Critically Study of Negotiation Skills - Coursework Example

Critically study of Negotiation Skills Table of Contents Table of Contents 2 Introduction 3Concept of negotiation 3 Theories and approaches of negotiation 4 Conclusion 11 Reference list 13 Introduction In the current study, the concept of negotiation process is discussed on the basis of users. It can be said that the not only skilled representative, sales management and organisational management are user of such process. However, it is observed that almost each person is using such technique in terms of meeting potential agreement and welfare. Mainly negotiation can be defined as the discussion in terms of aiming to accomplish to a harmony situation for both the parties. In the current study, the researcher will outline different strategies of negotiation process (Barkat, 2002). The study is going to provide critical evaluation of the negotiation process. Different theories of negotiation stated to cite that negotiation process is adopted among the almost each and every individual. Further, this study outlines the process of negotiation among the individuals, local authority, SME and society. Concept of negotiation Negotiation is mainly a collateral process of getting the concern of two or more parties. In general term, negotiation is the process of collective bargaining that promotes a process of transaction of anything between two or more parties. This process is promoting aim of welfare of both the parties, along with the requirements and expectation of parties associated with the negotiation process. On the other hand, it utilises common ground that empowers stake of both the parties. Moreover, it promotes the harmony among the parties regarding any settlement. In addition, negotiation is also made on the basis of the mutual concern that makes the resolution of any sort of conflict. Negotiation processes are proved to be one of the most important processes in the daily life of people and operations of any business (Barkemeyer and Figge, 2011). On the contrary, negotiation term is used in banking and financial sectors also. Negotiation in this type of industry refers to the acceptance of any sort of transaction or future buy and sells financial instruments. In addition, it is observed that financial instruments are mainly facing negotiation process in the trading terms. However, contracting segments are looking for making proper compensation of the client and involved parties. Contracts are adopting negotiation actions in terms of making proper bidding of transactions. However, negotiation will be increasing outcomes of contract policies. Negotiation is involved in the trading processes also. Mainly in the globalised era, organisations are making proper negotiation in terms of trading the different instruments and commodities (Brazil, 2012). Mainly, transferor of trading process involves negotiation terms with the transferee. Mainly the terms of contract, delivery tenure, pricing of products and quality of commodities are negotiated among the two or more parties of trading. Negotiation process encourages trustworthiness among the people. In addition, values of the involved parties are kept well by the negotiation process (Cheng and Firth, 2005). Therefore, it can be said that negotiation process is not restricted among the higher management, skilled civil servant and sales management. Negotiation process is adopted by almost each and every people in terms of making any sort of transactions. Mainly, negotiation process is used by the common people in terms of making proper beneficiary actions. However, terms and conditions of negotiation are different for different type of segment (Crump, 2010). Theories and approaches of negotiation There are several theories of negotiation process. Mainly the theories are based on different approaches and features of various aspects of conflicts and disaster management. Assumptions are adopted in the system or approach. Still negotiation theories are having certain limitations that are limiting the feasibility of implementing such theory (Prietula and Weingart, 2011). Mainly the theories are stated to outline that negotiation process is not restricted among the higher level management and different type top level sales persons. Moreover, theories will state that negotiation process is adopted by different individuals and SME and everyday life. Structural theory: Structural negotiation process concentrates on revenue generation or potential economic benefits for the organisation. Positions of the negotiators are disseminated with the power deployment among the parties. Success criteria are maintained quite well in the negotiation process. Moreover, such negotiation process empowers position based assumptions. However, major limitations of such policy are that it might face potential threat of managing biased criteria. In addition, opportunity regarding collateral beneficiary is quite tough. Emphasising power of clients will tamper the role of negotiators (Taylor, 2005). Structural theories contrast the reasons of negotiation among every individual to increase their level of benefits. According to the structural theorists negotiation is one of the most important strategic directions that organisations and other peoples are adopting to gain more benefit from any sort of transactions. For example employees will aim to gain more compensations, managers will try to achieve more profitability, HR managers seeks for more accountability from the employees and customers will demand for more quality of service and products in lower price. Moreover, it is observed that local retail stores and SME do not have higher managerial hierarchy but negotiation process is observed among the organisational members and customers. However, organisations, managers and individuals will be facing the challenge of conflicts. Conflict can occur due along with the time among individuals, organisational members, managers, team members, society members, and many other organisational stakeholders. Conflicts reduce the scope of success among the organisational success. Difference and cross sectional policies are increasing ambiguity among different parties involved in transaction. Conflict arises due to different requirements of the people in addition negotiation process is contrasting various needs and expectations of involved parties. Negotiation process increases desire of the parties involved in the transaction with respect to meet predetermined aims of such people. In addition, negotiation process is outlining the beliefs of