• example - negotiating relocation expenses as part of a salary negotiation

#5. Create Dependence

1. Create reliance
2. Identify what you have that the other side might want
3. Relationship between power & dependance

• Power A, B = Dependance B, A
• Power of person A over B is equal to the dependence of person B on A.

#6. Power of Who You Know

1. It's not what you know but who you know
2. Identify how your negotiation counterpart might perceive your references or connections

• Utilize when they are highly regarded and perceived as credible sources
• Make a subtle reference

#7. Don't Appear Overbearing

1. Show humility not arrogance
2. Enhance the "face" of your counterpart

• "Now I see where you're going with that idea... It's a good one"
• "I hadn't thought of it that way"
• "You're a step ahead of me on this one"
• "That's more in your area of expertise than mine, so I'd like to hear more"

#8. Use Time Strategically

1. Pace proposals so it fits the circumstances and the other side's expectations
2. Mirror your counterpart's style to pace appropriately
3. Be flexible

#9. Carefully Choose Context

1. The enviornment of negotiation can be a powerful inhibitor or facilitator of negotiation success

• Food, room, lighting, temperature, seating, etc.

2. Create the ambiance or atmosphere that is most conducive for each particular negotiation

#10. Threat is a Last Resort

1. Negotiators who use cooperative strategies have higher joint gains than those who don't
2. Those using more competitive strategies as demands or threats fail to achieve optimum outcomes
3. Veiled threat - subtle and deniable

• Use statements
• questions
• Hypothetical scenario
• Utilize to redirect discussion or prompt reconsideration of an undesirable action plan.
  

Next Week: Quiz on BSN Chapters 6-8 & No Homework; Getting to Yes Chp. 6-8 Lecture