Archive for the ‘Laws of Power’ Category

Global Negotiation and the Power of Understanding 

Today I’m preparing for an around the world trip.  My travels begin in the US and stop first in Shanghai to work with executives from New Zealand.  Then it’s next to Munich for a few days on my way to Saudi Arabia to collaborate with officials at a development bank before coming back home to the US. 

In preparation for my adventure, I am reminded how similar and different we are as citizens of the globe.  While my colleagues abroad and I do not often consider our interactions and discussions as “formal negotiations”, the truth is that much of the communication we have or projects we design must satisfy not only our joint goals, but also our diverse cultural values.

In order for my job as an educator to be successful, effective, and meaningful, I need to take some time (which I have very little of right now!) to reflect on how not only my needs can be met, but also how I can help meet the needs of those I will work with in the next couple weeks.  I have found that the best way to prepare for a mutual gains negotiation is to review the best practices of cross-cultural negotiation. 

Here are the basic tips from both academic research and global executives who practice this every day in our graduate negotiation classes at Thunderbird. 

1.  Appreciate the Impact of Culture

National or organizational culture is complex and often difficult to understand and manage.  Tangible elements as language, food, dress, religion, and customs can be studied quite easily.  However, it is also important to appreciate the intangible beliefs and assumptions which are largely invisible.  Remember to pay attention to the emotional roots of behavior.  For example, where direct and assertive communication may be expected, reinforced and rewarded in the US, it may not be expected or rewarded in China. 

2.   Prepare for Cultural Competence  

Cultural competence is the ability to reduce the risks and maximize the opportunities inherent in cultural differences and similarities.  This also includes how performance is rewarded and how success is determined.  In diverse global organizations and interdependent marketplace, this ability is increasingly important.  A competency in cultural awareness enables more effective responsiveness, speed and adaptability in multicultural situations.  An understanding of this creates the power to fuel innovation, growth, speed, high performance and adaptability. 

3. Analyze Cultural Gaps

The full impact and importance of a new culture only becomes evident when we experience a cultural gap.  This often is thought of as a clash of different behaviors, such as extending our hand when the other person bows.  But these are really just behavioral expressions of a cultural gap.  Most gaps are not easily detectable, more prevalent, and can create distrust.  For example, for someone who expects fixed time as a value, they will have very negative emotional reactions when their client or partner habitually arrives late or does not keep a reliable time schedule.  The ability to analyze in a nonjudgmental way about national or organizational cultures becomes a must.  The cognitive skill to understand where fluid time is expected vs. fixed time increases the ability to manage stress and frustration.  This power of understanding is a resource necessary for potential difficult situations.    

4. Practice Cultural Due Diligence

Cultural due diligence is a form of risk assessment that determines the cultural backgrounds and preferences of colleagues, counterparts, and clients.  It is also an evaluation of potential cultural gaps and the impact this can have on the ability to achieve our own objectives. Cultural due diligence also includes developing a strategy to minimize negative effects of actual cultural gaps.   Cultural due diligence is best exercised by understanding the history, background and experiences that have shaped the perspective, outlook and value system of the individuals or groups with whom we are going to interact and communicate with.  The cultural orientation of a social group represents the values which are favored, expected or desired by the members in that organization or national group.  If a project team you are about to lead has an orientation toward informality, for example, that group would tend to be less comfortable with formal protocol and rituals.  Your strategy would be to lead more effectively by engaging them by dispensing with ceremony and protocol.  This level of understanding provides the power necessary to be an effective global leader.

5. Practice Style Switching

Style switching is adapting to a different cultural context, situation or expectation through changing behavior.  Mastery of this skill requires a clear sense of our own cultural identity and our general and specific flexibility and practice at many styles.  Individuals are capable of style switching along a broad behavioral range.  However, the energy associated with style switching needs to be enhanced and the emotional attachments to cultural values requires reflection and understanding.  In order to be effective and satisfied with style switching behaviors, we need a clear understanding of our own core values which are tied to our sense of self.  This requires a willingness to be flexible where it does not threaten our sense of self.  Style switching is most required when we are emotionally least prepared for it, often when we are tired or at impasse in a negotiation.   

Building adaptive, flexible behaviors and skills is possible and requires mastery of our own personal cultural awareness through reflection and introspection, as well as the willingness to stretch experiment our comfort zone of behaviors.  Through this power of understanding global negotiations can meet mutual needs and lead to more enjoyment and satisfaction with the results.

Today marks the graduation day for 10 Afghan men who have been traveling the US with funding from the American Councils for International Education.  I, along with several Thunderbird colleagues, recently spent time with them on campus.

