Transcript Slide 1

Cross Cultural Negotiation
FOS National Conference 2011
Michelle Sindler, CEO
Australian International Disputes Centre
www.disputescentre.com.au
Negotiation
“ To confer with another for the purpose of arranging some matter by mutual
agreement”
Oxford Dictionary
 Outcome sought
 Relationships to be established or maintained
 2 aspects:
(i) creation and fostering of business
(ii) dispute resolution
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 How does style influence a negotiation?
- collaborative or co-operative
- competitive or positional
- compromise
- submissive
- avoidance
 What is effective in a negotiation?
Negotiation is always a delicate business.
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Culture
“the ideas, customs, and social behaviour of a particular people or society;
the attitudes and behaviour characteristic of a particular social group”
Oxford Dictionary
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Every negotiation is a cross-cultural exercise
Concept of “Culture” is extremely complex
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A single person may carry several different cultures, eg:
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ethnic
national
religious
gender
age
occupational
Every interaction (including negotiation) is likely to be multicultural on several levels
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 Cultural factors affecting negotiations
 Pitfalls
 Understand the individual
 Find ways to bridge gaps
 Effective communication and interaction
 Trust: Relationships
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 Identify any cultural differences or issues in play and then address them
 Work to bridge cultural issues
- internal skills: curiosity, concentration, authenticity
- external skills: paraphrasing, enquiry, acknowledgement
 Achieving effective communication
 Self-awareness as well as awareness of others
 Be prepared for the unexpected
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Approaches to negotiation
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Position-based
- competitive, distributive
- value claiming
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Interest-based
- collaborative
- value-creating
(Fisher and Ury, Getting to Yes, 1983)
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4 Basic Principles for Negotiation
 Separate the people from the problem
 Focus on interests, not positions
 Generate a variety of possibilities (options) before deciding what to do
 Make sure that results are based on objective standards
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Some tips for cross-cultural negotiations
 Prepare, Prepare, Prepare
 Be aware of potential tricky issues
 Understand and manage expectations
 Beware of assumptions – stereotypes, a cross-cultural no-no
 Establish common ground and choose your style (in an informed way)
 Manage yourself and the process – don’t lose sight of people as individuals
 Active listening
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“As for the future, your task is not to face it, but to enable it”
Antoine de Saint-Exupéry
 There are and will continue to be cross-cultural negotiations in all aspects of business,
in relationship creation and in the resolution of disputes
 They can be managed – the potential for them to blow out can be minimized
 Knowledge, understanding and preparation are important
 Trust, respect, patience and flexibility are key
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