University of Southern California Marshall School of Business Administration Management and Organization Dept.

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1 University of Southern California Marshall School of Business Administration Management and Organization Dept. MOR NEGOTIATION and PERSUASION REVISED EDITION Spring 2011 Tuesday Thursday JKP 110 Professor: Michael W. Coombs, Ph.D. Office: Bridge Hall 303; Office Hours: By Appointment - Before and After class or as needed. MOR Dept phone, fax COURSE OVERVIEW The primary goal of this course is to introduce you to the processes of negotiation and persuasion in a variety of business and non-business settings. The readings, lectures and case studies have been chosen for their relevance to the situations you are likely to face as a consumer and as a manager. Every negotiation involves persuasion. As you will read, persuasion occurs when at least one person attempts to influence the thinking and/or actions of one or more others. Persuasion enters into most interpersonal and work related interactions. Our focus will be on persuasion as it occurs in the context of negotiation. Negotiation is the process by which two or more interdependent parties attempt to secure agreement. The primary objective of this course is to broaden your understanding of how these two interrelated processes operate within and between organizations. Additional objectives include: Develop a greater understanding of the factors that facilitate and those that hinder effective negotiation and persuasion. Improve analytical abilities in understanding the needs, concerns, motivations, and desires of other negotiators. Develop strategic thinking skills in selecting behaviors that increase the likelihood of satisfactory negotiation both within and across cultures. Increase confidence in our ability to persuade and negotiate. Provide experience in negotiation through classroom and outside assignments. COURSE FORMAT The class will include lectures, class discussions, class negotiation activities, quizzes and negotiation assignments outside of class. Be prepared to stay a few minutes after class to arrange meetings with other students for outside-of-class assignments. Negotiation 1

2 session make-ups are not recommended. They are more staged than the original exercises and are difficult to arrange with all the other participants. They will only be arranged for serious medical or emergency situations. The course is built around a series of negotiation exercises and debriefings. All exercises require some preparation in advance. Students are expected to be fully prepared for exercises prior to class and to participate in the debriefings. While some class time will be provided when group preparation is required, students may occasionally have to meet outside of class. COURSE REQUIREMENTS 1. Participation and Contribution (10% of your grade) Your preparation involves completing the assigned readings and preparing the negotiation exercise for that day. Because I try to observe as many negotiations as possible on any given day, it is often quite obvious when a student is not prepared. This harms your negotiation partner s experience as well as your own, and will be noted by me, and taken into account in the final assignment of preparation scores. When negotiating, you must follow all the instructions that are provided for your role. However, you do have freedom to be creative in how you interpret this information and the kinds of strategies you employ, provided that they do not contradict any of the explicit instructions or fundamentally alter the negotiation s structure. Participation in class discussion involves active participation that contributes to the class. Merely showing up and having read the assigned readings do not get you any credit. Attendance is required, and is therefore not rewarded. Active participation means that you speak up in class. Whether this is accomplished by answering questions, making observations, commenting on other students comments or challenging the instructor s views does not matter. The second requirement is that what you say actually contributes merely repeating comments made by other students or telling the class that you agree with what someone else said does not count. Your comments should move the discussion forward. If you are shy, prefer to sit quietly in the back, or just do not feel comfortable speaking in front of your classmates, my suggestion is that you see this class as a challenge to improve those skills. No such excuses will be accepted when the day is done and the grades are assigned. Note: This course has a strict attendance policy. You must provide prior notice to the instructor if you have to miss a negotiation. If you do not provide such notice, your negotiating partner for the day is left hanging and many people can end up being inconvenienced. If you miss a negotiation without prior notice to the instructor, you will be penalized in the final grading of the course. Even if you do provide prior notice, but miss multiple classes, you may also be penalized. This syllabus contains the dates for all negotiation exercises. The ELC schedule will not be changed. If you need to miss an exercise, please refer to the latest version of the posted role assignments for that case, contact your assigned partner(s) to see if alternative arrangements can be made for negotiating the case [i.e., either with those partner(s) or 2

