The Negotiation Society - Issue 4
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ISSUE 4<br />
<strong>The</strong> <strong>Negotiation</strong> <strong>Society</strong><br />
THE FUTURE ISSUE<br />
HUMAN VS MACHINE<br />
A battle for supremacy<br />
US ELECTION SPECIAL<br />
<strong>The</strong> candidates’ negotiation styles<br />
A NOVEL APPROACH<br />
<strong>The</strong> negotiation journey of a book<br />
THE FUTURE<br />
OF HUMANKIND<br />
What role could negotiation play?<br />
A MAN<br />
WITH A PLAN<br />
<strong>The</strong> new CEO of <strong>The</strong> Gap<br />
Partnership lays out his<br />
vision for the future
INSIDE THIS ISSUE<br />
07 10<br />
Human Vs<br />
Machine<br />
How close are we to<br />
a future negotiating<br />
with robots?<br />
A Man With<br />
A Plan<br />
A revealing portrait<br />
of new CEO Graham<br />
Botwright as he lays out<br />
his vision for the future.<br />
WELCOME FROM STEVE<br />
18 22<br />
US Election<br />
Special<br />
Expert analysis of the<br />
negotiation styles of<br />
some of the main<br />
Democratic candidates.<br />
26 30<br />
<strong>The</strong> Traveling<br />
Negotiator<br />
An ancient African<br />
negotiation practice<br />
that’s still very much<br />
alive today.<br />
A Novel<br />
Approach<br />
<strong>The</strong> multiple negotiations<br />
that take a book from<br />
manuscript to store.<br />
<strong>The</strong> <strong>Negotiation</strong><br />
<strong>Society</strong>’s<br />
New Home<br />
<strong>The</strong> all-new digital<br />
platform designed to<br />
be a one-stop shop for<br />
negotiators everywhere.<br />
Welcome to <strong>The</strong> <strong>Negotiation</strong> <strong>Society</strong> –<br />
or welcome back if you have already enjoyed one<br />
or more of the previous three editions. In this issue<br />
we have taken the future as our theme, and bring<br />
you contributions from experts within and outside<br />
our business, all looking ahead to what may lie in<br />
store for negotiators. Prepare to get prepared!<br />
Talking of the future, at TGP we’ve been busy<br />
reorganizing our own team to reflect the needs of<br />
our business with our 2025 vision in sight. I am<br />
pleased to announce that Graham Botwright took<br />
up the post of CEO in March. Graham has 17 years’<br />
experience operating at every level at TGP, most<br />
recently as COO, and has already started to make<br />
a positive impression with a focus on consulting,<br />
excellence and communication. His passion for<br />
clients, negotiation and doing the right things<br />
well make him the right leader for our business.<br />
He introduces himself and some of his current<br />
thinking on page 10.<br />
As Chairman I look forward to advising<br />
Graham and the executive team through the<br />
continued challenges of growing a global business<br />
and promoting excellence in negotiation around<br />
the world.<br />
Over to you Graham…<br />
Steve Gates<br />
Executive Chairman, <strong>The</strong> Gap Partnership<br />
2
THE NEGOTIATION SOCIETY<br />
OUR CONTRIBUTORS<br />
John Clements<br />
After starting his career as an<br />
engineer, John amassed over<br />
two decades’ of experience in<br />
management consulting across<br />
multiple sectors. His track record<br />
in negotiation planning and<br />
execution, commercial strategy,<br />
and business change delivery<br />
now serves him well at<br />
<strong>The</strong> Gap Partnership where<br />
he is a management consultant.<br />
Alisha Bhagat<br />
As a futurist and senior strategist<br />
at Forum for the Future, Alisha’s<br />
work focuses on the creative use<br />
of futures tools to impact long-term<br />
positive change, particularly<br />
around social justice and equality.<br />
She utilizes foresight methods<br />
such as systems mapping, scenario<br />
planning, and speculative futures<br />
to engage with stakeholders on<br />
strategic visions and the concrete<br />
actions needed to achieve them.<br />
Koffi Kouakou<br />
Koffi is a director with the<br />
South Africa Node of the<br />
Millennium Project, an<br />
affiliate of the Millennium<br />
Project in Washington, D.C.<br />
that publishes the authoritative<br />
annual publication State of the<br />
Future. He is also an associate<br />
with African Futures where he<br />
specializes in strategy facilitation,<br />
scenario planning, foresight studies<br />
and media strategy in Africa.<br />
Kelly Harborne Sib Law Katy Regan<br />
As UK Head of Practice<br />
(FMCG) at <strong>The</strong> Gap<br />
Partnership, Kelly has spent<br />
