Introduction
Negotiation is a concept that has been accompanying the human being from ancient times to today, in fact one of the best negotiation practices is found in the Phoenician culture of the Mediterranean and North Africa (see Negotiating like a Phoenician by Dr. Chamoun) However, all this time the human being has been developing skills for negotiation, in short, our daily events are negotiations; the clear example is given with the ancient men that to survive in the jungles they had to be strong because the strongest destroyed the weak. All this in search of food and shelter.
The human being, when becoming a sedentary being, had to develop new experiential customs and the concept of barter and community was born, where the norms were those that defined the way of life and relationships; All this added to modern scientific evolutions mean that human beings cannot live without negotiating. The Phoenicians built bridges instead of barriers in the Mediterranean to such an extent that they conquered the entire ancient world of commerce without war, and reached as far away as others have ever gone in the history of mankind. They built the ancient global world by negotiation and without war.
Nowadays everything is negotiated, from the most minute, the negotiation with the children, to the robust, negotiation between governments. And the key questions are:
What is negotiation? How to negotiate? Why negotiate? And When to negotiate? This last question is very important because the ultimate goal of the negotiation is the interests, it is very clear because there is always an interest behind any negotiation, be it material, trust, etc. Behind a position there is an interest or several interests, the why or for what of the position typically leads us to understand the interest.
If we do not know when to negotiate, we run the risk of wasting time in a negotiation without a future and it is clear that according to Dr. Habib Chamoun, no matter how small what we negotiate, the planning time, the energy to waste. they are the same as in a robust negotiation.
It should be pointed out that, despite the changes that have arisen in social, technological and cultural development, no old negotiation method is disregarded, because one or the other method is applied, depending on the circumstances in which we find ourselves. The Phoenician method of Tradeables which consisted basically of giving more than they received helped the Phoenician methodology to be transgenerational.
1. What is negotiation?
According to Dr. Habib CHamoun, negotiation is a science and an art; And according to Josep Redorta, it is a communication process oriented towards objectives through persuasion.
I therefore believe that negotiation is a science applied to an art, aimed at the search for interests, whether common or personal.
If we must, for example, conquer a woman, there are two things that we apply, science and art; Through science, we investigate with those close to them their tastes and preferences in order to know their strengths and weaknesses and really know what their needs are.
A woman is like a buyer who goes to the market with the aim of buying a particular object, but when she reaches the market, it is when she really discovers her needs; When investigating the preferences and weaknesses of the woman, even if she has in mind the prototype of the suitor she wants, we with this information can give birth to other concepts in her, through the art of seduction, being there when she needs it, knowing how to put ourselves in your footwear, so be a different person depending on the situation and environment.
I think it is easier to turn a movie actor into a negotiator than a technician because the actor has developed the art of interpreting different scenes at different times and that is more difficult than learning a planning methodology for a negotiation, however the technician has the planning tools.
The excellent negotiator is one who knows how to play different roles in different scenes.
2. Classification of the negotiation
The negotiation is classified, according to the circumstances and the objective pursued by the negotiator in each negotiation, into four fundamental types:
- Accommodative negotiation Competitive negotiation Collaborative negotiation Avoidance negotiation.
The old negotiators preferred competitive negotiation, because their objective was to win and according to the Harvard University study, those who negotiate positions lose a large portion of the cake, however those who negotiate interests increase the portion of the cake.
Even with that, I think that the negotiator must be a good film actor who knows how to use the type of negotiation that is favorable to him, taking into account the situation in which he finds himself, the interests he pursues and the type of negotiator that he has been assigned. Which makes it possible to affirm that the greater the negotiator's capacity to transform himself, the greater his negotiating capacity.
2.1. Accommodative negotiation
Often in everyday life we are using one or another kind of negotiation without realizing it; In the game of cards, for example, we commonly have two ways of playing in my country (Equatorial Guinea): win-win and lose-win, the first is when the player looks for any way and strategies to eliminate the opponent's cards and take The throphy; However, the second, which is the case of accommodative negotiation, is that the winner is the person who loses in the game; Let me explain that the opponent takes all the chips, the negotiator tries to lose-win, run out of cards or options, contrary to win-win.
In short, the accommodative negotiation is one in which the negotiator gives his arm to twist, loses the negotiation, because perhaps he loses economic interests, with the aim of perpetuating a relationship of trust and continuity with the client. This type of negotiation is the most complicated, because we must be sure that the client will not really disappear after the closing of the negotiation.
