Brachton Collective Bargaining Exercise

Also known as Brachton School

SCENARIO:

The Brachton Teacher's Union has been negotiating with the city's School Committee over teacher contracts which will shortly expire Lately, Brachton public schools and teachers, funded largely through local property taxes, have come under some fire. Some fear that political and personal commitment to the Brachton schools has diminished. There is pressure on the school committee, headed by the mayor, for a tax cap and moratorium on all city salaries, including teachers. The issues have been identified and all that is left is for the two groups to hammer out an agreement.

 

MAJOR LESSONS:

  • There are often legitimate differences within bargaining teams. These internal conflicts ought to be worked out before serious bargaining begins as unresolved internal conflict can create problems when it comes time to ratify carefully crafted draft agreements. This exercise creates opportunity for team participants to practice techniques and strategies of managing internal team conflict.
  • In most collective bargaining situations, each side begins by staking out its position. both usually do this before they even hear what the concerns are of the other side. This often leads to the process of trading concessions which results in minimally acceptable outcomes. To achieve maximum joint gains it is necessary to focus instead on listening to the interests of the other side before staking out opening positions. The best techniques for probing interests can be studied.
  • This exercise allows the players to explore the influence of threats on the behavior of other parties.
  • The game raises questions of relationship, precedent and reputation. all sides have important long-term interests.

 

TEACHING MATERIALS:

For all parties:

  • General Instructions
  • Present Salary Schedule

 

Role Specific:

Confidential Instructions for the Union

  • Union Representative: Bornhofft
  • Union Representative: McKeller
  • Union Representative: Whitesides
  • New Union Representative

 

Confidential Instructions for the School Committee

  • Representative: Gray
  • Representative: Pedrotti
  • Representative: Sehnert
  • New School Committee Representative

 

KEYWORDS:

Agenda control; caucusing; competition v cooperation; consensus building; dovetailing; threats; recurring negotiations; labor-management; school budgets; role of agents

 

SIMILAR SIMULATIONS:

Collective Bargaining at Central Division

MAPO- Adminstration Negotiation

Bradford Development

SCENARIO:

Bradford, an old New England industrial city, is experiencing an economic boom. The city has recently adopted a ‘linkage agreement’ policy, requiring developers to make once-off payments to the city to offset infrastructure and housing costs. Curry Corporation (‘Curry’) is the first developer to propose a major project under the new administration. After meeting with all the appropriate municipal agencies and citizen groups, the only major issue left unresolved in the proposed project is the appropriate size of the linkage payment that Curry should make to the city.

 

MAJOR LESSONS:

  • Pre-negotiation analysis should include a realistic appraisal of one's BATNA. This provides a reference point against which proposed offers can be evaluated. It is important for each party to assess not only its own BATNA, but also that of the other party. This can also be done in the course of the negotiation itself by trying to elicit information from the other party about its alternatives.
  • Distributive bargaining divides up a fixed pie, and is therefore inherently constant-sum. One party's gain is another party's loss.
  • Each party should explore the interests of the other side before making an offer. Making an offer before exploring the other side's interests could anchor the bidding too high or too low, thereby minimizing one's own potential gains.
  • When the negotiating parties are involved in an ongoing relationship, it is rarely (if ever) prudent to lie or misrepresent one's interests.

 

ADDITIONAL NOTES:

This game can be played with multiple and simultaneous groups of four.

 

TEACHING MATERIALS:

For all Parties:

  • General Instructions

 

Role Specific:

  • Confidential Instructions for Municipal Negotiation Specialists
  • Confidential Instructions for Curry Representatives

 

Additional Teaching notes:

  • Detailed notes including:
  • FAQ by parties about their instructions
  • Debriefing guidelines for the instructor
  • Discussions about the use of one's BATNA
  • Comments about the distributive bargaining process
  • Comments about lying and misrepresentation
  • Summary of lessons
  • Exam Questions

 

KEYWORDS:

BATNA; Bluffing; Credibility; Ethics; Integrative bargaining; Legitimacy; Linkage; Misrepresentation; Real estate development

 

SIMILAR SIMULATIONS:

Negotiated Development in Redstone

Broken Benches

SCENARIO:

Roy Thomas, Director of Athletics at Benton College, was at the Benton College gymnasium to attend an intercollegiate wrestling match when he fell ten feet to the gym floor. He injured his elbow, shoulder and back. He was transported to the hospital in an ambulance, hospitalized for a day, and bedridden at home for for a while after that. After intensive therapy, Roy’s physical condition was “largely resolved.” A therapist prescribed use of a special exercise device if the affected areas stiffened up. However, Mr. Thomas chose an alternative and expensive treatment method.