over 12 years partnering with<br />
clients in retail and FMCG.<br />
She specializes in negotiation,<br />
facilitation, and coaching and<br />
works across both consulting<br />
and capability development to<br />
support businesses in realizing<br />
their commercial objectives.<br />
Sib has been a negotiation<br />
consultant for two decades.<br />
His multi-sector expertise in<br />
strategy execution has contributed<br />
to numerous Wall Street-focused<br />
organizational change initiatives.<br />
Sib also ran a media company<br />
which received numerous<br />
awards and was an official<br />
honoree of the Webby Awards.<br />
He currently leads innovation<br />
for TGP in the Americas.<br />
Katy spent her childhood in<br />
the English seaside town of<br />
Morecambe. She studied<br />
English and French at Leeds<br />
University where she became<br />
features editor of the student<br />
newspaper before moving to<br />
London. Katy wrote for magazines<br />
and newspapers before becoming<br />
commissioning editor at Marie<br />
Claire magazine. Little Big Love<br />
is her fifth and newest novel.<br />
3
MY HEAD<br />
YOLANDE GOH<br />
VP OF LEGAL AT TECH GIANT EQUINIX, YOLANDE<br />
HAS BEEN RECOGNIZED IN THE GC POWERLIST<br />
FOR ASIA-PACIFIC, FT ASIA PACIFIC INNOVATIVE<br />
LAWYERS, AND ASIA IN-HOUSE 25.<br />
How did you end up working in the<br />
tech industry?<br />
Working in private practice, I witnessed<br />
the boom and bust of e-commerce<br />
and asked myself where the world<br />
was heading. Having studied overseas<br />
and spent a lot of time on the phone<br />
calling home (there wasn’t Skype<br />
in those days!), I felt telecoms was<br />
the key to Singapore’s development.<br />
When an opportunity presented itself,<br />
I grabbed it. By the early 2000s there<br />
had been rapid and exciting growth in<br />
the technology sector, so when Equinix<br />
came calling, the opportunity was too<br />
good to refuse.<br />
What do you think are the most<br />
exciting developments in tech for<br />
the future?<br />
Artificial intelligence, cloud computing,<br />
big data, blockchain, self-driving<br />
vehicles, virtual reality and augmented<br />
reality, and space travel. I am also<br />
excited by global interconnectivity.<br />
And the biggest challenges?<br />
Advancements in tech have a great<br />
potential to improve our lives, but<br />
the opposite is also true. Risks<br />
include loss of privacy, cyberbullying,<br />
permanent digital connection to the<br />
workplace (meaning damage to our<br />
social lives), jobs replaced by AI or<br />
machines, overreliance on technology,<br />
and environmental pollution from our<br />
rampant use of gadgets. We also<br />
need to ensure the benefits of tech<br />
apply to society as a whole and not<br />
just privileged segments.<br />
How important is the skill of<br />
negotiation in your career?<br />
<strong>Negotiation</strong> skills are the sine qua<br />
non of any lawyer’s success. <strong>The</strong>y are<br />
critical in both informal day-to-day<br />
interactions and formal transactions<br />
such as negotiating contracts.<br />
How important is the skill of<br />
negotiation in your life outside<br />
of work?<br />
I negotiate with my husband on our<br />
split of responsibilities, and with<br />
our nine year-old twins to get them<br />
to complete their homework before<br />
turning to their multiple home<br />
entertainment options!<br />
What has been your greatest<br />
negotiation achievement?<br />
My negotiation ability has helped me<br />
play a role in Equinix’s meteoric global<br />
expansion. Of the numerous deal<br />
negotiations, three stand out as<br />
complex and tough but also rewarding.<br />
<strong>The</strong> acquisition of Metronode business<br />
in Australia that made Equinix the<br />
market leader there; the purchase of<br />
Bit-isle, listed on the Tokyo Stock<br />
Exchange and valued at US$280<br />
million; and the US$230.5 million<br />
transaction for Hong Kong-based<br />
data center provider Asia Tone,<br />
which significantly increased<br />
Equinix’s footprint and reach<br />
in these markets.<br />
Any negotiation disasters?<br />
<strong>The</strong> Asia Tone negotiations were<br />
protracted and exhausting. Even with<br />
an MBA and advanced negotiation<br />
training, a combination of inexperience,<br />
no clear understanding of our Best<br />
Alternative to a Negotiated Agreement<br />
(BATNA), and working with new team<br />
members contributed to disagreements<br />
and nights of lost sleep. We got there<br />
