Importance of Communication and Negotiation Skills

This study highlights the significance of communication and negotiation skills in achieving goals and advantages. It discusses various strategies and factors that can impact negotiation outcomes. The case studies provide insights into team negotiation, decision-making, and the approach to negotiation. Additionally, it emphasizes the importance of effective communication and relationship building in negotiation scenarios. The study also explores the system approach to negotiation and the conflicts that may arise. Lastly, it examines the role of active listening and effective communication in negotiation scenarios, along with recommendations for handling conflicts.

Communication and
Negotiation Skills

Executive Summary
This study shows importance of negotiation and communication skills as to whih extent it
can help people in taking advantages and achieving whatever they want to. It will also show
different ways of negotiating and making the decision of negotiation successful. Further, this
study also discusses all factors which can affect negotiation process and outcomes in critical
manner to the great extent such as: Communication skills, background of other party, actual
situation, fear of losing etc.
Other project shows importance of active listening, and verbal communication skills in
the process of negotiation. Further, it also shows importance of making an effective relations in
order to make the process of negotiation successful.

Table of Contents
Executive Summary.........................................................................................................................2
INTRODUCTION...........................................................................................................................1
CASE 1: Team Negotiation.............................................................................................................1
Factors need to be considered in deciding to using or not using team for negotiation................1
Informations require to make final decision on whether to use team or not...............................1
How to decide to whom to take people in negotiation process...................................................2
CASE 2: The skill of Negotiation....................................................................................................2
Decision of making negotiation or not along with factors considered while making negotiation
.....................................................................................................................................................2
Factors which can affect negotiation option and outcomes.........................................................2
Unconscious factors which can affect negotiation performance.................................................3
CASE 3: The approach of Negotiation............................................................................................3
Identification of system approach and their subsystems which shows interdependency............3
Identification of various conflicts with using system approach and also defining how each is a
conflict.........................................................................................................................................4
Analysing functions served by each conflict by analysing whether system structure is
competitive and collaborative......................................................................................................4
PROJECT 2.....................................................................................................................................5
CASE 1: Communicating effectively in negotiation.......................................................................5
Where rules of active listening broken by Jack in the case and recommendations for the same 5
Ways as how Lee has handled the situation along with other alternative ways to handle it.......5
Communication difficulties between Jack and Ms. Lee and suggestion for improvement.........6
CASE 2: Business relation scenario................................................................................................6
Identification and ranking the interest and goals of each party...................................................6
Common ground between parties................................................................................................7
Strategy used in this case as a representative along with strategy as the apartment complex
representative...............................................................................................................................7
CONCLUSION................................................................................................................................8

CASE 1: Team Negotiation
Factors need to be considered in deciding to using or not using team for negotiation
In the case of case of Adel, it can be said that negotiation is important for him to do
because of making profit by reducing cost which is increasing due to several changes in
engineering. There are several factors which need to be considered while thinking about using or
not using team in negotiation process. Critically analysing advantages or disadvantages of using
team (Corner, 2018). In the context of team negotiation, it can be said that it is a complex area in
which all members of a team and an organization support each other’s and the main leader in
settling differences.
While deciding to take team or not, Adel should consider skills which team members
have like communication skills, knowledge of engineering etc. An effective communication
skill can allow Adel in making his negotiation successful. Communication or way of interacting
have great impact on the other party so, it should be the one of the main factor in making
decision (Hahn, 2017).
Informations require to make final decision on whether to use team or not
There are several factors which need to be considered by Adel in order to make final decision of
using team members or not such as:
Size of a team: It is one of the main key factors which need to be considered. If there are
a lot of people in a team then t is not possible to bring all team members. And bringing only few
members can de-motivate rest of members who are not being selected. It is stated that,
department of Adel company is spread pretty thin who are working on several projects. So, if
Adel takes out all team members it can affect other projects (Wang and Gong, 2016).