Mr. Thomas has suffered three relapses in the last year, when he was laid up for a week. He claims difficulty concentrating and sleeping, as well as negative effects on his work and sexual relationships with his wife. Thomas and his wife filed suit against Pro Bleachers for negligent design, manufacture, and installation of the bleachers. Pro Bleachers, through its insurer Pinnacle, has denied liability. Counsel has suggested that after initial negotiation and stalemate, the parties use an ADR procedure to attempt to settle the case.

Note: Participants should be arranged in groups of three. The third person in each group will either be a mediator, an arbitrator with a potential bias for the defense, or an arbitrator with a potential bias for the plaintiff.

 

MAJOR LESSONS:

  • This exercise presents the opportunity to use a careful analysis of the interests of the parties to craft an agreement to solve a dispute.
  • This game is an opportunity to compare mediation and arbitration — including arbitration by arbitrators with different backgrounds. Interesting discussion should ensue from the comparison of the different groups.
  • The exercise allows individuals to reflect on the legitimacy of claims and the role that “fault” plays in the negotiation process.
  • The need for a BATNA to maximize the results.
  • This exercise illustrates the danger of single-issue bargaining. Should participants limit the negotiation to a monetary dispute, the participants will be locked in a contest of wills. Hard bargaining may well emerge, resulting in a situation in which one party’s gain will ensure a loss to the other party.

 

Building Bridges

Through the use of three role plays, the Building Bridges curriculum helps students learn how to resolve their differences through negotiation. The curriculum is based on the principled negotiation method developed by Roger Fisher (co-author of the bestselling book Getting to YES) and his colleagues at the Harvard Negotiation Project.

The curriculum includes three role plays, a sample syllabus, a background memo on teaching negotiation, a memo on the goals of teaching negotiation, and a memo on student-generated role plays. Please note that the cost of the Building Bridges curriculum package includes a copyright license to duplicate the role plays. The role play scenarios are as follows:

 

"How Could You Say That?": This simulation is between two high-school siblings. In a previous conversation, the younger sibling has asked the older sibling for help finding a job in the same mall where the older sibling worked. A misunderstanding resulted, and the siblings became upset with one another. The siblings are now meeting to try and resolve the issue.

 

Major lessons:

Exercises help students to:

  • Focus on underlying interests rather than positions or demands.
  • Invent options that are good for both parties.
  • Use legitimacy and persuasion rather than force or violence.
  • Develop empathy, to see the problem from the other's perspective.
  • Become aware of the role emotions play in negotiation.
  • Learn the importance of listening in negotiation.

 

Teaching Materials Include:

  • Confidential Instructions for Cory (older sibling)
  • Confidential Instructions for Terry (younger sibling)
  • Teaching Note

 

The Leather Jacket: This simulation is between two high-school friends. One student just bought a leather jacket at a one-day sale which, unfortunately, doesn't fit. The jacket does fit the second student perfectly, however, and the second student is very interested in buying it. The issue to be negotiated is price. The first student purchased the jacket for $100 but needs $150 to purchase a properly fitting jacket at its original, non-sale price. The second student knows that the first student bought the jacket on sale.

 

Teaching Materials Include:

  • Confidential Instructions for the Buyer
  • Confidential Instructions for the Seller
  • Teaching Note

 

Playing Time: This simulation is between a high school basketball player and his/her coach. The students wants more playing time on the basketball team; the coach thinks that the students needs more work. The two have agreed to meet to discuss the situation.

 

Teaching materials include:

  • Confidential Instructions for the Coach
  • Confidential Instructions for the Player
  • Teaching Note

Bullard Houses

SCENARIO:

Downtown Realty, Inc. owns the historic Bullard Houses, a set of 51 attached brownstones in the city of Gotham. The Houses, occupied for decades by the city's wealthy elite, have fallen into disrepair and are currently occupied only by a few low-income families. Downtown Realty has been prevented from demolishing the Houses by the Gothic Landmark Commission. Consequently, Downtown is eager to sell the property, and has several offers on the table. One offer proposes to convert the Houses into apartments, another into townhouses, and a third into a sophisticated marketplace. Downtown has not yet seen the offer of a fourth developer, Absentia, Ltd. Absentia is unfamiliar with Downtown's other offers, but is confident that its offer will be appealing, although it is unwilling to reveal its exact plans. Each of the four offers presents a quite different financial package, each of which must be evaluated by Downtown in terms of present value. Both sides must take into consideration financial needs, tax implications, personal interests, and future dealings with the city Zoning Board. The negotiation involves attorneys representing Downtown Realty and Absentia, Ltd.

You can see students practicing the Bullard Houses negotiation game in this free video:

Bullard Houses was also used in a recent study at the University of California, Berkeley on the role gender plays in negotiation. The study focused specifically on whether the stereotype of women being more easily misled than men, was actually true. You can read more about the study and it's findings here.

