B712 - Fall 2011 - 1 of 10
Business 712
Managerial Negotiations
Fall 2011 Course Outline
Human Resources and Management Area
DeGroote School of Business
McMaster University
COURSE OBJECTIVE
The purpose of this course is to help you understand the theory and process of effective
negotiations. The course will complement the technical and diagnostic skills learned in other
courses at DeGroote. While a manager needs strong analytical skills to develop optimal solutions
to problems, good negotiation skills are needed in order for these solutions to be accepted and
implemented. Great analysis is of little value if you are unable to win support for the actions it
recommends. To provide you with the opportunity to develop both analytical frameworks and
practical skills in negotiation, the course will rely primarily on hands-on learning.
INSTRUCTOR AND CONTACT INFORMATION
Dr. Haniyeh Yousofpour, Instructor
yousofh@mcmaster.ca
Office: RJC 254
Office Hours: By Appointment
Office: (905)525-9140 x27430
Web Page: http://avenue.mcmaster.ca
COURSE ELEMENTS
Credit Value:
Avenue:
Participation:
Evidence-based:
3
No
Yes
Yes
Team skills:
Verbal skills:
Written skills:
Experiential:
Yes
Yes
Yes
Yes
IT skills:
Numeracy:
Innovation:
Final exam:
No
Yes
Yes
No
Global:
Political:
Social:
Guest speakers:
No
No
Yes
Yes
COURSE DESCRIPTION
Why study negotiations?
We negotiate every day. We negotiate with potential employers, coworkers, roommates,
landlords, parents, bosses, merchants, service providers, spouses, and even our children. What
price we want to pay, how much we want to be paid, who will do the dishes ... all of these are
negotiations. Yet, although people negotiate all the time, most know very little about the
strategy and psychology of effective negotiations. Why do we sometimes get our way while
other times we walk away feeling frustrated by our inability to achieve the agreement we desire?
www.degroote.mcmaster.ca
B712 - Fall 2011 - 2 of 10
Negotiation is the art and science of securing agreements between two or more interdependent
parties. It is a craft that must hold cooperation and competition in creative tension. It can be
very difficult to do well. Even the most experienced negotiators often fall prey to common
biases and errors in judgment.
Fortunately, there is a massive and still-growing collection of good research in the field of
negotiations. The purpose of this course is to help you understand the theory and process of
effective negotiations that has emerged (and is emerging) from all that careful study.
How we study negotiations
Practice. Reflection. Analysis. Practice again… This course is unapologetically “experiential”
(and therefore fun!) The best way to learn negotiation skills and actually internalize them is to
negotiate in a setting where insight is offered, feedback is plentiful, personal reflection is
encouraged, and careful analysis is required.
The course is built around a series of negotiation exercises and debriefings. Almost all exercises
require preparation in advance. Some exercises require students to prepare outside of class as a
team, either by phone or in person. Students are expected to be fully prepared for exercises prior
to class and to participate in the debriefings.
LEARNING OUTCOMES
As a result of this course, I hope you will:
 Understand more about the nature of negotiation.
 Gain a broad intellectual understanding of the central concepts in negotiation.
 Develop a toolkit of useful negotiation skills, strategies, and approaches.
 Develop confidence in the negotiation process as an effective means for resolving conflict in
organizations.
 Improve your analytical abilities and your capacity to understand and predict the behavior of
individuals, groups, and organizations in competitive situations.
A central objective of the course will be to explore the major concepts and theories of the
psychology of bargaining and negotiation, and the dynamics of interpersonal and intergroup
conflict and its resolution. A second objective will be to help you develop the sophistication to
analyze bargaining and conflict relationships, and to learn (through class discussion and selfassessment) about your own individual “bargaining style.”
