Negotiation Theory and Practice for Project Management

OPS 938: Negotiation Theory and Practice for Project Management T 3 2 0 2 2
Strategically Managing &
Overcoming Deadlocks
OPS 938: Negotiation Theory and Practice for Project Management
S e s s i o n 8
Trimester 1, 2022 Wo l l o n g o n g a n d Syd n e y O n C a m p u s
Faculty of B u s i n e s s a n d L a w (BAL)

OPS 938: Negotiation Theory and Practice for Project Management T 3 2 0 2 2

Topic Reading
1 Emergency Evacuation Procedures
Subject Overview
Introduction to Negotiation
Chapter 1
2 About Negotiators Chapter 2
3 Establishing what can be achieved Chapter 3
4 Strategically managing the Negotiation Process Chapter 4
5 Differentiation: Managing the Exchange Chapter 5
6 Exploration: Finding better outcomes Chapter 6
7 Exchange: getting to an agreement Chapter 7
8 Strategically managing deadlocks
Overcoming deadlocks through Mediation
Chapter 8 & 9
9 Negotiation in practice Chapter 10
10 Cross cultural negotiators Chapter 13

 

This Lecture

Subject overview
OPS 938: Negotiation Theory and Practice for Project Management Consultation Classes
Will be Online from weeks 1-4
SYD Level 10 SR10 1, 3, 5, 7, 9
Woll 24 G03 2, 4, 6, 8, 10

OPS 938: Negotiation Theory and Practice for Project Management T 3 2 0 2 2
Notice
A S S I G N M E N T 2- C A S E A N A LY S I S A N D R E S E A R C H R E P O R T (30%)
D o w n l o a d O P S 9 3 8 – A 2 A s s i g n m e n t from the MoodleD u e Date: Tonight Friday 21 st ( We e k 8)
Deadlocks
Mediation

OPS 938: Negotiation Theory and Practice for Project Management T 3 2 0 2 2
A G E N D A
4
S t rate gically M a n a g i n g D e a d l o c k s
§ W h a t is a D e a d l o c k ?
§ Are D e a d l o c ks always a P ro b l e m ?
§ Re a s o n s w h y D e a d l o c ks O c c u r
§ Issue-related D e adlo c ks
§ Process-related D e adlo c ks
§ Action-related D e a dl o c ks
§ M a k i n g Effective U se of a D e a d l o c k
§ M a n a g i n g Te a m d u r i n g a D e a dl o c k
§ M a n a g i n g a Process that is D e a d l o c ke d
§ M a n a g i n g a n Issue w h e n de a dl o c ke d over it
§ Action P l a n for H a n d l i n g D e a d l ocks
§ B e i n g Strategic
OPS 938: Negotiation Theory and Practice for Project Management T 3 2 0 2 2
A G E N D A
5
O v e r c o m i n g D e a d l o c k s t h r o u g h Mediation
§ W h a t is Mediation?
§ W h a t are the Uses of Mediation?
§ Varieties of Mediation
§ Transformative Mediation
§ Facilitative Mediation
§ Mediation Process- the Mediation D i a m o n d
§ Mediation a n d the Negotiator
§ Strategic U s e of Mediation
§ Tactical U s e of Mediation
§ Assisting the Mediator
OPS 938: Negotiation Theory and Practice for Project Management T 3 2 0 2 2
A G E N D A
6
S o m e N e g o t i at i n g Skills
§ B e i n g aware of E m e r g i n g De a dl oc ks
§ View D e a d l o c ks as a n Opportunity
OPS 938: Negotiation Theory and Practice for Project Management T 3 2 0 2 2
Strategically Managing Strategically ManagingDeadlocks Deadlocks
OPS 938: Negotiation Theory and Practice for Project Management T 3 2 0 2 2
Strategically Managing Deadlocks
A C T I O N P L A N F O R D E A D L O C K S : 1. I S S U E S
8
StrategicallyManagingandOvercomingDeadlocks(L7)
Indi cators of Potential D e ad lo c ks
§ co nstant restatement of
inco mpatible positions
§ m o v i n g from detailed point to
detailed point without resolving
any
§ repeated b u t failed atte mpt s to
r e p a c ka g e the offers
§ a n a g re e d proposal or
solution rejected by
constituents
Useful R e s p o n s e s
§ summarise, for example,
differences
§ take a step b a c k a nd restate the
strategic intent a nd overall
purpose of the negotiation
§ s u g g e st benefits of an/any
agreement, allude to
adverse B ATNA s
§ revert to re-exploring interests
a nd possible areas of flexibility