MECHANICS:

This case is essentially a one-on-one negotiation, but can be run effectively using teams of two. Individual preparation takes several hours, and involves extensive, but simple, present value calculations. Playing time can run from 40 minutes to one hour. Debriefing time should not be less than 30 minutes; substantially more is possible, up to 90 minutes.

 

TEACHING MATERIALS:

For all parties:

  • General Instructions

 

Role specific:

Confidential instructions for:

  • Seller
  • Buyer

 

Teacher's Package:

  • All of the above
  • Teaching Note

 

PROCESS THEMES:

Attorney/Client relations; BATNA; Confidentiality; Information exchange; Lawyering; Message analysis; Misrepresentation; Objective criteria; Political constraints, dealing with; Preparation; Quantitative analysis; Undisclosed principles

 

MAJOR LESSONS:

One of the main issues in this case is whether to settle at all. The complexity of information exchange may impede settlement in a single negotiation session. This situation brings up the general point that the best outcome of a negotiation sometimes is not to reach an agreement.

Several interesting questions of confidentiality are raised here, since the sellers have promised one of the developers not to reveal information about their offer, and the buyer's agent is under strict orders not to discuss his principal's plans. Under what circumstances, if any, can the attorney reveal information, and what other ways are there to avoid suspicion?

This case requires careful analysis of the available information both before and during the negotiation. Beforehand, negotiators should work through a variety of simplified, but reasonably realistic financial structures (bonds, mortgages, loans, etc.) to make a judgment about the relative worth of the various offers and possible alternatives. During the negotiations, while much information cannot be revealed, what can has important, probably unforeseen, but not obvious implications for the other side.

 

ENHANCED VERSION AVAILABLE:

A digitally enhanced version of this simulation is available through the iDecisionGames platform and includes the following features:

  • An Instructor’s Guide summarizing the negotiation concepts covered in the simulation, a quick review of simulation logistics, and a ready-to-use set of debriefing slides;
  • Highlights from background readings that will help both students and instructors gain a better understanding of negotiation concepts and methods covered in the simulation;
  • Pre- and post-simulation questionnaires instructors can use gauge each student’s grasp of the core concepts before and after participating in the simulation;
  • PowerPoint slides that introduce key concepts before the simulation and highlight lessons for debriefing;
  • Real time, interactive, data analytics provided via the iDecisionGames platform.

To order the Bullard Enhanced Package click here.

Bunyon Brothers

SCENARIO:

Four weeks ago, the Bunyon Brothers Construction Company began work on a 77-unit condominium complex at the end of a quiet, wooded, dead-end street named Chestnut Drive. All permits were properly, if quietly, obtained, and the quality of construction is high. Some resistance from the neighborhood was, of course, expected, but tempers now seem to be unusually high and a credible threat has developed of neighbors blocking the site access. The Company's General Counsel has scheduled a meeting with a neighborhood "negotiating committee." In preparation, he has scheduled an internal planning meeting with the Vice Presidents for Construction Management and for Marketing and Development. The exercise revolves around their three-party meeting.

NOTE: This exercise is an intra-team negotiation and is one of the two sides that makes up the exercise Chestnut Village (the other side is the exercise Chestnut Drive).

 

MECHANICS:

The Company officers should meet for 45-105 minutes. A break after 45 minutes for a presentation on intra-group process can be useful. After the completion of these preparation sessions, the groups should meet with one or more neighbor representatives (one or more of the officers at a time, however they chose in their planning session). Neighbors can be played by the instructor(s) or by other participants who have prepared as neighbors in the context of Chestnut Drive. Instructors can model various styles of negotiation. These negotiation sessions usually run about 20 minutes each. Different groups of executives and neighbors can continue by the substitution method (taking over where things left off) or by starting over.

 

TEACHING MATERIALS:

For all parties:

  • General Instructions

 

Role specific:

Confidential Instructions for the:

  • General Counsel
  • V.P. for Marketing and Development
  • V.P. for Construction Management

 

Teacher's Package:

  • All of the above

 

PROCESS THEMES:

Agenda control; Authority; BATNA; Commitment; Communica- tion; Compliance; Constituents; Currently perceived choice analysis; Education, as a means; Force; Group process; Media; Meeting design; Precedents; Preparation; Public opinion; Reality testing; Threats; Yesable propositions

 

MAJOR LESSONS:

This case focuses on two major themes. The first is preparation. What is your BATNA? What is theirs? What are their major interests likely to be? What are ours? What does their choice look like now? How, realistically, could we change it? What can they actually do? What can we do? How do we make it as easy as possible for them to do what we want, and hard for them to do otherwise? How do we best communicate all this? What yesable propositions do we have for them? Should we consult before deciding?

