Week 9_OBHR

• Distributive bargaining

  Bargaining where the goal is to divide up a fixed set of resources
• Negotiations consist of

  -Target point

  -resistance point

  -Asking price

  -BATNA
• Distributive Negotiation

  • goals of one party in direct conflict with another party
  • One person's gain is another person’s loss
  • Maximizing one’s own share of resources is the goal
• BANTA

  -Best Alternative To a Negotiated Agreement

  -Reservation Price is BATNA +/- things that make you want to do the deal (switching costs, ego, miscellaneous preferences)
• Incompatible goals are

  goals of group A interfere with group B's
• Differentiation: differences in training, beliefs, experiences, values
• Interdependence: own tasks/rewards depend on others' performance
• Ambiguity: unclear or complete lack of rules on how work is done
• Resources: when groups compete for the same limited resources
• Group Identification: In-groups based on common interest, background, etc.
• Sources of conflict at work

  • Incompatible goals
  • Differentiation
  • Interdependence
  • Ambiguity
  • Resources
  • Group Identification
• Task/Cognitive Conflict (Assertiveness)


  Conflict that is task-oriented and related to differences in perspectives and judgments regarding an issue
• Affective/Relationship Conflict (Cooperativeness)


  Conflict is emotional and aimed at a person, result in retaliation
• Process Conflict


  Disagreement about plans for task execution, timelines, member roles and responsibilities, poor communication, poor decisions
• Types of conflict

  -Assertiveness

  -Cooperativeness

  -Process conflict
• A Classic Paradox

  -Boulding (1964)

  Groups of managers to solve complex problems

  • Half of the groups had a “devil’s advocate”

  • Groups with DA performed better

  • More alternatives, higher performance

  • In all groups, the DA was asked to leave!
• Interactive Negotiations

  Win-Win
• Reaching Integrative Potential

  • Understand the problem
  • General alternative solutions
  • Never quit
• The Dual Concerns Model

  A 2x2 matrix
• 4 Hallmarks

  • value is created
  • Value is claimed
  • Other party is happy
  • Protect or enhance negotiation relationship
• Avoiding

  Neglect interests of both parties by sidestepping or postponing
• Accommodating \ Yielding

  Satisfy other party's concerns but neglect your own
• Compromising

  Seek partial satisfaction for both parties
• Collaborating \ problem solving

  Seek to address concerns of both parties
• Conflict Management Strategies

  • Forcing
  • Avoiding
  • Accommodating \ Yielding
  • Compromising
  • Collaborating\ Problem Solving