OPS 938: Negotiation Theory and Practice for Project Management T 3 2 0 2 2
Strategically Managing Deadlocks
A C T I O N P L A N F O R D E A D L O C K S : 2. P R O C E S S
9
StrategicallyManagingandOvercomingDeadlocks(L7)
Indi cators of Potential D e ad lo c ks
§ unwillingness to m o v e b eyo n d
stating the issues
§ state me nt s of w a n t i n g to get
this over with, etc.
§ discontinuity– for example, a
s u g gest ion or offer in the
m i dd l e of a n explanation of
interests
Useful Respons es
§ Focus on the process.
H o w are w e g o i n g ? H o w do w e feel
about h ow w e are g o i n g (coupled with
forward-loo king statements)?
§ e mph as ise the benefits of a g ood
a g re em ent over a n ordinary one
§ restate o w n interests, c he c k
u n d erstan d in g that the s u g gest ion was
actually a suggestion. If so clarify.
§ explore w hether the interests are
understood. P u t s u g gest ions o n hold while
restating interest.

OPS 938: Negotiation Theory and Practice for Project Management T 3 2 0 2 2
Strategically Managing Deadlocks
A C T I O N P L A N F O R D E A D L O C K S : 3. AC T I O N S B Y N EG OT IATOR S
10
StrategicallyManagingandOvercomingDeadlocks(L7)
Indi cators of Potential D e ad lo c ks
§ frustration, a n n o ya n c e
§ withdrawal- for example, less
information in replies or eve n total
m e nta l withdrawal
Usef ul Re s p o n s e s
§ think w h at yo u m i g h t b e d o i n g to
a n n o y them.
§ Adjourn (Take a break)
§ c h e c k the way yo u are a s k i n g
questions, your tone –
inquisitorial-interrogative etc

OPS 938: Negotiation Theory and Practice for Project Management T 3 2 0 2 2
Strategically Managing Deadlocks
11
W AY S TO M A N A G E T E N S I O N IN A N EG OT I AT I O N
§ u se h u m o u r (?)
§ talk a b o u t the facts
§ talk a b o u t the c o m m o n g ro u n d
§ s u m m a r i s e
§ signal a n ad jou rn me nt
§ p u t the issue o n hold a n d m o v e o n to another issue
§ m a k e a n informal reconciliation- a n i m p r o m p t u p h o n e call or
m e e t i n g
§ c h a n g e personnel(the negotiators)
§ change the setting
OPS 938: Negotiation Theory and Practice for Project Management T 3 2 0 2 2
Overcoming Deadlocks through
Negotiation
Overcoming Deadlocks through
Negotiation

