(I couldn't write a CPA's recap because I was sick during this roleplay)
We are all humans, all irrational. Mentals errors are refered to the decisions and the actions we make when impacted by our emotions. Some of these choices could be considered as irrational and confusing. This reading explains us the mental errors we make during the negotiations.
If we want a negotiation to be successful, we must remain calm, composed and focused.
I. Escalation
An irrational escalation is an error committed by otherwise level-headed businesspeople when they get into difficult and competitive negotiations.
The reasons of escalation can be : the feeling of someone who can't stand losing ; bidding content or a principal problem at work for example.
To avoid escalation we should : know our BATNA ; set a reasonable reservation price and set clear breakpoints.
II. Partisan perceptions
It's is a psychological phenomenon that brings people to perceive the world a bias in their own favor or toward their own point of view. It's a kind of egocentrism. The person can start his sentences like this : « I feel that... » ; « In my opinion » ; « I believe... » ; « I think... »…
To avoid that, we should imagine ourselves in the other person's shoe and show empathy.
III. Irrational or Unreasonable Expectations
Come to an agreement is very difficult when one or the parties have expectations that cannot be fulfilled. This error eliminates any zone of possible agreement (ZOPA).
To avoid this error, we should : explain a rationale behind your thinking ; provide new information and make sure that our expectations are realistic.
IV. Overconfidence
Even if confidence is a good thing, too much confidence can brings a person to a hard failure. Overconfidence causes blindsides negotiation and groupthink (prejudice by norm driven by objectivity and psychological pressures). The illusion of control is real danger because of the loss of individual freedoms. We are not in a totalitarian regime !
V. Unchecked emotions
The best example to illustrate this error is « trying to divorce for good reasons ». The most important is to try to follow remedies.
VI. Fairness Matters
It's important to keep in mind that the perception of fairness is not universal. The subjectivity is at the same time the power of the negotiation and its biggest flaw. Indeed, even if I think that a decision is fair , the other side can judge it unfair.
We are all humans, all irrational. Mentals errors are refered to the decisions and the actions we make when impacted by our emotions. Some of these choices could be considered as irrational and confusing. This reading explains us the mental errors we make during the negotiations.
If we want a negotiation to be successful, we must remain calm, composed and focused.
I. Escalation
An irrational escalation is an error committed by otherwise level-headed businesspeople when they get into difficult and competitive negotiations.
The reasons of escalation can be : the feeling of someone who can't stand losing ; bidding content or a principal problem at work for example.
To avoid escalation we should : know our BATNA ; set a reasonable reservation price and set clear breakpoints.
II. Partisan perceptions
It's is a psychological phenomenon that brings people to perceive the world a bias in their own favor or toward their own point of view. It's a kind of egocentrism. The person can start his sentences like this : « I feel that... » ; « In my opinion » ; « I believe... » ; « I think... »…
To avoid that, we should imagine ourselves in the other person's shoe and show empathy.
III. Irrational or Unreasonable Expectations
Come to an agreement is very difficult when one or the parties have expectations that cannot be fulfilled. This error eliminates any zone of possible agreement (ZOPA).
To avoid this error, we should : explain a rationale behind your thinking ; provide new information and make sure that our expectations are realistic.
IV. Overconfidence
Even if confidence is a good thing, too much confidence can brings a person to a hard failure. Overconfidence causes blindsides negotiation and groupthink (prejudice by norm driven by objectivity and psychological pressures). The illusion of control is real danger because of the loss of individual freedoms. We are not in a totalitarian regime !
V. Unchecked emotions
The best example to illustrate this error is « trying to divorce for good reasons ». The most important is to try to follow remedies.
VI. Fairness Matters
It's important to keep in mind that the perception of fairness is not universal. The subjectivity is at the same time the power of the negotiation and its biggest flaw. Indeed, even if I think that a decision is fair , the other side can judge it unfair.
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