Study Guide - Exam 1_Fall 2024.docx

**Study Guide on Topics for Exam 1** **Content/Material Sources:** - Textbooks: - DeMarr & de Janasz (2019) Text Chapters 1 -- 2 - Getting to Yes (2011) -- Chapters 1 -- 3 - Lecture Slides: - Course Overview and Introduction - Introduction to Negotiation - Foundations of Confli...

**Study Guide on Topics for Exam 1** **Content/Material Sources:** - Textbooks: - DeMarr & de Janasz (2019) Text Chapters 1 -- 2 - Getting to Yes (2011) -- Chapters 1 -- 3 - Lecture Slides: - Course Overview and Introduction - Introduction to Negotiation - Foundations of Conflict **Chapter 1 (text) and Course Overview and Introduction to Negotiation Slides** - Define negotiation according to the three aspects reviewed in the lecture. - Process: facilitates two or more parties exchange of information, goods, and/or service with the intent to reach a mutual agreement on items or elements of value - Set of actions/activities for: - Problem solving - Communication - A tool of influence - Decision-making structure: that helps us achieve desired outcomes with others whenever we cannot obtain our objectives single handedly - What is the goal of negotiations? - Share or divide a limited resource - Resolve a problem or dispute or difference between the parties - Create partnerships to increase value for both sides - Create something new that neither party could attain on his or her own - What are alternative outcomes to reaching an agreement? - Fight openly - Acquiesce - Third party - **Define the term interdependent** - Implicit in all negotiations that the parties have some level of interdependence ( they are neither completely dependent nor completely independent) and by that by working together, all will benefit. - Be able to define and know the distinction between **distributive** negotiation and **integrative** negotiation - Integrative negotiation is a collaborative approach where the parties work together to reach an agreement that meets the needs of all parties. - Ongoing relationship with other parties - Distributive negotiation is an approach where each party is trying to obtain the best possible outcome for himself without concern for the relationship with the other party. - One-time transaction with someone - Know that negotiation focuses on both **substantive** (tangible) issues and the importance of building **relationships** (specific intangible) - Substantive issues like price or terms but also actively building relationships with the other party through trust-building and communication which are considered intangible aspects, crucial for a positive outcome - Know the difference between **tangible** and **intangible** factors and be able to recognize examples of each - Management of tangible; the price or the terms of agreement - Resolution of intangibles; the underlying psychological motivations, such as winning, losing, saving face - Explain the importance of both outcomes and process in negotiation. - Outcomes: - Goal achievement - Satisfaction - Sustainability - Process - Relationship building - Efficiency - Perception of fairness - Future negotiations - Together the outcome and process ensure that both immediate goals are met, and that long-term relationships and mutual respect are maintained. - Describe the types of engagement referenced in the lecture slides - Two or more parties exchange information, goods, and/or services with the intent to reach a mutual agreement on items or elements of value - Process that seeks to resolve the differences in the needs and desires of teo or more parties - Define the concept of **interest** in negotiations and conflict management - What you hope to accomplish to address your underlying concerns, needs, desires, or fears - It is not simply what you are "interested in" - May include substantive issues, procedures used, maintaining the relationship, and matters of principle - Explain the role of incentives in negotiation - Successful negotiators know that people respond to incentives and that you can often get more for yourself by understanding and offering the other party what they want - List and explain the **six characteristics** of negotiation stipulated in your text (note that the slide deck has one additional characteristic -- this is not required in your answer) - There are two or more parties - There is a conflict of interest - You expect a better outcome because of the negotiation - The parties prefer mutual agreement - There is an implied quid pro quo - There are both tangible and intangible components - Know the reasons **why** we negotiate from the lecture - Share or divide a limited resource - Resolve a problem or dispute or difference between the parties - Create partnerships to increase value for both sides - Create something new that neither party could attain on his or her own - Describe some of the common mistakes discussed in class. - Lack of understanding of what you want (your objective or goal) - Failure to thoroughly prepare to negotiate - Focus on competing rather than collaborating - Fall back on shortcuts (influenced by biases and situational perception) - Being overly ridged with your strategy - Let emotions get the best of us (we become emotional) - Sometimes -- we take ethical shortcuts (they start off small) - Based on the cup negotiation activity, what is the difference between a bargaining range and a bargaining zone? - The bargaining range is the range of offers that each party is willing to consider during the negotiation process - It spans from the minimum a party is willing to accept to the maximum the party is willing to offer - The bargaining zone is the overlap between the two parties bargaining ranges - This represents the space where both parties can find a mutually acceptable agreement - The bargaining range refers to an individual party's limit while the bargaining zone is the shared space where both parties' limits overlap allowing for a possible agreement - In negotiation, ethical lines can sometimes be blurred. Why? What is someone's ethics based on? - Deception - Disclosure - Fairness - Fidelity - Respect - Based on individual differences and one's ability to extricate oneself from ones actions that push or even go beyond moral limits **Foundations of Conflict** - Describe the concept of **conflict** and when conflict can arise - A process that begins when one party perceives that another party has negatively affected, or is about to negatively