The Astron Road Show
On April 18th, National Director Michael
Maciekowich will present to the RVHRA Northeast
Kingdom SHRM Chapter in Newport, VT. Mike will be
presenting on
Linking Employee & Leadership
Competency, Performance and Rewards using the
"Strategic Management Assessment Review Tool
(SMART)”.
If you can’t make it to the
conference, we’ll post the presentation on our
website after April 18th.
Is Your Business One of the Best
Companies to Work for in New York State?
New
York State-Society for Human Resource Management
(NYS-SHRM) has created a new program dedicated to
finding and recognizing NY’s best employers. The
Best Companies to Work for in New York campaign
aims to raise the bar among our state’s employers
and create the kind of workplace excellence and
employee satisfaction that will attract talent for
years to come. Formatted as a workplace analysis and
competition, the winning companies will be chosen
from companies that register for the two-part
company assessment, including an employee
satisfaction survey. Winners will
be featured in a
publication distributed statewide and honored at a
special awards recognition event. The program is
the only one of its kind endorsed by NYS-SHRM. At
the July 2007 NYS-SHRM Annual Conference at the
Turning Stone Resort and Casino, a special breakout
session will provide information about the
competition and ways to create a great place to
work. Deadline for registration in the Best
Companies program is September 21, 2007. For more
information or to register, visit
www.BestCompaniesNY.com.
Effective Negotiations: Additional Factors to
Consider
Last week’s
Astronology explored the idea of
negotiations from an economic perspective. Are
there other factors to consider when attempting to
negotiate effectively? Of course!
When discussing effective negotiation skills, there
are three main areas of focus. The first is to
understand how and why negotiations and negotiators
fail. The second, understanding the role compromise
and accommodation play in successful negotiations.
The third factor to review is to understand how to
plan for a successful outcome.
Why do negotiations and negotiators fail in the
first place? Many times, there are some basic
reasons for this occurrence. However, negotiations
just as easily break off for unknown reasons leaving
the parties frustrated and with no opportunity to
re-engage the process. According to
The Negotiation Institute there are three
fundamental reasons for negotiation failure:
1..
The great majority of negotiators never
translate their general knowledge of negotiation
into specific skill(s) that can be called upon with
the same simplicity as the multiplication
tables…“Framing” is a means to process and organize
information. A frame provides a perspective of the
problems or issues for a decision maker. Using a
framework can allow you to consider all potential
gains and losses and available options for any
situation. Without first committing some specific
negotiating framework to memory, the growth of truly
exceptional negotiating skills is practically
impossible to achieve, outside of a slender
professional specialization or set of issues.
2.
The majority of negotiators focus on what
they believe their starting positions are rather
than focusing on the preferred outcome. In other
words, far too many negotiators focus on the
weaknesses or strengths of their starting positions
rather than focusing on the accurate assessment and
quantification of the real challenges and issues
standing between themselves and their counterparts.
One of the most vital skills a negotiator can
develop is the skill of knowing how to assess and
quantify the real issues that stand between the
parties - rather than acting or reacting based upon
a perception of what one believes those issues to
be. Learning to accurately assess and quantify the
apparent and hidden issues between the parties
involved in a negotiation is a skill that
necessitates disciplined focus and a systematic
approach.
3.
The third fundamental reason negotiators fail
is fear. No matter how much you know about
negotiation or about the strengths and weaknesses of
your counterpart, if you are missing the courage,
discipline, and determination to act in the face of
risk or uncertainty, you will frequently fall short
of achieving the best possible outcome in a given
situation. Fear will always invite you to aim for
less than you are capable of achieving. Defeating
fear requires a genuine commitment, a methodical
process, and a journey beyond the borders of
flawlessly executed tactics and techniques.
With this basic understanding of why negotiations
and negotiators fail, the second critical aspect to
effective negotiations is to understand the role
that compromise and accommodation plays in effective
negotiations. According to an article from
Poyner & Spruill LLP on business negotiations,
it is important to recognize and understand the
roles compromise and accommodation play in the
negotiation process.
The primary goal of effective negotiation should be
to achieve a deal that both parties can live with
and that accomplishes your purposes without making
the other party walk away from the deal or
permanently scarring a valuable relationship.
Negotiation in this context requires informed,
creative compromise and accommodation. Effective
compromise requires homework and credibility as well
as critical analysis and perspective regarding the
other party and the deal. A key to good negotiation
is the ability to recognize a deal that should not
be made or cannot be made on reasonably acceptable
terms due to the bargaining position or attitude of
the other party. This is often the case if the other
party or its representatives constantly create
crisis and impasse. When this happens, the points
either are valuable to the other party (or that
party wants you to think they are) or it is their
style. It may be good judgment to terminate
negotiations because a reasonable deal is probably
not possible.
The third and final element that facilitates
effective negotiations is to understand how to plan
for a successful outcome for your negotiation
efforts. According to an article by Jonathan
Farrington in
Ezine Articles, there are six key aspects of
planning for effective and successful negotiations.
These include the following:
1..
Objectives:
Before entering into the negotiation, you need to
have a clear idea of your objectives and try to work
out those of the other side.
2.
Information:
It has often been said that information is power.
The early phases of negotiation consist of both
sides finding out more information before talking
about a specific deal or set of alternatives.
3.
Concessions:
Negotiation is a process of bargaining by which
agreement is reached between two or more parties. It
is rare in negotiation for agreement to be reached
immediately or for each side to have identical
objectives. More often than not, agreements have to
be worked out where concessions are given and
received and this is the area where the
profitability of the final outcome will be decided.
4.
Strategy:
Planning your strategy is important in negotiation.
Once you know your objectives, you need to work out
how you are going to achieve them. It is also useful
to try and see the negotiation from the other side
and try and work out what their strategy will be.
5.
Tasks:
If you go into negotiation with a colleague or
colleagues, you need to decide during the
preparation phase: What role will each team member
take in the negotiation? How can we work together in
the most effective way?
Once you’ve done your homework, it’s time to relax,
right? Wrong. Being an effective negotiator
requires skill, practice, and keen awareness of the
external environment. Practice your negotiation
skills at home on the small things – like what to
make for dinner – and you’ll be ready when the time
comes to negotiate that new labor contract or win
over that key candidate for an executive role with
your fair and effective total compensation program.
It’s also important to remember that negotiations
take place every day. We tend to think of
negotiating in “big” terms like union activity or
new employee recruitment. Delegating project
duties, determining how to celebrate this month’s
office birthdays, and working in a cubicle
environment all require the tact and skill of any
effective negotiator.
Do you have a story to share about a time when you
used your effective negotiation skills to your
benefit? Or how about a time when you wish you had
better experience with negotiating?
Share your stories with us and we’ll publish
some in our next issue of Astronology.