The Ultimate Negotiation Strategy Matrix For Next-Level Leaders

The Negotiation Process

1. Preparation: Define goals, research the other party, determine your BATNA.
2. Setting Rules: Agree on the procedures.
3. Clarification: Exchange positions, justify demands.
4. Bargaining: Engage in give-and-take, develop mutual solutions.
5. Closing: Reach consensus, define terms, agree on implementation.
6. Evaluation: Review the process, outcomes, and learn for future negotiations.

Harvard Negotiation Model

The 4 principles of the Harvard Method:
1. Separate people from the problem.
2. Focus on interests, not positions.
3. Invent options for mutual gain.
4. Insist on objective criteria.
Negotiated Agreement: Alternative To a Negotiated Agreement (BATNA).

Distributive Negotiation Model

The 5-Steps to the Distribution Negotiation Model:
1. Define your target point and resistance point.
2. Understand the other party’s target and resistance.
3. Push for concessions.
4. Employ tactics to enlarge the pie.
5. Use persuasion and influence to achieve goals.

Sharing The Pie: 80% / 20%

Negotiation Strategy

  • 1. Price Fixation: Overlooking non-price terms.
  • 2. Cultural Blindness: Ignoring cultural influences.
  • 3. Overconfidence: Misjudging leverage.
  • 4. Internal Discord: Underestimating team dynamics.
  • 5. Poor Planning: Failing before negotiations.
  • 6. Caving In Too Much: Agreeing to unfavorable terms.
  • 7. Neglecting Long-term Implementation: Overlooking post-negotiation follow-up.

The RADPAC Model

R: Rapport - Get to know each other

A: Analysis - Know positions, needs, and bottom lines

D: Debate - Discuss about interests, connect to other side

P: Propose - Best possible sides on interests

A: Agree - Agree on terms, both informal or formal

C: Close - Having both sides agreed to solution

Principled Negotiation

  1. Thinking in terms underlying interests rather than demanding rigid positions.
  2. Coming to terms on solution acceptable to both sides.
  3. Using objective criteria as much possible for determining fair outcomes.
  4. Being prepared to walk away if necessary, & know what other possibilities you have.

Getting to Yes!

  1. Focus on mutual interests.
  2. Be fair and reasonable.
  3. Avoid bottom-line thinking.
  4. Communicate clearly and effectively.
  5. Be open to reason and alternatives.