REQUIRED COURSE MATERIALS AND READINGS
1. Lewicki, Barry, Saunders and Tasa (2010). Essentials of Negotiation (1st Canadian edition).
2. Courseware Package: purchase a copy at the bookstore (approx $50)
Note: Most of the exercises we will be using in the course are protected by copyright and require
fees for their use. The price of the textbook and courseware reflect these costs. As such, each
student must purchase a copy of the courseware.
www.degroote.mcmaster.ca
B712 - Fall 2011 - 3 of 10
EVALUATION
Components and Weights
Course Contribution
Midterm
Learning Journal & Scoring System
Self-Appraisal Paper
15%
25%
30%
30%
Conversion
If you are an MBA student, at the end of the course your overall percentage grade will be
converted to your letter grade in accordance with the following conversion scheme.
LETTER GRADE
A+
A
AB+
B
B-
PERCENT
90 - 100
85 - 89
80 - 84
75 - 79
70 - 74
65 - 69
LETTER GRADE
C+
C
CF
PERCENT
60 - 64
55 - 59
50 - 54
00 - 49
If you are a PhD student or a non-MBA graduate student, you will receive a final grade based on
the McMaster University School of Graduate Studies 6-point grading scale (i.e., anything lower
than a B- is a failure).
Communication and Feedback
Students that are uncomfortable in directly approaching an instructor regarding a course concern
may choose to send a confidential and anonymous email to the respective Area Chair at:
http://www.degroote.mcmaster.ca/curr/emailchairs.aspx
Students who wish to correspond with instructors directly via email must send messages that
originate from their official McMaster University email account. This protects the
confidentiality and sensitivity of information as well as confirms the identity of the student.
Course Contribution (15%)
Class Discussion (5%): Students are expected to participate in all class discussions and
approach each negotiation exercise seriously and professionally. You are also expected to be
prepared for class and to contribute to class discussions. You will be evaluated (at the end of
term) on the quality of your contribution to class discussions. Quality comments possess one or
more of the following properties:
Offer a unique and relevant perspective
Contribute to moving the analysis forward
Include evidence, demonstrate recognition of basic concepts, and integrate these with
reflective thinking
www.degroote.mcmaster.ca
B712 - Fall 2011 - 4 of 10
Link relevant concepts to current events
Planning and Role Preparation (10%): When a negotiation role is assigned in advance, you
are expected to come to class fully prepared to negotiate. This involves having carefully read
your role information and having prepared a planning document for the negotiation. (See
appendix to this syllabus for a sample planning document format.) The required planning
documents are listed in the week by week outline below. You should bring two copies of your
planning document to class so that you can turn one copy in at the beginning of the class.
Planning documents are graded on a Pass/Fail basis – I will let you know when a planning
document receives a failing grade and give you the option of revising it in hindsight.
Midterm (25%)
You will write a midterm on November 8th. The midterm will test your knowledge of key
concepts and strategies, and place a premium on practical knowledge. Questions will be drawn
directly from the readings and lecture debriefings. The time allocated for the midterm is 90
minutes.
Learning Journal & Scoring System
Scoring System (10%): Prior to the union-management negotiation, your group must submit a
scoring system. The objectives of a scoring system are to quantify the quality of different
alternative outcomes and to help negotiators assess the tradeoffs among issues. The readings in
the courseware will assist you in doing this. Specifically, Chapters 10 & 11 of the Raiffa book
(see the courseware) provide details on how to create an additive scoring system. Each group
should hand in one copy of their scoring system.
Requirements: It should be no more than 2 pages. A good scoring system includes your
reservation points, targets, and an explanation of the group’s planned strategy. Your entire group
shares the grade for the scoring system and the learning journal.
Team-Based Learning Journal (20%): The purpose of the learning journal assignment is to
encourage the entire group to reflect on their individual and collective behavior in a complex
team environment. A second purpose is to analyze what you all will have learned from these
experiences. The task in this assignment is to describe reactions, perceptions, and significant
insights gained from participation in the MAPO Union/Management Exercise. The most
important thing to remember for this assignment is that the focus should be on analyzing how
each individual in the team contributed to the dynamics that occurred. Therefore, the paper
should address the various roles and strategies adopted by each member, and how these
dynamics shaped the negotiations. Finally, remember to look forward. How does this experience
help prepare you (as a whole) for future negotiations that might occur in teams? A related
question might be: What would the group do the same or differently in the future, or how would
the group like to behave in order to perform more effectively?