The second theme is meeting design and group process. How do three people work together to prepare for a negotiation? Set an agenda? Set strict time limits? Use a flipchart and a recorder? A facilitator? Separate inventing from deciding? And how do they work together in the ultimate meeting? Should they? How do they avoid divide and conquer tactics or distractions that keep them from focusing on any one point? How do they get commitment?

Another important theme is the problem of dealing with a representative of a constituency who does not have firm authority. The neighbor negotiators cannot really commit their neighbors. How should the Bunyon Brothers deal with that? Can either party really agree to what the other wants?

The case also raises the question of relationship and reputation. Both sides have important long-term interests.

Camp Lemonnier

Scenario:

Camp Lemonnier is a United States Naval Expeditionary Base located in the African country of Djibouti. Djibouti, bordering Somalia, Ethiopia, Eritrea, the Red Sea and the Gulf of Aden, has been home to Camp Lemonnier since the September 11, 2001 attacks prompted the United States to seek a temporary staging ground for U.S. Marines in the region. Since then, Camp Lemonnier has expanded to nearly 500 acres and a base of unparalleled importance, in part because it is one of the busiest Predator drone bases outside of the Afghan warzone. Camp Lemonnier is home to the Combined Joint Task Force―Horn of Africa of the U.S. Africa Command (AFRICOM)—and is the only permanent U.S. military base in Africa.

Tensions between the two usually friendly nations took a turn after the crash of a U.S. Predator drone in the capital city of Djibouti. The United States Defense Attaché and the Djiboutian Deputy Minister of Foreign Affairs are meeting to renegotiate the terms of the lease contract for Camp Lemonnier. The negotiation will include the following issues: contract length, total lease payments per year, potential for renegotiation, economic development aid, and support for the local population, including staffing at the base.

Major lessons of this simulation include:

  • Defining BATNA: knowing your own BATNA will help you not accept a deal that is suboptimal to your likely walk-away alternative.
  • Understanding the Zone of Possible Agreement (ZOPA): By estimating the ZOPA prior to a negotiation you can avoid taking a deal that is worse for you than your next best (realistic) alternative.
  • The impact of culture in negotiation.
  • Process management and agenda setting.
  • Uncovering interests: integrative bargaining, or “mutual gain” negotiation, focuses on the idea that through careful preparation a negotiation outcome can be favorable for both sides.
  • Principal-agent dynamics.
  • Uncovering sources of power in negotiation.

This exercise is based on the real 2014 negotiations between the United States of America and the Republic of Djibouti. The Camp Lemonnier Case Study, which details the real-life negotiation, is available for purchase separately, and can be used either with this simulation or on its own.

Materials: 

  • General Instructions for all parties
  • Confidential Instructions for Djiboutian Deputy Minister of Foreign Affairs
  • Confidential Instructions for United States Defense Attaché
  • Results Form
  • Teaching Notes

Camp Lemonnier Case Study

Scenario:

In the spring of 2014, representatives from the United States of America and the Republic of Djibouti were in the midst of renegotiations over Camp Lemonnier, the only permanent U.S. base on the continent of Africa. Djibouti, bordering Somalia, Ethiopia, Eritrea, the Red Sea and the Gulf of Aden, has been home to Camp Lemonnier since the September 11, 2001 attacks prompted the United States to seek a temporary staging ground for U.S. Marines in the region. Since then, Camp Lemonnier has expanded to nearly 500 acres and a base of unparalleled importance, in part because it is one of the busiest Predator drone bases outside of the Afghan warzone.

The U.S. is not alone in recognizing the strategic importance of Djibouti. France and Japan have well-established military presences and launch operations from the Djibouti-Ambouli International airport, as well. As of spring 2014, Russia was also reportedly vying for a similar land lease in the country.

Tensions between the United States and Djibouti have flared in recent years, due in large part to a string of collisions and close calls because of Djiboutian air-traffic controllers’ job performance at the airport. Americans have complained about the training of air-traffic controllers at the commercial airport. Additionally, labor disputes have arisen at the base where the United States is one of the largest non-government employers within the country.

Major lessons of this case study include:

  • Defining BATNA: what is each party’s BATNA?
  • Understanding the Zone of Possible Agreement (ZOPA): what is the ZOPA in this case?
  • The impact of culture in negotiation.
  • Uncovering interests.
  • Principal-agent dynamics.
  • Uncovering sources of power in negotiation.

This case can be paired with the Camp Lemonnier Simulation, available for purchase separately from the Teaching Negotiation Resource Center (TNRC). The simulation is a two-party, multi-issue, fictionalized version of these negotiations.