3 with other classmates who have been assigned the requisite role(s) and who would be willing to switch with your assigned partner(s)] and inform me via regarding the outcome of these efforts. You must notify me of your absence from class, and any arrangements you have made with regard to this absence, at least 24 hours before the start of class so I can make the necessary classroom adjustments. Please note that I will not match up students for the purposes of establishing a make-up an exercise. Such arrangements will be your responsibility. If you have read to this point it should be obvious that this course requires your active participation. If your chosen field of study were music you would have some classes which present theory and other classes which develop your performance skills. This negotiation class contains both theory and performance. We are scheduled for 12 exercises through the semester which provide an opportunity to develop your skills in applying concepts presented in class and in the readings. Thus, your active involvement in preparation and participation is required in this course. This will be reflected in your overall course grade. This semester the registration system permits students to choose to enroll for classes for 1) a letter grade, 2) Pass/No Pass) or 3) as an Audit. Putting forth less than optimum performance is of little value in developing your negotiation skills and affects the experience of your fellow classmates. Therefore, registration in this course on a Pass/No Pass or Audit basis is strongly discouraged. The same standard of performance will be expected of you in all course activities as students seeking a letter grade. Students registered on an Audit basis will be allowed to attend classes but not participate in class activities. 2. Evaluation of Negotiation Exercises (35% of your grade) Throughout the semester you will be engaging in negotiation exercises both in and outside of class. We will have 12 simulated negotiations. Some negotiations will be oneon-one negotiations; in others you will be part of team. Evaluation of these activities will include two elements: (1) individual strategy outline prepared prior to each negotiation and which lays out your plan for that negotiation, and (2) your evaluation of the negotiation as recorded on video. Your grade will be based on your own negotiation behaviors, those of your team, and the quality of feedback and questions provided to the other team. Before each negotiation you will be given a set of criteria on which the evaluations will be based. Pay careful attention to these criteria sheets. It is often challenging to play a role in a case and still demonstrate your negotiation skill. While you prepare to play a role, be sure to pay attention to the criteria sheets, which tell you the types of negotiation strategies and styles being assessed. Do not play the role without regard for demonstrating your ability to apply what you have learned. Following Negotiations II, IV, VII and X an approximately three page word-processed self-evaluation will be submitted describing your perceptions of your negotiation skills and those of your partner(s) and areas for improvement for both. There will be two sources of input for each of these reports: 3

4 (1) classmates will provide you with comments based on their observations and, (2) you will watch the video recording of your negotiation on your own and make note of areas for your own improvement Your evaluation report should be thorough and focused on information learned in course lectures and readings. These evaluations are a critical part of the learning in this course. Thus, your improvement in this course is not totally dependent upon the instructor but requires your own participation, awareness and evaluation. You should receive feedback from classmates as well. The write-up for Negotiation X gives you an opportunity to integrate your experience overall during the course. You will be addressing the questions: What have I learned about (1) myself, (2) about negotiation and (3) what will I do to improve my negotiation skills? Comments regarding the functioning of your team throughout the course will also be evaluated. Specific details will be provided later. 3. Cultural presentations (10% of your grade). A brief (20 minutes) group presentation to the class describing cultural aspects of negotiating and business in another country / culture of the world. You are invited to share your own experiences with the class. 4. Mapping Assignment (5% of your grade) 5. Mid-Term Examination (20% of your grade) 6. Final Examination (20% of your grade). The average overall GPA for this course will be targeted at a 3.3 gpa (B+). CONTACT INFORMATION I am available. Contact information is provided at the top of this syllabus for you to contact me. If I am not available I will call you back at my earliest convenience. is my preferred method of communication. ASSIGNMENTS The Marshall School of Business policy for returning papers is as follows: Returned paperwork, unclaimed by a student may be discarded after 4 weeks and, hence, will not be available should a grade appeal be pursued by the student following receipt of his/her course grade. COURSE COMMUNICATION: BLACKBOARD COURSE MANAGEMENT SYSTEM The Marshall School of Business is using the Blackboard Course Management System for faculty student communication. If you are registered in this course you have access 4

5 to this CMS through If you are accustomed to using other services please link them to the USC system so that you receive s in a timely manner. You should begin the habit of checking Blackboard for additional information on a very regular basis. The course syllabus has been posted. Additional course lecture notes/materials, further details on assignments and position outlines (where appropriate), and general course announcements, will be posted to the folder throughout the semester. ACADEMIC INTEGRITY The following information on academic integrity, dishonesty, and the grading standard are placed here at the recommendation of the School of Business Administration Faculty and are taken from the Faculty Handbook. Additional statements about academic integrity may be found in SCampus handbook available from the University Publication Office and online at Further information may be obtained from the Office of Student Judicial Affairs and Community Standards at The University, as an instrument of learning, is predicated on the existence of an environment of integrity. As members of the academic community, faculty, students, and administrative officials share the responsibility for maintaining this environment. Faculty have the primary responsibility for establishing and maintaining an atmosphere and attitude of academic integrity such that the enterprise may flourish in an open and honest way. Students share this responsibility for maintaining standards of academic performance and classroom behavior conducive to the learning process. Administrative officials are responsible for the establishment and maintenance of procedures to support and enforce those academic standards. Thus, the entire University community bears the responsibility for maintaining an environment of integrity and for taking appropriate action to sanction individuals involved in any violation. When there is a clear indication that such individuals are unwilling or unable to support these standards, they should not be allowed to remain in the University. (Faculty Handbook, 1994: 20) Academic dishonesty includes: (Faculty Handbook, 1994: 21-22) 1. Examination behavior - any use of external assistance during an examination shall be considered academically dishonest unless expressly permitted by the teacher. 2. Fabrication - any intentional falsification or invention of data or citation in an academic exercise will be considered a violation of academic integrity. 3. Plagiarism - the appropriation and subsequent passing off of another s ideas or words as one s own. If the words or ideas of another are used, acknowledgment of the original source must be made through recognized referencing practices. 4. Other Types of Academic Dishonesty - submitting a paper written by or obtained from another, using a paper or essay in more than one class without the teacher s express permission, obtaining a copy of an examination in advance without the knowledge and consent of the teacher, changing academic records outside of normal procedures and/or petitions, using another person to complete homework assignments or take-home exams without the knowledge or consent of the teacher. 5