individuals and groups are contrasted with projected outcomes and operational process and roles (Crump, 2011). According to the structural theory, negotiators help various parties in making the contrast of their cultural and social beliefs along with operational policies. However, organisational conflicts management process will face certain complexity in absence of proper negotiation process. Mainly, arguments among the people and two contract parties must be handled well with the help of negotiators and allocating proper strategies of maintaining proper consideration of managing skills. However, bitterness among individuals and groups will create biasness among the peoples or stakeholders. Consequentially certain creating gap will rise in the organisational success. Mainly, many a time it is observed that the parties increase certain beliefs that increase a feeling of dissatisfaction. Therefore, negotiation process is widespread among the different areas. Negotiation offers organisations in achieving proper agreements that increases obstacle in the communications process among two or more parties (Druckman, 2001). This process is used in everywhere like daily business, SME, travelling or transportation, food consumption or preparation, accessories purchasing actions and many other transactional actions. Strategic approach of negotiations Mainly, Game Theory approach is adopted by negotiators in terms of providing best possible support. This policy emphasises on the final result along with the consistency in support. Positions of the clients are fixed by negotiators. It also has certain assumption like success criteria is maintained as per sustainability or existence of the stakes of clients. Best possible solutions are provided along with the lucidity in inter personal relationship. However, Strategic approach of negotiations has the limitation of excluding power provisions among the parties. Negotiators are not able to check the quality of various substitutive options in making the proper support among the parties (Thompson, 2006). According to Tracy (2013), strategic theories of negotiation involves various processes like process of negotiation, plan development, discussion of the strategic goals among the employees, developing success criteria and meet the harmony among various parties. Negotiation process is having certain stages to manage proper fluency in the performance of individual and teams. Moreover, organisations or firms are able to achieve the predefined outcome or budgeted revenue with the help of the negotiation actions. Taylor (2005) argued that individuals and organisations are facing challenge of structuring of approach to meet the conflicts or cross cultural aspects. Employees can emerge into conflict that can appear as because of employment situation. Nelken (2007) stated that conflict management can be done with the help of brain storming meetings and other negotiation process. Interaction is essential for negotiation process that helps in exchanging requirements and perceptions of the involved parties (Dur et al., 2011). Minnick and Noga (2010) cited that negotiation plans are prepared by the almost every person in terms of increasing the benefits. Individuals, organisational stakeholders, managers and other employees will adopt strategic negotiation approach. Negotiation process starts with a proper planning. According to Huang (2010), negotiators must be making proper decisions and plans that will support benefits of employees. Moreover, time of each review or bench marking of check up meeting will be making proper argument of problems faced by collateral parties. Furthermore, planning of negotiation activity will be identifying target stakeholders. Time scheduling for the negotiation strategies will ensure feasibility among the involvements and level of acceptance will gradually increase (Goldman and Rojot, 2003). Introductory stage of planning of negotiation process engages proper analysis of the potential situations faced by the organisation or group of individuals. Management or the negotiators are required to maintain proper dissemination of role and position of employees and other stakeholders. Behavioural approach of negotiators Negotiators some time acts as diplomatic as per their beliefs and cultural background. Personality of the negotiators provides main attribute of theory. It focuses on different type of character behaviour and success criteria. In addition, role of people are set as per their perceptions. Expectations of the clients are maintained by the efficient support. Excess concentration on the positions creates main limitation of the negotiation theory or approach (Tracy, 2013). Crump (2011) cited that the behavioural approach theory refers that negotiators are developing the problem statement faced by the different parties involved in the negotiation process. Negotiators are required to discuss the potential and already faced problems by the organisations and peoples in depth in terms of managing stage wise negotiation. However, individuals or organisational respondents must be outlining their understanding regarding the bilateral situation of the contracts and other trade agreements. Mainly negotiators are required for maintaining certain potential skills that will help them in making proper negotiation among the parties. They are required for inquiring various potential threats and problem statement of the clients (Irmer and Druckman, 2009). Along with that, negotiation process and negotiators must be having certain skills of listening to the problems faced and illustrating the areas of making suggestive measures. Negotiators are required to show certain aiding action in terms of managing proper benefit from the contracts. In addition, skill of negotiator is very important to make discussion of various complexities (Korobkin, 2002). For example problem statements of the employees are concentrated on the rate of compensation, working hours and workplace cultures. On the contrary, customers will record their concerns regarding the quality aspects and order maintaining process. Cheng and Firth (2005) stated that the behavioural approaches cite that the negotiators must clarify the goals of negotiations among the parties. Thus, negotiation process continues more critically and analytically after the discussion of problems. Goals of the organisations and individuals are attainable with the help of collected data. Negotiators are maintaining the interests of clients. In addition, clarified data is making more efficient bilateral support for the