Thursday, December 07, 2006

Chapter6: Finding and using Negotiation Leverage

Leverage means the process of gaining or using various sources of power in order to obtain and use temporary advantage over the other negotiation party. Three sources of power 1)information and expertise, 2)control over resources and 3)the location within an organization structure( which leads to either formal authority or informal power based on where one is located relative to flows of information or resources).
The number of influence(leverage) tools that one could use in negotiation. These tools were considered in two broad categories: influences that occurs through the central route to persuasion, and influence that occurs through the peripheral route to persuasion.
For the receiver;the target of influence; they can shape and direct what the sender is communicating, or can intellectually resist the persuasive effects of the message. Effective negotiators are skilled not only at crafting persuasive messages, but also at playing the role of skilled "consumers" of the messages that others direct their way.

chapter5: Perception, Cognition and Communication

Perception, cognition, and communication are fundamental processes that govern how individuals construct and interpret the interaction that takes place in a negotiation. Reduced to its essence, negotiation is a form of interpersonal communication, which itself is a subset of the broader category of human perception and communication. Perception and cognition are the basic building blocks of all social encounters, including negotiation, in the sense that our social actions are guided by the way we perceive and analyze the other party, the situation, and our own interests and positions.Negotiators approach each negotiation guided by their perceptions of past situations and current attitudes and behaviors. Perception is the process by which individuals connect to their environment. Perception is a “sense-making” process; people interpret their environment so that they can respond appropriately. In any given negotiation, the perceiver’s own needs, desires, motivations, and personal experiences may create a predisposition about the other party. Such predispositions are most problematic when they lead to biases and errors in perception and subsequent communication.Stereotyping and halo effects are examples of perceptual distortion by generalization: small amounts of perceptual information are used to draw large conclusions about individuals. Selective perception and projection are, in contrast, examples of perceptual distortion by the anticipation of encountering certain attributes and qualities in another person. Stereotyping is a very common distortion of the perceptual process. Stereotyping occurs when one individual assigns attributes to another solely on the basis of the other’s membership in a particular social and demographic group. Halo effects in perception are similar to stereotypes. Halo effects occur when people generalize about a variety of attributes based on the knowledge of one attribute of an individual and are as common as stereotypes in negotiation. Selective perception occurs when the perceiver singles out certain information that supports or reinforces a prior belief, and filters out information that does not confirm that belief. Projection occurs when people ascribe to others the characteristics or feelings that they possess themselves. People have a need to see themselves as consistent and good.Another key issue in perception and negotiation is framing. A frame is the subjective mechanism through which people evaluate and make sense out of situations, leading them to pursue or avoid subsequent actions.Rather than being perfect processors of information, it is quite clear that negotiators have a tendency to make systematic errors when they process information. These errors, collectively labeled cognitive biases, tend to impede negotiator performance; they include the irrational escalation of commitment, the mythical belief that the issues under negotiation are all fixed-pie, the process of anchoring and adjustment in decision making, issue and problem framing, the availability of information, the winner’s curse, negotiators overconfidence, the law of small numbers, self-serving biases, the endowment effect, the tendency to ignore others’ cognitions, and the process of relative devaluation.Misperceptions and cognitive biases arise automatically and out of conscious awareness as negotiators gather and process information. Negotiators may apply several different frames to the same negotiation. When different negotiators apply different, or mismatched, frames, they will find the bargaining process ambiguous and frustrating. In such situations, it may become necessary to reframe the negotiation systematically, to assist the other party in reframing the negotiation, or to establish a common frame or set of frames within which the negotiation may be conducted more productively. Negotiators can also reframe by trying to perceive or understand the situation in a different way or from a different perspective.Given the many ways that communication can be disrupted and distorted, we can only marvel at the extent to which negotiators can actually understand each other. Failures and distortions in perception, cognition, and communication are the most dominant contributors to breakdowns and failures in negotiation.As negotiations come to a close, negotiators must attend to two key aspects of communication and negotiation simultaneously: the avoidance of fatal mistakes and the achievement of satisfactory closure in a constructive manner.

