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NEGOTIATION Professor: Javier Achondo B, Master in Administration, MBA. Professor’s E-mail: jachondo@autosachondo.cl

COURSE PRESENTATION This course is based primarily on a practical methodology of workshops for students to know, understand and learn how to use the conceptual, behavioral and strategic aspects that surround and are present throughout the negotiation process, from preparation to closure.

COURSE OBJECTIVES Design and prepare a negotiation strategy that covers all the different stages of this process.

Structure a good starting point in negotiations, managing four key valuation concepts: BATNA; Reserve price; Z.O.P.A. and Creation of Additional Value, through exchanges between the parties.

Value the role of emotions, effective communication and research throughout the negotiation process.

Work in teams to determine the styles and roles in a negotiation, depending on the objectives proposed, on the characteristics of the counterparty and on the development of the negotiation itself.

METHODOLOGY The fundamental conceptual elements will be delivered in lectures, where student participation and discussion of ideas will be encouraged. Given the very practical feature of the course, participants will have the opportunity to practice their negotiation skills in different scenarios with guidance and feedback.

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The cases and final negotiation exercise by teams are filmed to provide feedback to these teams and to the rest of the participants about the strengths and weaknesses identified in the practical application of conceptual, behavioral and strategic aspects learned in the course. Assessment

Practical Negotiation Cases ……………. 35%

Hamilton Real State- Batmobile 5% Industrias Castillo S.A. 5% Mapuche community - Electricity Company 10% Moms.com 15%

Individual Cases ………………………………. 10%

Presentation of group case ………………. 15%

EXAM Full collective bargaining …………. 20% Test of relevant knowledge ………… 20% Final negotiation exercise by team: Students must develop a negotiation process, incorporating the conceptual and practical aspects analyzed in the course/workshop, negotiating cooperatively in a distributed environment to an integrated one. Teams of 5 students will be made up, who will conduct a one-hour Collective Bargaining, where a team will represent the company and the other one will represent the union.

Individual and Group Cases Development: Students will develop Individual Cases Analysis, Individual Controls and Presentation of Real Group Cases, using the Method of the Case of Harvard University.

Report on Negotiation Practices: Negotiation rounds will be conducted in all sessions in groups of two students (Party- Counterparty). After the round, students will hand in a report on the experience in the negotiation, negotiating arguments and agreements reached. It includes individual and group practical works done in class.

COURSE MATERIAL

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BIBLIOGRAPHY

NEGOCIACIÓNUna guía para directivos ocupados (1). Harvard Business School Publishing Corporation – EdicionesDeusto, 2004. ________________________________________________________________________________

Las Emociones en la Negociación (2). Roger Fisher y Daniel Shapiro. Grupo Editorial Norma S.A. 2007.

Como negociar con EXITO (2). Karl & Steve Albrecht. Ediciones Granica de Chile S.A. 2º Edición 2011.

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Negotiation GENIUS (3), autoresDeepackMalhotra y Max H. Bazerman. Harvard Business School. Ediciones Bantam Books año 2008.

Marcando las Reglas de la NEGOCIACION (3), autor Michael Watkins. Harvard Business School Prees.EdicionesDeustoaño 2007.

Obtenga el Sí, el arte de negociar sin ceder (3). Autores Roger Fisher, WilliamUry y Bruce Patton.Edición gestión 2000, año 2005.

Supere el NO, como negociar con personas que adoptan posiciones obstinadas (3). Autor William Ury. Editorial norma, año 1993.

Si de acuerdo, como negociar sin ceder (3). Autores Roger Fisher, WilliamUry y Bruce Patton.Ediciones Norma, año 2001.

Claves de Negociación, con el corazón y la mente (3). Autores Steven P. Cohen y Ricardo Altimira. McGraw Hill, año 2003. _______________________________________________________________________________________________________________________

(1) Guide text: a copy will be provided at the beginning of the class. (2) Photocopy of Book: to be delivered at the beginning of the class. (3) Material downloaded in PDF, teaching website. ARTICLES

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Cinco estrategias para sumar a las negociaciones. Kandarp Mehta. IESEinsihgtNumero 15, 2013.

La Negociación Investigativa. Deepack Malhotra y Max H. Bazerman. Harvard Business Review (LA) Septiembre2007.

Mas Allá del sí: negociar con la implementación en la mente.Danny Ertel. Harvadr Business Review (LA) 2004.

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(4) To be provided in photocopies in course folder.

Casos de Estudio (HBS) (5) Endesa Chile: Raising the Ralco Dam (A). Kathleen McGinn, Paula Laschober & Dina Pradel Nº 9-906-014. Rev. May 2009.

Club Atlético Boca Juniors. Anita Elberse, Alberto Ballvé & Gustavo Herrero. Nº 509-S06.Junio 2009.

Atlantic Corporation. Peter Tufano. Nº 208-S14. Rev. Julio 1990.

(5) To be provided in photocopies in course folder.

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SCHEDULE AND CONTENT

Date Contents Applications Bibliography Thursday November 28

Negotiation: Definitions, processes and methods. Communication and negotiation processes. Competitive negotiation (distributive) and cooperative negotiation (integrative). Test on conflict management in negotiations Exercise on solution of possible conflicts in negotiations Negotiation practices from a BUYER - SELLER conflict: Hamilton Real State – Batmobile cases. Summary day #1

Negotiations model – Harvard Model. Basic Concepts in a negotiation. Communication in a negotiation. First deals – Anchoring – in a negotiation. Emotional profiles of the negotiators.

