Natural Negotiation for Engineers and Technical Professionals

It would be so very, very greedy of me to ask for five thousand whole dollars. I wonder if the cafeteria has carrot cake today? Virtually any amount of money available to you personally is mouse droppings to your prospective employer. They will not feel offended if you ask for it. I received a comment that this is untrue for startups by someone today.

Bob generally does not get large performance incentives for shaving money off of his hiring budget: In fact, there are many organizations and Bobs for whom power, status, and money come from asking for more budget every year. If you turn out to be on the expensive side, that is great for Bob, because a he manages a high-powered peon so he must be a high-powered manager and b this will help Bob get more budget next quarter.

If the deal makes economic sense, it will happen. You will not be blackballed for negotiating. Bob is far, far less invested in this negotiation than you are. This is an effective strategy for job searching if you enjoy alternating bouts of being unemployed, being poorly compensated, and then treated like a disposable peon.

I served three years as a disposable peon in a Japanese megacorp and might be projecting a tad bit here. Regardless, my loss is your gain. If you believe this, you have a dangerously incomplete mental model of how the world operates. I have a specific recommendation for you to make that model more complete: Virtually no company has a hiring process which is accurately explained by blog posts about the company.

No company anywhere has a hiring process which is accurately explained by their own documents about how the hiring process works. Only negotiate salary after you have agreement in principle from someone with hiring authority that, if a mutually acceptable compensation can be agreed upon, you will be hired.

This is really, really important because it has direct implications for your negotiating strategy. First, the company is going to spend a lot of time and effort on getting you to the point of agreement-in-principle. Walking away from the negotiation means that they lose all that investment. Yeah, sunk cost fallacy and all, but since people predictably act in this fashion you should, well, predict that they will act in this fashion.

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The absolute worst outcome of negotiating an offer in good faith is that you will get exactly the contents of that offer. Let me say that again for emphasis: This means you need what political scientists call a commitment strategy: You have a simple recourse to them: This also means you do not start negotiating until you already have a Yes-If. Yes-If we agree on terms.

Do not start negotiating from No-But. Compromising excessively is not the point of the exercise. This means that any discussion of compensation prior to hearing Yes-If is premature. You then have a high likelihood of doing your salary negotiation over email, which is likely to your advantage versus doing it in real time. Email gives you arbitrary time to prepare your responses. Especially for engineers, you are likely less disadvantaged by email than you are by having an experienced negotiator talking to you.

Every handbook on negotiation and every blog post will tell you not to give a number first. This advice is almost always right. It is so right, you have to construct crazy hypotheticals to find edge cases where it would not be right. For example, if your previous salary was set during the dot-com bubble and you are negotiating after the bubble popped, you might mention it to anchor your price higher such that the step down will be less severe than it would be if you engaged in free negotiations unencumbered by the bubbilicious history.

Does this sound vaguely disreputable to you? This vaguely disreputable abuse of history is what every employer asking for salary history, salary range, or desired salary is doing.

They are all using your previous anomalously low salary — a salary which did not reflect your true market worth, because you were young or inexperienced or unskilled at negotiation or working at a different firm or in another line of work entirely — to justify paying you an anomalously low salary in the future. Ramit Sethi more on him later introduced me to a concept that he calls Competence Triggers: When people with hiring authority think of winners, they think of people like them who live and breathe this business thing.

They negotiate things as a matter of course: Volunteering a number when asked says the same thing to people with hiring authority that flunking FizzBuzz says to an engineer: A funny in hindsight story: I cost myself five figures with a single email. The particulars are boring, but suffice it to say I fairly recently made a wet-behind-the-ears-engineer error in quoting a client.

So did my bank statement. My bank statement kept quiet, but the client opined that it made him think less of me until we actually got to work together. What you should think: What you should say: Fine then, talk like yourself, but say substantially the same things. Engineers overestimate how different we really are from business people: If it is actually your best guess about the state of reality, that has immediate news-you-can-use implications about how you should conduct your life.

Working with your company looked it would have been such a wonderful opportunity. I hear the hiring market is super-tight right now, would you like me to introduce you to other candidates? Maybe we can shave a couple of months off of you filling this position. I double majored in making things and making things up. The joking comes from a place of love. You know what people find persuasive? People love their own words. When you talk to them, you should use their own words. Seriously, watch the eyes light up. Pick out the key words. Reinterpret or rephrase the true!

Did you previously work at a small business which was unencumbered by lots of process? Sounds like a fast-moving environment, right? Call it exactly that, then. Take notes during job interviews and salary negotiations. Can I do that?! Of course you can. In terms of specific things that should get your pen moving, among others, I would focus on specific words they use and concerns they have so that you can come back to them later in the conversation.