OPS 938: Negotiation Theory and Practice for Project Management T 3 2 0 2 2
Overcoming Deadlocks through Negotiation
13
C O N T E X T S O F M E D I AT I O N ( W A L L & D U N N E 2012, 222)
D i s p u t a n t s h av e
a d e q u a t e n egotiation skills
D isputants will retain future
relationship
§ Industrial (eg. Construction industry)
§ Inter-firm
§ International
§ Unio n-m a n a g e m e n t
§ Within organisations (eg. H R
procedure)
D i s p u ta n t s will N O T retain future
relationship
§ Civil court, contractual disputes
§ Civil court, liability claims
§ Civil court, m e d i ca l malpractice
§ H o m e o w n e r- insurance
OPS 938: Negotiation Theory and Practice for Project Management T 3 2 0 2 2
Overcoming Deadlocks through Negotiation
14
C O N T E X T S O F M E D I AT I O N ( W A L L & D U N N E 2012, 222)
D i s p u t a n t s h av e
i n a d e q u at e n egotiation skills
D isputants will retain future
relationship
§ C o m m u n i t y
§ Divorce with Children
§ Doctor-patient
§ Educatio n
§ G o ve r n m e nt a g e n c y- citizen
§ Mental Health case
§ Police Bo ards
§ Scho o l peers
D i s p u ta n t s will N O T retain future
relationship
§ D e b t negotiation
§ Divorce without Children
§ Tax D e p a r t m e nt- Taxpayer (?)
§ Victim-offender
OPS 938: Negotiation Theory and Practice for Project Management T 3 2 0 2 2
Overcoming Deadlocks through Negotiation
15
A N ATO M Y O F M E D I AT I O N
§ reciprocity: the m a n n e r in w h i c h the me diat io n is c o n d u c t e d will create a
sense of balance
§ trust: a mediato r will seek to build the parties’ trust in the mediator as a first
step to t h e m deve lo ping a level of trust b e t w e e n themselves.
§ power: the mediato r will wa nt to ensure that the parties u n d e rsta n d the
balance or power- their respective B AT N A s b u t d o not exercise their power;
the mediato r will seek to control a n d n e ga t e a ny atte mpt s to exercise
personal power at the me diat io n table (intimidation, threats …)
§ info r matio n exc h a n g e : t h ro u g h controlled conversation, the mediato r will
endeavor to ensure that e a c h party k n o w s w h at the other party wa nt s a n d
why, w h at s a n offer involves, w h y the party is rejecting it a n d so o n

OPS 938: Negotiation Theory and Practice for Project Management T 3 2 0 2 2
Overcoming Deadlocks through Negotiation
M A P O F R E S O L U T I O N P R O C E S S E S
PROCESS
16
ISSUE
Tight
Control
facilitative
mediations
orchestrators
evaluative
mediation
deal-makers
courts,
arbitration
fact-finding
expert appraisal
transformative
mediation
facilitation
Loose
Control
No
Input
High
Input

OPS 938: Negotiation Theory and Practice for Project Management T 3 2 0 2 2
Overcoming Deadlocks through Negotiation
W H AT IS A D E A D L O C K ? I M PA S S E + D E A D L O C K I N G P R O C E S S
17
§ We sh ou ld separate
(i) the reason for the d e a d l o c k from the
(ii) d e a d l o c k i n g state that is the c o n s e q u e n c e or result of it
§ d e a d l o c k s are actually two th in gs- a condition that cau se s a
d e a d l o c k i n g process:
§ i m p a s s e – a condition, reason a n d ca us e for the de a dl o c ke d state
b e t we e n the parties
§ d e a d l o c k i n g p ro c e s s – a n active process, not a static condition
OPS 938: Negotiation Theory and Practice for Project Management T 3 2 0 2 2
Overcoming Deadlocks through Negotiation
W H AT IS A D E A D L O C K ? K N O T S ( L A I N G 1972)

YOU: don’t want you to know more about our position
OTHER: Why?
YOU: shouldn’t have to tell you?
OTHER: If you don’t tellme,I can’t give you what you want
YOU: How do you know what I want?

I I OTHER: I don’t,unless you tellmemoreabout yourposition
OTHER: I don’t wantyoutoknow more about our position

YOU: Why?
OTHER: I shouldn’t haveto tellyou?
YOU: If you don’t tell me,I can’t give you what you want
OTHER: Howdo youknowwhatI want?
YOU: don’t, unless you tell memore about your position

I it doesn’t matter
w h o starts the
i mp a s s e
18
it’s dynamic,
processual a n d
cyclical
however, the state
rema i ns the s a m e
i mp ass e
d e ad lo c k in g
pro cess

OPS 938: Negotiation Theory and Practice for Project Management T 3 2 0 2 2
Overcoming Deadlocks through Negotiation
W H AT IS A D E A D L O C K ?
19
§ these ‘knots’ sho uld resonate with Operations students w h o are
familiar with causal loop simulation b e ca u s e the situation remains
fixed.