Skills of team: It is the most importantly factor as team members have negotiation and
other skills by which they can make sure to Adel that they will make this process successful and
in their favour. Staff of Adel is fairly homogeneous group and having most with engineering
background. So, as per this factor it would be beneficial for Adel to bring team members for
negotiation.
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How to decide to whom to take people in negotiation process
Time of negotiation: It is other main factor in which Adel needs to see that how
negotiation process would will take. It is stated that, Adel requires almost 2 weeks for preparing
this process for the meeting and if he takes all team members than it may hamper other projects
(Flynn and Freiberg, 2018).
Background of team members: It is important factor in deciding about people that
which members can actually support Adel in making negotiation in his favour. Background of
team members and skills are element. He needs to think about background as those people who
are skilled and have engineering background they should be taken for the process of negotiation
(Borbély and Caputo, 2017).
CASE 2: The skill of Negotiation
Decision of making negotiation or not along with factors considered while making negotiation
In the second case, it is stated that an individual make production on the basis of his prior
experience in which he found almost 100,000 units unsold. Now he does not storage capacity
and now he has become exhausted and continues production. From long he has been selling
products for $5 and expecting to sell all 100,000 units for the same. One morning a retailer
contacted to the businessman for buying all units which businessman produce (Chapman, Miles
and Maurer, 2017).
Now he wants to sell it at $5 but retailer asked for $3. In this case it can be said that
businessman needs to evaluate all factors as if he has an effective communication skills by
which he can influence retailers. Other main factor which needs to be considered is urgency for
retailer of retailer actually wants his product than businessman can negotiate for prices.
Factors which can affect negotiation option and outcomes
Negotiation skill: It is one of the main factor which can affect negotiation option and
outcomes as well. For this it is important for businessman to identify whether he has an effective
interaction or communication skills by which he can influence other people or retailer for
pricing. An ineffective way of communication can affect this decision in a negative manner
(Benson and Chau, 2017).
Quality of products: It is other main factor which can also affect the decision and
outcome of negotiation, for negotiating, quality plays an important role if an organization has
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effective quality of products than he can influence other party and make them able to buy all of
their products.
Incompatible personality: Relationship and personality also matters in the process of
negotiation and making decision about negotiation. In this context, it is important for
businessman to identify the nature of retailer if whether he is gentleman or stubborn After
knowing the nature, businessman need to make final decision because this factor can affect his
negotiation outcomes to the great extent (Richards, J., Guerrero and Fischbach, 2020).
Unconscious factors which can affect negotiation performance
Interpersonal skills: It is one of the main and unconscious factor which can affect
negotiation process and performance. It includes: effective communication verbal, active
listening, reducing misunderstanding, influencing skills and problem solving. If a businessman
have all these skill than it can influence retailer for pricing.
Fear: It is other main factor which cannot be seen but can affect the decision and overall
performance of negotiation. It is stated that due to unsold 100,000 units, businessman got
frustrated and he has fear if he does not sell all these units than he would have to face many
problems. So, fear of losing offer can affect the performance (Corken and McGreevy, 2016).
Perception: Perception of other party in the process of negotiation also plays an
important role as it can affect the overall performance. It is important for businessman to
understand background of other party in terms of gender, financial stability, capacity in a
detailed manner.
CASE 3: The approach of Negotiation
Identification of system approach and their subsystems which shows interdependency
In the case of ADHL and EFC corp. who has parental and subsidiary companies in many
states with having many employees, ownership is being divided according to the % as 80 and
20. In this case, it can be said that parental company and all subsidiary companies in which who
operate virtually have effective connection with each others. System of all organizations have an
effective connection with each others (Druckman, 2019).
The parent company ADHL has control on over its 88 subsidiaries and 2 thousand
employees. It can be said that system approach can help in understanding interrelations between
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all system and subsystems of subsidiary companies. With this approach, parental company
ADHL can focus on the interactive nature interdependencies of business environmental factors.
