Communication and Negotiation Case 5
TABLE OF CONTENT TITLEPAGE 1. 0 INTRODUCTION2 2. 0 PROBLEM ISSUES FROM THE CASE STUDY3 3. 0 BARGAINING ZONE 4 3. 1Katia 3. 2Roger 4. 0 S. W. O. T ANALYSIS 6 4. 1 Katia 4. 2 Roger 5. 0 RECOMMENDED STRATEGY10 6. 0 THE BARGAINING ZONE AND NEGOTIATION DANCE 15 7. 0 CONCLUSION17 1. 0 INTRODUCTION Summary of the human resources needs case Katia was assigned to manage an important and big project while in meantime her organization was experiencing a downsizing. Because of some of the workers or Katia’s colleague has resigned , Katia facing a problems whereby she need an adequate staffs to complete the project on time.
In Katia’s perspectives, she believes that the project can be completed successfully if she had enough resources to run the project. Thus, she planning on to hiring temporary workers or utilizing the workers from another department who already given notice of termination. For other option, Katia’s will need to push her workers to works excessive overtime. In Roger’s perspectives, Roger was responsible for all the loss caused by the former project manager, Ralph, that originally been assigned to the current project.
If the project fail, roger may lose his career and therefore, the current project was the last chance to get things better for everyone. Unfortunately no available resources that can be given to fulfill Katia’s request and Roger try his best to motivate Katia’s to do necessary thing to get the project done. 2. 0 PROBLEM ISSUES FROM THE CASE STUDY From the case study, during the organization experiencing a downsizing of workers, Katia were assigned to manage an important project which has tight schedule and low resources provided.
Katia wants to request more resources from her boss, however, roger which is the employer of Katia also facing a problems in terms or providing resources to Katia. The Main issues here is that the project has a strict deadline which is need to be completed in two weeks from the time the assignment was put in Katia’s desk. However, because of the organization was downsizing its workers, the resources in terms of providing an adequate staffs are insufficient.
Katia’s was invited by her boss, Roger to have a meeting and discuss on the current matters and this is the chances for Katia and Roger to negotiating with each other on how to complete the project within the constrained resources. In order to be efficient during the meeting, both parties need to explore their problem and listing it to be presented during meeting. Katia’s problem: I) Lack of adequate staffs II) Shorted and time constrain given to complete the project III) Unmotivated of her colleague and workers IV) Her boss has a reputation in never giving any request.
Roger’s problem: i) Desperate in handling his position ii) Unmotivated employee under his position iii) Risk that he might lose his job and career. iv) Unable to provide more resources to Katia. 3. 0 BARGAINING ZONE 3. 1 bargaining zone for Katia: Employment until coming year Motivate her project team Hire temporary workers Trade promotion for resources Employment until coming year Motivate her project team Hire temporary workers Trade promotion for resources Katia’s Bargaining Range Katia’s Bargaining Range
From the case study, the bargaining need for Katia can be listed as below: * She expects can get authorization to hire temporary workers or to utilize people from another department. * Get resources for pay salaried staff and motivated them to work expensive over time. * She also tries to trade a promotion for getting this project done on time. * She also wants assurances that she and her entire department will have continued employment for at least to the coming year. Thus, in order to understand Katia situation, all the need for Katia should be assessed and from this point the S.
W. O. T analysis, strategy and bargaining zone and possible positive agreement can be made. 3. 2 bargaining zone for Roger: Motivate Katia Promote Katia Motivate Katia Promote Katia Roger Bargaining Range Roger Bargaining Range From the case study, the only option that Roger could offer is: * He try to motivate Katia to done this project with succeed. * He plans to offer Katia a promotion if absolutely necessary. From Roger’s perspectives, people should be grateful because they still be employed and do whatever is required to survive in the organization.
However, roger could not provide any more resources to Katia and also fund to pay the delay of the project also do not exist. He also might lose his job if the current projects fail. Thus this matter also needs to be considering when negotiating with Katia. 4. 0 THE S. W. O. T ANALYSIS The purpose of this S. W. O. T analysis it to determine what are the strength, opportunity, weaknesses and treat for Katia and Roger in order to formulate strategy that are needed to make sure a productive negotiation.
The team also has decided to use this type of analysis to analyze what approaches are useful to overcome the issues of lack resources in running the project. Therefore based on the bargaining zone , the SWOT analysis can be shown as below: 4. 1 SWOT analysis for Katia STRENGTH * Not affected by the layoffs| WEAKNESSES * Do not have enough workers to complete the project on time. * No funds available to hire contract employees nor are funds available to delay the layoffs. | OPPORTUNITIES * Get promotion| THREAT * Losing job * will not complete the project within time|
Therefore, S-O and S-W i) Katia need to use his opportunity to ensure her project team to work excessively overtime to complete the project. She can build confidence among her team project by negotiating with Roger to protect their values and ensure they will get benefit by doing overtime for the project. ii) Because Katia’s department has not being affected by the downsizing, she can overcome the weaknesses by using all available resources from her department and work hardly as possible to ensure the completion of the project.
