A Better Bargaining Table

Whether one approaches the bargaining table from the perspective of leadership or a team member, it always helps to come in with the right attitude. As entertainment mogul Shonda Rhimes said in a recent interview: “Never enter a negotiation you’re not willing to walk away from. If you walk in thinking, ‘I can’t walk away,’ then … you’ve already lost.” Sometimes, however, it’s not about winning or losing. It’s about building better relationships between team members, upper management, and leadership. Now Wharton professor Maurice Schweitzer has co-authored a paper titled: “When Should We Care More about Relationships Than Favorable Deal Terms in Negotiations: The Economic Relevance of Relational Outcomes.”

This may be seen as revolutionary sentiment, and for many it is just that. In the paper and in a new interview, however, Mr. Schweitzer does his best to explain why traditional approaches to hard ball negotiations can be flawed. So flawed, in fact, that he and his co-authors developed a new negotiation paradigm called the Economic Relevance of Relational Outcomes (ERRO). Check out his recent interview and read the full article here. For the next time you’re at the table, it might help to keep some perspective on what is most important.

The Secret to Successful Conversations

Conversations can be difficult. Not always, of course, some are easy and enjoyable. Others, however, can feel like slogging through quicksand. Whether one is trying to negotiate a promotion, finalize a contract, or even have an emotional conversation with a loved one, it’s not always a breezy experience.

Wharton’s blog has hit it out of the park again with their new article on how to have successful conversations. This new piece features research from Maurice Schweitzer, Wharton professor of operations, information and decisions. Schweitzer teaches a class on negotiations at Wharton, so if anyone knows about these conversations, it’s him.

In this new posting, Schweitzer and his co-authors not only provide information on how to plan for these conversations, but they offer a logistical framework for thinking about them. The model is called the “conversational circumplex,” and it maps conversations along two key axes: informational and relational (see the attached diagram. Left-brained thinkers will especially love it!). Check out their enlightening X-Y axis and see how you can better prepare for the next difficult conversation in your life.

Changing Minds: A Powerful New Approach

There’s a hot new topic in town, and its name is neuroscience. It’s affecting everything from leadership, to sales, to studies on community and human connection. A collaboration between the Wharton Executive Education and Wharton’s Center for Leadership and Change Management has poured hours into creating the Nano Tools for Leaders, which has resources and practical instructions that can be applied to any business, or any situation, in just minutes.

Jonah Berger, Wharton marketing professor and author of The Catalyst: How to Change Anyone’s Mind, has recently laid out some action items that can help in changing peoples’ minds. This has an obvious benefit to those in sales, but can also help us overcome obstacles in our everyday lives. No one enjoys being told what to do, and when an interaction starts out with an order or perceived aggressiveness, a potential customer may be immediately lost. Likewise, disagreements with friends, neighbors, or family members can be difficult, but helping to guide people within choice boundaries can resolve them quickly and peacefully. The potential benefit to this type of communication is endless. Check out the full article here, and see if these tools can help in the next sale, negotiation, or disagreement that comes along.