chapter4: Strategy and tactics of Integrative Negotiation

In this chapter, we have reviewed the strategy and tactics of integrative negotiation. The fundamental structure of integrative negotiation is one within which the parties are able o define goals that allow both sides to achieve their objectives. Integrative negotiation is the process of defining these goals and engaging in a set of procedures that permit both sides to maximize their objectives.Overall of the process begin with a high level of concern for both sides achieving their own objectives propels a collaborative, problem-solving approach. Negotiators frequently fail at integrative negotiation because they fail to perceive the integrative potential of the negotiating problem. However, breakdowns also occur deu to distributive assumptions about the negotiating problem, the mixed-motive nature of the issues, or the negotiators' previous relationship with each other.
The four key steps in this process are identifying and defining the problem, identifying interests and needs, generating alternative solutions and evaluating and selecting alternatives. For each of these steps, we proposed techniques and tactics to make the process successful.
Also the factors that facilitate succesful integrative negotiation. Firstly the process will be facilitated by some form of common goal (this goal is wanted by parties to achieve it). Secondly they must share a motivation and commitment to work together, to make a relationship productively. Furthermore the parties must be willing to believe others' need and they can trust each other to work hard and establish, maintain that trust. Finally they must be clear and accurate communication about what each one wants and an effort to understand the other's needs.

chapter3: Strategy and Tactics of Distributive bargaining

In this chapter, we will learn the basic structure of competitive or distributive bargaining situations and some of the strategies and tactics used in distributive bargaining. Distributive bargaining begins with setting your own opening, target, and resistance points. You learn the other party’s starting points and find out his or her target points directly or through inference. Usually you will not know the resistance point, the points beyond which a party will not go, until late in negotiation because the other party often carefully conceals them. All points are important, but the resistance points are the most critical. The spread between the parties’ resistance points defines the bargaining rang. In positive, if defines the area of negotiation within which a settlement is likely to occur, with each party working to obtain as much of the bargaining range as possible. In negative, successful negotiation may be impossible.The negotiator’s basic goal is to reach a final settlement as close to the other party’s resistance point as possible. Although negotiators work to gather information about the opposition and its positions; to convince members of the other party to change their minds about their ability to achieve their own goals; and to promote their own objectives as desirable, necessary, or even inevitable.Distributive bargaining is a conflict situation, wherein parties seek their own advantage – concealing information, attempting to mislead, or using manipulative actions. All these tactics can easily escalate interaction from calm discussion to bitter hostility. Negotiation is the attempt to resolve a conflict without force, without fighting. Be successful, both parties to the negotiation must feel at the end that the outcome was the best that they could achieve and that it is worth accepting and supporting.

chapter2: Negotiation: Strategizing, Framing and Planning

Setting goals are the first step in the negotiation process. The goals set have direct and indirect effects on the negotiators strategy. Direct effects of goals have four aspects of how goals affect negotiation that are important to understand: wishes are not goals, our goals are often linked to the party's goals, there are limits to what our goals can be. Effective goals must be concrete/specific. Indirect effects are forcing an ongoing relationship. Strategy is the overall plan to achieve one's goal in a negotiation and the action sequences that will lead to the accomplishment of those goals. Tactics are a short term, adaptive moves designed to enacted or pursue broad strategies. Tactics are subordinate to strategy and driven by strategy. Planning is the "action"component of the strategy process.
Dual concern model defining the issues the process of "Framing" the problem. Framing is about focusing; shaping and organizing the world around us. Negotiation needs framing because people have different backgrounds, experiences, expectations and needs, they frame people, events and processes differently.

chapter1: The Nature of negotiation

Negotiation always happen in usaul life. The common characteristics of negotiation situation are two or more parties who have a conflict of each other. They hope they would gain a better deal from another party. In negotiation, both parties depend on each other. This situation of mutual dependency is called "Interdependence". Interdependence has a potential to be a synergy, which is the notion that the whole is greater than the sum of its parts and the potential consequence of interpendent relationships are conflict. Each conflict management strategy has its advantages, and is more or less appropriate given the type of conflict and situation in which the dispute occurs.