W – O and W – T i) To overcome the weaknesses and gain the opportunity, Katia need to use her leadership and negotiation skill to motivate her colleague and worker under her to provide high commitment toward the project. Then she can assure them that they all will get the benefits such as bonus and promoted to the new level of position. ii) Besides that, threat such as losing the job and delay of the project also can be overcome if Katia can get as many as possible available workers in her department to work for the project.
Another way is negotiating with Roger on how to get another department workers who already been given a ninety day notice of termination to work with on the project. 4. 2 SWOT analysis for Roger: STRENGTH * Have a power of position| WEAKNESSES * No available resources to run the projects. | OPPORTUNITY * Offer a promotion * Motivate Katia to succeed| THREAT * May lose his career| Therefore: S-O and S-T i) As Roger has the power as the Katia’s superior, he can offer katia an promotion and also could give additional salaries and bonuses to Katia’s team project.
This action can build an confidence and motivation among the workers in Katia’s department. ii) Furthermore, by using his power to motivate workers by giving bonuses, Roger might save his position and career because people will work hard when get a better salary. S-W and S -T i) Due to the lack of resources provided to Katia, Roger could negotiate with his superior to claim more resources due to the size and importance of the project. Roger also can use information from Katia’s research on the cost and schedule of the project. i) Besides that, by giving opportunity to Katia such as promote her to new position and salaries; indirectly roger motivate Katia to manage the project properly and available resources to run the projects. The motivations that can be used such as give a reward to Katia and plan holiday to her. 5. 0 RECOMMENDED STRATEGY The team has concluded the best way or strategy for Katia and Roger to negotiate is by using PIE-SLICING STATEGY. There is no argument that can be made from the case study because both parties share the same problem which is losing their job. Therefore the best way is to determine strategy in negotiating with each other.
Strategy 1: Asses own best alternative to negotiated agreement Before entering the meeting or negotiation, both parties should attempt to assess the uncertainty and their important options. Assessing BATNA means that collecting several of issues and selects the best or most important issues to be bargained during the negotiation issues that the counterparties can be agree of. As given in the bargaining zone, Katia and Roger can list all their needs and from it they can determine their reservation point during negotiation. Strategy 2: Determine the reservation point (but do not reveal it)
For Katia the best reservation point in bargaining with Roger is to get authorization to hire temporary worker to run the project. The second reservation point is to motivate her colleague to work exceed the overtime to ensure the completion of the project within the deadline. In Roger case, he has no available resources more to provide to Katia to help her run the project. However, he could motivate Katia to manage the project by giving her promotion. However, it is better for those parties to not reveal their reservation point to ensure for the surplus in bargaining.
The reservation points can be revealed when the bargaining zone is negative and small. Strategy 3: Research on other party’s BATNA and Estimate the reservation points. In order to gain more power during the negotiation, Katia might need to assess or research Roger’s best alternative to negotiated agreement. Besides that Katia also might need to know where the reservation point of roger to be placed. Roger also can do the same thing on Katia and this is better for Roger because he can get more information on what Katia needs to run the project she had assigned of.
This approach can be implemented by using various of tactics that is ethical for example, the SWOT analysis that has been shown before also one of the tactics to determine the counterparties interest and target points. Using unethical approach is not recommended because it may harm the relationship between Katia and Roger. Strategy 4: Set High Aspiration The target points or reservation point defines the limits on what the parties can get in a negotiation. This is because, usually we can’t get more than the first offer and the first offer also representing an important anchor point in the negotiation.
For example, Katia can make her first offer slightly lower than Roger’s reservation points, and then she can bargain up to the Roger’s reservation points. Strategy 5: Make the first offer The party who makes the first offer can obtain a better final result because the first offer can act as the anchor point and correlate with the final outcomes. However, in this case if Roger or Katia wants to make the first offer they should make sure that their offers are falls within the bargaining zone. As we know, their organization experiencing a downsizing and it is impossible for roger to fulfill Katia’s request for hiring temporary request.
Thus the best offers that Katia can gives is ask Roger to use his position to face Roger’s superior that Katia are willingly trade her promotion with getting more resources and get the employment at-least one year. Strategy 6: Immediately re-anchor if the other party opens first For this strategy, counter proposal are necessary to be made in timely fashion. This is because counteroffers exist to ensure the best agreement for both parties to produce win-win negotiation result. For example, Katia makes the first offers to Roger that she wants an authorization to hire temporary staffs.