The great inconvenience in this type of negotiation is that we run the risk that, after the closing, the client may disappear, therefore it is necessary to apply this negotiation with regular and permanent clients, that is, those of a lifetime.
The negotiator (N) invests all the time and all his strategies, getting closer and closer to the interests of the negotiator (n). Source: Dr. Habib Chamoun presentation July 16-20, MALABO. GE
The objective in this negotiation is to gain the trust and empathy of the other negotiator to perpetuate the relationship, some economic interest may be lost but a much more important value is gained.
2.2. Competitive negotiation
Returning to the example of the lady, this negotiation belongs to the win-win game, we do not care about the relationship or the continuity of trust with the client, the objective is to win, take all the opponent's chips, crush him because otherwise we will be crushed.
Competitive negotiation is one in which the negotiator goes all out with an aggressive character, with the ultimate goal of winning, of taking the trophy with him; This type of negotiation should take place in negotiations in which we do not care about the relationship with the client, in negotiations that only occur on a single occasion and are closed, such as the sale of a flat, purchase of a car, etc…
We cannot apply this type of negotiation with regular clients because with them we are not only negotiating interests, but we are also negotiating trust and continuity and if we are aggressive with them, for any better offer they have, they abandon us.
Because these customers stop seeing us as allies and we become simple suppliers of a product, which can be exchanged for any offer that is better.
The competitive negotiator drags the other competitor at his pace and in his direction to achieve his objectives, regardless of the position of the relationship. Source: Dr. Habib Chamoun presentation July 16-20, MALABO, GE
2.3. Collaborative negotiation
This type of negotiation is very frequent in oil companies, it is the type of negotiation in which the cake is shared by both parties, although it is not equitably but it is close; In this type of negotiation, we care about both the interests and the relationship with the other party, it is a medium and long-term negotiation, so we must not damage the relationship.
When we have a problem or conflict with our girlfriend or family, we apply accommodative or collaborative negotiation because it allows us to perpetuate the relationship. However, we must not confuse these two types of negotiation, in collaborative negotiation, try to maintain the relationship but we must not forget that we negotiate interests, we must apply a lot of cunning.
In this negotiation both negotiators care about both the relationship and the interests and the negotiation is led to a beneficial agreement for both negotiators.
2.4. Avoidance negotiation
Many of the authors do not even classify this type of negotiation because in reality it should not happen, we must be awake to really know when and with whom not to negotiate, we must be selective, because if we make the mistake of negotiating with the wrong person it is how to do nothing.
I will give an example of Dr. Habib CHamoun that I love very much.
If we are car salesmen, a client comes and we start the negotiation, we use all the negotiation strategies and techniques at our disposal and we are sure that we will successfully close the negotiation, that is, we will sell.
But the next morning when the customer comes for the closing, he comes accompanied with his wife and when the wife arrives she exclaims, honey why don't we choose a red car, I prefer the red one! And it turns out that we sellers do not have the red and then the client does not close the negotiation, does not buy; in this case we have lost time, effort and everything, just and only because we have not been selective. According to Dr. Chamoun, it is necessary to look for decision makers to undertake the negotiation, if not to waste time or energy.
The objectives and interests of the two negotiators are divergent, there is no zone of possible agreements, and the sooner they leave the negotiation, the better because it can end with major conflicts. Source: Dr. Habib Chamoun presentation July 16-20, MALABO, GE
According to pruitt, the negotiation is classified according to the interests we have in the negotiation.
| Strategy type | Interest in the results of the other | Interest in own results |
|---|---|---|
| Resolutive (Collaborative) | Tall | Tall |
| Rivalry (Competitive) | Low | Tall |
| Complacent (accommodative) | Tall | Low |
| Inaction (Avoidant) | Low | Low |
Source: Blake and Mouton, the negotiator's grid, modified by Alejandro Mometolo.
The previous graph shows the situation of the negotiator according to the interests of each moment. It must be pointed out that the ideal negotiator does not exist, however all negotiators seek to reach the ideal negotiator level.
3. Phases of a negotiation
Many of the authors classify the phases of negotiation into four:
3.1. Preparation or pre-negotiation
This phase is the one that takes the most time because it involves carrying out a thorough investigation of the counterpart, in order to discover their weaknesses and strengths; in this phase they carry out the following activities:
3.1.1. Define our goals
We must be clear about what we want to achieve with the negotiation, how we will achieve it and with whom.
We must be clear about our primary motivating factor (PMF) to know what aspects we can negotiate, which we can give in and what is our turning point in the negotiation.