 After the broadcasters spent 10 days in Washington DC touring radio stations, meeting with NPR, National Federation of Community Broadcasters, Voice of America and other site visits, they traveled to Thunderbird for last week’s sessions.  After a trip to the Grand Canyon and further work at ASU’s Cronkite School, tonight we  wish them farewell for their journey back home to influence Afghanistan’s new opportunities in the 21^st century. 

Through the power of understanding methods of negotiation and multitrack diplomacy, these courageous leaders create a new vibrant media landscape in Afghanistan.  These pioneer broadcasters provide a critical link to their local communities, and strengthen Afghanistan’s society with news, information, entertainment, and public service announcements.

Join me in wishing them well on their new partnership with us to create sustainable prosperity worldwide.

When searching for quick access to negotiation advice, click on: http://www.negotiationinstitute.com/.  This is a great resource where you can engage and seek negotiation advice including information about ExpertNegotiator planning tools, a LinkedIn Forum with more than 500 members and 30 negotiation professors, Harvard’s Program on Negotiation LinkedIn Forum, many YouTube clips, and access to a bank of useful negotiation websites and news articles.  We will see you there!

When I was in India recently, Reema Kaur from the Times of India interviewed me for her column Beyond Borders. Ms. Kaur has a speciality in the world of business education and can be reached at edutimes@timesgroup.com.

Ms. Kaur was especially interested in the way that professors at Thunderbird delve deepy into the emotional and social factors of negotiation. We spoke at length how the field of negotiation, for example, is increasingly assessing the limits of strategic thinking alone. The implementation of a strong negotiation plan ultimately depends on effective dynamics of human interaction and cultural knowledge.

Ms. Kaur was especially intrigued about the social intelligence elements covered in our negotiation classes. In particular, we spoke about the findings in neuroscience and in cultural anthropology. A good negotiation plan is only as good as the behaviors that can facilitate working trust and willingness to share quality information.

As you plan for an upcoming negotiation, one best practice to remember is to think about your own value judgments about time, for example. Do you value counterparts who are fixed time and value deadlines? Or do you focus primarily on the relationship and allowing time to be very fluid is important to you?

For more information on assessing your cultural orientations, visit: www.culturalnavigator.com.

By Karen S. Walch

Historic classic power approaches have tended to focus on material things: “guns, butter, men, money, oil …” Classic negotiation strategic rules are designed to be secretive and intimidating to pressure, maneuver and lead a counterpart into submission. The goal has been to win: control resources and outcomes to guarantee one’s own security. This week’s Law will conclude the Laws of Power series with a focus on how to design a plan to win in the 21st century.
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By Karen S. Walch

Classic negotiation strategies pursue the protection and security of self-interests through hardball methods.  Traditional Track 1 diplomacy, for example, pursues negotiations at the official governmental level to protect interests and rights through the power of coercion and balance of power.  Nonmilitary classic negotiation strategies may not rely on the same level of technical and military capabilities for absolute power and safe keeping, but they do rely on “hard” power to achieve security goals. This week’s law will address the limits of pursuing security through the use of “hard” power approaches alone.
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By Karen S. Walch

Classic notions about power and self-interest compel negotiators to see themselves in constant and aggressive competition with others. Defensiveness and self-importance drive the classic negotiation strategy. The one with power prepares to impress and lead others with superior talents, strengths and confidence.  Such self-attention and achievement are critical to classic ethical egoism and Machiavellian manipulation for personal gain. This week’s law will address the design of an alternative set of assumptions about power and self-interest for negotiation.  The foundation of this new design principle derives from the field of human potential.
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By Karen S. Walch

Classic realism notions about economic and political power measure wealth and success in terms relative to others. An individual who negotiates with power is considered wealthy, affluent or rich because of the ability to accumulate substantially more riches than their peers. Power “over”, egoism, competition and coercion are the predominant currencies and motivations for classic definitions of success.

This week’s law will continue with our focus on an alternative architecture for success and prosperity in the 21st century. There is an increasing dissatisfaction with classic negotiation power approaches. An alternative mental model has emerged around integrative and problem solving negotiation methods and architecture. Throughout the Laws, we have addressed how this method yields more satisfaction and sustainable results given the realities of multiculturalism and global interdependency.
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By Karen S. Walch

Classic negotiation strategies are crafted from the principles of political realism and power politics. The pursuit of self-interest and survival in a limited resource world is considered functional even though it may incite destructive patterns of social behavior in negotiations. It is believed that the “drive for power and the will to dominate are fundamental aspects of human nature.” Therefore, great negotiators design a strategy accordingly. This week we will address the need for an alternative architecture for contemporary negotiation strategies. Such a design can increase credible power, leverage and satisfaction in the 21st century.
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