THE ART AND SCIENCE OF NEGOTIATION
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1 THE ART AND SCIENCE OF NEGOTIATION MAN FALL 2017 Professor John Burrows Office CBA Office Hours T/Th or by Appointment Phone (512) (Office); (512) (Cell, before 9pm) Course Web Page via Canvas Course Objectives Negotiation is the art and science of securing an agreement between two or more interdependent parties. This course focuses on understanding the behavior of individuals, groups, and organizations in the context of competitive situations. The objectives of the course are to help students to develop negotiation skills experientially and to understand negotiation in useful analytical frameworks. Considerable emphasis is placed on realistic negotiation exercises and role-playing. The exercises serve as catalysts for the evaluation and discussion of different types of negotiation situations. In-class discussions and lectures supplement the exercises. Required Materials Malhotra, D. & Bazerman, M. H. (2007). Negotiation Genius. New York: Bantam. (NG) Shell, G. R. (2006). Bargaining for Advantage: Negotiation Strategies for Reasonable People. New York: Penguin. (BFA) Negotiation Exercise Materials will be distributed through idecisiongames.com You are required to register with idecisiongames.com and pay a fee for royalties and administration costs. This is the only way for you to access the role materials for the simulations, which is a requirement for successfully completing the course. See Canvas announcements for registration instructions. Optional books past students have found useful: Howard Raiffa (1983) The art and science of negotiation. [Situation analysis] Fisher, R., Ury, W., & Patton, B. (1991). Getting to Yes: Negotiating Agreement Without Giving In. Ury, W. (1993, Reissued 2007). Getting Past No. Negotiating in Difficult Situations. Bazerman & Neale (1992) Negotiating rationally. [A behavioral decision approach to negotiation] Bazerman (2001) Judgment in managerial decision-making. [An effective overview] Stone, Patten & Heen (1999) Difficult conversations. [About personal stakes] Lax & Sebenius (2006) 3D Negotiating. [Emphasizes efforts away from the table] Jeanne Brett (2007) Negotiating Globally. [Emphasizes cross-cultural issues and disputes]
2 Your grade in the course will be determined as follows: Reputation 10% Exercise Performance 10% Exam One 35% Exam Two 35% Final paper 10% Course Requirements and Grading Description of Requirements Note on Negotiation Exercises Participation in the exercises is the central focus of the learning process in this course. Participation includes full preparation for exercises. A quality class experience is dependent upon the efforts of all students, and a lack of effort by one individual can adversely affect the group s experience in many ways. Of course, this means that attendance is key. You cannot participate in the negotiation exercises if you are absent and your late arrival will likely mean that your negotiation partner(s) will not have the full quality experience. Should unavoidable conflicts arise you must contact me, providing as much advance notice as possible. In the event that you cannot be present for a negotiation exercise, arrangements must be made with your negotiation counterpart(s) to complete the negotiation and submit the results prior to the scheduled debriefing of that exercise. This may include telephone or as the medium through which the negotiation is accomplished, but you must have my approval in advance to use any medium other than face-to-face. Any missed negotiation exercise will result in a penalty consisting of a 5% reduction in your total course final percentage for each missed exercise (e.g., 95% becomes 90% for 1 missed exercise or 85% for 2 missed negotiations). 1. Negotiation Reputation (10%) At the end of the semester your counterpart in each of the two-party negotiations will rate your level of preparation and your behavior in the negotiation exercise and you will rate them as well through an on-line survey. The numerical results of these surveys will be combined to yield a z-score to determine your final percentage score for this component of the course. 2. Exercise Performance (10%) Your performance in several of the negotiation exercises will be graded based on the outcome for both parties and on your performance relative to that of the other students in the class playing the same role as you. The results of your outcomes will be combined to yield a z-score to determine your final percentage score for this component of the course. This grade component will include both a combined efficiency score for your pair/group as well as a score for your specific outcome value. Credit for completing the Ask Challenge. 3. Exams (Two, 35% each) Two exams will be given covering concepts from the readings and the material in class. These exams will include multiple choice, short answer and essay questions.
