Theories and Principles of Negotiation - Essay Example

Negotiation Introduction Negotiation is simply the process where two or more individuals that have different objectives or needs discuss a matter to find a solution that is mutually, acceptable. A good negotiation exercise significantly, contributes to the success of all the parties since it helps in building better relationship amongst the parties, delivering quality and lasting solution, satisfying the needs of all the parties involved and helps to prevent conflict in the future. A good negotiator will aim at creating a constructive and courteous interaction, which is a win-win for all the individuals involved. A good negotiation will leave each party well satisfied and willing to do business with one another more and more (Faratin, Sierra and Jennings 159). New House Negotiation In this complex situation, most of my expectation based on the price that the buyer was finally going to accept. In this situation, mostly the buyer has more power than the seller does. This is because of the fact that the seller is the one with the burden to prove to the buyer that the house is worth the price he is asking for. Usually, it is obvious that the buyer will negotiate to put the price as much lower as possible (Faratin, Sierra and Jennings 160). All these considerations have to come to my mind to think of the amount I should start with to be able to come to an agreed amount that is either higher or equal to my price of choice. The amount to announce in the beginning should also not to be too high to discourage the buyer. In general, I was expecting a high resistance and much difficulty in the manner to begin the negotiation in the best way that will enable me achieve my goals in a manner that the seller will appreciate. Preparation for the negotiation First, I began conducting some research to understand the community as well as the selling price of similar homes in the location of the house to ascertain the real value and the demand for the house during that time (Faratin, Sierra and Jennings 162). This included the data concerning houses that sold recently and the terms used during the negotiations. The most important was to get the criteria used during pricing to be able to acquire convincing facts during the negotiation exercise. What followed was the determination of the facts that buyers rely on in the process of lowering the price of the house. I considered the facts such as the reason for the sale, the length of time the house was in the market, security reasons as well as the real defects of the house. This gave me full guidance on how I was going to defend my position before the buyer and convince him to accept the price without making loss. Behavior of parties involved Displaying politeness and showing high ethical practice were the most important attributes to convince each party about the truth of the facts he was presenting (Faratin, Sierra and Jennings 165). Each party did not want the other to develop a feeling of a person who wanted to dominate the negotiation or exploit the other. The demands presented by each party based on the belief that they were the real facts describing the nature of the deal. This was in an attempt to arrive at a conclusion that was going to please each other and maintain an everlasting business relationship. Each party was struggling to prove his honesty and show the other that he trusted what the other was saying. In other words, nobody wanted to appear as the one who made the final decision. What I learned about my Negotiation skills I witnessed my high power of negotiating and influencing a decision in favor of my set targets. Have the ability to organize facts and arrange them sequentially and produce them at the right time during the process. I visualized my ability to describe the details well and convince without cultivating negative feelings in the other party. However, some areas need improvement to be able to attain the real standard of a professional negotiator able to conclude a deal within a shorter time while producing the best results. For example, the ability to monitor feelings in both myself and the other party to ensure that each one appreciates the manner that the exercise happens even in situations that are more complex. In other similar situations, I expect to enhance my accommodative skills and ability to control the feelings that most often come during the negotiation (Faratin, Sierra and Jennings 163). For example, if the buyer presents a fact that intercepts your original fact, you need not to let the other party understands that it hurts you. On the other hand, if you successfully managed to succeed in influencing the buyer to accept a higher price than your original expectation, the buyer should not notice your joy. Analysis of the outcome The process successfully ended well as per the expectation since no loss and high profits above my expectation. The buyer appreciated the final price and the conditions of the sale that included the repair of the house. However, some of the tactics failed to convince the buyer adequately leading to some demands before acceptance of the price offered. In any negotiation exercise, it is normal to accept the fact that the buyer cannot accept the initial price offered irrespective of the high strength of the facts presented. The buyer will try to his lovely best to lower the price as much as possible. Theories and principles The theories and principles applied during the process of negotiation depend on the matter on discussion, the objectives set, the nature of the person whom you entered with in the negotiation among other factors (Faratin, Sierra and Jennings 165). However, in most cases, principled negotiation is the best approach to use. This aims at achieving a win-win outcome where each party appreciates the outcome of the negotiation. It provides the distinction between negotiation and confrontation or personalization of the issue. It focuses on the interest rather than positions and