NEGOCIACION Una guía para directivos ocupados. Page 1-48. __________________ Negotiation GENIUS. Page. 1-49 ___________________ Articles Anchoring and first Offers in Negotiation.

Anchoring expectations.

Anchoring the big picture. ___________________ Test (summarized) Meyers & Briggs

PPT Session # 1 Friday November 29

Process in Competitive and Collaborative Negotiation. Negotiation based on interests and positions argumentation. Emotions in a negotiation. Negotiation practices – COMPANY /UNION– Industrias Castillo S.A. Case

Creation of the negotiating teams. Preparation of a negotiation. Process and development of a negotiation. Stages of the negotiation process. Emotions in a negotiation. Creating value in a negotiation.

NEGOCIACION Una guía para directivos ocupados. Page. 51-91. ___________________ Las Emociones en la Negociación.

Como negociar con EXITO __________________

Articles Cinco Estrategias para sumar a las negociaciones.

La negociación investigativa.

Negotiating with emotions. ___________________

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Video day # 1

PPT Session # 2 (A) PPT Session # 2 (B)

Saturday November 30

Harvard negotiation model. The nine elements of a negotiation based on principles. Process of competitive and cooperative negotiation. How to negotiate with people who adopt inflexible positions. Negotiation of intangibles – Tangibles. Cooperative negotiation practices - COMPANY /UNION - Eléctica del Sur with Mapuche community. Video day # 2 Summary day # 1-2-3 End of week # 1.

Strategy and Tactics in a negotiation. Intercultural negotiation. Managing emotions in a negotiation. Work on the negotiating team.

NEGOCIACION Una guía para directivos ocupados. Page 92-157. _________________ Claves de Negociación: con el corazón y la mente.

Marcando las reglas de la negoción.

Articles Connect, Then Lead.

Do you play to win-or to not lose?

Making star teams out of star players. Case HBS Endesa Chile: Raising the Ralco Dam (A)

PPT Session # 3 (A) PPT Session # 3 (B)

Thursday December 19

Negotiating face-to-face: The encounter Effective discussion in the negotiation. Multivariable negotiations. Negotiation with common and conflicting interests. Argumentation of positions. Value Creation in Negotiations.

Analyze Strategy and tactics usually employed in negotiations. Final behavior in a negotiation. Implementation of negotiation agreements. Ways to create additional

NEGOCIACION Una guía para directivos ocupados. __________________ Negotiation GENIUS. Page 50-102

Sí…de acuerdo!

Supere el NO!

Obtenga el SÍ! ___________________

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The closure, agreements, results and follow-up of the negotiation Negotiation practices in a business– multivariable involvement – SUPPLIER/CLIENT – Case MOMS.COM (KELLOGS) General Video End # 1. Summary Sessions # 1-2-3-4

value in an industrial chain.

Articles Deal Making 2.0

Mas allá del Sí: negociar con lamimplemetacion en le mente.

You make better decisions if you “see” your self senior self.

Strategic Leadership: The Essential Skills. ___________________

PPT Session #4

Friday December 20

Presentation of group Negotiation cases Delivery of individual case on experiences in negotiation Video day # 4 Summary day # 4

From a REAL case:

. Analysis of overall situation. . Relevant facts

. How to prepare and assess the Negotiation

. Assessment of the strategies and tactics employed in the

negotiation . Agreement (s) reached in the

Negotiation . What changes you would make

when faced with a new negotiation process

. Conclusions

. Attached information (if necessary).

TEAMWORK.

Presentation of group works to the class.

Own – real experiences

on negotiation.

PPT Session #5

Saturday December 21

Final negotiation exercise by team: cooperative negotiation in a competitive environment. Teams of 5 students each are made up, who will carry out a one-hour collective bargaining, where one team will represent the company and the other one will represent the union.

Application of everything learned in previous sessions to a practical case.

Case to negotiate:

Compañía Minera La Cumbre S.A.

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This session is entirely filmed by the teacher and assistant, to provide feedback to these teams and to the rest of the participants about the strengths and weaknesses identified in the practical application of conceptual, behavioral and strategic aspects during the negotiation process.

Saturday January 04

Individual test on relevant knowledge. Final Video: Session review and analysis of the film of the negotiations by team. Presentation of the experiences of each negotiating team in the collective bargaining exercise. Feedback on strengths and weaknesses of the negotiation process.

Final conclusions of the course on competitive and cooperative negotiation processes.

Analysis and presentation of

negotiators of alternatives of two

cases, at the student's choice:

A) Club Atlético Boca Juniors

B) Atlantic Corporation

MOTIVATIONAL video

PPT COURSE summary Final Coffe ENLARGED

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PROFESSOR’S RESUME JAVIER IGNACIO ACHONDO BAUZÁ Agronomist, Universidad de Chile. MBA Master in Administration, Universidad de Chile.

Owners, President Managers Program (OPM). Harvard Business School, Key Executive Program, Oct - Jan 2012.

Associate’s degree in leadership, financial and economic matters. The George Washington University, Washington D.C. September 2010.

Assistant Professor in Human Capital, School of Economics and Business, MBA Program, Universidad de Chile.

Professor of Effective Negotiation, School of Economics and Business, MBA Program, Universidad de Chile.

In the exercise of his activity, he has held executive, managerial and academic positions, leading teams to generate changes in the structure and organization of companies.