but the journey was painful!<br />
What’s the most important lesson<br />
that you’ve learned as a negotiator?<br />
Preparation is essential. <strong>The</strong> negotiator<br />
must take the time to understand<br />
the factual matrix and business or<br />
strategic objectives, discuss and agree<br />
strategy with internal stakeholders,<br />
and if necessary research potential<br />
legal intricacies of the issues.<br />
Without wishing to sound clichéd,<br />
the maxim rings true: if you fail to<br />
prepare, you are preparing to fail.<br />
What life lessons have you<br />
learned along the way?<br />
Grit, determination, good leadership<br />
and great team work are vital<br />
ingredients for success.<br />
4
THE NEGOTIATION SOCIETY<br />
DEAR FUTURE, I’M READY<br />
Kelly Harborne explores how negotiators can ensure<br />
their skillset remains robust and relevant in the face<br />
of rapid change and an increasingly unknown future.<br />
I<br />
write this in April 2019 as<br />
the UK stares into the chasm<br />
that is Brexit: a fruitful<br />
opportunity or unparalleled disaster, depending on<br />
your perspective. Either way, no one is sure what the next six<br />
months holds, let alone a year. <strong>The</strong> one certainty we have is<br />
that the UK and its trading partners face profound change.<br />
For those with Brexit-fatigue, it doesn’t take many turns<br />
of the newspaper page or clicks on the mouse to find another<br />
story about an unknown future: a technological advance,<br />
a merger or acquisition, a shift in consumer appetite or an<br />
ecological disaster.<br />
<strong>The</strong>se stories have multiple implications, issues and<br />
learnings. But what of their commercial negotiation<br />
angle? What, specifically, can negotiators learn from<br />
them? How do you gain a competitive advantage when<br />
the game is always changing? Fundamentally, how do<br />
you ensure your negotiation capability is future-proofed?<br />
<strong>The</strong>se are big questions for one person to tackle.<br />
So I gathered the thoughts of colleagues and clients. I asked<br />
them, “How do you think you’ll be negotiating differently<br />
in five years’ time?” This generated some insightful thoughtstarters<br />
I used as a springboard for my own analysis.<br />
For a glimpse into the future, read on.<br />
“I anticipate more email<br />
negotiation. My buyers<br />
are increasingly working<br />
from home or abroad and<br />
will rarely agree to meet<br />
in person. As the younger<br />
generation moves into<br />
buying roles, this will<br />
only increase.”<br />
CARLY HARRIS, NATIONAL ACCOUNTS<br />
EXECUTIVE BIDVEST 3663<br />
KH A usually chatty negotiation counterparty reverting to email may not be good<br />
news – that much is obvious. But negotiators hide behind email for a myriad of<br />
reasons. <strong>The</strong> important thing to understand is “why?” Are they time-strapped?<br />
Disinterested in you, or the deal? Do they want to appear disinterested? Is there<br />
a great underlying relationship that means negotiating day-to-day by email is just,<br />
well, easy? Or, are they uncomfortable about what they’re proposing and hiding<br />
their lack of conviction behind the screen? <strong>The</strong> important point is that you and<br />
your teams understand the difference and choose the response accordingly.<br />
And if email is the negotiation medium, ask yourself: are your emails fit for<br />
purpose? Do you spend the appropriate amount of time constructing the perfect<br />
prose? Take as much care crafting your email negotiation as you would preparing<br />
for a face-to-face negotiation. Only the medium is different. <strong>The</strong> negotiation is<br />
of equal importance.<br />
“In 5 years’ time, we will<br />
include some of the newest<br />
values of society.”<br />
DIANE JEANBLANC, CLIENT MANAGER,<br />
THE GAP PARTNERSHIP<br />
KH One trend that’s here to stay is the<br />
drive to build better business practices<br />
that enhance rather than degrade<br />
the world in which we live. CSR has<br />
become tradeable, a source of leverage,<br />
a risk to be shared; and with that<br />
has come a range of new or different<br />
negotiations. <strong>The</strong>re’s no doubt that our<br />
evolving consciousness will also impact<br />
how we interact with one another,<br />
and in turn on how we negotiate.<br />
<strong>The</strong> Socially Responsible Negotiator?<br />
Now, there’s a thought.<br />
So, back to the future. This isn’t<br />
the time for crystal balls, but for<br />
