- Content Hub
- Personal Development
- Negotiation, Persuasion and Influence
- Negotiation
- The One Minute Negotiator: Simple Steps to Reach Better Agreements
Access the essential membership for Modern Managers
Transcript
Welcome to the latest episode of Book Insights, from Mind Tools.
In today's podcast, lasting around 15 minutes, we're looking at "The One Minute Negotiator," by authors Don Hutson and George Lucas.
Stop and think about how much negotiating you do every day. At first glance, you might think you don't do any. After all, if you're not in sales you probably never negotiate, right? And if you do negotiate, it's only for rare events like buying a house or getting a new job.
Well, chances are you negotiate a lot more than you think.
For instance, you might have negotiated with your teenager to pick up their room before you left for work this morning. Or you negotiated with your spouse when you told her you'd be late for dinner again. You might have negotiated with your boss to get an important deadline extended for your team, and again with your co-worker as you assigned tasks for a project the two of you are working on.
The point is that we negotiate all the time. But despite that, many of us look at negotiation with fear, or even downright loathing. We do whatever we can to avoid negotiating because it makes us uncomfortable or nervous. So, we try not to do it.
The good news is that negotiation doesn't have to be this way. Negotiation is all about getting the best outcome for everyone involved, and it can be an easy, open, and flexible process. If we know what to do.
Knowing how to negotiate effectively can literally change your life. The skills taught in "The One Minute Negotiator" can help us get better jobs, earn higher salaries, improve our relationships with our friends and families, get better deals on things we buy, and work more productively with our teams.
When you look at it like that, not knowing how to negotiate effectively just doesn't make sense!
"The One Minute Negotiator" is a book which sets itself apart from other negotiating books on several levels.
One big reason is that negotiation isn't a one-size-fits-all process. Some negotiation books teach strategies focused around a central theme, such as competition. But we all know that we negotiate with different people, in different situations, all the time. When it comes to negotiation, one size doesn't fit all.
In this book we learn four negotiation strategies that we can use based on who we're negotiating with. And, we learn how to recognize what kind of situation we're in, so we can use the right strategy to get the best results.
"The One Minute Negotiator" is also appealing because it's short. This book comes in at just over 100 pages. But don't think that, because it's short, you won't get a thorough education in negotiation. The authors have packed a lot of great strategies and tips into this little book. It's an incredibly quick read, so if you need some great negotiation skills fast, this book is for you.
Don Hutson is the author of several books, as well as the CEO of the training firm U.S. Learning. George Lucas is a global speaker and the author of several best-selling books and learning programs on negotiation. He's a senior consultant with U.S. Learning.
Who should read this book? Well, it's the kind of book that anyone, working at any level, can benefit from. Whether you're a seasoned negotiator or not, you can learn something new here.
So keep listening to find out why compromise isn't the great strategy you always thought it was, what you should do when you're negotiating with an analytical person, and when you should use a competitive negotiating strategy.
"The One Minute Negotiator" is broken up into eight chapters. But the authors have chosen to write the book as a parable. This means it reads more like a novel.
In the book we meet Jay Baxter, a sales professional who sells more products than anyone else in his company. But Jay has just been passed over for a huge promotion and the Sales Professional of the Year Award, because he can't get his profit margins up. He's a master at getting business and closing the sale, but he gives away too much during the negotiation process. So, Jay's attending a two-day Negotiation seminar put on by his organization so he can improve.
As the seminar starts out, the teacher, Doctor Pat, talks about negotiaphobia. Negotiaphobia, he says, is a disease that's become widespread today. Most of us fear negotiation and do what we can to avoid it.
The reason why so many of us fear negotiation is because of the way we look at it. We see negotiation as combat or conflict. We all just want to get along and not rock the boat, and negotiation is the exact opposite of that, right?
Looking at negotiation this way, Doctor Pat says, isn't doing any of us any favors. In our business and personal life we negotiate all the time. So why not try to understand what negotiation we're already doing, so we can get what we want in life, and improve our relationships with those around us?
One of the strategies we learn early on in the story is the "two by two negotiation matrix." This matrix helps us understand how different negotiations unfold.
Why do we need to know this?
Well, the authors say there are two kinds of parties in negotiations. Proactive parties are willing to initiate and advance the negotiation process. Reactive parties only respond to what the other party says or does.
As you can probably guess, it's far better to be proactive in negotiations. These two parties make up the vertical side of the axis.
The horizontal line represents "low cooperation negotiators" and "high cooperation negotiators."
Within this matrix we now have four open squares. And each of these squares represents a strategy that the authors teach us how to use throughout the rest of the book, through their fictional speaker Doctor Pat.
The four strategies are Competition, Collaboration, Avoidance, and Accommodation.
Next, we learn which strategy is best to use based on the factors you heard a moment ago. For instance, if the person we're negotiating with is proactive, but has low cooperation, we need to use the Competitive strategy. Or if they're willing to cooperate and are very proactive about negotiation, we need to use the Collaboration strategy.
This matrix, and its corresponding strategies, are what make up the rest of the book. We loved this system because not only does it make sense, but it's also easy to remember and apply. Fortunately, the rest of the book teaches us how to identify the person or situation we're dealing with, so we can apply the appropriate strategy. And with each strategy, we get excellent tips and examples of what to do.
