Are You Ready to Negotiate?

Are You Ready to Negotiate? Test Your Preparation The following self-test is designed to help you determine how prepared you are for your upcoming negotiation. Be honest! Where are you? (a) The pre-bargaining phase? (b) The bargaining phase? (c) The closure phase? The pre-bargaining phase: Have you broken the problem down into issues? (a) Issues, sub-issues, and subterranean issues! (b) Why do that? (c) What s an issue? (d) No. Do you have enough information to negotiate intelligently? (a) I ve looked at every document and talked to everyone who knows anything indirectly related to the problem. (b) I looked at most of the documents and been fairly lazy about calling people who may know about this. (c) I have a lot of common sense. (d) That sounds like work. Have you evaluated each side s leverage? (a) I ve spent weeks analyzing and evaluating my BATNA 1. (b) I ve thought about it, but isn t evaluating leverage just instinctual? (c) I will get around to it. (d) What s leverage? What are your goals? (a) To find a solution that creates value for both sides. 1 BATNA is an acronym for best alternative to negotiated agreement. In other words, if you cannot reach an agreement, what is your next best option? This is a critical factor in evaluating leverage. Thomas Noble. All Rights Reserved. www.negotiatewithwisdom.com Page 1

(b) After considering my BATNA and the ZOPA 2, if I can cut a deal that does not split the difference, it s a win. (c) To do better than they do. (d) To improve the position that I am in now. (e) I d like to earn more money, lose 20 pounds, and retire before Social Security runs out of money. Have you developed rapport with the other parties to the negotiation? (a) I called everyone immediately, made nice, bought lunch, asked about their families, bonded like Super-Glue! (b) I have not actually met everyone else but I ve forwarded almost everyone some joke e-mails. (c) Why do that? (d) Those jerks? How can you establish rapport with a rattlesnake? What are your expectations? (a) Both parties will start at extreme positions, make a few concessions and work out a compromise after attempting to address the needs and interests of each party. (b) I expect to waste a lot of time dealing with unreasonable demands. (c) To close on my terms in time for lunch. (d) Didn t we talk about this already? What type of negotiation do you expect? (a) Competitive. (b) Cooperative. (c) Hybrid. (d) Face to face. (e) Heart to heart. (f) Separate rooms. (g) Machetes and derringers. 2 ZOPA is an acronym for zone of possible agreement. You do not always know what the ZOPA is in the prebargaining phase, but good preparation requires that you speculate as best you can. Thomas Noble. All Rights Reserved. www.negotiatewithwisdom.com Page 2

What if you spent more time and money on preparation? (a) I considered hiring an investigator, an expert witness, and a spiritual advisor but decided that would not likely pay big dividends. (b) Why not do it all? (c) I don t have it to spend. (d) I bought a bottle of Chardonnay, and I plan to drink it. Is that what you mean? Have you considered logistics? (a) Because of my diligent spade work on building rapport, I managed to get the other parties to agree to negotiate on a turf where I am comfortable, and they have no distinct advantages. (b) I have, and, given my leverage, there is only so much I can do to affect elements like venue and timing. (c) I ll mediate anywhere, any place! (d) How about Starbucks? (e) Can we just get this over with? What will your theme be? (a) My theme will be to emphasize the dramatic injuries I have suffered and their ability to compensate me. (b) My theme will be what s a theme? (c) It depends on what they do. (d) I just want a new car! What is your concession strategy? (a) I plan to start at x. I will then move to x-3. Unless I learn something new, I will then go to either x-2 or x-4. I will then inch to x-7 in as small an increments as the dynamics will allow for. (b) I plan to meet with my client before the negotiation, show up on time, and do my usual best. (c) Not yet. (d) Concessions are for sissies! Take it or leave it! (e) What the heck are you talking about? Thomas Noble. All Rights Reserved. www.negotiatewithwisdom.com Page 3