However, due to the problem of the organization, Roger know that the organization unable to fulfill the request therefore, Roger can make a counteroffer which is promote Katia to upper level and raised her salaries. This offer also falls on the positive possible agreement in the bargaining zone between Katia and Roger. Strategy 7: Plan concession Negotiator need to consider three things when formulating counteroffer i) Pattern of concession * The counteroffer must relate to the first offer. ii) Magnitude of concession * Counter offer must falls within the positive possible agreement zone of bargaining. iii) Timing of concession Counteroffer must not be made immediately and should be improved slowly. Strategy 8: Support offers with Facts This step can be powerful and could affect the course of negotiation. If the offers presenting “even-splits”, “ fair” and “compromises”, this point would carry more impact. In the case study, Katia can include the resources analysis and the schedule of the project that can prove to roger that the current project actually needs more resources so it can be completed within the deadline. Besides that Katia also can include the research on the project cost and budget to show the problem of the project in term of resources.
Besides that Roger also can show to Katia about their organization’s problem in terms of resources by giving her financial report or productivity report. Thus, Katia can understand that rogers also may facing of losing his job and as well for Katia itself therefore both parties can negotiate on what the best way to solve the problems. Strategy 9: Appeal to Norm Fairness Most of negotiators view themselves as fair. However arguments are needed to counter argue when the counterparties present a fairness concepts that does not server own interest.
For example, if Roger decline Katia’s request for hiring temporary workers and suggesting to raising Katia’s salaries, Katia can argue that it is not fair if she the only one get salary raised while her team project did not get any. Therefore, the “fairness” here is that Katia can make another counteroffer to Roger to give a bonus to the entire team project to motivate them to work hard for the project. Thus when the project team were motivated to finish the project, Roger also can maintain his position and improve his reputation in the organization. Strategy 10: Do not fall to the “even-split” ploy.
Before accepting an offer that claimed to be fair, the parties should make sure that the anchors are beneficial and favorable. Therefore, the negotiation result must fall within the positive bargaining zone where both parties can agree to that reservation point. 6. 0 THE BARGAINING ZONE AND NEGOTIATION DANCE From the bargaining zone for each of parties which is Katia and Roger, The possibilities of agreement between Katia and Roger can be made and it is showed below. Positive Bargaining Zone Roger’s Bargaining Range Roger’s Bargaining Range Positive Bargaining Zone Zone Positive Bargaining Zone
Zone Katia’s Bargaining zone Range Katia’s Bargaining zone Range Work excessively overtime without motivation Work excessively overtime without motivation Promotion Promotion Motivation (bonuses) Motivation (bonuses) Full resource supply Full resource supply Information from the SWOT analysis also contributes to the development of the diagram of positive bargaining zone. Thus creates a space where both parties have issues to be agreeing of and thus reach to the conclusion of the negotiation. As shown on the diagram the possible agreement falls to the promotion and also motivation. The negotiation will fall somewhere in the bargaining zone. Katia would like the settlement to be as close to the Roger’s reservation point as possible, thereby Katia have to maximizing her options. The best possible way is the points one that meets the both parties positive of agreement which is Promotion and Motivation, thereby inducing the other party to agree (Roger), but allows the focal negotiator (Katia) to reap as much gain as possible. This outcome will provide Katia with greatest possible share of resources to be divided in the project.
In other words, both parties will share the benefits from the results of negotiation because Roger can save his career and Katia has another option to motivate her team project to work hard. Katia must will to pay more performance in dealing with the project. Consider the bargaining zone above, Roger reservation option is promotion and giving bonuses to the project team. The most Katia is willing to pay is motivation that greater than Roger willing to accept. If Katia reach agreement, the settlement will be somewhere between promotion and motivation.
If the parties fail to reach agreement in this situation, the outcome is a deadlock because Katia and Roger leave the project with termination and will worse if not reaching agreement than reaching agreement. Therefore, the best negotiation result is that Roger could provide Katia a promotion to new position and also can give bonuses to the project team to motivate them towards the completion of the project 7. 0 CONCLUSION As a conclusion, In order to achieve the positive bargaining zone, Roger and Katia have to give their commitment in the negotiation.
Trying to avoid harmful conflict that might destroy both relations is the most important things that both parties should realize. Therefore to produce an effective negotiation result for resources claiming, the strategy that could be recommended is by determine what the bargaining zone is for each of the negotiator and then analyzes it by using SWOT analysis. The result can be used to produce the possible agreement for the negotiator. Besides that the strategy to implement the negotiation strategies also is an important thing to be considered because without proper strategy, the negotiation would be meaningless.