In order to be clear about our objectives, it is necessary to ask ourselves the five solid gold questions, according to Allan Pease, which are applied to be clear about any type of objective in a negotiation:
- What is our number one priority? Why have you chosen this? Why is it so important to you? What are the consequences of not having that Opportunity? Why are you so concerned?
According to OLEGARIO LLAMAZARES we must point out
- G objectives: they are what we would like to achieve. They are the most favorable objectives that coincide with the starting position (PP) in the trading margin. It includes an extensive list of the most ambitious goals that would be achieved under optimistic circumstances. If they had to be eliminated, the negotiator would not consider that he had been harmed. Objectives P: this is to eliminate the less important objectives from the previous list. There are those that are intended to be achieved under normal conditions. These objectives are the center of negotiation and concessions are usually made on them. Objectives T: they are what we must obtain. They coincide with the breakout position or minimum position of the trading margin. If they are not achieved, it would be preferable to withdraw from the negotiation, without reaching an agreement.
4.1.2. Set the other party's goals
Whatever the type of negotiation strategy to apply, we must always try to get closer to knowing the objectives of the other party to obtain a successful negotiation, turning their weaknesses into our strengths.
To get closer to the objectives of the other party, it is necessary, according to Elia Roca, to ask ourselves the following questions:
- What is our interlocutor like? What are his positions and interests? What can we exchange that is of little value to us and a lot for him? What can we exchange that is of little value to him and a lot to us? What concessions can we make and which do we think he can make? What positive and negative consequences would accepting his proposal have for me? What positive and negative consequences would accepting my proposal have for him? Can I change my proposal in some aspects To reduce the inconvenience or to increase the advantages, what does it have for him?
Through these analyzes we can create a SWOT matrix to know under what range we will handle the negotiation, we will know what is already given, what needs to be negotiated and with what intensity.
4.1.3. SWOT matrix for trading
Analyzing carefully:
- Internal factors (our strengths and weaknesses) External factors (the opportunities it offers us and the threats) thus creating the matrix.
4.1.4. Circles for the analysis of the area of possible agreements
Negotiation circles - Source: Own Elaboration.
FAQ: Most favorable position
B, A: Negotiators
In the previous figure, we have the position presented by two negotiators during the course of the negotiation, where PMF represents the first offer of the negotiators, the first position taken by the negotiators, who later become more flexible until they reach the center of the circle. or approach him; said center (concessions) represents the discount point; Depending on the type of negotiation, the negotiation can be moved to the right of the concession point or to the left, I mean by this that:
Competitive trading: There is no movement
The agreement zone is where there is possibly an agreement, where the interests of the negotiators coincide.
Then we proceed to carry out the negotiation agenda, framing the guidelines, deciding the type of strategy.
4.2. Full interaction or negotiation
In this phase, the negotiator must have total control in both verbal and physical communication; the following functions are performed:
Explanation, extension, clarification of the initial positions
Educate and inform the other party about the issues, why are they important? How did each one get to their initial demands?
Eventually the parties could provide the other with documentation to help clarify their position.
In this phase we must be clear and concise, we must focus on the objectives, not waste time on what is not worth negotiating; If there is a difficult objective to negotiate, you have to skip it and continue the negotiation.
4.3. Completion or closure
It is the culminating moment of the negotiation, and it requires special care, since tensions may arise that have accumulated throughout the process. (JULIÁN BESTEIRO School)
It is clear that from the beginning of the negotiation both parties have an interest in reaching an agreement, the closing occurs when both parties have reached the area of possible agreements, and concessions have been made.
4.4. Post negotiation
It is a phase that the negotiator performs alone, analyzing what were his difficulties with the other party for the closing, it is a period that serves as a learning for future negotiations.
5. Elements of negotiation
They are the three basic and fundamental elements in a negotiation, if one of these elements is dispensed with, there is no successful negotiation.
5.1. Information:
We must know what does not let the other party with whom we negotiate sleep, its mission, vision, because it negotiates.
His negotiation strategies, all about him without leaving a single detail if necessary; because the more we know the counterpart, the better we get along with him, because we can turn his weaknesses into our strengths, information is a very important element, because he who negotiates without information is negotiating a defeat.
5.2. Weather
You have to take the time necessary to make a good closing, you must keep in mind that you have to close the negotiation, however, do not always push the negotiation towards the closing, it is better not to reach an agreement instead of making a bad one.