Have you considered potential tactics? (a) I have a co-negotiator. He and I are going to play good cop, bad cop. (b) I plan to use cooperation as a tactic. If that doesn t work, I will fall back on guilt. (c) I am going to do more to prepare the mediator in hopes that I can make a better first impression than the other side. (d) I plan to mention my cousin, Vinny, during the negotiation and mention kneecaps twice. The Bargaining Phase Some of these questions cannot be answered until you are on the brink of, or in the midst of, the bargaining process. If you are still in the pre-bargaining phase, confront these questions as best you can. Who will make the opening offer? (a) The one who most wants to change the status quo. (b) The one who most wants to frame the expectations of the other parties. (c) I never make the first offer. (d) Is that like a demand? (e) Does it matter? If you are going to make the first offer, how should you do it? (a) Wait until you discuss the issues thoroughly, consider each side s interests, and evaluate the viable options. (b) Make the highest offer you can justify. (c) Make the highest offer you can imagine. (d) Trick question: you shouldn t! (e) Go for their testicles! Will you be flexible? (a) Yes, I understand that, because neither party ever has all of the information about a particular problem, I usually learn something as a negotiation progresses. So, I stay flexible Thomas Noble. All Rights Reserved. www.negotiatewithwisdom.com Page 4

and adjust my concession strategy as the negotiation progresses. (b) I consider the offers of the other side, but I have a plan, and I am sticking to it no matter what they say. (c) Why should I be? (d) If you want flexible, buy a yoga app! Have you discovered the other side s needs, interests, and concerns? (a) I made it a priority before starting the bargaining phase. (b) They want as much as they can get, and so do I. (c) What am I? A psychologist? (d) Zzzzzzz Have you considered the ripple effect? (a) My team has carefully considered as many of the ramifications of an agreement as are known to exist. (b) That s not my problem! (c) There seem to be a number of references to wine in this questionnaire. (d) Om! Have you considered all of the options for resolving the problem? (a) I have brainstormed with my team and considered options that address the financial aspects of the problem as well as underlying emotions and motivations. (b) More than three gives me a headache. (c) I heard options are risky. (d) The only options are: they accept our offer or we will see them in court! What are the most viable options? (a) The ones that do the best job of addressing each party s interests, needs, and concerns, and creates as much value as possible. (b) A compromise within the ZOPA, after it has been whittled down as much as possible. Thomas Noble. All Rights Reserved. www.negotiatewithwisdom.com Page 5

(c) The one I proposed to begin with! (d) Options are risky! I told you that already! What are the impediments to reaching an agreement? (a) The other side has an incentive to delay. (b) Financial differences. (c) Emotional problems. (d) Could it have anything to do with my sending a case of Wet Wipes to the other side? The Closure Phase Which party is most anxious to close? (a) Do we really need a multiple choice question for this one? (b) I guess so. (c) Why does it matter? (d) My side, which means that I need to prepare all of the documents and get proactive! Who will prepare an agreement? (a) The side most anxious to close? (b) The side with the most money to spend on lawyers. (c) Since preparing an agreement costs money the other side. (d) A handshake is good for me. Have you prepared a closing checklist? (a) Yes. (b) No. (c) I don t know what that is. (d) Never have, never will. What is the most efficient method for closing? (a) The parties and the lawyers need to meet at the mediator s office and hammer out all of the drafting issues. (b) Let them work on the closing. We ll respond eventually. I don t want to seem too anxious. (c) I still like the idea of meeting at Starbucks. (d) I ll close them at the courthouse! Thomas Noble. All Rights Reserved. www.negotiatewithwisdom.com Page 6

What about emotional closure? (a) We have planned for that by building into the agreement a gradual phase-in of certain terms. (b) What am I? A psychologist? (c) Is there an echo in here? (d) Emotional closure? I m still trying to get over the Rangers losing game 6! Thomas Noble. All Rights Reserved. www.negotiatewithwisdom.com Page 7