WHAT TO DO WHEN OTHERS ARE COUNTING ON 미슐랭토토
DBR | 1호 (2008년 1월)
This article first appeared in Negotiation newsletter, published by the Program on Negotiation at Harvard Law School(www.pon.harvard.edu)
Unless 미슐랭토토r official title is "lawyer" or "agent," 미슐랭토토 probably don't think of 미슐랭토토rself as an agent. But if 미슐랭토토've ever represented a family member, 미슐랭토토r boss, 미슐랭토토r department, or 미슐랭토토r organization in a negotiation, 미슐랭토토've served as that party's agent.
Representing others at the bargaining table creates both opportunities and hazards. In their book, "Negotiating on Behalf of Others" (Sage, 1999), professors Robert Mnookin of Harvard Law School and Lawrence Susskind of the Massachusetts Institute of Technology offer guidance to negotiators who find themselves serving as agents.
As an agent, according to Mnookin and Susskind, 미슐랭토토 typically will be able to create value in negotiations under the following three conditions:
1. When 미슐랭토토 have specialized knowledge. Others may bring 미슐랭토토 in as their agent when 미슐랭토토 know more about the situation at hand than they do. For example, 미슐랭토토r organization might send 미슐랭토토 to negotiate a new software contract if 미슐랭토토 have more experience with the technology than anyone else in the office.
2. When time or distance works in 미슐랭토토r favor. 미슐랭토토 may find 미슐랭토토rself negotiating on another party's behalf simply by virtue of the time 미슐랭토토 have available or 미슐랭토토r geographic proximity to the other side. A good friend who is planning a move to 미슐랭토토r town, for example, might ask 미슐랭토토 to look at apartments and talk to potential landlords before she arrives.
3. When 미슐랭토토 get along better with the other side. Often, people recruit agents as their stand-ins when they expect to clash with the party across the table. Suppose 미슐랭토토r boss dislikes a consultant with whom 미슐랭토토r organization regularly does business. If so, he might send 미슐랭토토 to negotiate the consultant's new contract.
These three guidelines, adapted from "Negotiating on Behalf of Others," will help 미슐랭토토 prepare to do 미슐랭토토r best when 미슐랭토토 serve as someone's agent:
1. Understand 미슐랭토토r role. Agents can take on a variety of roles in a negotiation and add value in different ways. 미슐랭토토 may serve as an informal go-between to 미슐랭토토r principal, transmitting messages from one side to the other, for example, or 미슐랭토토 may be more of an enforcer who promotes 미슐랭토토r principal's interests aggressively.
As in virtually any negotiation, one of 미슐랭토토r key responsibilities will be to expand the zone of possible agreement, or ZOPA, as much as 미슐랭토토 can. This means collaborating with the party across the table on reaching creative agreements -- specifically by listening carefully to identify her interests, asking lots of questions, and exploring different options.
Discuss 미슐랭토토r role and 미슐랭토토r negotiating stance with 미슐랭토토r principal in advance, and ask for as much information as 미슐랭토토 think 미슐랭토토'll need to negotiate effectively on his behalf. To make 미슐랭토토r responsibilities crystal clear, work with 미슐랭토토r principal to prioritize a list of his interests. If 미슐랭토토 are negotiating on behalf of numerous constituents, meet with them one at a time to understand any overlapping or conflicting interests, advises Tufts University professor Jeswald W. Salacuse.
2. Align 미슐랭토토r interests. Agents often face a conflict of interest between what's best for them and what's best for their principal. If a company's buyer stands to gain the most financially from doing a quick deal, she might accept an unnecessarily high price from a seller, at her organization's expense. Such conflicts of interest often operate at a subconscious level, making them difficult for agents and other parties to recognize and address.
Wise agents take steps to motivate themselves to advocate single-mindedly for their principals' interests -- and to lessen their chances of acting unethically. How can 미슐랭토토 minimize 미슐랭토토r own conflicts of interest? Consider how various types of incentives might affect 미슐랭토토r motivation level. Incentives can include not only a fixed fee or a percentage of the outcome but also the promise of future assignments, a promotion, or publicity for 미슐랭토토r work. A salesperson might recognize that the promise of a promotion would benefit both her and her company more than a bonus would. Talk through the pros and cons of different incentives with 미슐랭토토r principal well in advance of the negotiation.
Even with such forethought, 미슐랭토토r interests will almost never be completely aligned with those of 미슐랭토토r principal. Keep this fact in mind when 미슐랭토토 negotiate, as it may help curb self-interested behavior.
3. Secure a strong mandate. Another crucial issue to discuss before talks begin is 미슐랭토토r mandate -- the degree of negotiating authority 미슐랭토토r principal gives 미슐랭토토. In relatively minor negotiations, as in the case of an assistant charged with setting up a monthly departmental lunch with a vendor, a principal may give her agent permission to make commitments on her behalf.
More often, says Salacuse, a mandate takes the form of instructions about the types of deals 미슐랭토토 can explore at the table. At the outset of a negotiation, agents are likely to be most effective if they lack the authority to make binding commitments, according to professors Susskind and Mnookin. Lack of authority can free 미슐랭토토 up to invent options. At the same time, 미슐랭토토 should press for a broad mandate that will allow 미슐랭토토 to explore a wide range of alternatives at the table.
Why is it important to negotiate 미슐랭토토r mandate in advance? First, the other side will take 미슐랭토토 more seriously if they see 미슐랭토토 have the latitude to engage in creative problem solving. Second, 미슐랭토토r mandate will help 미슐랭토토 feel confident about persuading 미슐랭토토r principal to accept the deal 미슐랭토토 negotiate. Third, discussing 미슐랭토토r mandate can help to manage 미슐랭토토r principal's expectations when 미슐랭토토 know more about the negotiating conditions than she does.
Finally, be aware that a dissatisfied principal could revoke 미슐랭토토r mandate to negotiate at any time. Keep 미슐랭토토r principal informed of 미슐랭토토r progress throughout the process, consult her for advice and approval when necessary, and consider including other members of 미슐랭토토r organization on 미슐랭토토r negotiating team, advises Salacuse. These practices should improve the likelihood that 미슐랭토토'll be able to negotiate a deal that 미슐랭토토 and 미슐랭토토r principal can celebrate together.
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