Materials:

  • Case Study Part A
  • Case Study Part B
  • Teaching Notes

Carter Estate Problem, The

SCENARIO:

James Carter, husband of Rosie Carter and father of Chris and Terry Carter, recently died after a four year battle with an undisclosed illness. Having plenty of warning, Mr. Carter (also head of the successful family cosmetic business) carefully planned for the disposition of his assets upon his death. The majority of issues surrounding the settlement of his estate have been resolved, however, a few minor issues remain unresolved and have led to dispute between his two children. The first dispute concerns Mr. Carter’s lakeside retreat. Secondarily, there are concerns over the distribution of some of Mr. Carter’s personal effects. The personal effects include: a stamp collection, a diamond ring, a pocket watch, a membership in the Metropolitan Club and the award-winning, family dog, Bonzo.

 

MAJOR LESSONS:

  • This exercise presents the opportunity to use a careful analysis of the interests of the parties to craft an agreement to solve a dispute.
  • This exercise illustrates the danger of single-issue bargaining. Should participants limit the negotiation to a monetary dispute, Chris and Terry will be locked in a contest of wills. Hard bargaining may well emerge, resulting in a situation in which one party’s gain means a corresponding loss to the other party.
  • Good negotiators put the distributive issues in this case in perspective and reduce their importance by dovetailing interests with creative options that expand the pie. This case has an enormous potential range of such creative options.

 

MECHANICS:

This exercise is best one-on-one. Allow approximately 30 minutes for preparation and 30-45 minutes for negotiation. Debriefing should last at least 30 minutes.

 

TEACHING MATERIALS:

  • For all parties:
    • General Information

     

  • Role specific:Confidential Instructions for:
    • Chris Carter
    • Terry Carter

     

  • Teacher’s Package:
    • All of the above

 

PROCESS THEMES:

BATNA; Communication; Competition v. Cooperation; Emotions; Fairness; Interest, dovetailing; Joint gains; Legitimacy; Options, generating

Casino

SCENARIO:

Jamie Jackson, the Vice President for Programming at a large software company, is meeting with Allison Shore, one of the programming managers. Allison’s team has been working on a “virtual casino” computer game. Jamie is concerned about negative internal reviews of the Casino prototype, and about the way in which Allison has been managing her programmers. Allison, on the other hand, is insulted by some recent unfriendly treatment from her colleagues and the negative reaction to Casino. She is also convinced that she is paid less than her male counterparts. Though the main objective of this meeting is to determine the fate of the Casino program, the various side issues should make the meeting interesting.

This case is particularly well-suited for use in connection with the book “Difficult Conversations,” also available through the Teaching Negotiation Resource Center.

 

MECHANICS:

The parties’ instructions require at least 15 minutes to read and analyze. Negotiation can take 30 minutes; review can last anywhere from 30-60 minutes.

 

MAJOR LESSONS:

  • Those parties willing to consider the perceptions and interests of the other party as relevant can usually engage effectively in mutually beneficial joint problem solving.
  • The skills involved in separating the people from the problem are especially apropos in this negotiation as emotions between formerly friendly people may run high.
  • If the participants choose to try to resolve workplace environment difficulties, they must face the difficulties of ordering the behavior of those around them.

 

CASINO TWO – UPDATED VERSION OF CASINO 

In this updated version of the original simulation, Casino Two explores the complex role that gender plays in workplace dynamics. Jamie and Allison are both employees at Digital Development, a male-dominated Silicon Valley start-up that makes profitable phone apps. Jamie is the vice president for Programming and recently promoted Allison, moving her from the kids and family app team to the gaming team. Jamie feels that Allison has not been performing well in her new position. The two are meeting to discuss her performance and then negotiate next steps. The Casino Two simulation, as compared to the original Casino, features updated technological references and a new teaching note.

 

PROCESS THEMES:

BATNA; Disclosure; Issues of difference; Fairness; Interests, dovetailing; Interests, internal ordering; Objective criteria; Partisan perceptions; Power imbalance

Changing Times for the Senior Center in Redwood Hills

SCENARIO:

Redwood Hills is a growing, rural community which is suffering from a shortage of public meeting facilities. The Town Council would like the Martha Gold Senior Center to allow access to their facility. The Senior Center Board has called a meeting with current and potential user groups to see whether an agreement is possible on issues including access, fees, financial issues, responsibility for maintenance and repairs, and the Center’s name. If agreement is reached, the Board will adopt the agreement as policy and the County will renew the 10-year property tax abatement arrangement.

This exercise provides an opportunity to examine closely the role of the facilitator and various facilitation techniques as well as the dynamics of multi-party negotiations.

 

MAJOR LESSONS:

  • The value of ground rules in helping to establish the facilitator's role in the process and in managing disruptive communication patterns.
  • The critical role of the facilitator in structuring the negotiation process to encourage interest-based negotiations.
  • Techniques in which the facilitator can address issues regarding the legitimacy of negotiating parties. Some parties will presume more "authority" in a negotiation than others. In actuality, all parties present at the table have equal legitimacy in the sense that their consent is valued. By reminding parties to consider their BATNAs, the facilitator can create legitimacy for all parties around the table as well as creating motivation for reaching agreement.
  • The value of visual aids and graphic displays of information. Graphics representation can be a pivotal tool for clarifying the resources under discussion. Included in this discussion can be an acknowledgment of the varied learning styles of individual negotiators and the facilitator's role in ensuring a common base knowledge.
  • The impact of varying assumptions about technical information on options considered and the ultimate agreement.
  • The potential difficulty of negotiating symbolic issues. A party may or may not be willing to trade economic compensation for an issue of symbolic value.

