Ops negotiation

Negotiation (Harvard Method)

Framework

IRON LAW: Know Your BATNA Before Entering Any Negotiation

BATNA (Best Alternative To a Negotiated Agreement) is your walkaway power.
If you don't know your BATNA, you don't know when to walk away — and
you'll either accept a bad deal or reject a good one.

Calculate your BATNA and the other side's BATNA before the negotiation starts.

Core Concepts

Concept	Definition
BATNA	Your best option if negotiation fails — your walkaway point
ZOPA	Zone of Possible Agreement — overlap between both parties' acceptable ranges
Reservation price	The worst deal you'd accept (set by your BATNA)
Aspiration price	The best deal you realistically hope for

Harvard Principled Negotiation (4 Principles)

1. Separate people from the problem: Address emotions and relationship separately from substantive issues. Be hard on the problem, soft on the person.

2. Focus on interests, not positions: Positions are what people SAY they want. Interests are WHY they want it. "I want $100K salary" (position) vs "I need financial security and recognition of my expertise" (interests).

3. Invent options for mutual gain: Expand the pie before dividing it. Brainstorm solutions that satisfy both parties' interests.

4. Use objective criteria: Base agreements on fair standards (market rates, precedent, expert opinion) rather than who has more power.

Negotiation Preparation Checklist

1. Your BATNA: What's your best alternative if this fails?
2. Their BATNA: What's their best alternative? (weakens as their BATNA worsens)
3. Your interests: Why do you want what you want? (list all, prioritize)
4. Their interests: Why do they want what they want? (estimate, research)
5. ZOPA: Is there overlap? If not, no deal is possible — focus on improving BATNA.
6. Options: What creative solutions could satisfy both parties' interests?
7. Objective criteria: What external standards can anchor the discussion?
8. First offer strategy: Anchor high (if you speak first) or counter-anchor (if they go first)

Tactics for Difficult Situations

Situation	Tactic
They won't move	Ask "why" to uncover underlying interests
They use threats	Acknowledge the threat without reacting; redirect to interests
They anchor extremely	Counter-anchor with your own extreme (but justifiable) number
Deadlock	Take a break, change the negotiator, or introduce a mediator
They say "take it or leave it"	Test it — they usually don't mean it. Offer a concession and ask for one back

Output Format

# Negotiation Prep: {Situation}

## Position Analysis
| Element | You | Other Party |
|---------|-----|-------------|
| BATNA | {your alternative} | {their alternative, estimated} |
| Reservation price | {your walkaway} | {their walkaway, estimated} |
| Aspiration price | {your ideal} | {their ideal, estimated} |
| ZOPA | {overlap range, if any} |

## Interests (not positions)
| Your Interests (priority) | Their Interests (estimated) |
|--------------------------|---------------------------|
| 1. {interest} | 1. {interest} |
| 2. ... | 2. ... |

## Creative Options
1. {option that satisfies both parties' top interests}
2. {option}

## Objective Criteria
- {market benchmark, precedent, or standard that supports your position}

## Strategy
- Opening: {first move}
- Concessions: {what you're willing to give and in what order}
- Walkaway signal: {when to leave the table}

Gotchas

• Anchoring is powerful: The first number spoken heavily influences the final outcome. If you can anchor first with a justified extreme, do so.
• Interests are often compatible: Two parties fighting over one orange may both be satisfied if one wants the peel (for baking) and the other wants the juice. Ask "why" before assuming zero-sum.
• BATNA improves with preparation: Your BATNA isn't fixed. Before negotiating, improve it — get competing offers, develop alternatives, reduce switching costs.
• Concessions should be reciprocal: Never give a concession without asking for something in return. Unilateral concessions signal weakness.
• Cultural negotiation styles vary: Direct (US, Israel) vs indirect (Japan, Taiwan) vs relationship-first (Middle East). Match your approach to the cultural context.

References

• For multi-party negotiation tactics, see references/multi-party.md