clear-sighted analysis. If you want to<br />
negotiate effectively, here are three<br />
future facing principles I am confident<br />
have longevity:<br />
1. Power will remain critical in every<br />
negotiation. But expect it to shift<br />
as access to information shifts.<br />
2. True value is driven from<br />
collaboration and creativity.<br />
<strong>The</strong>re’s no faking it.<br />
3. Those that will win out are those<br />
that see change as an opportunity<br />
not a threat. Develop the ability to<br />
learn and change.<br />
5
“Algorithms start the process<br />
unsupervised – humans<br />
finish it off. <strong>The</strong> increased<br />
pace of decision-making<br />
means contracts that are<br />
currently awarded annually<br />
could be awarded monthly.”<br />
CHRIS ATKINS, GLOBAL HEAD OF<br />
CONSULTING, THE GAP PARTNERSHIP<br />
“We may see more<br />
automation in simpler,<br />
less complex deals, with<br />
the person still making the<br />
ultimate decision.”<br />
PYOTR SVIRIDOV, HEAD OF RUSSIA,<br />
THE GAP PARTNERSHIP<br />
KH Algorithm-based buying was<br />
responsible for a third of all stock trades<br />
made in the US and European Union<br />
as early as 2006. But its application<br />
has evolved and spread. Made famous<br />
by Amazon – at least in the consumer<br />
goods sector – this technology is now<br />
impacting the way we negotiate by<br />
changing the power at play.<br />
<strong>The</strong> relationship with Amazon is an<br />
interesting gauge. Some of my clients<br />
have a great relationship, plenty of face<br />
time, sharing insight and collaborating.<br />
Others have no human contact at all.<br />
But is the face time all that it seems?<br />
One client described how he and his<br />
vendor manager work together to<br />
figure out how the algorithm worked.<br />
A heartwarming tale to illustrate<br />
that technology really does bring<br />
people together? Or a sign that those<br />
algorithms mean the buyer’s aspirations<br />
and drivers are becoming obsolete?<br />
Whichever is the case, the buyer who is<br />
also a skilled negotiator recognizes the<br />
ambiguity and builds in contingencies<br />
for both scenarios.<br />
Frequency of negotiations is another<br />
offshoot of the tech revolution. Deal<br />
and decision making are happening at a<br />
higher rate than ever, which speaks to a<br />
broader trend: big set piece negotiations<br />
remain important, but are becoming<br />
superseded or complemented by a range<br />
of smaller, more frequent negotiations<br />
throughout the year. Smart negotiators<br />
ask themselves two questions: “Are we<br />
set up to maximize the outcomes<br />
of each of these discussions?” and,<br />
“What is the net impact on my short<br />
and long-term commercial goals?”<br />
“With digitalization and the<br />
use of blockchain, the cost<br />
of everything will become<br />
more transparent. <strong>The</strong><br />
importance of being creative<br />
in discovering and building<br />
total value during the<br />
negotiation together with the<br />
other party will become even<br />
more critical."<br />
GREGORY CHU, CONSULTANT,<br />
THE GAP PARTNERSHIP<br />
KH Some predict that negotiation will become more collaborative, and perhaps,<br />
over time, this greater transparency will mean that there’s no point focusing on<br />
price. Instead, innovation, collaboration and differentiation will be our only focus.<br />
Some clients tell me this is already the case.<br />
But there are those who swear with equal conviction that negotiation will<br />
be more competitive in the future. Across Europe, the ever-changing range<br />
of buying alliances demonstrates that the consumer market is consolidating.<br />
Retailers across the world are looking to the EBITDA of their multinational<br />
suppliers which in many cases looks healthier than theirs. <strong>The</strong> consumer has<br />
access to more information and is no longer tethered to one retailer. It’s no<br />
wonder that retail and consumer discussions have become more competitive<br />
in response to this environment.<br />
<strong>The</strong> futureproof negotiator must be able to flex between these two realities,<br />
using both the techniques of competitive, distributive deal-making, and those<br />
of creative, collaborative negotiation.<br />
A FINAL THOUGHT AROUND THE CONCEPT OF AGILITY.<br />
An organization’s ability to learn and adapt will differentiate<br />
those that prosper and flourish from those destined for the<br />
same fate as dial-up internet, the landline and the delivery<br />
