Conflict and Negotiation Management
The nature of Negotiation
Negotiation is something that everyone does to varying degrees.
- Sharing or dividing limited resources
- Creation of something new
- Mergers & Acquisitions
- Dispute Resolution
- Customer Service
Bargaining is a competitive win-lose tactic (old school)
Negotiation requires win-win objectives for complex situations that are mutually acceptable to all stakeholders.
Negotiation Key Terms
Definition and Characteristics:
“The practice of recognizing and dealing with disputes in a rational, balanced and effective way. Conflict management implemented within a business environment usually involves effective communication, problem resolving abilities and good negotiating skills to restore the focus to the company’s overall goals.”
- Two or more parties
- Conflict between needs and desires
- We believe we can do better by negotiating
- We should expect a “give and take” process
- We seek agreement over
- Openly arguing
- Discontinuing contact permanently
- Hiring third party mediation
- Successful negotiation involves
- Managing the tangibles
- Resolving intangibles
- Psychological motivations
- Mutual need
- Interdependent goals are highly important aspect of negotiation
- Win-lose: I win, you lose won’t work
- Win-win: Both sides gain
- Win-win-win: Other stakeholders gain
Interdependence levels and situation structure guide both processes and outcomes
- Zero-sum or distributive
- One Winner
- Non-zero-sum or integrative: mutual benefit
- Mutual influence in ongoing
- Primary change force
- External locus of control
- Continual adjustment
Always two dilemmas
Value Claiming and Creation
Levels of Conflict
Intrapersonal / Intrapsychic
Group levels of Conflict
- Competitive, win-lose goals
- Misperception and bias
- Decreased communication
- Blurred issues
- Rigid commitments
- Magnified differences – minimized similarities
- Escalation of conflict
Functions and benefits
- Organisational members are more engaged with increased coping skills via discussion.
- Promises organisational adaptation and change.
- Improves relationships and heightens morale.
- Promotes self awareness and empathy.
- Enhances personal development.
- Builds psychological development & improving self analysis.
- Can be stimulating and fun.
Dual Concerns Model
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