This role-play focused on a salary negotiation between a student, who is going to graduate from an MBA Programme, and Taylor (the employer). Our group played the role of the student. The main task is to negotiate with Taylor to get a job offer with a decision on relevant issues such as salary, start date, cost of moving, etc. From the perspective of the student, the job offered by the company of Taylor is very appropriate to the student’s interest in term of location and the job’s requirement. To be specific, if the student can successfully get this job, he will work in New York. This is also where his fiancée lives. Besides, the job position is going to be a product manager of a famous company that develops multimedia software. This position extremely fits with the student’s marketing experience and understandings of the graphics industry.
There are some matters that the student needs to consider. Firstly, the salary is the main concern of our group. Based on the information in this context, the student is advised not to accept a salary which is lower than $120 million. We also believe that this is an appropriate level of salary for the student. In addition, the company had increased its revenues by 66% last year. Thus, the company must be affordable to offer this salary to the student. Secondly, the student wants to start the job from 1st September because he intends to have a three-month holiday after his graduation in May. Thirdly, our group finds that the moving cost is also involved. The student expects the company to pay his moving cost up front, with approximately $9 million. Finally, the student also has another job offer, which is in San Francisco. This job seems to be attractive as the salary will be $108 million, plus...
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...hree critical aspects: the analysis of your party, evaluation of the other party and assessment of the situation. A sufficient preparation will help the negotiator be more confident and determined in their approach. They will know whether they should continue the negotiation or they will walk away. Preparation is apparently the key issue of reaching a good negotiation plan.
Develop the issue mix is also a significant lesson. That means to identify which issues are critical to the negotiators so that the negotiators can definitely talk about their needs and interests. The negotiators should avoid letting the counterparts defines the issues by themselves. In our case, we were successful to develop a set of different issues that we wanted to get. However, we let the employer led the discussion to only one main concern (salary) and ignored other important issues to us.
In the simulation involving a negotiation over a job offer at Robust Routers, I played the role of the human resource director; Leigh Bultema, and my partner played the role of Joe Tech; the recent MBA graduate seeking permanent employment with the technology company. Joe is not in agreement with the terms of the original offer and would like to negotiate the terms of certain issues within the bargaining mix. One key issue Joe is negotiating is the relocation to Robust Routers headquarters in Silicon Valley, California. He would rather remain in Nashville, Tennessee and become a telecommuter. Other issues within the bargaining mix include the annual salary, signing bonus, and stock options. In this negotiation, a variety of distributive bargaining and collaborative strategies and tactics were employed to reach an agreement.
Communication skills are important in professional negotiations and in personal life. This book discusses why we find some dialogue difficult, why we avoid it, and why we often address it ineffectively. Most important, the authors suggest methods for more effective, productive, and rewarding, interaction.
(4) Besides, each party should have an active listening to the other side to understand the other side’s real needs and interests. Moreover, when having a careful focus on the interests of the others, each party will have an opportunity to discover the mutual interest of both. Thus, all participants will have more basis to get a common agreement. However, it is worth noticed that one negotiator should not forget their own interest while pay attention to the others’ interests. Therefore, being flexible is necessary to protect one’s own interest and at the same time, associate with the others’ priorities.
1. The renewed job growth in the automobile industry in the United States is an effect of the use of two-tier wages. Two tier wages are pay structures that consist of different wages for old and new employees. Workers are getting paid at different rates. This happened to boost the job growth in the automobile industry significantly by providing a cost efficient pay scale for companies. Also, the labor cost of vehicles decreased, which knowingly helped companies. 100,000 people were employed in the late 1900s. The number was reduced to 550,000 during bankruptcies and the recession. The two tier wage helped stop this problem by increasing employment by a few hundred thousand.
Michael R. Carrell, C. H. (2008). Negotiating Essentials: Theory, Skills, and Practices. New Jersey: Pearson.