6 The use of unauthorized material, communication with fellow students during an examination, attempting to benefit from the work of another student, and similar behavior that defeats the intent of an examination or other class work is unacceptable to the University. It is often difficult to distinguish between a culpable act and inadvertent behavior resulting from the nervous tensions accompanying examinations. Where a clear violation has occurred, however, the instructor may disqualify the student s work as unacceptable and assign a failing mark on the paper. STUDENTS WITH DISABILITIES Any student requesting academic accommodations based on a disability is required to register with Disability Services and Programs (DSP) each semester. A letter of verification for approved accommodations can be obtained from DSP. Please be sure the letter is delivered to me as early in the semester as possible. DSP is located in STU 301 and is open 8:30 a.m. 5:00 p.m., Monday through Friday. The phone number for DSP is (213) TECHNOLOGY Videotaping faculty lectures is not permitted, due to copyright infringement regulations. Audio-taping may be permitted if approved by the professor. Use of any recorded material is reserved exclusively for USC Marshall students. WIRELESS ENVIRONMENT PROTOCOL (WEP) Fellow students and the professor deserve your full attention. Only then can a productive learning environment be established. ANY e-devices (cell phones, PDAs, I-Phones, Blackberries, other texting devices, laptops, I-pods) must be completely turned off during class time. Upon request, you must comply and put your device on the table in off mode and FACE DOWN. You might also be asked to deposit your devices in a designated area in the classroom. Please be respectful! Be here, Now! BOOKS and MATERIALS Required: Lewicki, R; Saunders, David M.; and Barry, Bruce, Essentials of Negotiation, 5 th ed., McGraw-Hill, 2011, ISBN Course Reader: Collected articles and cases available in the USC Trojan Bookstore Individual surveys and questionnaires Recommended: Diamond, Stuart, Getting More, Crown Business, ISBN Fisher, Roger & Ury, William; Getting to Yes, 2 nd ed.; Penguin Books, 1991; ISBN Foster, Dean Allen, Bargaining Across Borders; McGraw-Hill, 1992; ISBN Bramson, Robert M., Coping with Difficult People, Dell Publishing, ISBN:

7 Listed is a schedule of assignments and topics for this course. Changes may be made as the course progresses depending upon enrollment, ELC schedules, and class needs. DATE Tuesday & Thursday afternoons /11-1 Course Overview Focus on Listening Leadership Style Inventory The role of persuasion in negotiation 1/13-2 Communication Patterns and Pitfalls - Crossing gender and cultural divides. DCPs (Dysfunctional Communication Patterns) R. Lewicki, Essentials of Negotiation, Chapters 1: Nature of Negotiation and 6: Communication L. Babcock & S. Laschever, First You Have to Ask D. Tannen, The Power of Talk: Who Gets Heard and Why 1/18-3 R. Lewicki, Essentials of Negotiation, Chapters 1: Nature of Negotiation and 6: Communication M. Watkins & S. Rosen, Rethinking Preparation in Negotiation. Video: 1/20-4 Preparation and other activities R. Lewicki; Essentials of Negotiation, Chapter 2: Distributive Bargaining 1/25-5 ELC-1 Negotiation I Case: Customer Service Dispute (1x1) DUE: Observers watch another negotiation pair and provide negotiators with evaluation observations for inclusion into their self-evaluation that is due next week. Note: Print materials from Blackboard for Negotiation I, bring with you to the ELC. 1/27-6 Debrief Negotiation I Credibility: Establishing and Maintaining It Analyzing the Other Person s Reasoning R. Lewicki; Essentials of Negotiation, Chapter 4: Strategy and Planning V. Medvec & A. Galinsky, Putting More on the Table 2/1-7 ELC-2 Negotiation II Case: Retail Purchase (1 x 1) DUE: Your Strategy Plan submitted prior to negotiation. Debrief Negotiation II in class. You will be graded on a thorough evaluation of how well you negotiated and on your own individual observations and plans for improvement. 7