A “good” paper is one that tries to step back from a bargaining situation, identifies key events
and processes, uses readings to help support the analysis, and is written well. A major criterion is
the extent to which the paper reveals insightful reflection. Good papers also convince me that
everyone in the team has learned from the experience.
www.degroote.mcmaster.ca
B712 - Fall 2011 - 5 of 10
Requirements: The learning journal should be no longer than 6 pages (double-spaced, Times 12
point font, 1 inch margins). Additional appendices can be included. The journal is due on
October 18th, which is the class in which we debrief the exercise.
Self-Appraisal Paper (30%)
The midterm will test your mastery of the key objective content of this course. However,
negotiation is also partly an art that can be practiced, studied, and improved. During the course,
each student is expected to maintain a journal of diary entries describing his/her role experiences
and reflecting on learning experiences as a negotiator. Diary entries should be made very soon
after each negotiation simulation. Your diary entries will form an appendix for the self-appraisal
paper, and the entries will form the raw data for the paper. The self-appraisal paper has three
main components that should be fully integrated: exercises and negotiations; your personal
observations; and theory. In reflecting upon and analyzing your experiences and learning, take
stock of your personal strengths and weaknesses, record key lessons from the class material and
exercises, and target avenues for improvement. Be as succinct as possible.
I regard the paper with diaries as a confidential communication between each student and the
instructor. As a result, I expect you to be specific in identifying other people and their behaviour
in describing your reactions to the negotiation simulations – this information will not be shared
with other students.
Your task is to describe your reactions, perceptions, impressions, or significant insights gained
from participation in or reflection on the simulations. The points below are for consideration
only and do not constitute an outline. The paper should not be a copy of the list below with
responses, but rather you should integrate some of these concerns into your overall analyses.
You may want to address some of the following points:
a.
b.
c.
d.
e.
what you expected in the situation
how you prepared for the negotiation
how you and others in the group behaved
what you learned about your skills
what you would do differently the next time around
Among the questions you might address in your reflection are the following suggested starting points
or issues:
(1)
(2)
(3)
(4)
(5)
What are your strengths as a negotiator?
What are your weaknesses as a negotiator? How can manage your weaknesses?
What qualities/techniques did you admire in the negotiation of others?
What experiences from the simulations and exercises were especially memorable to you?
What lessons did you learn? (Here you may want to discuss some details of how you and
your counterparts negotiated particular exercises.)
What lessons from lectures, readings, and/or class discussion did you especially resonate
with? Why?
www.degroote.mcmaster.ca
B712 - Fall 2011 - 6 of 10
(6)
What did you find particularly surprising? In what ways (if any) has this course changed the
way that you think about negotiation?
(7)
Have you seen any lessons of the course play themselves out especially poignantly in your
personal or professional life?
Requirements: Each paper should be no more than 15 and no less than 10 pages, not including the
diaries in the appendix. The paper must be double-spaced, using a 12-point font (preferably Times
New Roman), and with 1 inch margins. Papers will be evaluated on the following criteria:
• Analysis: (40%) How thoughtful and insightful was your analysis?
• Relevance: (40%) How effectively do you relate your discussion to the course readings and
concepts discussed in class?
• Exposition: (20%) How clearly written and professionally presented is the paper?
The final paper is due by noon, December 9thth, either in my office or with Jeanette in room RJC
230. A hard copy of the paper is required; however, please include an email address on the title
page so I can send feedback via email.