Negotiations styles are scholastically recognized as being broken down into two general categories and those are distributive bargaining styles and integrative negotiation styles. Distributive bargaining styles of negotiation are understood to be a competitive type of negotiation. “Distributive bargaining, also known as positional bargaining, negotiating zero-sum, competitive negotiation, or win-lose negotiation, is a type or style of negotiation in which the parties compete for the distribution of a fixed amount of value” (Business Blog Reviews, 2011). This type of negotiation skill or style approach might be best represented in professional areas such as the stock market where there is a fixed goal in mind or even in a garage sale negotiation where the owner would have a specific value of which he/she would not go below. In contrast, an integrative negotiation approach/style is that of cooperative bargaining, or win-win types ...
A key fundamental of successful negotiation is to be confident in what it is you desire to attain and also what you are prepared to settle for. Another key fundamental is to know what the other persons needs and objectives are in other words know what their strengths and
Negotiation, as we’ve learned, is the process of communicating where parties can discuss problems and/or targets and attempt to solve them via dialogue in order to reach a resolution. While many individuals feel successful negotiations are due to a natural skill, the truth behind reaching a prime agreement is preparation. You need to know the issue, know yourself, and know your party. This type of preparation also includes knowing your needs and limits, understanding what the other party wants and anticipating their limits, asking the right questions, and being creative in your counteroffers.
... be ready and able to follow protocol and assist with the negotiation team as needed.
The more effort in support of collaboration, cooperation, and communication during the pre-negotiation phase, the easier it will be to reach an agreement at the table. Bazerman (1999) identifies five obstacles or “deviations” that impact this process and provides potential solutions. Obstacles not identified and addressed during pre-negotiation will almost certainly interfere with the negotiation at the table and may be significantly more difficult to overcome at this stage.
During this course, I have learned a lot about negotiating. We learned about almost every negotiating technique there is. We learned about cross-cultural negotiations, body language, Best Alternative To a Negotiated Agreement (BATNA), variables in negotiating, and many more. Before this course, I did not know that much about negotiating. I thought that negotiating was just about trading or convincing someone to give you what you want and you did not care about the other side, resulting in a win-lose. I now know that negotiating is about getting what you want, but also giving the other side what they want as well to result in a win-win. This paper is about how I am going to improve my negotiating skills over the next six months. In order for me to improve my negotiating skills, I believe I need to improve the following skills- my body language, communication, planning, and my interpersonal communications. By improving those skills, I can become an effective negotiator.
on their own, and are more likely to settle for a lower wage than a
...w to apply these tactics into practice. Understanding the meaning of each tactics is just the first stage, flexibility in the use of appropriate tactics in future issues is more important. Besides, I need to make a detailed plan before the negotiation. Firstly, analyzing the interests, perspectives and weak points of the opposite side and selecting suitable tactics. Secondly, preparing several response strategies will help me to control the situations. Thirdly, setting the minimum level what I can agree on the issue is also essential part of negotiation.
With the internet accessible to almost everyone, work seekers are furnished with more data than ever. Data can be acquired for employment opportunities, sets of expectations, and even salaries. Now and then when rounding out an application, a box will request what salary you desire. A few job advertisements actually request that you send your resume with salary necessities. These applications are some of the time very hard to decide what salary you desire and/or what is a fair salary for this position. How much does that employer typically pay? Is the employment candidate worth the top pay? Some fundamental ideas ought to be comprehended before attempting to negotiate your salary. To begin with, one must understand that a job in New York City
Negotiation approaches are generally described as either distributive or integrative. At the heart of each strategy is a measurement of conflict between each party’s desired outcomes. Consider the following situation. Chris, an entrepreneur, is starting a new business that will occupy most of his free time for the near future. Living in a fancy new development, Chris is concerned that his new business will prevent him from taking care of his lawn, which has strict requirements under neighborhood rules. Not wanted to upset his neighbors, Chris decides to hire Matt to cut his grass.