of handwritten mail – hailed as revolutionary in their time<br />
but replaced soon enough.<br />
<strong>The</strong> same is true for the negotiator. Learn and adapt,<br />
and you will prosper and flourish. TNS<br />
6
THE NEGOTIATION SOCIETY<br />
AUTOMATION:<br />
THE END OF HUMAN NEGOTIATION?<br />
As robotics and AI become increasingly sophisticated, John<br />
Clements asks whether negotiating with a machine will become<br />
more commonplace than negotiating with a human being.<br />
Last month, a client asked me to lead a<br />
negotiation on their behalf. This in itself<br />
is not unusual; my consulting work often<br />
involves negotiation by proxy. I agreed<br />
to go to the office of my client’s counterparty to<br />
negotiate the commercial aspects of a contract.<br />
I duly arrived at their lobby and was met by<br />
someone who I assumed I would be negotiating<br />
against. <strong>The</strong>y took me up several floors within<br />
their building, showed me into a meeting room,<br />
invited me to sit down at a computer and then<br />
asked me to follow the instructions on the screen.<br />
It soon transpired that I was about to undertake<br />
this negotiation against a computer. I am familiar<br />
with negotiations being changed at the last minute<br />
– a common tactic – but this was something<br />
completely new. <strong>The</strong> person who showed me<br />
to the room then left and I was presented with<br />
a proposal by the computer, which then asked<br />
me to respond. As my mind conjured up the<br />
image of HAL in 2001: A Space Odyssey, my<br />
heart started to race. I was now on my own<br />
against a computer...<br />
7
AUTOMATED NEGOTIATION IN PRACTICE<br />
FACEBOOK<br />
In 2017 Wired magazine<br />
reported that the Facebook<br />
Artificial Intelligence Research<br />
(FAIR) group, in collaboration<br />
with Georgia Institute of<br />
Technology, conducted an<br />
experiment that forced two bots<br />
– applications that run automated<br />
tasks – to learn how to negotiate<br />
with one another by presenting<br />
them with a bargaining task. <strong>The</strong>y<br />
were shown the same number<br />
of objects but were programmed<br />
to want different things. What<br />
is interesting is that a paper<br />
published by FAIR revealed that<br />
the negotiating bots learned to<br />
lie. <strong>The</strong>y learned to lie because<br />
they found a strategy that worked.<br />
<strong>The</strong> bots feigned interest in a<br />
valueless issue, so that they could<br />
later “compromise” by conceding<br />
it. FAIR is currently exploring<br />
whether the experiment can be<br />
extended into other situations.<br />
AMAZON<br />
According to Bloomberg,<br />
several six-figure earning<br />
Amazon executives were<br />
reassigned or left their jobs in<br />
April 2018 because where it<br />
made sense, the company had<br />
chosen to replace them with<br />
artificial intelligence. <strong>The</strong> process<br />
started a few years back under<br />
what was called the “hands off<br />
the wheel” initiative. Algorithms<br />
took over tedious tasks like<br />
forecasting demand, ordering<br />
inventory and negotiating prices.<br />
Soon the machines (via the<br />
algorithms) learned patterns<br />
and became increasingly<br />
accurate in undertaking these<br />
tasks. Eventually humans had<br />
to justify any system override<br />
(i.e. stopping the algorithms)<br />
and finally became redundant.<br />
Amazon has since devised a<br />
new way of doing business<br />
that removed “middlemen”<br />
and reduced the risk of buying<br />
inventory. People were no longer<br />
needed to negotiate for businesses<br />
to come on board to Amazon,<br />
as most major brands wanted to<br />
be featured on Amazon which is<br />
where most shoppers were.<br />
UBER<br />
An article by Procurious – an<br />
online business network for<br />
procurement and supply chain<br />
professionals – pointed out that<br />
Uber’s surge pricing algorithm is<br />
a particularly effective, automated<br />
negotiator. <strong>The</strong> algorithm<br />
understands the counterparty and<br />
their motivations (e.g. passengers<br />
are more likely to book when<br />
the battery in their smartphone<br />
is low). It is unemotional and it<br />
does the job that is intrinsic to all<br />
negotiators; it gets more for its<br />
stakeholders. Procurious believes<br />
that automation is going to<br />
become a bigger and bigger part<br />
of negotiation with negotiators<br />
