1. A Project By: Deepti, Harshala, Manisha & RajeshNegotiation Skills
2. Negotiation Skills
The word "negotiation" originated from the Latin
expression, "negotiatus", which means "to carry on
business".
Negotiation is a basic means of getting what you want from
others by interactive communication designed to reach an
agreement .
3. There must be at least two or more parties involved
There should be a common interest between parties
Should have definite goals and objectives
Allow adequate time for the process
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Negotiation Skills
5. Positive Attitude
Knowledge of Negotiation Process
An understanding of people
A grasp of your subject
Creativity : Settle on a solution before you negotiate
Communication Skills
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Negotiation Skills
6. Relate : Building a Relationship
Explore : Interest on both Side
Propose : One concrete proposal addresses all
underlying interests
Agree : Compromising and create alternative
Negotiation Skills
7. Negotiation Skills
Distributive Negotiation Integrative Negotiation
Parties compete over the distribution
of a fixed sum of value.
The key question in a distributed
negotiation is, “Who will claim the
most value?”
The Seller’s goal is to negotiate as high
a price as possible; the Buyer’s goal is
to negotiate as low a price as possible.
There are many items and issues to be
negotiated, and the goal of each side is
to “create” as much value as possible
for itself and the other side.
The key questions is: “How can the
resource best be utilized?”
Parties cooperate to achieve maximize
benefits by integrating their interests
into an agreement. This is also known
as a win-win negotiation.
Types of Negotiation Skills in an Organization
8. Negotiation Skills
Distributive Negotiation
Happy Man wants a Car
I want by to buy
this Car
Yes, sir! How
can I help u?
I want to buy this
car $2000 to high,
can I get this in
$1500
Sir, Fixed
$2000, this car
bla… bla ..
Facilities
Both negotiated a lot and
finally the Happy Man
gets the car at 1500$
9. Negotiation Skills
Integrative Negotiation
Hamari Mange
puri karo!!
2.5% of
Wages
Bonus on
Every Diwali
Ok, Fine, I will Increase wages by 1.5%
but on every two year & bonus will be
given if workers will work for 2 hours
extra every day
10. Negotiation Skills
Characteristic Distributive Integrative
Outcome Win-lose Win-win
Motivation Individual gain
Joint and individual
gain
Interests Opposed
Different but not
always Opposite
Relationship Short-term
Longer or Short-
term
Issues involved Single Multiple
Ability to make
trade-offs
Not Flexible Flexible
Solution Not creative Creative
DISTRIBUTIVE VERSUS INTEGRATIVE
NEGOTIATION
11. Self Confidence, patient and sympathy
Know your Best Alternative to a negotiated
settlement “BATNA”s
Know when to start, stop & your bottom line
If other party respect you they will try harder
to agree with you
Aware of non-verbal communication
Negotiation Skills
12. Learn to Flinch
Recognize that people often ask more than they expect to get
The person with the most information usually does better
Practice at every opportunity
Maintain your walk away power
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Negotiation Skills
BATNAF.
13. Negotiation Skills
The term BATNA was coined by Roger Fisher and William Ury in their book Getting to
Yes: Negotiating Without Giving In. Negotiators who have a strong, well-defined BATNA
have an advantage because they have a clear benchmark to which they can compare any
negotiated settlement
