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Chapter 11 - Team and Multiparty Negotiations

One type of multiparty negotiation involves three or more “sides,” each represented by one or more individuals.

Another type of multiparty negotiation is the team-based negotiation, where each side is represented by at least two individuals who work together as a team to achieve the goals and interests within a negotiation.

BENEFITS OF TEAMS IN NEGOTIATIONS

It is estimated that between 70% and 82% of U.S. companies use teams and teamwork as a means of getting work done. This trend toward teamwork is reflected in negotiations that take place within and between groups and organizations. Moreover, recent research suggests that negotiation effectiveness can be increased when more parties are involved.

When more people and perspectives are involved, to a point, there is a greater amount of information shared (e.g., issues, interests, ideas) and potential for creative, synergistic (i.e., mutually beneficial) solutions.

While multiparty negotiations share many similarities with traditional, two-party negotiations, there are several key differences that make such negotiations more complex and therefore more difficult to manage.

CHALLENGES IN TEAM OR MULTIPARTY NEGOTIATIONS

Increased Competition for and Usage of Airtime.- Whereas it might take a couple of hours for two individuals to arrive at a negotiated resolution, expect it to take significantly more time.

Preparation Challenges.- Preparation is key to effective negotiation. When three or more sides are involved, however, the process of give and take becomes less straightforward.

Procedural Chaos.- Another challenge involves the need for formal or informal rules of engagement.

Development of Trust.- As the number of people involved in the negotiation increases, one would expect the ability to determine the trustworthiness.

Formation of Alliances and Coalitions.- If a strong coalition disrupts the negotiation process, it may be difficult to make progress.

Impact of Cultural Differences.- the nature of team-based negotiations may cause negotiators from individualistic cultures to struggle more than negotiators from collectivistic cultures in finding an integrative, collaborative solution.

Potential for Dysfunctional Group Dynamics.- As the number involved increases, so does the likelihood that group dynamics will affect the negotiation.

Simultaneous conversations/overtalking, Silence/withdrawal, Side conversations, Groupthink, and Dominating or blocking.

Preparation for any negotiation is critical, it’s not a good idea to assume that all members on the same team are on the same page. Your team will need to meet to discuss its goals, BATNAs, a proposed agenda, and roles that each member will play during the negotiation.

PREPARING FOR TEAM OR MULTIPARTY NEGOTIATIONS

With regard to negotiation preparation, accountability regarding who will do what, by when and with what resources must be clearly understood by each team member.

Before dividing and conquering the preparation task, however, the team should discuss and agree upon its goals, interests, and BATNAs.

Finally, while an agenda should be agreed upon by all parties prior to the start of the multiparty negotiation, it would be helpful for each team to draft an agenda to ensure that key goals and interests are represented.

Agree Upon and Use an Agenda.- All parties should work together to agree upon a plan that specifies the time allotted, issues to be discussed, and order of topics.

GUIDELINES TO FOLLOW DURING A TEAM OR MULTIPARTY NEGOTIATIONS

Introduce Players and Clarify Roles.- When the negotiation begins, allow each member to introduce herself, including their position in the organization and role to be played during the negotiation

Decide on Procedural Rules.- These rules include how to run the meeting, who talks first, and how the group makes decisions and resolves conflict.

Utilize Public Note-Taking.- This helps keep all members on the same page and assured that their views count as the team moves forward with their goals and tasks.

Utilize Active Listening and Summarize Regularly.- Paraphrasing and restating key points made—even those with whom you don’t agree—is an important way to show others you are listening.

Consider Using a Facilitator or Mediator.- Facilitators monitor group dynamics—intervening when necessary—and help teams utilize effective interpersonal skills to ensure that outcomes are achieved effectively and efficiently.

Find Early Agreement on Some Issues.- Look for and secure early agreement on what might seem to be smaller issues.

Use Subgroups to Secure Tentative Agreement.- One way to move a larger group toward consensus is to appoint one or more subgroups to temporarily leave the group to arrive at a tentative agreement.

As Appropriate, Use Caucuses.- The caucus, or time-out, allows groups to make midcourse corrections, discuss different strategies or tactics, or consider offers made.

Confirm Agreements, Next Steps.- You should always schedule a specific ending time for the negotiation.