Identification of various conflicts with using system approach and also defining how each is a
conflict
In the context of each subsidiary organization and main parental company, can be said
that each unit is conflict. ADHL employs approximate 2000 employees and all employees
participate in the bonus plan which is mainly based upon net profit attainment. It is stated that
one of the subsidiary of ADHL, EFC is the largest subsidiary. For this subsidiary company, Ms.
Iwon, was hired by the 80 percent owner as senior vice president. On the other hand, Mr.
Toolate, was selected and hired by the 20 percent. It is stated that Ms. Iwon orchestrated a
reorganization that included her being promoted to the parent holding company position. She
take advantages of her position which may create conflict. Other owners who posses 20% of
ownership may ask for having position in a parental company. So, from this it can be said that
other employees can create problems and ask for right (Langenegger and Ambühl, 2018)
Analysing functions served by each conflict by analysing whether system structure is
competitive and collaborative
It is stated that the main function of ADHL company is making bonus plan and providing
legal, financial and administration services which also include: HRM and payroll to manage all
subsidiary. For an effective management who operate virtually and spread in different places,
important to communicate digitally and improve relation otherwise it may create problems and
conflicts. One of the main issuer which arose in this case is EFC corporation or subsidiary of
ADHL has not paid fee of 3 months and it is recalcitrant in distributing financial reports to
ADHL. It can create conflicts and make management poor. It can also decrease relationship
between parental and subsidiaries companies. It can be said that system which are being used in
this case is competitive as all are trying to get better rather cooperating each others (Massuel and
et.al., 2018).
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PROJECT 2
CASE 1: Communicating effectively in negotiation
Where rules of active listening broken by Jack in the case and recommendations for the same
In the case of jack who is a vice president of training, it is stated that he does not like
female professionals and this is the reason of conflict arise between Ms. Lee who is a senior
project manager as well as in charge for completing customized training program. It is stated that
Jack did not talk to Ms Lee when she said that she wants to talk about the South-western project.
So, in this case, it can be said that Jack does not have an active listening skills and he thinks that
he is better than Ms Lee. This overconfidence and lack of active listening crated conflicts and
here is the situation where he broke the rule of active listening and an effective communication
(Hartono, 2017).
In the context of active listening rules, it can be said that paying attention to details,
showing gesture are important elements but Jack broke all the rules by not focusing on what Ms
lee wanted to speak. In this case, it can be recommended that Jack should at least listen to Ms
Lee as what she actually wanted to speak regarding the project. Due to his harsh behaviour and
lack of skill to attention to detail, he may be fired again. So, it can be said that active listening
plays an important role in solving problems.
Ways as how Lee has handled the situation along with other alternative ways to handle it
In the context of Jack case, it is stated that Ms Lee said that now she wants to quit
because of harsh behaviour of Jack to her. She also believes that her credentials are more
appropriate than Jack. It is stated that due to lack of active listening skill, Jack did not even focus
on what Ms Lee wanted to talk. But after that, Ms Lee tried to communicate with Jack in order to
make him know that what is client saying about the project and how their team working can
allow them to accomplish their goals. After the classroom session and getting insulted by Jack,
Ms Lee tried to communicate with Jack and she told to Jack that client has just asked for making
significant variations in the given project and for that client had agreed to double the fee
(Kurtzberg, Kang and Naquin, 2018).
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It can be said that Ms Lee makes an effective use of her influencing and communication
skill in this situation and handle this. I believe that it was the best way to handle the situation and
talking advantages by completing project and make Jack aware about his behaviour as well. For
handling such type of situation, I can say that written communication can also work if someone
has harsh behaviour and lack of active listening skill. Rather this, Ms Lee can write all details
about project in a document and by sending it to Jack, can solve the problem.
Communication difficulties between Jack and Ms. Lee and suggestion for improvement
From the above case of Jack and Ms Lee it can clearly be said that Jack does not like
female professionals at all and it can be seen because Jack did not even listen and tried to listen
as what Ms Lee want to speak to him about project. Rather, this problem of Jack of not liking
female professionals, there are some other aspects which created problems. Some other aspects
and factors are: lack of active listening skill, aggressive behaviour, Overconfidence and seeing
other people less than themselves (Bohinski and Mulé, 2016).
