Negotiation
Management 448
Module II, 2006, M/W 11:20-12:50 and 2:00-3:30, Room 218
Professor Tim Vogus
Management Hall 319
343-8094 (Fax: 343-7177)
Timothy.Vogus@Owen.Vanderbilt.Edu
OBJECTIVES
Negotiation is a skill needed in the business world, no matter what your functional
area or industry. Negotiations occur when companies are merged or separated,
sales are made, employment contracts are signed, or project-team decisions are
made. Negotiations are pervasive – they occur during formal ―negotiations‖ but
also every day when issues are resolved and relationships are formed. This course
is designed to provide all Owen students with the skills needed to approach
negotiations with confidence. This includes a framework for analysis, knowledge
about one’s own tendencies in negotiation, and a chance to experiment with
negotiating techniques in various contexts.
THE ROLE OF SIMULATIONS
This course is heavily experiential. Many times during the course you will play a
role in a simulated negotiation. Role plays allow you to experience some of the
pressures and dynamics of negotiation, they allow you to test for yourself several
bargaining styles, and they provide data for class discussions about how
differently the same negotiation can develop. Given the central role of
simulations in this course, it is critical that they be taken seriously. To encourage
this, the results from your the negotiations will contribute to your grade; the better
you do for yourself, the better your grade. At the same time, you will be
evaluated by your peers as to your reputation in negotiations.
In more operational terms, it is essential that you actually do the negotiations.
The logistics for this course are already difficult. If you fail to complete a
negotiation or are not present in class for the debrief, it complicates matters for
me and takes away from a classmate his or her chance to learn from the course.
For that reason, you can miss -- at most -- only one exercise or debrief, and
then only for a serious personal matter or an on-site visit to a company for a job.
To do so, you must notify me at least 2 days in advance. More absences than this
will result in a penalty of a half-grade for each miss. IF YOU DO NOT FEEL
YOU CAN MEET THIS REQUIREMENT, PLEASE CHOOSE ANOTHER
COURSE.
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RULES GOVERNING SIMULATIONS
It is also important that you follow strictly the following rules:
• Prepare your role before the time when the negotiation is scheduled.
• Read only the material assigned for your role. Do not read information that
your negotiation partner has, and do not read information that may exist from
prior offerings of this course (e.g., course materials, conversations with peers who
have previously taken the course, etc.) as well as any on-line materials.
• Do not discuss results outside of class. Others in your section may still be
negotiating. If they learn about your outcome, it will bias their results. Be careful
– it is easy for people to overhear conversations in the hallways.
• Be on time for class. Since many simulations will be run and debriefed on the
same day, it is important not to waste time.
• Note when results are due! Many of the negotiations occur outside of class.
For those negotiations, I need the results BEFORE class. The exact times vary
(see below for exact times). You may either e-mail me the results or drop them in
my mailbox.
• Make sure that all questions are answered on the forms (or in e-mail) and that
the results written by both parties match.
• In order to ensure that information does not flow to students who take the course
after you: 1) take care not to lose role instructions, and 2) do not discuss the
specifics of simulations with students who are not taking the class with you.
SIMULATION PROCEDURES
You will be assigned a role and partner(s) for each negotiation simulation. These
role assignments are random. You will receive information about your
negotiating role, along with the relevant confidential and general information, in
time to prepare for your negotiation. When you get your role assignment, please
make sure you have received the correct role information. Roles will be
distributed either in class or to your mail boxes between classes.
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COURSE GRADING AND REQUIREMENTS
Simulations and in-class activities (40%)
Negotiation Outcomes (15%)
Negotiation Results: Your results will be compared to those of other students in
the class to assess your bargaining performance. In some cases (where outcomes
are qualitative) I will have to make assessments about the relative ―utility‖
achieved by each negotiator; in other cases the simulations produce quantitative
outcomes or scores. In either case, the comparison will be made with other
students in your role, not your negotiating opponent.