chapter10: Leading through Effective External relations


In globalization Leader might consider about positive reputation. To become well regarded, companies must deserve it. They must develop coherent images and consistency of posture internally and externally. Identify and self-representation beget reputation. Just as the leaders determine the personailty of the company on the inside, they also shape the outside image as well. The goal of organizational leaders is to ensure that the company's ethos positive-that all external audiences consider the company honorable, trustworthy and ethical.
This chapter provide guidelines to help manage external relations in day-to-day encounters and in crisis situation so that the company projects a positive image, in additional know how to shape a positive image, how to deal with the media and how to manage crisis communications
Developing an external relations strategy:
1.clarify your purpose and strategies objectives
2.identify your major audiences or stakesholders
3.create, refine and test your major messages
4.select, limit and coach your spokesperson(s)
5.establish the most effective media or forum
6.determine the best timing
7.monitor the results
Working with the new media helps a company to increase chances for favorable treatment,it is important for a company to establish s positive relationship with the media in order that we should manage encounters with them. Using the media, we have to understand media's role; print, broadcast, and internet; are the primary channels for much that is communicated in our society.
Reputation affects the bottom line, and even the strongest companies will have difficulty surviving damage to their reputations. Organizational leaders must give high priority to establishing and maintaining a positive corporate image. There are six ways companies can build and maintain a positive corporate image:
Design campaigns to promote the company as a whole.
Carry out ambitious programs to champion product quality and customer service.
Maintain systems to screen employee activities for reputations side effects.
Demonstrate sensitivity to the environment.
Hire internal communication staff and retain public relation firms.
Demonstrate “corporate citizenship.”
The mistakes or missteps that tarnish a company’s reputation are most often uncovered and publicized by the news media. To increase chances for favorable treatment, it is important for a company to establish a positive relationship with the media and for every senior manager to know how to work effectively with them.At one time or another, most companies will face a crisis. A situation requiring crisis communication involves “a specific, unexpected and non-routine event or series of events that create high levels of uncertainty and threaten or are perceived to threaten an organization’s high priority goals.” The following guidelines will help companies respond appropriately in most crisis situations:
Develop a general crisis communication plan and communicate it.
Once the crisis occurs, respond quickly.
Make sure you have the right people ready to respond and that they all respond with the same message.
Put yourself in the shoes of your audiences.
Do not overlook the value of the Web.
Revisit your crisis communication plan frequently.
Build in a way to monitor the coverage.
Perform a post-crisis evaluation.
All companies, no matter the size, must have a crisis communication plan. When crisis happens, it is too late to develop a communication strategy and select target audiences, create appropriate message content, and choose spokespersons. Everyone must be ready to move quickly or the company risks its reputation, and lost reputation results in lost morale for employees and a loss in market share for the company.To conclude, managing external relations effectively is essential for organizational leaders; however, external relations do not exist in isolation. Companies must link all communication activities to ensure that what the outside world sees and hears reflects what the inside world lives.

chapter9: Establishing leadership through Strategic internal Communication


In this chapter the author emphasized on communication with employess because employees are important part in an organization. If employess trust and respect in CEO, they will feel participate and have a goodwill for their company, they are providing, establishing a positive and productive working environment. Effective internal communication provides organizational direction and employee motivation.
Employees are motivated when,through words and actions, the leaders carefully translate the vision and strategieic goals into terms that are meaningful to all employees. To do so requires analyzing audiences, targeting messages, and creating communicatyion strategy. Motivating employees also requires listening to them and using emotional intelligence to connect with them. Leaders who appreciate the importance of connecting with all employees through communication and through their actions.
Direction setting and the creation of a motivated, productive workforce alone are reasons enough to pursue effective internal communication. effective employee communication clearly will increase productivity, moreover, has a measurable financial impact.
Leaders should interact with employees for creating and communicating visions, strategic objectives, or other direction-setting messages to help them understand and support company, Internal communication requires leaders to use all of the best leadership communication skills, inparticular, that you project a positive ethos, create meaningful, purposeful messages, analyze audiences and target your messages and lead through emotional intelligence to make the greatest possible contribution to the success of your organization.