Emotional barriers, lack of interest, differences in perception was some factors which
created communication difficulties in this case. So, in this case and type of situation, it can be
suggested that people should have skill of active listening and respecting views of others. Jack
did not respect views and perception of Ms Lee. So, it can be said that when people respect each
others views and perception than it cannot create conflicts and miscommunication barriers. It can
also be said that having integrity skill can also make an individual able to understand what other
people wants to speak and share. Having this skill can solve any type of problem.
CASE 2: Business relation scenario
Identification and ranking the interest and goals of each party
In the case of D.C who is a n one part’s main organization wants to start a project in
Wichita but it is mainly located in Washington. For completing project, it will require
approximate 15-20 employees and live there and travel to Kansas on expected 3 weeks. But after
that it is analysed that project will take approximate 9 months in completion and for that
employees will have to live there. For that, one party located an apartment complex nearby
location where project will be completed. But as per the lease and legal terms of apartment
complex, they will require having it for 1 year. In this case, it can be said that each party has
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their own interest as complex representative wants to earn profit and on the other hand, 1st party
organization does not want to buy hotels as it may cost high (Zhao, 2018).
By making an effective business relation, both parties can accomplish their own goals
and satisfy needs of employees as well. Satisfaction of employees by providing them effective
services is one of the main key of the success of project.
Common ground between parties
It can be said that company wants to have its people in this apartment complex rather
than in hotels and apartment complex representative stated that there is a lease term of 1 year but
project will take 9 months for completion. Both parties have their own interest. In the context of
apartment representative, it can be said that he wants to earn profit by influencing D.C Company
to have their people in this apartment complex rather than in hotels. On the other hand, company
also wants to have their people with taking apartment complex for 9 months. But as per the lease
terms, there is a condition of taking and paying for apartment complex for 12 months at least.
It can also be said that, other party of Wichita in which project is going to complete. That
apartment representative and organization in Wichita wants to have all people in this apartment
complex because they will have to pay for it (Samaeemofrad and Van den Herik, 2018).
It is important for both parties to make an effective relation with each other’s and find
ways which can satisfy needs of both to some extent. By using an effective strategies and
improving relation with each others, organization representative and apartment complex
representative can make the best decision and can accomplish their pre determined goals of
completing project by reducing cost and earning profit.
Strategy used in this case as a representative along with strategy as the apartment complex
representative.
As an organization representative, it can be said that it is important for company to get
the project complete by employing 15-20 employees and having all of them in a place which can
allow him to earn profit and reducing cost. As an organization representative one of the main
aims is to get completed the project by reducing cost and earning profit as much as they can. So,
for this it is important to analyse market condition and influencing administrator of apartment to
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give that apartment for 9 months of payment. In this case, it is important for administration of
organization to have an influencing capability and an effective communication skill (Dijkman
and et.al., 2019). With the help of these skills, they can make apartment complex representatives
influence about giving that apartment complex on lease for the payment of 9 months only.
On the other hand, in the apartment complex point of view it can be said that he wants to
influence organization representative to influence to pay and agree of 1 year lease term and pay
for the same. In this case, he can take advantage of the situation of organization representative as
it is important for organization representative to have an apartment and place where he can have
all their employees in it and which is located near by the place where project is going to
complete. So, in this case, apartment complex representative can use legal terms of lease and
make him influence about paying for 12 months and in this, he can provide additional services to
employees.
CONCLUSION
From the above assignment, it can be concluded that communication is a
vital and played an important role in the process of negotiation as it makes
people able to get effective negotiation outcomes. Further, it has discussed
all conscious and unconscious factors which affect negotiation
performance. This study has discussed importance of using team members
in the process of negotiation. Lastly, it has discussed, importance of system
approach and business relationship importance in making negotiation
process successful.
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