None of my clients would ever say that, of course, but then again one would hope none of their consultants would chop five figures off their own invoice with an email. If they say the position has been open for six months, take a note of that. What is the value of that six months of execution to you? Being needy means that the party who is not needy has automatic leverage over you: This advice is stolen shamelessly from Dale Carnegie.

Similarly, I generally try to phrase things positively rather than score debating points. Many people will tell you that you should familiarize yourself with the approximate salary range for the position in your region. Facebook and LinkedIn exist. You should, before any job interview, have intimate knowledge of the target company. Prospective peers within the company are one obvious way to get it. Key things you want to learn:. You can even bring a lot of these questions to the job interview, which is again prior to the negotiation. Similarly, a lot of employees will, out of company loyalty, attempt to sell you on taking the job with the company by trading you very useful information.

It will also help you avoid making mistakes like e. They wanted more money. That is a pretty brilliant reply. Approximately all people wanting to work at Google are aware of its existence. Mirroring refers to a person repeating the core content of what another person just said, or repeating a certain expression. It indicates attention to the subject of negotiation and acknowledges the other party's point or statement. Communication is a key element of negotiation. Effective negotiation requires that participants effectively convey and interpret information.

Participants in a negotiation communicate information not only verbally but non-verbally through body language and gestures. Non-verbal "anchoring" In a negotiation, a person can gain the advantage by verbally expressing a position first. By anchoring one's position, one establishes the position from which the negotiation proceeds. In a like manner, one can "anchor" and gain advantage with nonverbal body language cues. Reading non-verbal communication Being able to read the non-verbal communication of another person can significantly aid in the communication process.

By being aware of inconsistencies between a person's verbal and non-verbal communication and reconciling them, negotiators can to come to better resolutions. Examples of incongruity in body language include:. Conveying receptivity The way negotiation partners position their bodies relative to each other may influence how receptive each is to the other person's message and ideas.

Receptive negotiators tend to appear relaxed with their hands open and palms visibly displayed. Emotions play an important part in the negotiation process, although it is only in recent years that their effect is being studied. Emotions have the potential to play either a positive or negative role in negotiation. During negotiations, the decision as to whether or not to settle rests in part on emotional factors.

Negative emotions can cause intense and even irrational behavior, and can cause conflicts to escalate and negotiations to break down, but may be instrumental in attaining concessions. On the other hand, positive emotions often facilitate reaching an agreement and help to maximize joint gains, but can also be instrumental in attaining concessions.

Positive and negative discrete emotions can be strategically displayed to influence task and relational outcomes [48] and may play out differently across cultural boundaries. Dispositional affects affect various stages of negotiation: Even before the negotiation process starts, people in a positive mood have more confidence, [53] and higher tendencies to plan to use a cooperative strategy. It increases satisfaction with achieved outcome and influences one's desire for future interactions.

Negative affect has detrimental effects on various stages in the negotiation process. Although various negative emotions affect negotiation outcomes, by far the most researched is anger. Angry negotiators plan to use more competitive strategies and to cooperate less, even before the negotiation starts. During negotiations, anger disrupts the process by reducing the level of trust, clouding parties' judgment, narrowing parties' focus of attention and changing their central goal from reaching agreement to retaliating against the other side.

Research indicates that negotiator's emotions do not necessarily affect the negotiation process. According to this model, emotions affect negotiations only when one is high and the other is low. When both ability and motivation are low, the affect is identified, and when both are high the affect is identified but discounted as irrelevant to judgment. Most studies on emotion in negotiations focus on the effect of the negotiator's own emotions on the process.

However, what the other party feels might be just as important, as group emotions are known to affect processes both at the group and the personal levels. When it comes to negotiations, trust in the other party is a necessary condition for its emotion to affect, [51] and visibility enhances the effect.

PA signals to keep in the same way, while NA points that mental or behavioral adjustments are needed.

Specific emotions were found to have different effects on the opponent's feelings and strategies chosen:. Negotiation is a rather complex interaction. Capturing all its complexity is a very difficult task, let alone isolating and controlling only certain aspects of it. For this reason most negotiation studies are done under laboratory conditions, and focus only on some aspects.

Although lab studies have their advantages, they do have major drawbacks when studying emotions:. While negotiations involving more than two parties is less often researched, some results from two-party negotiations still apply with more than two parties. One such result is that in negotiations it is common to see language similarity arise between the two negotiating parties. In three-party negotiations, language similarity still arose, and results were particularly efficient when the party with the most to gain from the negotiation adopted language similarities from the other parties.

