For the best solutions, approach negotiation as collaborative problem-solving — not a battle: Margaret Ann Neale

Q. What is the core of your research?

A. The theme that underlies all of my research is to understand how synergy is created between and among human beings when they interact — this is through the processes of negotiation, team performance and a diversity-inclusive workforce.

Q. What is the essence of a successful business negotiation?

A. Most folks contemplate negotiation as a battle — the mindset usually is, ‘I’m going to try and get stuff from you which you don’t want me to have. And I’m going to try and keep you from getting my stuff.’ I suggest that is a very ineffective way to view negotiations.

Rather, we should think about negotiation as a process where two or more parties decide what each will give and hope to get. This process works through mutual influence and persuasion — there is no command and control in negotiation. No party can force the other to assent — they can only present a proposal which they think could be in your interest to agree to. This then leads the parties to agree on a course of action.

This approach applies to any sphere where you want to have influence. Think of a team meeting — people show up because the team leader has resources, tangible and intangible, to which they want access. The same applies to the team leader. Every meeting’s text is the issue being discussed — but the context is people thinking, ‘Which of my resources will I contribute to this and what do I hope to get? Will this help me have influence?’

To achieve these aims, we must transition from thinking about negotiation as a fight to negotiation as collaborative problem solving. This is not the simple-minded view of ‘win-win negotiation’ though — rather, this involves three phases of thought. The first phase is thinking how I, the protagonist, am better-off by negotiating than had I not done so.

The second phase is, understanding my counterpart, their interests and the challenges and hurdles that might keep them from agreeing with me. Third, when I present a proposal to you, this should be framed as a solution to a problem that you have. This changes the whole tenor of the interaction — no longer are the negotiators fighting. Both parties are now engaged in at least helping the other to stay the same, if not becoming better off. If you embrace this perspective, so many more issues become negotiable.

Q. What insights would you give negotiating managers and team members?

A. I would encourage them to not focus on any one single issue like a salary — that quickly becomes a battle. Our empirical research has found that negotiating in this way, going issue by issue, destroys value — it makes both parties worse-off. It is far more effective to negotiate at a package level or navigate multiple issues. That allows us to trade among issues where there is asymmetry in preferences.

With multiple topics, we will each have issues that are more and less important to us. That asymmetry — taking advantage of issues more important to me and less to you and giving up concessions on issues more important to you and less to me — creates value. It enlarges the resources to allocate, so both parties can emerge better-off.

Q. The business world faces huge disruptions today from climate change to the pandemic — how does such uncertainty impact negotiation?

A. The more uncertainty there is, the more creative we must be towards finding solutions. The perspective that I take on negotiations becomes even more critical now. We must understand where the opportunities are and craft solutions that reflect the profundity of our situation.

The old ways of doing this have not been effective — climate change and the pandemic are manifestations of that. We must problemsolve in entirely new ways now. This involves moving away from thinking of negotiating as a win-lose proposition. It must be about collaborative problem-solving at every level. This requires the willingness to explore new solutions and working with good intentions.

Q. Are there business leaders whose negotiating skills you would commend?

A. Actually, when you’re a great negotiator, nobody gets to know about your skill — a great negotiator doesn’t brag about their successes or make their counterparts feel badly about their performance. Good negotiators run under the radar — they are the people others want to engage with because they feel heard and better-off for interacting with them. A good negotiator has the mindset to find mutual solutions geared towards optimising performance. This doesn’t involve boasting about one’s own successes — it requires thinking of solutions that can also help to build other people’s successes.

Views expressed are personal