generates many options before arriving at the final agreement. The agreement arrived at the end of the negotiation basis on the objectives of the parties involved. Salary Negotiation Here, I was similarly expecting high resistance from the other party because he would try to convince me that it was not the right time for me to ask for such an amount (Faratin, Sierra and Jennings 160). Bearing in mind that the outcome is going to increase the cost of labor, it was clear to me that the pay rise I would begin in the first step of the negotiation was not the one he was going to accept. Again, the biggest challenge on my part was to determine the amount I was going to increase from my target in order to arrive at the exact amount or higher than the rise, I was expecting. Preparation for the negotiation Here, it also began with a thorough research on the new responsibility assigned and the comparison with the payment standard at the time. Consideration of the work experienced and the history on what the previous person received assisted in setting the target amount. Details concerning the new responsibility were important in obtaining the real facts that would support me during the negotiation (Faratin, Sierra and Jennings 162). A clear prediction on the response that would come from the other party was important to prepare for answers that were going to defend my preposition. I understood that the major burden was on my side to prove that it was the right thing for me to receive the pay rise. In addition, I kept a very good track on my achievements and the places I performed well to prove how much worth I was to strengthen my negotiating power. Behavior of parties involved On my part, I was demonstrating very high level of confidence and ability to prove that I deserved what I was asking for, and did not arrived at the decision out of greedy and desire to earn more. My argument based on the additional responsibilities and my capabilities rather than imitation of what the former employee on the same position earned. In other words, I was demonstrating very high level of honesty and trust to prove that increasing my pay was the right thing for me rather than simply a privilege. On the other hand, the employer was also using facts to defend his position and show that his decision did not aim at undermining me but based on just the skills and prevailing work conditions in the organization. No attempts of deceive from both sides and each one tended to show high ethical behavior. My negotiation skills Proper arrangements of facts that enable to influence a specific decision evident through the pay rise finally agreed on. Can express myself well and explain in detail all the important components surrounding the entire issue. High ability to predict, prepare answer and respond accordingly, enables me to succeed in influencing the outcome of the negotiation. The other part that needs improvement is patience and the ability to monitor feelings on both my part and the other party to completely, qualify as a professional negotiator. Improving the techniques of monitoring the changes in the feelings of the other party coupled with high ability to accept the answer that act in contrary to the desire or one’s objective will help in confronting such matters in a more effective manner to arrive at the best conclusion. Analysis of the outcome The outcome was mutually accepted by all the parties involved in the negotiation as the employer accepted that it was the right thing to increase my pay and that the increase reflected the true value of my service. It is very clear that no any single employer is going to accept the fist amount mentioned by the potential employee and the employee needs to be very tactful when mentioning the first amount (Faratin, Sierra and Jennings 165). Owing to the length of time that lapsed before the conclusion means that the negotiation process encountered a lot of dissatisfaction from the two parties before each one could understand the truth of the facts each one was presenting. However, the outcome was very desirable taking into considerations all the important factors surrounding the situation. Theories and principles In negotiating for pay increase, one must be able to clearly, establish the difference between the responsibilities in the new job and the ones in the earlier job to be able to gain high negotiating power during the exercise. This will also help to prove that you have the necessary skills to perform well in the new job and responsibilities assigned. Another idea is that the negotiator has to greatly, focus on the market data concerning the new job rather than the current payment one is receiving. Another most important consideration is that the negotiator demanding for pay rise must know the right time to start the negotiation to avoid presenting his ideas at a time when he does not have enough facts to support his proposed amount (Faratin, Sierra and Jennings 165). Conclusion Negotiation is a very complex process that requires very good preparations before engaging in it. A good research is necessary to gather all the important facts and gain a proper understanding of the situation. This will enable him to gain a high negotiation power and be able to adequately, respond to the questions that the other party will rise. Usually, the initial amount mentioned by any party is not the one that the two parties will agree. This means that, one has to be very careful when determining the initial amount that he will mention during the start of the negotiation process. The most perfect negotiation process, professionally conducted, will lead to an outcome that will please all the parties based on their goals and objectives set. Monitoring the feelings as well as patience are key factors to the success of any party during the negotiation process. Work Cited Faratin, Peyman, Carles Sierra, and Nick R. Jennings. "Negotiation decision functions for autonomous agents." Robotics and Autonomous Systems 24.3 (1998): 159-182. Read More