OPS 938: Negotiation Theory and Practice for Project Management T 3 2 0 2 2
Overcoming Deadlocks through Negotiation
P E R S P E C T I V E S O N MED IATION: 1. A S A S E PA R AT E P R O C E S S
Negotiation
impasse
deadlock
t à
Mediation settlement
20
1. Mediationas a separate process
OPS 938: Negotiation Theory and Practice for Project Management T 3 2 0 2 2
Overcoming Deadlocks through Negotiation
P E R S P E C T I V E S O N MED IATION: 1. A S A N O V E R L AY P R O C E S S
Negotiation
t à impasse
2. Mediationas anoverlayprocess
Mediation
Negotiation
settlement
deadlock
21
OPS 938: Negotiation Theory and Practice for Project Management T 3 2 0 2 2
What is Mediation?
OPS 938: Negotiation Theory and Practice for Project Management T 3 2 0 2 2
Overcoming Deadlocks through Negotiation
23
J O B O F M E D I ATO R ( R A I F FA 1982, 108-109)
§ b r i n g the parties together
§ establish a constructive a m b i e n c e for negotiators
§ collect a n d judiciously c o m m u n i c a t e selected confidential material
§ help the parties to clarify their values
§ seek joint gains
§ ke e p negotiations g o i n g
§ articulate the rationale for a g re e m e nt
OPS 938: Negotiation Theory and Practice for Project Management T 3 2 0 2 2
Overcoming Deadlocks through Negotiation
24
J O B O F M E D I ATO R ( M O O R E 1986, 25)
§ m a k e initial contacts with d i s p u t i n g parties
§ Select a strategy to g u i d e mediation
§ collect a n d analyse b a c k g r o u n d information. D e s i g n a detailed plan for
mediation.
§ build trust a n d cooperation
§ b e g i n the me diat io n session
§ define issues a n d set a n a g e n d a
§ uncove r d i s p u t i n g parties’ h i d d e n interests
§ ge ne rate options for a settlement
§ assess options for settlement
§ u n d e r ta ke final b a rga i n i n g
§ achieve a formal settlement
OPS 938: Negotiation Theory and Practice for Project Management T 3 2 0 2 2
Overcoming Deadlocks through Negotiation
25
J O B O F M E D I ATO R ( N A D R A C 2012, 17) …
§ d e s i g n a me diat io n to suit the circumstance s
§ help parties decide if me diat io n is suitable
§ u s e their specialist k n o w l e d g e a n d give s o m e information (but not advice)
§ b e i n g the appropriate people together
§ explain h o w the me diat io n process will work
§ provide a supportive environment
§ set the guidelines or g r o u n d rules for h o w the me diat io n will work
§ help participants to u n d e rsta n d e a c h person’s point of view
§ help participants stay fo cused o n resolving the dispute
§ m a k e sure participants k n o w a n d u n d e rsta n d w h at issues have b e e n a g re e d
§ help participants to ke e p c o m m u n i c a t i o n s g o i n g
OPS 938: Negotiation Theory and Practice for Project Management T 3 2 0 2 2
Overcoming Deadlocks through Negotiation
26
J O B O F M E D I ATO R ( N A D R A C 2012, 17)
§ m a n a g e interactions so that they are fair
§ help participants to d e c i d e w het he r possible solutions are realistic
§ support participants to try to reach a final a g r e e m e n t that they all agre e is
appropriate
§ refer the parties to other services that c a n help
OPS 938: Negotiation Theory and Practice for Project Management T 3 2 0 2 2
Overcoming Deadlocks through Negotiation
M E D I AT I O N D I A M O N D ( B O U L L E 1996, 98; S O U R D I N 2002, 54)
27
OPS 938: Negotiation Theory and Practice for Project Management T 3 2 0 2 2
Overcoming Deadlocks through Negotiation
MID-C Y C L E A N D E N D – G A M E M E D I AT I O N ( F E L L S 1999)
28

Mid-C y c l e Mediation E n d – g a m e Mediation
P ro s p e c t for a settlement
other t h a n by mediation
Good Poor
Parties’ A p p ro a c h at
Mediation
C o n t e n d i n g Strategy C o n c e d i n g Strategy
Mediator ’s Fo c u s Pro cess oriented Settlement oriented
Measure of S u c c e s s Parties re s u m e
negotiation
D is p u te resolved

OPS 938: Negotiation Theory and Practice for Project Management T 3 2 0 2 2
Overcoming Deadlocks through Negotiation
A S S I S T I N G A M E D I ATO R TO H E L P YO U R E A C H S E T T L E M E N T
29 S t r a t e g i c a l l y M a n a g i n g a n d O v e r c o m i n g D e a d l o c k s

