Distributive Negotiations
-Often referred to as "win-lose" negotiations
-Involves competition over who will get the most of a limited resource (often money)
-Distributive tactics are useful when the relationship with the other party is not very important
-ALWAYS Pareto Efficient
BATNA
-What you will do (or what will happen) if you do not reach an agreement
-Best Alternative To a Negotiated Agreement
-A STRONG BATNA improves your bargaining position
-A WEAK BATNA makes it difficult to walk away from a negotiation
When your BATNA is weak...
1. Improve your BATNA
-Sellers: Identify additional buyers
-Buyers: Identify additional sellers
2. Find out the other party's BATNA
-Research (internet, business publications, public findings, etc)
-Questioning (direct, indirect)
3. If you have no alterna
Reservation Point
The least favorable point at which you will accept a deal
ZOPA
-(Zone Of Potential Agreement)
-Range in which a deal that satisfies both parties can take place
-Exists if there is overlap between reservations prices
Target Point
The point at which you WANT to reach agreement
-For buyers, the target point is almost always lower than the reservation price
-For sellers, the target point is almost always higher than the reservation price
Settlement Point
-People what this to be as close to the other party's reservation point as possible
-Lies within the ZOPA
Bargaining Mix
Negotiations often require agreement on numerous issues
Credible
To be effective, threats must be perceived as ____________
Social Proof
People follow the lead of similar others
Reciprocity
Give what you want to receive
Storming
During this stage, group members become more authentic and argumentative
Cohesion
The degree of camaraderie in the group
Social Loafing
The tendency of individuals to put in less effort when working in a group
Pooled Interdependence
Collective Efficacy
A group's perception of its ability to successfully perform well
Legitimate Power
Power derived from authority of position
Coercive Power
Power derived from control through sanctions or punishment
Expert Power
-Power is personal rather than organizational
-Expertise, skill, or knowledge
Referent Power
-Desirable personal traits
-Power is personal rather than organizational
Reward Power
A person is able to give special benefits or bonuses to you have this type of power
Laissez-Faire
Avoiding leadership responsibilities
Intellectual Stimulation
Stimulating creativity by questioning assumptions and challenging the status quo
Individualized Consideration
Attending to individual needs of followers
Idealized Influence
Behaving in ways that earn the admiration, trust, and respect of followers...charisma
Management by Exception - Passive
Intervening only when problem becomes serious
Centralization
The degree to which decision making power is concentrated at higher levels in an organization
Span of Control
________ refers to the number of employees reporting to a manager
Formalization
The degree to which rules, policies, and procedures are written down
Matrix Organization
-Combines functional and divisional/product departmentalization
-Breaks unity of command principle
Organic Model
-3M has this type of organizational structure
-Cross functional and cross level teams
-Free information flow
-Wide SOC
-Decentralization
-Low formalization
Mechanistic Model
-High specialization
-Rigid departmentalization
-Clear chain of command
-Narrow SOC
-Centralization
-High formalization
Organizational Culture
Shared social knowledge within an organization regarding the rules, norms, and values that shape the attitudes and behaviors of its employees
Artifacts
Visible organizational structures and processes are referred to as _________.
ROWE (Results Only Work Environment)
The specific outcome-oriented work environment at Best Buy
4 ways that culture is maintained in an organization
Attraction-Selection-Attrition
Onboarding
Leadership
Rewards
Service-Oriented Culture
Four Seasons was presented as an example of this type of culture...
Servant Leadership
The CEO of Malden Mills was to illustrate which leadership approach
Pareto Efficient
An allocation is _________________ if there is NO other allocation in which some party is better off and no party is worse off
Process Losses
Getting less from the team than you would expect according to the capabilities of individual members
Task Conflict
Conflict over how work should be completed within a group or team
Task Force
A temporary team which is asked to address a specific issue or problem until it is resolved
Punctuated Equilibrium
Negotiation
A process of reciprocal influence that occurs when two or more individuals who seek to reach an agreement as to the resources or behaviors each will provide or receive from the other