chapter8: Building and Leading High-Performance teams


In this chapter focused on the word "Team". Because business leaders need to know how to build and how to manage them to achieve high performance. This will shows one communication ability of leadership. First of all you have to build an effective team by considering at the company culture and compensation structure. including consider the method of Katzenbach and Smith to set a real team:
-complementary skills (problem solving,technical/functional,interpersonal)
-accountability (mutual,individual and small number of people)
-commitment (specific goal,common approach,meaningful purpose)
Team members should have skills that complement rather than duplicate each other, although teams may develop some of the required skills after the team forms.All the members need to recognize and accept mutual as well as individual accountabilityfor the team’s work products. The size of team matters and affects accountabilitysince a team that is too large will end up dividing into subteams and the work can become so diffused that accountability gets lost. Finally, the team must have specific goals, a purpose that is important to the organization, and a common approach to the work.The team should define all roles and responsibilities for each team member at the first meeting. Teams need ground rules that the entire team participates in creating and agrees to follow. The rules should be determined at the first team meeting and become a permanent part of the team charter. Leading a team and working on a team present some challenges, but with the right approach, a team can work through the challenges, achieve high performance, and in the end outperform other groups and individuals.

chapter7: Leading Productive Management Meeting


This chapter shows the way to plan and conduct productive meeting by determining when a meeting is the best forum for achieving the required result; establishing objectives, outcomes and agenda; performing essential essential planning; clarify roles and establishing ground rules; using common problem-solving techniques; managing meeting problems; and ensure follow-up the occurs. This chapter focuses on primarily on small group meeting intended to accomplish tasks or move actions forward inside an organization .

Deciding when a meeting is the best forum: You need to define a clear purpose and analyze your audience to determine whether a meeting is the best forum for what would you want to accomplish. Even without what appears to be a specific business purpose, meeting periodically can be beneficial. In company meeting, people see others they may not ordinarily see and feel connected to a large group. Meeting with no specific business objective might have motivation, recreation, or networking purpose- all potentiallly important in certain organization contexts. Referring to the three typical purposes for communication in business -that is. to inform, to persuade, or to instruct-will help you decide.

Completing the essential planning: you will need to decide about th epurpose, outcomes, agenda, setting, timing, and materials. To ensure your meeting are productive, you must conduct the necessary planning.

  • clarifying purpose and expected Outcome -care to define your one main overall purpose-
  • determining topics for the agenda -estimate the time to cover each topic-
  • selecting attendees -right attendees match with an objective-
  • considering the setting -location,equipment and layout of the rooms-
  • determining when to meet -people's schedules & commitments- no longer about 60-90 mins.
  • establishing needed meeting information -provide info to the group before or during the meeting

Next when the meeting conduct a productive meeting. you should consider a common problem-solving tools are as follows: 1) Brainstorming 2) Ranking or rating 3) sorting by category 4) Edward de Bono's six thinking hats 5) opposition analysis 6) decision trees 7) from/to analysis 8)force-field analysis 9) the matrix 10) frameworks

One of the most important responsibilities is to manage the problem and conflicts. Negative thinking and resistance to the ideas of others or changes of any kind are two common problem we found in the meeting. We can stop negativity by setting a ground rule. There are some techniques to manage resistance; verify, clarify, align and probe technique. We can manage the conflict by applying different levels of assertiveness and cooperation. Culture differences concern should be realized to narrow and limit the potential conflict. The last step is ensuring meeting lead to action by assigning specific tasks to specific people, reviewing all actions and responsibilities at the end of the meeting, providing a meeting summary with assigned deliverables included, and following up on action items in a reasonable time.