affect, something that the first party cares about. - Disagreement or apposition - Perceived divergence of interest - Reaction to the feeling of being wronged - Belief that the current aspirations of multiple parties or ideas (even individual) cannot be achieved simultaneously - Differences in how a problem is to be solved - Recognize the different loci of conflict -- specifically intragroup, intergroup, & interpersonal conflict - Intra group conflict- conflict within a group - Among team and committee members, within families, classes, etc. - Intrapersonal conflict- conflict that occurs within and individual - We want an ice cream cone badly, but we know that ice cream is very fattening - Intergroup conflict- conflict can occur between groups, organizations, disagreeing nations, feuding families, or withing splintered, fragmented communities. - Thes negotiations are the most complex - Interpersonal conflict- conflict between individuals - Conflict between bosses and subordinates, spouses, siblings, roommates, etc. - Know the two **types** of conflict discussed in class - **Functional conflict** supports the goals of the group and improves performance - Conflicts that hinder group performance are **dysfunctional** or destructive forms of conflict - Describe what occurs when conflict is functional and dysfunctional based on the lecture slides. - Conflict is functional and constructive when it, improves the quality of decisions, stimulates creativity and innovation, encourages interest and curiosity, provides the medium through which problems can be aired and tensions released, and fosters and environment of self-evaluation and change. - Conflict is dysfunctional and destructive when it, historical view of conflict, breeds discontent, reduces group effectiveness, and threatens the group's survival. - Know the **categories** (sub-types) of conflict discussed in class - Task Conflict: relates to the content and goals of the work - Relationship conflict: relates to interpersonal relationships and incompatibilities - Process conflict relates to how (process) the work gets done (related to task conflict) - Status conflict: concerns disputes over status position within a group's social hierarchy - Know the difference between **dyadic** and **organizational** level conflict - Dyadic: - focused on behavioral outcomes - interpersonal - individuals act in dyads or groups - conflict is seen as both separate from organization context - sources of conflict are largely focused on the individuals involved - perception, interpretation, personality, culture - Organization: - Focused on performance outcomes - Intragroup and intergroup - Conflict is dynamic and socially constructed; shaped by environment, context - Parties attach different meanings that change overtime and can be interpreted in different ways - Be able to list the **five conflict intention types** (the same ones as the Thomas-Kilmann Inventor) - Competing (forcing) - Collaborating (problem solving) - Compromising (sharing) - Avoiding (withdrawal) - Withdrawing (smoothing) - Recognize the **causes of conflict** discussed in class - Miscommunication - Differences in opinions or perspectives - Limited resources - Different objectives/goals - Personality - Culture (organizational and social) - Biases - Identify the functional and dysfunctional outcomes of conflict. - Functional outcomes- - Makes organization members more aware and able to cope with problems through discussion - Prompts organizational change and adaption - Strengthens relationships and heightens morale - Promotes awareness of self and others - Enhances personal development - Encourages psychological development (more accurate and realistic in self-appraisals) - Can be stimulating and enlightening - Dysfunctional outcomes - Combative, win-lose goals - Misperception and bias - Emotionality - Decreased communication - Blurred issues - Rigid commitments - Magnified differences, minimized similarities - Escalation of conflict - Based on the video in class, describe compassionate curiosity. - The practice of approaching others with a non-judgmental, empathetic, and inquisitive mindset - Involves seeking to understand someone's perspective, feelings, or actions without jumping to conclusions or becoming defensive - Curiosity, compassion, non-judgement - Fosters connections and trust, helps de-escalate, encourages self-awareness - Based on the video in class, what is an amygdala hijack? Know why it occurs and the three primary responses it triggers. - Refers to an immediate and overwhelming emotional response, often characterized by loss of control, that is triggered when the brain perceives a threat. - The amygdala is the part of the brain involved in emotional processing - Fight, flight, freeze - Be able to draw or sketch the conflict process reviewed in class. A diagram of a process - List and explain the four elements that allow you to embrace and manage conflict more effectively. This is found in the lecture slides. 1. **Identify the nature of the conflict:** though a difference of opinion about a product design or a work process is useful, personal friction and personality clashes are counterproductive. Understanding the difference between types of conflict allows leaders to better manage contentious exchanges 2. **Model good communication:** good communication when confronting conflict, combines thoughtful statements with thoughtful and purposeful questions, to allow people to discover and understand the true basis of a disagreement and to identify the rationale behind each position. 3. **Identify shared goals**: be identifying and embracing shared goals, teams are able to overcome the fundamental attribution errors that erode respect and instead develop an environment of trust. 