Due to globalization and growing business trends, negotiation in the form of teams is becoming widely adopted. Teams can effectively collaborate to break down a complex negotiation. There is more knowledge and wisdom dispersed in a team than in a single mind. Writing, listening, and talking, are specific roles team members must satisfy. The capacity base of a team reduces the amount of blunder, and increases familiarity in a negotiation. However, unless a team can appropriately utilize the full capacity of its potential, effectiveness can suffer. One factor in the effectiveness of team negotiation is a problem that occurs through solidarity behavior.

Solidarity behavior occurs when one team member reduces his or her own utility benefit in order to increase the benefits of other team members. This behavior is likely to occur when interest conflicts rise. Intuitively, this may feel like a cooperative approach. However, though a team may aim to negotiate in a cooperative or collaborative nature, the outcome may be less successful than is possible, especially when integration is possible.

Integrative potential is possible when different negotiation issues are of different importance to each team member. Integrative potential is often missed due to the lack of awareness of each member's interests and preferences. Ultimately, this leads to a poorer negotiation result. Thus, a team can perform more effectively if each member discloses his or her preferences prior to the negotiation.

This step will allow the team to recognize and organize the team's joint priorities, which they can take into consideration when engaging with the opposing negotiation party. Because a team is more likely to discuss shared information and common interests, teams must make an active effort to foster and incorporate unique viewpoints from experts from different fields.

Research by Daniel Thiemann, which largely focused on computer-supported collaborative tasks, found that the Preference Awareness method is an effective tool for fostering the knowledge about joint priorities and further helps the team judge which negotiation issues were of highest importance.

Many of the strategies in negotiation vary across genders, and this leads to variations in outcomes for different genders, often with women experiencing less success in negotiations as a consequence.

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This is due to a number of factors, including that it has been shown that it is more difficult for women to be self-advocating when they are negotiating. Many of the implications of these findings have strong financial impacts in addition to the social backlash faced by self-advocating women in negotiations, as compared to other advocating women, self-advocating men, and other advocating men. Research in this area has been studied across platforms, in addition to more specific areas like women as physician assistants. This research has been supported by multiple studies, including one which evaluated candidates participating in a negotiation regarding compensation.

This study showed that women who initiated negotiations were evaluated more poorly than men who initiated negotiations. In another variation of this particular setup, men and women evaluated videos of men and women either accepting a compensation package or initiating negotiations. Men evaluated women more poorly for initiating negotiations, while women evaluated both men and women more poorly for initiating negotiations. In this particular experiment, women were less likely to initiate a negotiation with a male, citing nervousness, but there was no variation with the negotiation was initiated with another female.

Research also supports the notion that the way individuals respond in a negotiation varies depending on the gender of the opposite party. In all-male groups, the use of deception showed no variation upon the level of trust between negotiating parties, however in mixed-sex groups there was an increase in deceptive tactics when it was perceived that the opposite party was using an accommodating strategy. In all-female groups, there were many shifts in when individuals did and did not employ deception in their negotiation tactics. The academic world contains a unique management system, wherein faculty members, some of which have tenure, reside in academic units e.

However, the academic environment frequently presents with situations where negotiation takes place. For example, many faculty are hired with an expectation that they will conduct research and publish scholarly works. And deans oversee colleges where they must optimize limited resources, such as research space or operating funds while at the same time creating an environment that fosters student success, research accomplishments and more.

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Integrative negotiation is the type predominately found in academic negotiation — where trust and long-term relationships between personnel are valued. Techniques found to be particularly useful in academic settings include: The articles by Callahan, et al. The word "negotiation" originated in the early 15th century from the Old French and Latin expressions "negociacion" and "negotiationem". These terms mean "business, trade and traffic".

By the late s negotiation had the definition, "to communicate in search of mutual agreement. From Wikipedia, the free encyclopedia. For Wikipedia's negotiation policy, see Wikipedia: For other uses, see Negotiation disambiguation. Non-zero-sum game and Win-win game. Alternative dispute resolution Collaborative software Collective action Conciliation Conflict resolution research Consistency negotiation Contract Cross-cultural Cross-cultural differences in decision-making Diplomacy Dispute resolution Expert determination Flipism Game theory Impasse International relations Leadership Method of Harvard Principled Negotiation Multilateralism Nash equilibrium Prisoner's dilemma Program on Negotiation.

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Sometimes it does hurt to ask" PDF. Engaging in Negotiations and negotiations". Retrieved May 11, List of books about negotiation. Creating a World Class Negotiating Organization. Shapiro and Mark A. Jankowski, The Power of Nice: A Language of Life, 3rd Edition: