Virtual Negotiation - the Critical Practicalities
Susie Maloney, Chief Negotiation Architect at BluBonsai, spoke with us about the critical practicalities in virtual negotiation as part of Connection Silicon Valley #CollaborativeCoffee series. Susie shared valuable insights and practical tips on how to negotiate as the world has become more virtual due to Coronavirus.
State of Affairs
The crisis that we are in has got companies scrambling to redefine their relationships and re-negotiate agreements with suppliers and partners. Important negotiations are taking place in kitchens and laundry rooms around the world. It is a fascinating, but challenging time. Are the fundamentals of negotiations changed? Do we have to think and act differently?
Susie started by stating that the crisis we are in will change the way we negotiate even after the crisis is over.
Fundamentals of Negotiation
The fundamental concepts of negotiations remain the same even though the platform has changed. One of those key concepts is the fact that skilled negotiators create and control the psychological atmosphere of the negotiation. This remains highly important, but controlling the atmosphere virtually offers a wide range of other challenges than what we experience in person.
The Dual Competencies
Skilled negotiators master what we call the dual competencies, which means that you must know the WHAT, or the substance, as well as the HOW, and manage each in parallel.
“You have to keep track of the substance, while shaping the event.” – Susie Maloney
Process Map to your Outcome Objective
To shape the negotiation process, we use a map. It is called a map because it directs us to the preferred outcome. If you find yourself in a negotiation, and do not know the next move, sit back and ask yourself “What is the outcome that I want?”. Usually when you ask that question, you will get an idea of where to go next.
The process map contains four steps:
1. Locate common ground
2. Create and control the atmosphere
3. Identify and use tactics to maneuver power balance
4. Pace with discipline
While step one, three and four mainly remains the same either the negotiation takes place virtually or in person, step two is very different. As Susie stated: “Controlling the atmosphere is where it all happens in the virtual world”.
Control the Atmosphere
The reason why controlling the atmosphere changes so much is because it is made up of three interactive variables: Time, Mood and Mode/Channel. These three factors are changing in a virtual environment.
Time is the most critical. It is often debated as being the most important one because if you are doing the right thing at the wrong time, you are going to get the wrong result, even though it was the right thing. Timing is everything. There is a natural flow to a negotiation and to understand where you are in that rhythm can be very helpful with regards to timing. The deadline is also crucial. People make decisions up against a deadline, and they will give massive chunks of content away as they approach this deadline.
Mood is made up of what we call the song, the music and the dance. The song is the words we use, the music is our tone and the dance is the body language. Non-verbal actions make up 80 to 90% of the impression.
“It’s not just the posture - it's everything like handshakes, gestures, high fives and thumbs up, but it's also, especially now with video conferencing, your facial expression.” - Susie Maloney
There is plenty of research on the power position in negotiation at the boardroom table, and the same takeaways go with video conferences. By maneuvering the people you are negotiating with on the screen, you can change how you feel, putting yourself in a more powerful position. One example could be to make their picture smaller in the lower corner. It is the same bedrock concept as when you go into a meeting in person – it is just a different application.
Mode is thought by skilled negotiators to be a strategic decision. The chosen mode or channel will either help to construct or destruct the climate you want to create. “Just because you receive an email does not mean you have to respond by email”, Susie states. You can also pick up the phone. Many negotiations can be saved by this communication channel shift.
In the digital age, emailing is often used. When using emails for negotiation be careful with your words. Details such as the subject line, the color of the letters, who is on CC and the time the email is sent is part of the message sent.
Expression
Many of these takeaways can also be used in regular conversations – not just negotiations. Expression is one concept that was discussed during the webinar. Firstly, you have to be able to understand that we all have a reflex style. We all have a default style or comfort zone where we want to naturally go when we are stressed or tired or nervous; feeling often experienced when we are in the middle of a negotiation. You need to understand your default style and how this may differ from your perception of yourself, as well as how others perceive your default style and why. This improves your control of your impression on others.
Words Become more Important
Our words become even more important when negotiations go digital. The words you choose become paramount - words like “cut” and “no” and “but” are detonators while words like “situation” and “request” and “chat” are calmers. It is really important to make sure that the words do not just say what you want to say, but that they actually stimulate the right response.
Video calls are often being recorded and people can refer back to the video not only to remember what you said but also how you said it - which can actually be even a greater message.
Key Takeaways
Know the WHAT, or the Substance, as well as the HOW, or the Process and manage each in parallel.
Keep your eye on your Outcome Objective - knowing the outcome you want will guide you where you go next.
Three interactive variables that create the Psychological Atmosphere of a Negotiation: Time, Mood and Mode/Channel
The words you choose become paramount - words like “cut” and “no” and “but” are Detonators while words like “situation” and “request” and “chat” are Calmers
Video calls are often being recorded and people can refer back to the video not only to remember what you said but also How you said it - which can actually be even a greater message
In summary the fundamentals of negotiations are the same, as we are still negotiating with people, but the applications of frameworks and tactics are different.
Contact us below if you’re interested in connecting with BluBonsai and learning about their negotiation workbook and toolkit!