Once I bought a phone from my cousin, he put a good price on me, however I wasn't sure what I was buying, but he with persuasion techniques led me to the closing and I bought; However, after two weeks I realized that it was worthless and I was wrong, but I had already closed the negotiation, but I am not going to buy anything with my cousin anymore, I have lost confidence in him, even if it was not his fault.
So do not let the other party regret after closing, give him time to feel that his decisions are convincing, help him decide but do not push him.
However, there are times when the client is indecisive and that leads us to a heavy and lasting negotiation, for this we must study why the client does not close, what happens to him and how to help him close
5.3. Power
Everything that we are and that happens in our lives originates from our mind, from our way of perceiving and assimilating everything we see and think.
Cohen defines power as "the ability or ability to get things done… to exert control over people, events, situations and over oneself."
If we start with a position of loss, of inferiority to the other party, surely we will feel inferior and we tend to lose; the tool that increases our power is the information we have from the other party; For this reason, it is necessary to carry out the SWOT matrix to know the weaknesses of the other negotiator, thus turning them into our strengths.
Also speaking of power, it is necessary to mention decision makers, because if we negotiate with non-decision makers, we run the risk of having a negotiation without closing.
Exam
1. what is negotiation?
A) It is a dialogue between two people
B) It's a profit fight
C) It is a communication process aimed at solving conflicts and interests of two or more people
2. what is the ultimate goal in a negotiation?
A. Be the winner and take the trophy
B. Reach an agreement that convinces both parties
C. The other negotiator likes you
3. What is the information used for in a negotiation?
A. To meet the customer
B. To compare ourselves with the customer
C. To know the client's weaknesses and turn them into our strengths
4. who are the decision makers?
A. The people we negotiate with
B. The shareholders of the companies
C. The directors
D. Those who have the authority to close the deal without consulting anyone.
5. Why do you have to negotiate with decision makers?
A. Why they close the deal on the first visit
B. Because they are the most flexible
C. Because they have the ^ power ^, they are the ones who ultimately decide if the negotiation is closed or not
6. What is the need to use the SWOT matrix in the negotiation processes?
A. To know more about the other negotiator
B. It's a simple technicality
C. To know our current situation with respect to the other negotiator, thus increasing our negotiating power
7. Choose the group of tasks to be carried out in the pre-negotiation phase.
A. Search for information, define objectives of the client and ours, realization of the SWOT matrix
B. Make presentations, appointments with the client, seek empathy with the other party
C. Make concessions, pass information to the client, deliver the product
8. When do we rate a negotiator as good or great?
A. When you win all the negotiations
B. When never seat in a negotiation
C. When you are empathetic in a negotiation
D. When both parties are satisfied in their negotiations, without regrets
9. who is the ideal negotiator?
A. One who wins all negotiations
B. When in their negotiations both parties are satisfied, without regrets
C. When you have a maximum interest in both obtaining benefits and maintaining the relationship
10. The same time is invested in the smallest negotiation as in the robust one because:
A. Because negotiators are just as tough in one negotiation as in the other, it is not worth being tough when negotiating the sale of a pen.
B. Because our negotiator is not an expert, mature negotiators do not take long to close small negotiations
C. Because the same phases are used in one as in the other, and we can find the same difficulties in the two negotiations
Solutions
1C, 2B, 3C, 4D, 5C, 6C, 7A, 8D, 9C, 10C.
Bibliography
- Development of the Strategic Plan, ALEJANDRO LERMAN KIRCHNER The art of negotiation, ALLAN PEASE Elements of negotiation, CARLOS M. ALDAO-ZAPIOLA The art of negotiation. MAURICE A. BERCOFF The negotiations, ELIA ROCA: www.cop.es/colegiados/PV00520 Setting the rules of negotiation. Michael D. WatkinsNegotiation and Conflict Management, FABIÁN PÉREZ NÚÑEZ, Arequipa, 2011Strategic planning and negotiation, Chamoun- Nicolás HABIB CHAMOUN presentation 2007.Malabo, GENegocie, enjoy and win. ANTONI VALLS ROIG. NEGOTIATION TECHNIQUES VI Meeting of Heads of Protocol and Institutional Relations of Spanish Universities. University of Alicante, JOSÉ ANTONIO CARRIÓN, April 26, 2007 Deal Done- guide for a negotiation without failures 3 edition. 2008 Chamoun-Nicolás, Habib, and Linzoain, Pablo Negotiating like a Phoenician, KN 2008,Chamoun-Nicolás, Habib, and Hazlett, Randy.
