Finally, during the discussion stage, the elements are brought into discussion with other parties in an attempt to effectively, efficiently, and amicably reconcile. Essentially, principled negotiation breaks down a problem into its fundamental elements to clarify issues and to generate a fair standard that parties can use to negotiate with. This paper examines the elements of principled negotiation and how they can function in real-life situations.
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Focus on Interests.
Differences in interests define problems, not differences in position. Many negotiators confuse positions with interests, and their negotiations quickly deteriorate into positional bargaining as a result. "The difference between interests and positions is that interests, unlike positions, are suitable material for deal-making. Interests can be traded, sold, modified, measured, reasoned about, extinguished and ultimately resolved . . . The sooner [positions] are replaced by interests, the sooner the parties can reach a deal- (Woodward). Adam Smith wrote in the Wealth of Nations, "Interests motivate people; they are the silent movers behind the hubbub of positions. The individual is led by an invisible hand to promote his own interest- (qtd in Woodward). It is important to realize that the basic problem in negotiation lies not in conflicting positions but in the conflict between each side's needs, desires, concerns, and fears. In addition, negotiators often forget about the interest in the preservation of relationship between parties. With long-term clients, family members, co-workers, and foreign nations, the on-going relationship is usually more important than the outcome of any single negotiation . .
Unlike positions which are usually easy to identify, interests are often unexpressed or intangible. Negotiators need to identify their own interests and the interests of the other parties. One's own interests define his or her goals for the negotiation, while the interests of the other parties define what they will yield.
