Page 278 - DMGT519_Conflict Management and Negotiation Skills

Conflict Management and Negotiation Skills

Notes 13.8 Types of Negotiation

Some of the important forms of negation are briefly discussed below:
 Deal-making negotiations

 Decision-making negotiations
 Dispute-resolution negotiations
 Value-claiming negotiations
 Value-creation negotiations
Deal-making negotiations are negotiations to buy and sell.

Decision-making negotiations: The process of arriving at an agreement when there is multiple
potential and conflicting choices; it is the process by which multi-cultural teams reach an
agreement. Dispute-resolution negotiations are negotiations to resolve conflict resulting from
a claim being made and rejected.

13.9 Dispute Resolution Negotiations

Alternative Dispute Resolution (ADR) (also known as external dispute resolution in some
countries, includes dispute resolution processes and techniques that act as a means for disagreeing
parties to come to an agreement short of litigation. ADR basically is an alternative to a formal
court hearing or litigation. It is a collective term for the ways that parties can settle disputes,
with (or without) the help of a third party. ADR are ways and methods of resolving disputes
outside the judicial process (formal litigation – court).
Despite historic resistance to ADR by many popular parties and their advocates, ADR has gained
widespread acceptance among both the general public and the legal profession in recent years.
In fact, some courts now require some parties to resort to ADR of some type, usually mediation,
before permitting the parties' cases to be tried (indeed the European Mediation Directive (2008)
expressly contemplates so-called "compulsory" mediation; attendance that is, not settlement at
mediation). The rising popularity of ADR can be explained by the increasing caseload of traditional
courts, the perception that ADR imposes fewer costs than litigation, a preference for
confidentiality, and the desire of some parties to have greater control over the selection of the
individual or individuals who will decide their dispute. Some of the senior judiciary in certain
jurisdictions (of which England and Wales is one) are strongly in favour of the use of mediation
to settle disputes.
Value-claiming negotiation: It is a negotiation to reach a Distributive agreement

 It is about claiming value
 How much a set of resources you are going to get and how much the other party gets?
Value-creating negotiation: It is a negotiation to reach a integrative agreement

 It is about creating value
 How you and the other party can increase the resources available to divide?
Culture and Negotiation: When two parties negotiate both bring culture to the table with their
 Interests and priorities

 Negotiation strategies

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