For instance, many of us might think compromise is an excellent negotiation strategy. After all, when we compromise, everyone walks away happy, right?
Not really, says the authors, through Doctor Pat. Compromise causes more confusion about the nature of negotiation than any other issue. And most of us compromise far too often, and far too early, in the negotiation process.
The authors say compromise should only be used late in negotiations. How will you know when to use it? Well, there are two conditions that need to be present to use compromise effectively.
First, compromise should be seen as a last resort. You should turn to compromise only after you've used other, legitimate negotiation strategies first. And, you should use it only when there's a small gap in your position, and the position of the other person. When those two conditions have been met, then compromise can be a valuable tactic for reaching a final agreement.
Have you ever thought about what kind of negotiator you are? After all, the authors just laid out four main types of negotiators. Which strategy do you naturally use?
There's a highly practical self-assessment midway through the book that allows you to clearly see which styles you're strongest in, and which you tend to avoid.
The assessment is only twenty questions, but paints a convincing picture of your negotiation style. Our only criticism is that the test will be difficult to take if you buy the book through an e-reader. We did, and the two-step scoring process did take longer than it would have if we could have just marked the book or made a copy. But the test is eye-opening and well worth the effort.
Assessing yourself, and the party you're negotiating with, is step two of the author's four-step process. Once you know what strategy you're naturally drawn to, you can better identify the strategy of the other person.
So, how do you figure out the approach the other person is going to use?
Well, if you've worked with them in the past, try to remember what they did last time. The authors say most people aren't comfortable or skilled enough to use more than one strategy. So if they were competitive last time, chances are they will be again.
We also get some really practical tips for negotiating with certain personality types. For instance, imagine that one of your vendors is analytically minded. They're a numbers person, which means they usually don't like surprises. When speaking with them you should present hard facts, and keep emotion out of the picture.
In terms of strategy, the authors say that many "analytics" automatically opt for avoidance in negotiations. They won't make a decision unless they have all the data, and they don't like expressing their opinions.
You can negotiate with analytics by making sure they have every piece of data they need to make a decision. The authors give us a good tip here. They say that most analytics have one main fear in negotiating. They dread having to admit they made a mistake. If you want to succeed with this group, then do what you can to help them avoid this.
If you haven't negotiated with a person or organization before, you'll appreciate the authors? highly practical strategies for assessing their behavior and personality types, so you can choose the best strategy for the situation.
For instance, how do they negotiate with their customers or other suppliers? Look for articles about their past dealings, or read their website. If you find words like value, cooperation, relationships, and even collaboration in their marketing materials, they're likely to be collaborative negotiators. If you have trouble finding information, chances are they're going to be competitive.
We felt this was good advice, but it certainly won't work with everyone. For instance, a company might be more than willing to collaborate, but just hasn't put out a lot of information about their practices on the web. So, take this tip with a grain of salt.
There's a lot more here about discovering the other party's personality type, and all the information is useful and practical.
So how do you really know which negotiating strategy you should be using?
We learn this in chapter seven, which is one of the most valuable chapters in the book.
Take accommodation. Many of us accommodate way too much in negotiations. We're so eager to reach a conclusion that we give far too much away.
There are situations when we should jump to accommodation first, and that's when we're in a significantly weaker position than the other party. The authors say that knowledge is vital here. The side with less knowledge is usually the one that has to accommodate at the negotiating table. We also might be forced to accommodate if we have less leverage, like when we've made a mistake.
The authors advise us that when this is the case, we should avoid making excuses for our mistake. Instead, we should take responsibility and ownership of the problem, and suggest solutions for moving forward.
What about competitive negotiating? We should all use a competitive style when we're negotiating with someone who isn't interested at all in collaborating, or simply isn't worth the trouble. For instance, many car dealers adopt competitive negotiating tactics because, after you buy the car, they're never going to see you again. It isn't worth them trying to form a relationship with you, because it just doesn't matter.
There's a great wealth of information in this chapter, including when we should focus on collaboration, and why we should welcome objections when we're negotiating.
So, what's our last word on "The One Minute Negotiator"?
We thought the tips and strategies in this book were excellent. There's no doubt that reading this book will give you a better understanding of what true negotiation is, what your style is, and how you can move forward to negotiate more effectively with all kinds of different people.
We did enjoy the parable-style format. Conversations between Jay, the main character, and Doctor Pat, the negotiating coach, pass on good information in an interesting way. And, these dialogs will probably help you remember the tips and strategies better. However, there are some sections, like conversations between Jay and his wife, that aren't relevant and you'll probably find yourself skipping through those.
Although the strategies and tips are hidden within the plot and dialog of the book, the authors provide us with helpful bullet points at the end of each chapter which highlight the main points. When you need a refresher, all you have to do is turn here for a concise recap.
The book is an easy read and you can get through it on a long plane ride. At just over one hundred pages, it's tiny by most business book standards. But make no mistake. The information in here is top notch, and you'll definitely learn some new tips you can easily start using the moment you close the cover.
"The One Minute Negotiator," by authors Don Hutson and George Lucas, is published by Berret-Koehler Publishers.
That's the end of this episode of Book Insights. Thanks for listening.