Fisher's Basic Negotiation Framework: Strategic Problem-Solving Approach

Imagine you're a Department Manager in a multinational corporation. You've been tasked with negotiating a vital contract with a key supplier. This negotiation determines not only the cost and quality of materials your team will be working with but also impacts the timely production of your department's deliverables. In such a critical situation, Fisher's Basic Negotiation Framework offers a practical, structured approach.

Core Components of Fisher's Basic Negotiation Framework

  1. Interests: Understand your own interests and the interests of the other party. Don't just think about positions (what each party wants), focus on why they want it - their underlying needs, concerns, and desires.

  2. Options: Generate a variety of possibilities before deciding what to do. The key here is creativity; the more options available, the more chances of finding mutually beneficial solutions.

  3. Standards: Use independent standards or criteria as a foundation for the discussion. This can include market values, legal precedence, or industry standards. Avoid biased or arbitrary decisions.

Applying Fisher's Negotiation Framework: A Scenario

Stage 1: Identify Interests

  • Your interest: Get quality materials at the best price, and ensure timely delivery.
  • Supplier's interest: Secure a lucrative and long-term contract with consistent demand.

Stage 2: Generate Options

  • Options could include: Volume discount, staggered delivery timelines, commitment to long-term contract, or compromising on some add-on services.

Stage 3: Apply Independent Standards

  • Market Pricing: Validate proposed prices against the market.
  • Industry Benchmarks: Assess quality standards on industry-proven metrics.
  • Delivery Consistency: Check supplier's history of on-time deliveries.

Benefits of Fisher's Negotiation Framework

Fisher's framework fosters a cooperative, problem-solving atmosphere rather than a confrontational, win-lose situation. It enables clear communication and mutual understanding. By focusing on interests and deploying creative option generation, it increases the chances of reaching a win-win outcome.

Understanding Fisher's Basic Negotiation Framework and effectively applying it elevates your negotiation skills. It helps you to navigate even the toughest negotiations, securing optimal outcomes for your department and your organization.

Test Your Understanding

Two colleagues disagree over the allocation of a limited budget for their department's projects. To reach an agreement, the first step would be:

Question 1 of 2