ATTENDANCE POLICY
Like most negotiation instructors, I have an attendance policy that is strictly enforced. If you
must miss an exercise, it is your responsibility to contact me by email at least 24 hours before
the class session. You may miss one negotiation exercise without penalty if you provide me with
24 hours notice. Failure to contact me will result in a drop of one letter grade for the
course. Further, failure to participate in more than one exercise (regardless of notice) will
result in a drop of one letter grade for the course. If you miss a class in which a role
assignment is distributed, you must make your own arrangements to get the materials.
This strict policy is necessary because your classmates rely on your attendance for their
educational experience, and because I must arrange logistics and pairings in advance.
CLASS HONOUR CODE
Adherence to the following points will help maintain the integrity of the learning experience:
You may use any strategy, short of physical violence, to reach agreement, including
misrepresentation. However, in selecting a negotiation strategy it is important to remember
that a strategy may have ramifications that go beyond the particular negotiation in which it
was used.
You may not make up facts that materially change the power distribution of the exercise
(e.g., your family just bought the company with which you are currently negotiating). If you
are asked a question that calls for information that is not in your confidential instructions,
you may say, “I don’t know.”
You may tell the other side what you wish, but you may not, under any circumstances, show
them your confidential role instructions.
It is not appropriate to borrow notes, discuss cases, or share papers with people outside of
class.
Class discussion stays in class.
www.degroote.mcmaster.ca
B712 - Fall 2011 - 7 of 10
Material used in this class, including but not limited to handouts, exercises, cases, discussion
questions, charts, and graphs, are copyrighted and may not be used for purposes other than
the education experience of this class without the written consent of the instructor.
Do not read ahead in the textbook or courseware!
ACADEMIC DISHONESTY
It is the student’s responsibility to understand what constitutes academic dishonesty. Please refer
to the University Senate Academic Integrity Policy at the following URL:
http://www.mcmaster.ca/univsec/policy/AcademicIntegrity.pdf
This policy describes the responsibilities, procedures, and guidelines for students and faculty
should a case of academic dishonesty arise. Academic dishonesty is defined as to knowingly act
or fail to act in a way that results or could result in unearned academic credit or advantage.
Please refer to the policy for a list of examples. The policy also provides faculty with procedures
to follow in cases of academic dishonesty as well as general guidelines for penalties. For further
information related to the policy, please refer to the Office of Academic Integrity at:
http://www.mcmaster.ca/academicintegrity
MISSED EXAMINATIONS / TESTS / CLASS PARTICIPATION
When students miss a regularly scheduled midterm, test or class participation for legitimate
reasons as adjudicated by the MBA Academic Services Office, the weight for that
midterm/test/participation will be distributed across other evaluative components of the course at
the discretion of the instructor. Documentation explaining such an absence must be provided to
the MBA Academic Services Office within five (5) working days upon returning to school.
To document absences for health related reasons, please provide the Petition for Relief for MBA
Missed Term Work and the McMaster University Student Health Certificate, which can be found
on the DeGroote website at:
http://www.degroote.mcmaster.ca/MBA/registration.html
University policy states that a student may submit a maximum of three (3) medical certificates
per year after which the student must meet with the Director of the program.
To document absences for reasons other than health related, please provide documentation
supporting the reason for the absence and the Petition for Relief for MBA Missed Term Work:
http://www.degroote.mcmaster.ca/MBA/documents/relief.pdf
Students unable to write a midterm at the posted exam time due to the following reasons:
religious; work-related (for part-time students only); representing university at an academic or
varsity athletic event; conflicts between two overlapping scheduled midterm exams; or other
extenuating circumstances, have the option of applying for special exam arrangements. Such
www.degroote.mcmaster.ca
B712 - Fall 2011 - 8 of 10
requests must be made to the MBA Academic Services Office at least ten (10) working days
before the scheduled exam along with acceptable documentation. Instructors cannot themselves
allow students to unofficially write make-up exams/tests. Adjudication of the request must be
handled by the MBA Academic Services Office.