Negotiation Analysis/Feedback Statements: At the end of three negotiation
simulations you will write a brief (keep it to <500 words) analysis of what took
place. These statements should include: (1) a synopsis of the key factors that you
think explain what happened in this simulation and why, and (2) an assessment of
the style, tactics, and performance of your negotiation opponent(s). You provide
a copy to your negotiation opponent(s) and a copy to me. These are turned in by
email. A handout on Blackboard explains the format in detail. Please follow
instructions!
Reputation Index (10%)
By the end of the course you will have encountered a number of people across the
bargaining table, and heard about many other negotiations. Based on these
experiences, you will be asked to evaluate the reputation of your classmates as
negotiators and givers of feedback. This measure is a proxy for the long-term
effects that reputation has on negotiations, and recognizes those individuals who
contribute to the value of this course through their peer feedback.
Class Participation (15%)
The purpose of this element of grading is to encourage full and thoughtful
participation in the course. I expect students to be prepared for case discussions
and contribute to negotiation debriefs with their experiences at the bargaining
table as well as any relevant experiences from your professional lives. In addition
to using my own judgment about class participation, I will ask students in the
class to evaluate each other’s class participation at the end of the course.
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Written Deliverables (60%)
Individual Paper, Real World Negotiation (15%)
Before the fifth week of class, you are to go into the ―real world‖ and negotiate
for something. It may be instructive to negotiation for which you would not
normally negotiate. Write up your experience, focusing on how you prepared for
the negotiation (including a ―basic analysis‖), what happened, and why it turned
out that way. Critique your performance – what could you have done differently
to produce a better outcome? Page limit: 3 pages, double-spaced. See
Blackboard for details and examples. Due: Wednesday, November 15th.
Case Comparison Paper (15%)
Work in pairs (groups of two) to write a paper comparing three cases. Page limit:
4 pages, double-spaced. See Blackboard for details. Due: Wednesday,
November 29th.
Final Paper (30%)
You have two choices for your final paper
1) You can work in groups of 2-3 students (you form your own groups) to
produce a written (no more than 10 double-spaced pages) analysis of an actual
negotiation. Prior to writing a final group paper, you must submit the names
of your group members and a 1-2 page project proposal on November 8th.
2) You can write a self-assessment of yourself as a negotiator. This is an
individual paper which should be 4-5 pages doubled-spaced
See Blackboard for additional details and possible topics. Due: Monday
December 11th at 5 P.M.
CRITERIA FOR EVALUATING WRITTEN WORK
Papers due in this class should contain arguments that are precise, organized,
logical, and appropriately supported. High grades are reserved for well-written
papers that demonstrate a clear, in-depth, and sophisticated understanding of key
processes and concepts. Here is a loose guide to what grades mean (pluses and
minuses are used to shade evaluations upward or downward).
A = Superior analysis, organization, conceptual fluency, and expression
B = Good conceptual understanding and application
C = Limited fluency with concepts and/or application, or weak expression
D = Inadequate, but capable of improvement, given effort; sloppy
presentation
F = Weak, incomplete, or perfunctory
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COURSE MATERIALS
• A ClassPak that includes readings, cases, and some simulation materials.
• Getting to Yes (2nd Edition), by Fisher, Ury and Patton
• Links to readings on Blackboard
.
“LAB FEE”
There is an additional $25.55 fee for this course to cover the cost of the ClassPak
and experiential negotiation materials purchased from the Harvard Program on
Negotiation and other sources. You must provide Janet Sisco (in 300A) with a
check for $25.55, payable to Vanderbilt University. You will receive the
ClassPak immediately. The additional materials you are paying for will be
handed out at the point in the course when they are used.
THE HONOR CODE
Students are bound by the Honor Code and following specific guidelines for all work
completed in this course. I draw your attention to some specific guidelines related to
Mgt. 448:
• Individual work is to be completed without the assistance of others. While
group interaction is encouraged when studying, any work submitted under your
name alone must be your own work.
• Assignments identified as group work are to be completed by only members of
the group. I also expect all members of the group will have meaningfully
contributed.
• Any use of analyses or any other material in any format from other sections of
this course or a similar course taught at any time in the past, at Vanderbilt, other
universities, or the Internet, is a violation of the Honor Code. Specifically, the
value of experiential activities in Mgt. 448 is diminished by prior knowledge or
divulged information. Accordingly, the following are breaches of the honor code:
- Obtaining confidential role information for a role other than that to
which you are assigned in a negotiation simulation.