3 4. Final Paper: Personal Negotiation (10%) Sometime during the course you will conduct a live personal negotiation. The substance of the negotiation may be anything -- a purchase, something related to a job or employment search, relations with peers, co-workers, or family members, etc. The following rules apply: This should be a new negotiation, not a write-up of one you have experienced before taking this course. The person you negotiate with must not be a student or instructor in this course. The person you negotiate with must not be aware that you are doing this as a class exercise. You should articulate and write down a negotiation strategy beforehand, including the major elements of strategy we discuss in this course. This assignment can be a minimum of 4 and maximum of 5 double-spaced typed pages in length and is due no later than 5pm Monday December 11th and should be submitted to Canvas. Default organization 1. Problem description: (Please provide a brief description of the situation and the nature of the parties and subject of negotiation. This should be fairly brief. You should be able to accomplish this in ½ page or less.) 2. Preparation/Strategy: (Include an explicit discussion of your preparation and your strategy for the negotiation.) 3. Process: (what happened in the actual negotiation) 4. What was the agreement? 5. Retrospective conceptual analysis of what happened: (provide analysis, not just description) 6. Surprises/Special aspects 7. Learning/Do same or differently (can be combined with #6)
4 Schedule NG=Negotiation Genius; BFA=Bargaining for Advantage Date Topic Readings Assignments Due 1: 8/31/17 Introduction Syllabus 2: 9/05/17 Negotiate Blue Buggy 3: 9/07/17 Negotiation Basics BFA: Intro, Chaps 1 & 2, Complete Appendix A; NG: Chap 1 4: 9/12/17 Negotiate Energetics Meets Generex 5: 9/14/17 Debrief / Planning & Distributive Neg. BFA: Chap 3, 6, 7, 9, 10; NG: Chaps 4, 5, 6 6: 9/19/17 Negotiate Commodity Purchase / El-Tek (outcome graded) 7: 9/21/17 Debrief / Integrative Potential BFA: Chapters 4, 5, 6 8: 9/26/17 Negotiate Package Deal (outcome graded) 9: 9/28/17 Debrief / Integrative Neg. NG: Chapter 2 ASK CHALLENGE Assignment Results Due by 5pm 10: 10/03/17 Negotiate Three Rivers Hospital (outcome graded) 11: 10/05/17 Debrief / Integrative Neg 12: 10/10/17 Negotiate Oceania (outcome graded) 13: 10/12/17 Debrief / Overcoming Obstacles to Integrative Neg 14: 10/17/17 First Half Wrap-up NG: Chapter 3 15: 10/19/17 Exam One Exam One Exam One 16: 10/24/17 Negotiate Cascade Manor 17: 10/26/17 Debrief / Team Negotiation 18: 10/31/17 Negotiate Harborco 19: 11/02/17 Debrief / Multi-Party Neg./ Mutual Gains Bargaining NG: Chapter 7 20: 11/07/17 Negotiate Viking Investments 21: 11/09/17 Debrief / Conflict Management / Mediation & NG: Chapters 11,12, & 13 Arbitration 22: 11/14/17 Negotiate Bullard Houses 23: 11/16/17 Debrief / Negotiation Ethics NG: Chapter 8, 9, 10; BFA: Chapters 11, 12
5 Date Topic Readings Assignments Due 24: 11/21/17 Virtual Simulation Virtual Victorian 11/23/17 THANKSGIVING No Class No Class 25: 11/28/17 Debrief / Real Estate Negotiation and Agents NG: Chapter 14 26: 11/30/17 Negotiate & Debrief Mexico Venture 27: 12/05/17 Debrief / Cultural Differences Second Half Wrap-Up 28: 12/07/17 Exam Two Exam Two Exam Two 12/11/17 Final Paper Due Final Paper Due Final Paper Due McCombs Classroom Professionalism Policy The highest professional standards are expected of all members of the McCombs community. The collective class reputation and the value of the Texas BBA experience hinges on this. Faculty are expected to be professional and prepared to deliver value for each and every class session. Students are expected to be professional in all respects. The Texas BBA classroom experience is enhanced when: Students arrive on time. On time arrival ensures that classes are able to start and finish at the scheduled time. On time arrival shows respect for both fellow students and faculty and it enhances learning by reducing avoidable distractions. Students display their name cards. This permits fellow students and faculty to learn names, enhancing opportunities for community building and evaluation of in-class contributions. Students are fully prepared for each class. Much of the learning in the Texas BBA program takes place during classroom discussions. When students are not prepared, they cannot contribute to the overall learning process. This affects not only the individual, but their peers who count on them, as well. Students respect the views and opinions of their colleagues. Disagreement and debate are encouraged. Intolerance for the views of others is unacceptable. Students do not confuse the classroom for the cafeteria. The classroom (boardroom) is not the place to eat your breakfast tacos, wraps, sweet potato fries, or otherwise set up for a picnic. Please plan accordingly. Recognizing that back-to-back classes sometimes take place over the lunch hour, energy bars and similar snacks are permitted. Please be respectful of your fellow students and faculty in your choices. Students minimize unscheduled personal breaks. The learning environment improves with limited disruptions. Students attend the class section to which they are registered. Learning is enhanced when class sizes are optimized. Limits are set to ensure a quality experience. When section hopping takes place some classes become too large and it becomes difficult to contribute. When they are too small, the breadth of experience and opinion suffers. Technology is used to enhance the class experience. When students are surfing the web, responding to , instant messaging each other, and otherwise not devoting their full attention to the topic at hand they are doing themselves and their peers a major disservice. Those around them face additional distraction. Fellow students cannot benefit from the insights of the students who are not engaged. Faculty office hours are spent going over class material with students who chose not to pay attention, rather than truly adding value by helping students who want a better understanding of the material or want to explore the issues in more depth. Students with real needs may not be able to obtain adequate help if faculty time is spent repeating what was said in class. There are often cases where learning is enhanced by the use of technology in class. Faculty will let you know when it is appropriate. Phones and wireless devices are turned off. We ve all heard the annoying ringing in the middle of a meeting. Not only is it not professional, it cuts off the flow of discussion when the search for the offender begins. When a true need to communicate with someone outside of class exists (e.g., for some medical need) please inform the professor prior to class. Students with Disabilities Students with disabilities may request appropriate academic accommodations from the Division of Diversity and Community Engagement, Services for Students with Disabilities, ,
6 Religious Holy Days By UT Austin policy, you must notify me of your pending absence at least fourteen days prior to the date of observance of a religious holy day. If you must miss a class, an examination, a work assignment, or a project in order to observe a religious holy day, you will be given an opportunity to complete the missed work within a reasonable time after the absence. Policy on Scholastic Dishonesty The McCombs School of Business has no tolerance for acts of scholastic dishonesty. The responsibilities of both students and faculty with regard to scholastic dishonesty are described in detail in the BBA Program s Statement on Scholastic Dishonesty at By teaching this course, I have agreed to observe all faculty responsibilities described there. By enrolling in this class, you have agreed to observe all student responsibilities described there. If the application of the Statement on Scholastic Dishonesty to this class or its assignments is unclear in any way, it is your responsibility to ask me for clarification. Students who violate University rules on scholastic dishonesty are subject to disciplinary penalties, including the possibility of failure in the course and/or dismissal from the University. Since dishonesty harms the individual, all students, the integrity of the University, and the value of our academic brand, policies on scholastic dishonesty will be strictly enforced. You should refer to the Student Judicial Services website at to access the official University policies and procedures on scholastic dishonesty as well as further elaboration on what constitutes scholastic dishonesty. Campus Safety Please note the following recommendations regarding emergency evacuation, provided by the Office of Campus Safety and Security, , Occupants of buildings on The University of Texas at Austin campus are required to evacuate buildings when a fire alarm is activated. Alarm activation or announcement requires exiting and assembling outside. Familiarize yourself with all exit doors of each classroom and building you may occupy. Remember that the nearest exit door may not be the one you used when entering the building. Students requiring assistance in evacuation should inform the instructor in writing during the first week of class. In the event of an evacuation, follow the instruction of faculty or class instructors. Do not re-enter a building unless given instructions by the following: Austin Fire Department, The University of Texas at Austin Police Department, or Fire Prevention Services office. Behavior Concerns Advice Line (BCAL): (or Further information regarding emergency evacuation routes and emergency procedures can be found at: Biographical Note Dr. John Burrows received his undergraduate degree from Vanderbilt in Following graduation he moved to Germany to work for Ingenieurbüro Glöckl in Munich as a financial analyst for development projects with the United Nations Industrial Development Organization (UNIDO). He was responsible for projects in Ethiopia (infrastructure), Ghana (food and beverage), China (medical device manufacturing), Mauretania (banking), and the former East Germany (consumer products), among others. While at Ingenieurbüro Glöckl Dr. Burrows also managed joint ventures between organizations in Western and Eastern Europe. New companies were founded in Poland (construction supplies), Turkey (entertainment), Yugoslavia (food and beverage), and Russia (consumer products). Fascinated by life in East Germany, he took a job with Ernst & Young in Leipzig, Germany soon after the fall of the Berlin wall. He conducted mergers and acquisitions of the former East German conglomerates in the food and beverage, oil and gas, and consumer products industries. In 1994 he moved back home to Austin and joined Dell Computer Corporation as it became a global corporation. He was responsible for financial systems in Japan, Malaysia, Singapore, Thailand, Australia, Korea, and Vietnam.
7 Dr. Burrows is a speaker at numerous industry and organizational conferences, and his published work in cross-cultural leadership has received accolades from the Academy of Management and the Society for Industrial and Organizational Psychologists.
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