All applications for deferred and special final examination arrangements must be made to the
MBA Academic Services Office. Failure to meet the stated deadlines may result in the denial of
these arrangements. Deferred examination privileges, if granted, must be satisfied during the
examination period at the end of the term immediately following. There will be one common
sitting for all deferred exams. Please refer to the MBA Calendar for further details.
If any exam is missed without a valid reason, students will receive a grade of Zero (0) for that
component.
STUDENT ACCESSIBILITY SERVICES
Student Accessibility Services (SAS) offers various support services for students with
disabilities. Students are required to inform SAS of accommodation needs for examinations on
or before the last date for withdrawal from a course without failure (please refer to official
university sessional dates). Students must forward a copy of such SAS accommodation to the
instructor immediately upon receipt. If a student with a disability chooses NOT to take
advantage of an SAS accommodation and chooses to sit for a regular exam, a petition for relief
may not be filed after the examination is complete. The SAS website is:
http://sas.mcmaster.ca
POTENTIAL MODIFICATIONS TO THE COURSE
The instructor and university reserve the right to modify elements of the course during the term.
The university may change the dates and deadlines for any or all courses in extreme
circumstances. If either type of modification becomes necessary, reasonable notice and
communication with the students will be given with explanation and the opportunity to comment
on changes. It is the responsibility of the student to check their McMaster email and course
websites weekly during the term and to note any changes.
www.degroote.mcmaster.ca
B712 - Fall 2011 - 9 of 10
COURSE SCHEDULE
Date/Topic
Week 1
Introduction to
Negotiations
In Class
Overview and
introduction
After Class – To Do
Prepare role for non
profit
After Class – To Read
Essentials – Ch. 1
Due Today
Week 2
Simple, Two-Party
Negotiations
Negotiate non profit
Prepare role for
Vacation Plan
Essentials – Ch. 2 & “The
Negotiator’s Dilemma”
Planning document for
non profit
Week 3
Multi-Issue
Negotiations
Negotiate Vacation
Plan
Prepare role for
Moms.com
Essentials – Ch. 3 & 4
Planning document for
Vacation Plan
Week 4
Communication
Negotiate: Moms.com
Prepare role for MAPO
and complete the group
scoring sheet
Essentials – Ch. 6 &
Ch. 10 & 11 from
“Raiffa”)
Planning document for
Moms.com
Week 5
Union-Mgt. (1)
Negotiate MAPO
Essentials – Ch. 10
Group scoring sheet
for MAPO due at the
beginning of the class
Week 6
Union-Mgt. (2)
Debrief MAPO
Excerpts from “Getting
Past No”
Learning Journal for
MAPO Due
Week 7
Agents
Negotiate Bullard
Houses
Essentials – Ch. 5 & 9
Planning document for
Bullard Houses
Week 8
Guests Speaker and
review for Midterm
Midterm
Prepare for Midterm
Week 10
Handling Disputes
Negotiate Viking
Prepare role for
Harborco
Essential – Ch. 8 &
Goldberg “Successful
Mediators”
Planning document for
Viking
Week 11
Multiparty
Negotiations
Week 12
Persuasion
Week 13
Negotiate Harborco
Week 9
Group Exercise
Prepare for Bullard
Houses
Prepare for Viking
Planning document for
Harborco
Essentials – Ch. 7 & 12
No class
Final Paper Due On
December 9th
www.degroote.mcmaster.ca
B712 - Fall 2011 - 10 of 10
Appendix: Sample Planning Document
Negotiation: _________________________
Role: __________________________
What issues are most important to you? (list in order of importance)
1.
2.
3.
4.
5.
What is your BATNA? Reservation Price? Target?
What are your sources of power?
What issues are most important to your counterpart? (list in order of importance)
1.
2.
3.
4.
5.
What is your counterpart’s BATNA? Reservation Price? Target?
What are your counterpart’s sources of power?
What is your opening move / first strategy?
Other important information / considerations
www.degroote.mcmaster.ca