- Providing confidential role information to a classmate not assigned to
that role.
- Discussing the content of in-class discussions or sharing information
about experiential exercises in Mgt. 448 with students in other course
sections before the material has been covered in all sections or with other
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OGSM students who may take the course in the future is a violation of the
Honor Code.
- Obtaining information about exercises used in Mgt. 448 from OGSM
students, former students, or others who have taken part in these exercises
in the past.
• Plagiarism, which includes the unauthorized use of previous years’ materials
(e.g., examinations, case analyses, homework assignments, etc.), is a violation of
the Honor Code.
• Written deliverables must use appropriate citations to signify when arguments
or analyses rely on the ideas or insights of others, including any of the readings in
the class pack.
Please ask me (and not other students) if you have any questions regarding
how the Honor Code applies to this course.
CLASS SCHEDULE AND ASSIGNMENTS
Almost every day there is a negotiation simulation or case to ―prepare.‖ This item will
be the focus of class time. It is important that you read this material carefully. For
most negotiation simulations, it will not take much time to read background information
and role instructions. Do not forget, however, to spend some additional time planning
your approach to the negotiation. Cases will typically require more time to prepare.
Readings available on Blackboard are marked with a (B). On Blackboard, look under
―Course Documents.‖ Readings for each day are in a folder for that day.
Week 1
Oct. 16 Competition and Cooperation (class 1)
In class: Conduct exercise
Read: ―A Hagler’s Christmas‖ (B)
―The Price Is Right‖ (B)
Receive: Roles Instructions for Mapletech/Yazawa
Individual Surveys
Oct. 18 Distributive Bargaining I (class 2)
Prepare: Your strategy for Mapletech/Yazawa negotiation
In class: Negotiate and debrief Mapletech/Yazawa
Read: ―Negotiation Techniques‖ (Craver)(B)
―Secrets of Power Negotiation‖ (Dawson)(B)
―Ten Guides for Effective Negotiating‖ (Byrnes)(B)
These short articles are included to give you a sense of the
range of tactics people may use.
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Due: Individual Surveys (to be debriefed in a later class)
After class: Send feedback memo #1 by Thursday night at 10pm. See
instructions posted on Blackboard.
Week 2
Oct. 23 Distributive Bargaining II (class 3)
Prepare: ―Up for Auction: Malta Bargains with Great Britain‖ (long case)
In Class: Discuss Mapletech/Yazawa and Malta
Read: ―Bargaining Power‖ and ―The Threat‖ (Schelling)(B)
―3-D Negotiation: Playing the Whole Game‖ (Lax and
Sebenius) (B)
Getting to Yes, chapter 6.
Receive: Role Instructions for Sally Soprano
Case Questions for Malta
1) How would you characterize the main elements of Mintoff’s style?
2) How would Schelling evaluate Mintoff’s approach? How would
Sebenius evaluate Mintoff? Fisher, Ury, and Patton?
3) How did Mintoff’s actions affect the no-agreement alternatives for
Malta and the UK?
4) Are you comfortable with the tactics used by Mintoff? Why? Why not?
Oct. 25 Integrative Bargaining I (class 4)
Negotiate: Sally Soprano (BEFORE CLASS), results due by
Tuesday night at 10 P.M. Send me an e-mail providing
me the details of the final deal (whatever you want to
include in that deal) and include each party’s name and
role.
In Class: Debrief Sally Soprano.
Read: Getting to Yes chapters 1-5
―Executive Pay Takes the Stage‖ (B)
After Class: Send feedback memo #2 by Thursday night at 10pm. See
instructions posted on Blackboard.
Week 3
Oct. 30 Bargainer Psychology (class 5)
Negotiate: Leckenby (BEFORE CLASS). There is no private role
information for this negotiation — you simply take the role
of one side or the other based on your role assignment. The
case is in the ClassPak. Results are due by 8 P.M. on
Sunday. Make sure to send me all the information from
your results sheet by e-mail including all moves you and
your partner made.
