Networking and Negotiating
Chapter 11Chapter 11
Introduction
Networking – a form of political behaviorPeople good at networking:
Tend to use outgoing, extroverted behaviorHave better human relations than those not proficient
at networking
Negotiation – coming to an agreement to do somethingPeople good at negotiating:
tend to use influencing tactics successfullydevelop good human relations
Networking
Networking – the ongoing process of building interconnected relationships for the purpose of politicking and socializingNetworking is a form of political behaviorPeople who are good at networking tend to use outgoing
extraverted behavior and have better human relations than those who are not
Networking is about marketing yourself
Networking Objectives: Reasons to develop your networking skills
To get a job or a better one
To perform better at your current job
To advance within an organization
To stay current in your field
To maintain mobility
To develop relationships
The Networking Process
1. Perform a self-assessment and set
objectives
2. Create your 1-minute self-sell
3. Develop your network
4. Conduct networking interviews
5. Maintain your network
Networking Interviewing Process
Step 1. Establish rapport – praise and read the person
Step 2. Deliver the 1-minute self-sell
Step 3. Ask prepared questions
Step 4. Get additional contacts for your network
Step 5. Ask your contacts how you might help themStep 6. Send a follow up with a thank-you note and status report
Negotiating (1 of 2)
Negotiating – a process in which two or more parties have something the other wants and attempt to come to an exchange agreement
Negotiation is also called bargainingNetworking can lead to negotiating
Negotiating (2 of 2)
Negotiating involves:shared interest (parties want to agree and
exchange)opposing interest (parties want different things
and don’t agree on everything)resulting in a conflict of interest
Thus, negotiating is a conflict situation
Bargaining Strategies
Distributive Bargaining
Negotiating over shares of a fixed pie
Creating a win-lose situation
Zero-sum game or condition
Any gain you make is at the other party’s expense
Integrative BargainingNegotiating to give
everyone a good dealCreating a win-win situationKey is to be open to options
besides take it or leave itYou have to have open
honest communicationsRequires flexibility to agree
on creative solutions
Analyzing Bargaining
Why integrative bargaining is not used often?Open, honest communications are required and
one needs to be flexible to agree on creative solutions
All parties should believe they got a good dealWork at the goal of human relations by
developing a win-win situation for all partiesNegotiating skills can be developed
The Negotiating Process
Plan Bargain
Postponement
Agreement
No Agreement
The Negotiating Process: Planning
Step 1. Research the other parties – Read them
Step 2. Set objectivesStep 3. Anticipate questions and objections and prepare for answers
Focus on meeting the other party’s needs
Step 4. Develop options and tradeoffs
The Negotiating Process: Bargaining
Step 1. Develop rapport and focus on obstacles not the person
Step 2. Let the other party make the first offerStep 3. Listen and ask question to focus on meeting the other party’s needs
Step 4. Don’t be too quick to give in and ask for something in return
The Negotiating Process: Postponement
When there does not seem to be any progress, it may be wise to postpone the negotiationsThe other party is postponing and you may
create urgencyYou want to postpone and the other party may
create urgency
The Negotiating Process: Agreement
It is common for targets to be in oppositionBargaining range – the range between
your limit and the other party’s limit, which falls between each party’s target and limit
Once the agreement has been made:restate it, and / orput it in writing when appropriate
The Bargaining Range
Other party’s limit
[upper]
($30,000)
Your limit
[lower]
($27,000)
Bargaining Range
Your target
($30,000)
Your opening offer
($33,000)
Other party’s target
($29,000)
Other party’s opening offer($26,000)
Your BATNA
Other party’s BATNA
Your Objective Range Other Party’s Objective Range
The Negotiating Process: No Agreement
If you cannot come to an agreement:Analyze the situationTry to determine where you went wrong so you
can improve in the futureYou may also ask the other party for advice
Cross Cultural Differences in Networking and Negotiating
Time to reach an agreement and deadlines
The focus on task vs. relationship
The use of power and influencing tactics
Communications – verbal and nonverbal
Where the negotiations should take place
Use of alcohol and choice of food
Name, rank/title, dress, greetings, and rituals
Influencing: Key Terms (1 of 2)
Leadership – the process of influencing employees to work toward the achievement of objectives
Motivation – the internal process leading to behavior to satisfy needs
Power – a person’s ability to influence others to do something they would not otherwise do
Influencing: Key Terms (2 of 2)
Negotiating – a process in which two or more parties have something the other wants and attempt to come to an exchange agreement
Trust – the positive expectation that another will not take advantage of you
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