Art of breaking a bargaining deadlock
By Chester L Karrass -- Purchasing, 6/3/1999 2:00:00 AM
Too many negotiations end in deadlock, even when both parties are anxious to agree. The following ice-breaking techniques can help negotiators to reopen talks gracefully, without loss of bargaining power or "face." They are effective because they re-involve the self-interest of both parties.
* The gradual approach. When the differences between two parties are large and talks begin to fail, bridge the gap in small increments rather than in one large compromise. For example, a large price gap could be bridged by spreading the increase over time.
* The bookkeeping technique. Create a log of what has been agreed to, what issues are still open and have not been discussed, what issues are in disagreement. Keeping score focuses attention on what has been accomplished rather than on points of disagreement. Starting with disagreements that are easy to settle helps build bridges to settle more difficult issues.
* Sizing up or down. If you encounter strong resistance on individual issues, move the discussion to the whole. If you can't reach a general settlement, focus on each issue one by one.
* Using joint committees. There is nothing like a committee to generate talk and ideas. Given time, committees are certain to come up with new ideas and choices that had not been discussed previously.
* Shifting away from sticky issues. Do this to avoid a hardening of position and "no" answers. The more points the parties agree on, the greater will be the impetus toward settlement.
* Changing the "time shape" of performance or money. The moment one party offers a different production plan or schedule, someone in the other organization has something to gain or lose, so they listen. To end a deadlock over price, negotiators might change the time shape of money by planning either up-front or deferred payments, depending on the needs of the parties.
* Changing the shape of satisfaction. A buyer can enhance the seller's satisfaction by offering long-term contracts or by purchasing additional products. He or she can reduce the seller's future dissatisfaction by ensuring prompt payment or remaining open minded should minor performance problems arise.
* Changing the negotiator. Many deadlocks are the result of personality differences, fear of losing face, organizational infighting, a poor working relationship with the boss, or inability to make decisions.
* Going deeper into the organization. Deadlock often results when negotiators can't say yes while others in their organization are saying no. Sometimes, negotiators must help their opponents obtain that "yes" answer from their own people.
* Negotiating a win-win deal. Next time you're in a negotiation that appears to be going nowhere, try saying: "Let's find a better way to benefit both of us." You'll be amazed at how quickly the discussion moves to a cooperative track.
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