Read: ―Negotiating with Problem People‖ (Leretz)(B)
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―Negotiating without a Net‖ (Misino) (B)
―Hidden Traps in Decision Making‖ (Hammond et al) (B)
Receive: Roles instructions for Mexico Venture
Nov. 1 Negotiating Across Cultures (class 6)
Negotiate: Mexico Venture (BEFORE CLASS). Results are due at
10 P.M. on Tuesday. Make sure to send me all the
information from your results sheet by e-mail.
Prepare: Look through the following website and take one or more of
the implicit attitude demos (ten minutes). Results remain
confidential. https://implicit.harvard.edu/implicit/demo.
This link is also on Blackboard.
Read: ―The Chinese Negotiation‖ (Graham and Lam) (B)
―Racism Studies Find Rational Part of Brain Can Override
Prejudice‖ (B)
Receive: Roles instructions for WineMaster.com
Week 4
Nov. 6 Integrative Bargaining II (class 7)
Negotiate: WineMaster.com (BEFORE CLASS). Results due by 8:00
P.M. Sunday night, by e-mail.
In Class: Debrief WineMaster.com.
Read: ―The Negotiation Checklist‖ (Simons and Tripp) (B)
―Will Buying Wine Get Easier?‖ (B)
Receive: Role Instruction for Discount
After class: Send feedback memo #3 by Tuesday night at 10pm. See
instructions on Blackboard for details.
Nov. 8 Representatives (class 8)
Prepare: See segment of the film Final Offer (50 minutes). To
understand the context, read the background note posted on
Blackboard. Warning: there is some foul language in this
film! Showings on Monday in Room 222, Tuesday in
Room 218:
- Monday Nov. 6: 7:30 & 8:30 P.M.
- Tuesday Nov. 7: 1:00 P.M.
Read: ―When Should We Use Agents?‖ (B)
Several updates on GM and the UAW (B)
―Playing as Rough as Linebackers‖ (B)
Due: Group project proposals.
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Week 5
Nov. 13 Group Negotiations (class 9)
Prepare Negotiate Discount Marketplace (BEFORE CLASS).
Results due by 8:00 P.M. Sunday night, by e-mail.
In class we will discuss the case and video clips.
Read: ―Betting on the Future: The Virtues of Contingent
Contracts‖(Bazerman)(B)
Nov. 15 Negotiating Across Cultures II (class 10)
Prepare: Negotiate Cobalt Systems (BEFORE CLASS). Results
due by 10:00 P.M. Tuesday night, by e-mail.
Read: ―The Hidden Challenges of Cross-Border
Negotiations‖(Sebenius)(B)
Receive: Harborco role information
Due: “Real World Negotiation” paper
Week 6
Nov. 27 Multi-Party Negotiation I (class 11)
Prepare: Your strategy for the Harborco negotiation
Read: ―Getting Things Done through Coalitions‖ (B)
In Class: Negotiate Harborco
Receive: Role instructions for Exit Interview
Nov. 29 Multi-Party Negotiation II (class 12)
In Class: Debrief Harborco
Prepare: Exit Interview. I will select two people to conduct this
negotiation in front of the class.
―When is it Legal to Lie in Negotiations?‖ (Shell)(B)
Receive: Job Offer role information
Due: Case comparison paper (see instructions on Blackboard)
Week 7
Dec. 4 Salary Negotiations (class 13)
Prepare: Roles for Job Offer
In Class: Negotiate and Debrief Job Offer
Read: ―They Want to Hire You. Now, the Bargaining Starts‖ (B)
"$$Get Paid More!" (B)
"Counteroffer or Counterproductive?" (B)
―Five Questions‖(B)
Several other articles on job negotiations (B)
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Dec. 6 Negotiating in Organizations (class 14)
Read: Getting to Yes, chapters 7 and 8
―Turning Neg. into a Corporate Capability‖ (Ertel)(B)
―Six Habits of Merely Effective Negotiators‖(Sebenius)(B)
In Class: Watch/debrief Negotiating Corporate Change video
Week 8
Final Papers due by e-mail at 5 P.M. on Monday December 11th
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