associated parties (Landau, 2000). Priority list is maintained by negotiators to make more accommodating suggestions in making proper negotiation for the welfare of related parties. Through this clarification, it is often possible to identify or establish some common ground. Explanation of problems is an essential strategy in the negotiation process. In absence of proper explanation of the problems confusion and errors will rise in the operational state. Problems statement will outline various barriers for reaching a beneficial outcome (Liu, 2011). According to Barkemeyer and Figge (2011), behavioural approach will outline activity of negotiating different issues. Individuals will be allocated with different behavioural traits by the negotiators. In addition, such theory outlines the various organisational and individual traits and action strategies in terms of the managing higher benefits. Concession approach of negotiators: It exchanges the ideas focusing on the recognition construction. Negotiators behaviour helps them in meeting the positions along with the speculative criteria. Reactive nature of negotiators is the major response of conflicts and problems. It provides importance on positions of clients. However, productiveness of the negotiators is lower in such actions (Wheeler, 2007). Barkat (2002) argued that the concessional approaches of negotiating actions will be concentrating on the outcomes. Negotiators emphasises on the success criteria and making proper guidance on meeting outcome. Barkemeyer and Figge (2011) argued that the negotiators are taking the stake of every client into consideration. They are targeting greatest result from the contracts or transactions. Negotiation leads management or individual to perform well in terms of achieving ultimate goal (Minnick and Noga, 2010). For example employees are guided by the institutional stakeholders in terms of achieving higher profitability and customer satisfactions. Customers demands more quality in the service or products and easier availability. Crump (2010) started that negotiators are creating the scope of implicating substituting strategies that will help in employing more efficiency in the operational flow. Negotiators are also controlling the operation of potential customers. On the other hand, Crump (2011) cited that negotiators and clients must have the agreement to increase the benefits. An agreement among the negotiators and clients will provide the fruitful features of maintaining beneficiary for both parties associated with any type of contract or business deal. Gifford (2007) opined that contract terms and agreement must be outlining the aims, objectives, and potential goals of the organisation. Negotiators are empowering peoples to increase their stake offering in making suitable resolution for the conflicts. Agreement of negotiation includes proper belief of the negotiators that includes proper identification of various factors. Goldman and Rojot (2003) argued that after the agreement, negotiators must employ proper route of operation that will outline feasibility in the decision making process. However, it is crucial for making proper decision Integrative type of negotiation In this phase of theories negotiators are adopting process that basically depends on models. Principled discussions are focused on certain problem that are analytically solved and creates scopes of maintaining values for both the parties. Communicating is another essential action of the negotiators. Potential of achieving success is quite easy. Parties are allowed to find the remedies of stress and conflicts. Collective bargainers are empowered over here. It is a time consuming method (Wolf, 2000). Conclusion In the current study, the researcher has made an in-depth discussion on negotiation process. Moreover, the study provides critical analysis of negotiation process that is used by used by not only the management or skilled person but also by different type of being. From the study, it is obtained that stages of negotiation process are used by almost every person. It can be said that negotiation process is not restricted among the “skilled diplomat, top salesperson, or ardent advocate for an organised lobby”. Negotiation is a process that is adopted by almost every person in terms of obtaining higher benefits. Organisations and negotiators in the planning state are desired to maintain proper role and responsibilities. However, conflicting state will restrict the organisations in reaching suitable outcome regarding profitability and management of actions. Negotiation is essential in developing organisational policies and planning is the basis of meeting requirements. Responsibility of each individual are framed in the planning stage for the negotiation policies. Negotiators discuss reasons of conflict and accordingly manage reduction of such conflicts. Negotiation process puts extreme importance in the listening process. Moreover, negotiation process provides equal opportunity for every involvement party. Current study outlines negotiation process is used by different persons and members of management. Moreover, contrasting various negotiation theories it can be said that negation process is almost same wherever it is applied. The aim of the negotiator is increasing the benefits for both the parties. Reference list Barkat, J., 2002. Building on the Strengths of Different Approaches. Negotiation Journal, 18(4), pp.359-362. Barkemeyer, R. and Figge, F., 2011. Fordlândia: Corporate Citizenship or Corporate Colonialism. Corporate Social Responsibility and Environmental Management, 19(2), pp.69-78. Brazil, W., 2012. Why negotiations are important?. Negotiation and Conflict Management Research, 5(4), pp.331-333. Cheng, S. and Firth, M., 2005. Ownership, Corporate Governance and Top Management Pay in Hong Kong. Corporate Governance, 13(2), pp.291-302. Crump, L., 2010. Strategically Managing Negotiation Linkage Dynamics. Negotiation and Conflict Management Research, 3(1), pp.3-27. 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Negotiation and Conflict Management Research, 4(2), pp.77-109. Taylor, M., 2005. Negotiation. Oxford, UK: Oxford University Press. Thompson, L., 2006. Negotiation theory and research. New York: Psychology Press. Tracy, B., 2013. Negotiation. New York: American Management Association. Wheeler, M., 2007. Negotiation Journal. Negotiation Journal, 23(4), pp.365-366. Wolf, 2000. Indigenous Approaches to Water Conflict Negotiations and Implications for International Waters. International Negotiation, 5(2), pp.357-373. Read More