4. **Encourage difficult conversations:** through good communication, its useful to engage in authentic conversations that help build resilient relationships and put aside ideological and personal differences - List the conflict management steps and know how they were applied in the case study reviewed in class. - Create an atmosphere for discussion that de-escalates emotion - Create opportunities for mutual understanding based on each parties needs and interests - Focus on commonalities or shared needs - Get to the root cause of the conflict by addressing the issue not the person - Collaboratively generate options, where possible - Develop high return solutions that improves the outcome and provides value (respect, trust, development, opportunity) to the employee and the organization - The case in class was about the certain departments in Florida having to report pension contributions as on-balance sheet. The first year doing this was challenging and we figured out how the Deputy Secretary could use these six steps to get to the bottom of the conflict. - Define an opening offer. - Opening offer is the first offer made by a party in any negotiation and serves as an anchor in that it sets a boundary on the negotiation - From the seller's standpoint this is the asking price, from the buyer standpoint this is the first offer made - Describe the concept of reciprocity in the context of negotiations. - The notion that if someone does something for you, you owe them \-\-- is one of the most powerful principles there is in negotiation according to social psychologist and internationally respected expert on negotiation, Robert Cialdini - List the **five general steps** of the negotiation process - Preparation and planning - Definition of ground rules - Clarification and justification - Bargaining and problem solving - Closure and implementation - Describe what **BATNA** stands for - Best Alternative to a Negotiated Agreement - Define **settlement** point (also known as -- agreement) - Refers to the specific terms or outcome on which both parties in a negotiation agree - It is the final deal that both sides accept after bargaining and compromise, marking the conclusion of the negotiation process - Define and recognize the phrase **bargaining mix** - All the issues involved in a negotiation are collectively referred to as the bargaining mix - Define **reservation** or resistance point and **target** or aspirational point - Reservation: is a negotiators bottom line or the point beyond which she will not go - Target: is the best outcome each party can reasonably and realistically expect to obtain because of the negotiation and can be an important anchor for negotiators - Define **bias** - Is a tendency to favor, prefer, or have prejudice towards a particular perspective, idea, person, or group, often in an unfair or unbalanced way - It can lead to distorted judgements or decision-making because it limits the consideration of alternative viewpoints or objective facts - Define frame - The lens through which you view a negotiation, which also influences your behavior in a negotiation - Think of framing a negotiation the same way you would if you were taking a picture, wide angle = big picture - Know that in developing your negotiation strategy to determine your alternatives you must know what outcome(s) you are interested in achieving (i.e., **know what you want**) - Clarify your goals - Understand your alternatives - Set your target and reservation points - Anticipate the other party's interests - Prepare for flexibility **Getting to Yes -- Chapters 1 -- 3** - Know the three criteria we evaluate negotiations by -- GTY, pg. 4 - It should produce a wise agreement if agreement is possible - It should be efficient - It should improve or at least not damage the relationship between the parties - Know the **outcomes** produced by positional bargaining and illustrated in the examples -- GTY, pg. 6 - The more attention that is paid to positions, the less attention is devoted to meeting the underlying concerns of the parties - Bargaining over positions creates incentives that stall settlement - In positional bargaining you try to improve the change that any settlement reached is favorable to you by starting with an extreme position, by stubbornly holding onto it, by deceiving the other party as to your true views, and by making small concessions only as necessary to keep the negotiation going - Describe the **two levels** negotiation takes place according to the authors -- GTY, pg. 10 - First: addresses the substance; at another, it focuses---usually implicitly -- on the procedure for dealing with the substance - Concerns your salary, the terms of a lease, or a price to be paid - Second: concerns how you will negotiate the substantive question: by soft positional bargaining, by hard positional bargaining, or by some other method - Know what the concept of the second negotiation or meta-game is -- GTY, pg. 10 - Is a game about a game (meta-game) - Each move you make within a negotiation is not only a move that deals with rent, salary, or other substantive questions; it also helps structure the rules of the game you are playing - List and describe the four basic points of principled negotiations -- GTY, pg. 11 - People: separate the people from the problem - Interests: focus on interests, not positions - Options: invent multiple options looking for mutual gains before deciding what to do - Criteria: insists that the result be based on some objective standard - Understand the dynamic of **relationship** and **substance** in negotiation -- GTY, pg. 22-23 - Positional bargaining deals with a negotiator's interests both in substance and in good relationship by trading one off against the other - Separate the relationship (the people) from the problem - Find a balance between maintaining a good relationship and achieving a satisfactory substantive outcome - Understand the concept of **perceptions** and acting **inconsistently** in negotiation -- GTY, pgs. 28-29 - Perceptions are the ways in which people view or interpret reality - Acting in ways that are inconsistent with how you want to be perceived can harm the negotiation - If you want to be seen as fair but your actions appear manipulative or overly aggressive, the other party may distrust you, even if your intentions are good - Be able to define and describe the concept of **Face Saving** -- GTY, pg. 31 - Involves reconciling an agreement with principle and with the self-image of the negotiators - Its importance should not be underestimated - Know how the authors suggest a **wise solution** can be produced -- GTY, pg. 42. - The librarian could not have invented the solution she did if she had focused only on the two men's stated positions of wanting the window open or closed - Instead, she looks to their underlying interests of fresh air and no draft - This difference between positions and interests is crucial - Be able to list the **five basic human needs** described in the text -- GTY, pg. 50 - Security - Economic well-being - A sense of belonging - Recognition - Control over one's life