NEGOTIATION

What is Negotiation?

Negotiation is a method people use to settle differences. In order to avoid argument and dispute, negotiation is needed to reach the agreement. There will be a negotiation process when each related people have different opinions, here, negotiation will play an important role to find out the best solutions of all.

What are the Negotiation Styles?

1.     Avoiding

This negotiation style is concerned with avoiding intra-personal conflict. It is characterized by sidestepping, postponing, and ignoring the issue or situation. This style of negotiation will be useful when the stakes of a negotiated outcome are not worth the investment of time or the potential for igniting conflict

2.     Accommodating

This negotiation style is concerned with the relationship between the parties. In this style of negotiation, the other side will be easily given concessions in hopes of strengthening the relationship, also will be very thoughtful to the other side which make them to be neglected their own needs, this is because they want to help the other side to get what they want

3.     Compromising

This style is in between accommodating and competing. It will be very useful to use this style when time is a concern or there is a strong relationship between the parties. In order to reach an agreement, this style need concessions from both sides. “Meet in the middle” or “Split the difference” solutions are used in this style.

4.     Collaborating

This style focuses on using problem solving methods to create value and discover mutually satisfactory agreements. Utilizes the creativity of both parties to find solutions to both sides’ interests. This style teds to be assertive about their need and cooperative with the other side.

5.     Competing

This style concerned with achieving their own goals regardless of the impact on others. This style is when one side wants to win the negotiation and the winning will make the think superior than the other side. Negotiation is viewed as a win or lose competition rather than a problem solving activity. In order to achieve their objectives, manipulative tactics such as attacks and threats are often used in this negotiation style.

Negotiation Process

In order to achieve a successful negotiation, a certain approach to negotiation is needed. The negotiation process includes the following steps:

1.     Preparation

The first step is to prepare everything that is needed to do the negotiation. This involves making sure all the pertinent facts of the situation are known in order to clarify your own position. Furthermore, before the negotiation is held, a decision needs to be taken as to when and where a meeting will take place to discuss the problem and who will attend.

2.     Discussion

During the discussion, the representatives of each side pouring their understanding of the situation and discuss it together. It will be helpful to take notes during the discussion or record the whole discussion just in case a clarification will needed in the future.  

3.     Clarifying goals

Each sides must clarify their goals. From the discussion, the goals, interests, and viewpoint of both sides need to be clarified thus future misunderstanding can be avoided. It is helpful to make a list of these things (goals, interests, and viewpoints) in order of priority. This clarification is a way to identify or establish some common ground.

4.     Negotiate Towards a Win-Win Outcome

This stage focuses on seeking for the most comfortable solutions both sides, or win-win outcomes, where both side feel they have gained positive things from this whole negotiation process. Win-win outcome is usually the best result of negotiation. Win-win outcome will be achieved if each of the point of view of both side has been taken into consideration.

5.     Agreement

Agreement can be achieved once all the things that is being negotiate has been cleared and both side feel satisfied with the outcomes. It is essential for everybody involved to keep an open mind in order to achieve an acceptable solution.

6.     Implementing a Course of Action

Based on the agreement, a course of action has to be implemented to carry through the decisions.

What are the Characteristics of Negotiation?

The characteristics of a negotiation are:

1.      There are minimum of two parties involved in a negotiation

2.      Nearly always in the form of face-to-face use of spoken language, gestures and facial expressions.

3.      Negotiation usually concerns things in the future that will come or has not happened and the negotiator wants to happen. Both parties have their own goals that they wish to achieve through the negotiation

4.      There is a clash of goals, that is, some of the goals are not shared by both parties

5.      There is an expectation of outcome by both parties in negotiation

6.      Both parties believe the outcome of the negotiation to be satisfactory

7.      Both parties are willing to compromise

8.      Both parties understand the purpose of the negotiation

9.      The end of the negotiation is the agreement taken by both parties, although the agreement is for example both parties agree to disagree.

Effect on Negotiation

A.     Positive effect

ü  In procedural terms, negotiation is probably the most flexible form of dispute resolution as it involves only those parties with an interest in the matter and their representatives. Like any method of dispute resolution, negotiation cannot guarantee that a party will be successful. However, many commentators feel that negotiations have a greater possibility of a successful outcome.

ü  The advantages of negotiation are that it limits the number of players to those involved in the dispute. This allows for a focused approach to problem solving.

ü  Assuming that the parties are negotiating in good faith, negotiation will provide the parties with the opportunity to design an agreement which reflects their interests.

ü  Negotiations may preserve and in some cases even enhance the relationship between the parties once an agreement has been reached between them.

B.     Negative effect

û  A particular negotiation may have a successful outcome. However, parties may be of unequal power and the weaker party (ies) may be placed at a disadvantage.

û  Where a party with an interest in the matter in dispute is excluded or inadequately represented in the negotiations, the agreement's value is diminished, thereby making it subject to future challenge.

û  No party can be compelled to continue negotiating. Anyone who chooses to terminate negotiations may do so at any time in the process, notwithstanding the time, effort and money that may have been invested by the other party or parties.

û  The negotiation process cannot guarantee the good faith or trustworthiness of any of the parties.

û  During the negotiations, in conveying the intentions sometimes there are any arguing with emotion that make the other party angry. Thus, it can lead to split both sides, damage business relationships and, be difficult to negotiate and make a deal in the future.

SOFTSKILL GROUP ASSIGNMENT #6

Asri, Ismadanti, Margaretha, Rahmaluttifah, Stacia, and Talitha

3SA01