 

TEACHING MATERIALS:

For all parties:

  • General Information

 

Role Specific:

  • Confidential information for:
  • Senior Center Director W.B. Cutt
  • COHA Oregon Representative M. Furia
  • Coalition of Civic Organizations Representative D. Kline
  • Town Council Member S. Sherman
  • AAA Director N. Vie
  • Facilitator

 

Teacher's package (26 pages total):

  • All of the above
  • Teaching notes

Chestnut Drive

SCENARIO:

Four weeks ago, Bunyon Brothers Construction Company began work on a 77-unit condominium complex at the end of a quiet, wooded, dead-end street named Chestnut Drive. The residents of Chestnut Drive were surprised and angered by this development, but, after some inquiry, concluded that there was little that could be done. Now, however, the construction process has once again brought their tempers to a boil. The neighbors' complaints include: the excessive noise from blasting, dangerously speeding trucks, the lack of a fence around the project area, foul language and habits among the construction workers, and damage to windows and at least one foundation allegedly caused by the blasting. They have elected a six-member negotiating committee consisting of a retired executive, a lawyer, a cab driver, a dentist, a small businessman, and a carpenter. The lawyer has set up a meeting of the community group with the Bunyon Brothers General Counsel. This exercise revolves around the neighbors commit- tee's preparation meeting.

NOTE: This exercise is an intra-team negotiation and is one of the two sides that makes up the exercise Chestnut Village (the other side is the exercise The Bunyon Brothers).

 

MECHANICS:

After individual preparation, groups of (roughly) six neighbors meet for about 90-105 minutes preparing to negotiate with Mr. Murphy of the Bunyon Brothers Company. A message is delivered to the lawyer 10 minutes into the session informing him that a newspaper reporter would like a statement. The group must choose whether or not to spend time on this, and if so, how much. A break after 45 minutes for a presentation on meeting design and group process is often effective. By that point, participants are familiar with the problem and interested in any insights that might be helpful in their remaining preparation time. At the end of the preparation period, groups traditionally have 20-minute negotiating sessions with Mr. Murphy or a management team from the Bunyon Brothers Company, often played by the instructor(s) demonstrating various negotiation styles. The negotiating sessions can be run serially, with one group picking up where the last left off, or consecutively, in either case with the rest of the class observing and thinking how they would proceed differently. An alternative to the instructor demonstration is to have groups of prepared neighbors negotiate with representatives of the Bunyon Brothers Company who have prepared Case No. 10004.0, The Bunyon Brothers.

 

MAJOR LESSONS:

  • This case focuses on two major themes. The first is preparation. What is your BATNA? What is theirs? What are their major interests likely to be? What are ours? What does their choice look like now? How, realistically, could we change it? What can they actually do? What can we do? How do we make it as easy as possible for them to do what we want, and hard for them to do otherwise? How do we best communicate all this? What yesable propositions do we have for them? Should we consult before deciding?
  • The second theme is meeting design and group process. How do six people work together to prepare for a negotiation? Set an agenda? Set strict time limits? Use a flipchart and a recorder? A facilitator? Separate inventing from deciding? And how do they work together in the ultimate meeting? How do they avoid divide and conquer tactics or distractions that keep them from focusing on any one point? How do they get commitment?
  • Another important theme is the problem of representing a constituency without firm authority. Can the negotiators really commit their neighbors? How should the Bunyon Brothers deal with that? Can either party really agree to what the other one wants?
  • The case also raises the question of relationship and reputation. Both sides have important long-term interests.

 

TEACHING MATERIALS:

For all parties:

  • General Instructions

 

Role Specific:

Confidential Instructions for the:

  • Cab Driver
  • Carpenter
  • Retired Executive
  • Shopkeeper
  • Dentist
  • Lawyer
  • Telephone Message to Lawyer

 

Teacher's Package:

  • All of the above
  • Draft Teaching Note

 

PROCESS THEMES:

Agenda control; Authority; BATNA; Commitment; Communication; public vs. private; Compliance; Constituents; Crisis decision- making; Currently perceived choice analysis; Delay tactics; Education, as a means; Emotions; Force; Group-think; Group process; Media; Meeting design; Preparation; Public opinion; Threats; Yesable propositions

Chestnut Village

SCENARIO:

Version A: Four weeks ago, the Bunyon Brothers Construction Company began work on a 77-unit condominium complex at the end of a quiet, wooded, dead-end street named Chestnut Drive. Residents of Chestnut Drive were surprised and angered by this development, but the construction company properly, although quietly, obtained all necessary permits. Recent developments have the neighbors fuming. Among them are noise, speeding trucks, lack of a fence around the site, foul language and habits among the construction workers, and damage to windows and at least one foundation allegedly caused by blasting. The neighbors (a retired executive, a lawyer, a cab-driver, a dentist, a shopkeeper and a carpenter) have arranged a meeting with the construction company (General counsel, a Senior VP, VP for Marketing & Development and VP of Construction Management) in an attempt to correct the situation. Each group will have a preparation meeting before an external negotiation is held.

Version B: Same as version A, except the role of cab driver is eliminated and the roles of Senior VP and General Counsel have merged into one.

NOTE: This exercise is a merger of the one-sided exercises Bunyon Brothers and Chestnut Drive and is structurally similar to the exercise Construction in Bunyonville without mediators.

 

MECHANICS:

Allow 90-105 minutes for internal negotiations. External negotiation should last 60-90 minutes. All members shall be present at the meeting but it works best if there is only one presenter for the construction company.

 

TEACHING MATERIALS:

For all parties:

  • Map

 

Role Specific:

  • General instructions for the Neighbor Representatives

 

Confidential Instructions for:

  • Cab Driver (Version A Only)
  • Carpenter
  • Dentist
  • Lawyer
  • Retired Executive
  • Shopkeeper

 

General Instructions for Construction Company

 

Confidential Instructions for:

  • General Counsel (Version A only)
  • Senior Vice President (Version A Only)
  • Senior Vice President/ General Counsel (Version B Only)
  • Vice President of Construction Management
  • Vice President of Marketing & Development

 

Teacher's Package (34 pages total):

  • All of the above
  • Teaching Note

 

PROCESS THEMES:

Agenda control; Authority; BATNA; Commitment; Communication; Compliance; Crisis decision-making; Currently perceived choice analysis; Emotions; Force; Group-think; Group process; Media; Meeting design; Preparation; Public opinion; Threats; Yesable propositions

 

MAJOR LESSONS:

This case focuses on two major themes. The first is preparation. What is your BATNA? What is theirs? What are their major interests likely to be? What are ours? What does their choice look like now? How, realistically, could we change it? What can they actually do? What can we do? How do we make it as easy as possible for them to do what we want, and hard for them to do otherwise? How do we best communicate all of this? What yesable propositions do we have for them? Should we consult before deciding?

The second theme is meeting design and group process. How do groups work together to prepare for a negotiation? Set an agenda? Set strict time limits? Use a flip-chart and a recorder? A facilitator? Separate inventing from deciding? And how do they work together in the ultimate meeting? How do they avoid divide and conquer tactics or distractions that keep them from focusing on any one point? How do they get commitment?

Another important theme is the problem of representing and dealing with a representative of a constituency without firm authority. Can the negotiators really commit their neighbors? How should the Bunyon Brothers deal with that? Can either party really agree to what the other one wants?

The case also raises questions of relationship and reputation. Both sides have important long-term interests.

Chiptech

SCENARIO:
Chiptech, a large company that markets a variety of electronic products for business and personal use, is in the midst of its annual budget process. Terry Austin, Chiptech's head of Human Resources, has approached CFO Chris Brown about a budget increase that is far above the limit set in a memo by Brown. Austin claims that the increase is necessary to implement the HR reorganization plan that was recently approved by the president of the company. This is their meeting.

NOTE: This simulation is based on Multimode by Lawrence Susskind.

 

MAJOR LESSONS:

  • The degree to which issues other than the percentage increase or cut should come into play is a useful focus for a discussion of good outcomes.
  • Both of the parties want the best for Chiptech, but they have different perspectives on how to do this. Austin wants to improve the HR element, and Brown wants to improve the financial element. This can lead to interesting discussion. Can each party understand where the other is coming from? Does this help them come to a solution, or just keep things civil?
  • CFO Chris Brown has the final say on Austin's budget proposal. How does this color the negotiation?

 

Teacher's Package Includes:

  • One copy of each set of confidential instructions
  • No teaching note currently available. For a similar role-play with a teaching note please see Multimode

Colortek Job

SCENARIO:

J.B. Daniels is the Vice President of Health, Safety and Environmental Affairs at Colortek, a large manufacturer of film and photographic equipment located in the Northwest. In the four years that J.B. Daniels has been with Colortek, he/she has done much to increase the environmental awareness at the company. Recently, Daniels' second-in-command got the ball rolling on a "Green Marketing" campaign but has since left Colortek. Daniels has a strong interest in filling this position as soon as possible so that his/her department does not lose control of the "Green Marketing" project. Chris Dawson, a former Assistant Press Secretary to the Governor, has interviewed with J.B. Daniels twice thus far and has easily been the strongest candidate for the job. Dawson, however, is due to start business school in eight months. Daniels and Dawson are about to meet for the third time to discuss the final details of the position and money. There is a lot of overlap in terms of salary.