Mediator ’s A p p r o a c h Usef ul Re s p o n s e s
The mediator will control
the process
§ follow the mediator ’s lead
§ restate your desire for a n ac ceptable settlement
§ b e o pen-m i n d e d with re gard to your
time c omm itm e nt to mediation
The mediator will ‘reality
test’ your positions a nd
w hat you say are your
core interests
§ Give honest information
§ Re consider w hat you really n ow w ant from
the situation
§ A s k yourself w hether your B ATN A is really
so g ood
The mediator will be
trying to uncover
n ew mutually
acceptable solutions
§ Don’t give g ro u n d b u t n e o pen to sug gestions
§ Take a hint w h e n o ne is offered
§ Make clear to the mediator w hat your limits
of settlement are

OPS 938: Negotiation Theory and Practice for Project Management T 3 2 0 2 2
Overcoming Deadlocks through Negotiation
P E R S P E C T I V E S O N MED IATION: 1. A S A N O V E R L AY P R O C E S S
30
Negotiation
potential
t à impasse
settlement
3. Negotiator as Mediator
deadlock
avoidance
tactic
Negotiation Negotiation
potential
impasse

OPS 938: Negotiation Theory and Practice for Project Management T 3 2 0 2 2
Negotiation Skills Negotiation Skills–Deadlocks Deadlocks
OPS 938: Negotiation Theory and Practice for Project Management T 3 2 0 2 2
Negotiation Skills- Deadlocks
32
WAT C H I N G O U T F O R E M E R G I N G D E A D L O C K S
§ deadlocks can occur for many reasons:
§ negotiators going toe-to-toe in an act of ego gratification
§ being in too much of a hurry to settle; often occurs because the parties
are only ever contending their positions- and so they literally run out of
time
§ trying to smooth over differences in order to get an agreement
§ losing sight of the key goals and arguing over minor issues
§ not knowing when to stop talking and listen to the other side
§ because the process is too long
OPS 938: Negotiation Theory and Practice for Project Management T 3 2 0 2 2
Negotiation Skills- Deadlocks
33
V I E W D E A D L O C K S A S A N O P P O R T U N I T Y
§ deadlocks provide negotiators with an opportunity to review the
negotiation:
§ take time out to think process
§ consider your alternatives
§ be clear on what is really important to you
§ reconsider their perspective
§ summarise: talk about underlying interests (a return to the
differentiation phase of the negotiation)
§ keep exploring their offer for benefits
OPS 938: Negotiation Theory and Practice for Project Management T 3 2 0 2 2
Negotiation Skills- Deadlocks
34
B E P R E P A R E D F O R A M E D I AT I O N
if you find yourself d u e to attend a mediation:
§ double-c h e c k what ’s really important to you a n d w h a t your real
limits are
§ critically exa m i n e your reasons for rejecting the other party’s
offer
§ m a k e sure key decision-m a ke rs are at the med iation a n d that
they h ave authority over those w h o m i g h t b e affected b y the
o u tc o m e
§ clear your diary so that you c a n contin u e in mediation for as
l o n g as necessary

Questions?
OPS 938: Negotiation Theory and Practice for Project Management T 3 2 0 2 2

Topic Reading
1 Emergency Evacuation Procedures
Subject Overview
Introduction to Negotiation
Chapter 1
2 About Negotiators Chapter 2
3 Establishing what can be achieved Chapter 3
4 Strategically managing the Negotiation Process Chapter 4
5 Differentiation: Managing the Exchange Chapter 5
6 Exploration: Finding better outcomes Chapter 6
7 Exchange: getting to an agreement Chapter 7
8 Strategically managing deadlocks
Overcoming deadlocks through Mediation
Chapter 8 & 9
9 Negotiation in practice Chapter 10
10 Cross cultural negotiators Chapter 13

 

Next Lecture

Subject overview
OPS 938: Negotiation Theory and Practice for Project Management Consultation Classes
Will be Online from weeks 1-4
SYD Level 10 SR10 1, 3, 5, 7, 9
Woll 24 G03 2, 4, 6, 8, 10

OPS 938: Negotiation Theory and Practice for Project Management T 3 2 0 2 2
CloserTitle
Thank you