8 2/3-8 Framing, Linking, Involving, Anchoring and Other Reliable Strategies R. Lewicki; Essentials of Negotiation, Chapter 5: Perception, Cognition & Emotion L. Sussman, How to Frame a Message: The Art of Persuasion and Negotiation. Video: DUE: Individual written self-assessment of Negotiation II following Self Evaluation guidelines available on Blackboard. 2/8-9 ELC-3 Negotiation III Labor-Management negotiation (3x3) DUE: Team Strategy Plan submitted prior to the negotiation. Debrief Labor-Management negotiation 2/10-10 Introduction to Integrative Negotiation Video: Principled Negotiation Roger Fisher R. Lewicki, Essentials of Negotiation, Chapter 3: Integrative Negotiation 2/15-11 ELC-4 Negotiation IV Case: Coffee Contracts (2 x 2) DUE: Team Strategy Plan submitted prior to the negotiation. Debrief in class following negotiation 2/17-12 Integrative Negotiations: Using questions, strategic asking and responding J. Sebenius, Six Habits of Merely Effective Negotiators. Roger Fisher & Wayne Davis, Six Basic Interpersonal Skills DUE: Individual written self-assessment of Negotiation IV following Self Evaluation guidelines available on Blackboard. 2/22-13 Career Negotiations Part 1 DUE: Company and Position Research 2/24-14 MIDTERM EXAM 3/1-15 ELC-5 Negotiation V Case: Career Interview (1 x 1) Career Negotiations Part 2 R. Lewicki, Essentials of Negotiation, Chapter 7: Finding and Using Negotiation Power Video: 3/3-16 Debrief Career Interview 3/8-17 ELC-6 Negotiation VI Case: 3/10-18 Team Dynamics R. Lewicki, Essentials of Negotiation, Chapter 9: Relationships in Negotiation R. Fortgang, et al.: Negotiating the Spirit of the Deal S. Hackley; When Life gives You Lemons: How to Deal with Difficult People 8

9 3/14 3/19 SPRING RECESS 3/22-19 Negotiation VII ELC-7 Case: a real estate transaction (2 x 2) R. Lewicki, Essentials of Negotiation, Chapter 8: Ethics in Negotiation D. Molhotra, Risky Business: Trust in Negotiations DUE: Team Strategy Plan submitted prior to the negotiation. 3/24-20 Cross-Cultural Negotiations R. Lewicki; Essentials of Negotiation, Chapter 11: International & Cross-Cultural Negotiation K. Reardon & R. Spekman, Starting Out Right: Negotiation Lessons for Domestic and Cross-Cultural Business Alliances. Video: A Cross-Cultural Business Negotiation DUE: Individual written self-assessment of Negotiation VII following Self Evaluation guidelines available on Blackboard. 3/29-21 ELC-8 Negotiation VIII Case: a cross-cultural negotiation (1 x 1) 3/31-22 Chapter 10: Multiple Parties and Teams M. Watkins, Dynamic Negotiations: Seven Propositions About Complex Negotiations. R. Cialdini, Harnessing the Science of Persuasion 4/5-23 ELC-9 Negotiation IX Case: a business alliance negotiation (3 x 3) DUE: Team Strategy Plan submitted prior to the negotiation. 4/7-24 Debrief business alliance negotiation Issues of Scope and Sequence Forming and Maintaining Strategic Alliances Lax & Sebenius, 3-D Negotiation D. Sull, et al., Dancing with Elephants: The Smartix Saga DUE: Mapping Assignment 4/12-25 ELC-10 Negotiation X: Multi-Party Negotiation Case: Community Development Project (6 persons) Note: Your individual write-up of this negotiation will be augmented/integrated with your own insights from the prior negotiations (1 through 9) to create your perspectives on your teamwork, which is due next week (April 19 th ). 9

10 4/14-26 Debrief multi-party negotiation. R. Lewicki; Essentials of Negotiation, Chapter 12: Best Practices in Negotiation Introduction to mediation DUE: Individual written Evaluation of Negotiations II thru IX following Evaluation Guidelines and Instructions available on Blackboard. 4/19-27 ELC-11 Negotiation XI: Case: a dispute resolution 4/21-28 Cross Cultural presentations - I DUE: All Cross-Cultural Presentations regardless of presentation date. 4/26-28 Cross-Cultural Presentations - II 4/28-29 Cross-Cultural Presentations - III Course Review FINAL Tuesday 2:00 pm class has exam on Thursday, May 5, 2:00 to 4:00 p.m. EXAM Tuesday 4:00 pm class has exam on Thursday, May 5, 4:30 to 6:30 p.m. 10

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