 

MECHANICS:

This is a one-on-one exercise. Participants should be given 15-30 to prepare and 30 minutes to negotiate. Debriefing should take at least 30 minutes, 60-90 minutes is sufficient.

 

MAJOR LESSONS:

  • The knowledge that one's BATNA is weak often leads people to negotiate much less vigorously than they otherwise would. Is this ever justified? If so, under what conditions? The case affords a good opportunity to point out that any such analyses should be based on a consideration of the parties' relative BATNA's.
  • The available data allow a number of more or less equally persuasive arguments about what a "fair" salary would be. This is at a minimum good practice in developing and using objective criteria. Beyond that, the exercise presents the more difficult challenge of finding an objective basis with which to judge the applicability of alternative objective criteria.

 

TEACHING MATERIALS:

For all parties:

  • Creative Options Sheet

 

Role Specific:

Confidential Instructions for:

  • J.B. Daniels
  • Chris Dawson

 

Teacher's Package:

  • All of the above

 

PROCESS THEMES:

Anchoring; BATNA; Communication; Creativity; Fairness; Information exchange; Joint gains; Offers, first; Options, generating; Relationship

Construction in Bunyonville

SCENARIO:

Four weeks ago, the Bunyon Brothers Construction Company began work on a 77-unit condominium complex at the end of a quiet, wooded, dead-end street named Chestnut Drive. All permits were properly, if quietly, obtained, and the quality of construction is high. Some resistance from the neighborhood was, of course, expected, but tempers now seem to be unusually high and a credible threat has developed of neighbors blocking the site access. The Company’s General Counsel and VP of Public Affairs has scheduled a meeting with a dentist and a lawyer representing the neighborhood “negotiating committee.” Two representatives of the largest bank in town will also attend the meeting to attempt to facilitate a resolution of the problem.

NOTE: This exercise is similar to the exercise Chestnut Village, however, in this case local bankers act as mediators.

 

MECHANICS:

Participants representing each side, as well as the mediators, should prepare for 45-90 minutes. A break for a presentation on intra-group process can be useful. After the completion of these preparation sessions, negotiations begin in groups between the two neighborhood representatives, the two construction company representatives, and the two local bank representatives. Between an hour and an hour and one-half should be allocated to the negotiation session. In debriefing the negotiations, instructors may discuss the effectiveness of the preparation sessions, the techniques used by the mediators, how the parties moved toward commitment and how the negotiations might have proceeded had they been bilateral without mediators present.

 

MAJOR LESSONS:

 

  • This case focuses on three major themes. The first is preparation. What is your BATNA? What is theirs? What are their major interests likely to be? What are ours? What does their choice look like now? How, realistically, could we change it? What can they actually do? What can we do? How do we make it as easy as possible for them to do what we want, and hard for them to do otherwise? How do we best communicate all this? What yesable propositions do we have for them? Should we consult before deciding?
  • The second theme is meeting design and group process. How do groups work together to prepare for or conduct a negotiation? Set an agenda? Set strict time limits? Use a flip chart and a recorder? A facilitator? Separate inventing from deciding? And how do teams work together in the ultimate meeting? How do they get commitment?
  • The third major theme is mediation and facilitation. What process should be used by the bank’s representatives to facilitate a resolution of the problem? Should they meet with each side separately, or all together? To what extent would caucuses be useful? How should a team of mediators divide up responsibilities? What techniques are particularly effective for third-party mediators? How can these techniques be used by negotiators mediating their own disputes? Another important theme is the problem of dealing with a representative of a constituency who does not have firm authority. The neighbor negotiators cannot really commit their neighbors. How should the Bunyon Brothers and the Bank deal with that? Can either party really agree to what the other wants?
  • The case also raises questions of relationship, precedent, and reputation. All sides have important long-term interests.

 

TEACHING MATERIALS:

General Instructions

Confidential Instructions for:

  • Bunyon Brothers VP of Public Affairs
  • Bunyon Brothers General Councel
  • Neighborhood lawyer
  • Neighborhood dentist
  • Representatives of the Bank (for two participants to serve as mediators)

 

Teacher’s Package:

  • All of the above

 

PROCESS THEMES:

Agenda control; Authority; BATNA; Caucusing; Commitment; Communication; Compliance; Constituents; Currently perceived choice analysis; Education, as a means; Emotions; Force; Group process; Media; Mediation; Meeting design; Precedents; Preparation; Public opinion; Reality testing; Threats; Yesable propositions