Page 237 - DMGT519_Conflict Management and Negotiation Skills

Unit 11: Gaining Leverage through Power and Persuasion

The other side of the coin happens when you are absolutely certain that you have the stronger Notes
BATNA. Let’s suppose you know the other party needs to make a deal, and they have no options
available except to turn to your company. Now is the perfect time to put your own powerful
BATNA on the table. The BATNA you employ can act as a powerful leverage while you decide
whether or not to make the deal. As always, gauge the situation accordingly. Timing can mean
everything in determining when to put your BATNA on the table.

Task Elucidate the following statements:
1. The importance of mastering the art of persuasion is vital to the ability of a manger
to efficiently address the many vexing challenges faced in the ever evolving
marketplace.
2. Legitimate power (sometimes called authority or formal power) is that which is
derived from the person’s position in the organization.

11.2 Boosting Your BATNA

In the reverse situation, what can you do with a weak BATNA? Can your turn the tables? Yes,
there are two ways this might be accomplished. The first possibility is to strengthen your own
BATNA. The second way is to reduce the BATNA of your counterpart.

 Be Creative: Simply ask yourself what other options you might employ that could increase
your bargaining position. Brainstorm the situation with all the key players in your
organization. Your planning must also factor in your counterpart’s interests and options.

 Improve Your BATNA: Endeavour to expand your options. One possibility is to consider
bringing into the mix, other interested third party partners. A third parties interests may
coincide with key components of your interests, or of your counterpart’s. For example,
this might entail creative financing which presents a more attractive option to your
counterpart. If you weaken the other sides best alternative by injecting another element
into the mix, the game takes on a whole new slant.

 Use Experts: Neutral parties with their own relevant expertise might be able to unravel
your problem into a newly designed, but more attractive perspective. If your side lacks
some area of expertise, get the experts to lend a hand.
11.3 The Power of Leverage

One of the most powerful tools successful people use on a regular basis is leverage. Leverage
means utilizing the strengths of other things, processes, and people to do a lot more than you
could do alone. Leverage helps you get the most out of yourself, because you free up your time
to work on the activities that are most valuable to you.
The famous Greek mathematician, Archimedes, said:

“Give me a lever long enough and a place to stand, and I can move the world.”
If it’s time to move your world, here are five ways you can utilize the concept of leverage to
improve your circumstances and get more of what you want out of life.

1. Learn from others: Remember having to listen to stories your parents told because they
were trying to prevent you from making the same mistakes they did? Successful people
take advantage of such knowledge and wisdom wherever they can get it. There are millions

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