finding innovative applications<br />
for data science to equip them<br />
with information which leads<br />
to better negotiation outcomes.<br />
So, if Uber is accessing the<br />
battery meter on your smartphone<br />
today, tomorrow’s risks could be<br />
significantly more far-reaching.<br />
Okay, I’ll come clean. This scenario<br />
is entirely fabricated. But could this<br />
situation be the future of negotiations,<br />
or is it just science fiction? I remember<br />
watching Star Trek when I was younger<br />
and thinking that talking to someone<br />
else remotely via a handheld device<br />
or talking to a computer and getting<br />
a verbal response was the stuff of<br />
fantasy. We now have mobile phones,<br />
FaceTime and Alexa. <strong>The</strong>refore,<br />
shouldn’t those of us involved in<br />
negotiations need to consider whether<br />
at some point all negotiations will be<br />
undertaken by computers? Because if<br />
negotiation is like chess, whereby we<br />
need to think multiple moves ahead,<br />
then why couldn’t computers carry out<br />
negotiations? After all, IBM invented a<br />
computer (Deep Blue) a long time ago<br />
which went on to defeat some of the<br />
best chess players in the world.<br />
So, what is the current situation<br />
with “automated negotiation” and what<br />
could the future look like? Could it<br />
spell the end of human negotiators?<br />
THE BUSINESS<br />
PERSPECTIVE<br />
<strong>The</strong> Gap Partnership runs courses<br />
in negotiation (for people!) for some of<br />
the biggest multinational corporations<br />
in the world, as well as a large number<br />
of small to midsize organizations.<br />
Among other things, these courses<br />
focus on the behavioral element of<br />
negotiations i.e. something that is –<br />
currently – only attributable to humans.<br />
This would suggest that negotiations<br />
undertaken by humans are not going<br />
to end anytime soon. However, there<br />
are major organizations who are not<br />
only looking into how to use automated<br />
negotiation but have – to a certain<br />
extent – implemented it already.<br />
What we can see is that some<br />
major organizations are taking very<br />
seriously the concept of negotiation<br />
being automated and have in some<br />
cases implemented it to arguably great<br />
success. <strong>The</strong>re are probably thousands<br />
of other organizations who are doing<br />
similar investigations. However, it<br />
would appear that at this stage this<br />
success is confined to relatively noncomplex<br />
negotiations e.g. only a few<br />
variables such as price, and in a business<br />
to consumer (B2C) context in which<br />
one party needs to make concessions,<br />
for example suppliers to Amazon or<br />
passengers to Uber.<br />
8
THE NEGOTIATION SOCIETY<br />
THE ACADEMIC<br />
PERSPECTIVE<br />
In a paper presented at the Fifth<br />
International Biennial on <strong>Negotiation</strong>,<br />
Shaw, Noël and Spicer (2014)<br />
concluded that despite automated<br />
negotiation technology having been<br />
available for the best part of the last<br />
fifteen years, it was difficult to find<br />
information on household name<br />
companies employing them successfully.<br />
I believe this still may be the case in<br />
2019. Moreover, it would seem that<br />
the impact of automated negotiation<br />
on real-world business processes<br />
has remained largely unfulfilled in a<br />
business to business (B2B) context.<br />
<strong>The</strong>re have been numerous academic<br />
studies comparing the performance<br />
of human negotiators with automated<br />
negotiation agents. It is fair to say that<br />
the outcomes of these studies have<br />
been inconclusive. <strong>The</strong> researchers<br />
compared human and automated B2B<br />
negotiations, with the main differences<br />
being that the former use natural<br />
language, include messages that are<br />
ambiguous or irrelevant to the object of<br />
the negotiation, and rely on subjective<br />
evaluations and partial decisions,<br />
whereas the latter use machine<br />
language, focus exclusively on the<br />
variables at hand and make objective<br />
evaluations and impartial decisions.<br />
Most B2B negotiations include<br />
multiple variables and require both<br />
sides to make considered concessions.<br />
Given this, it is unsurprising that<br />
automated negotiation has not been<br />
more widely adopted in corporations.<br />
So, while it is technically possible<br />
to introduce automated negotiation,<br />
and notwithstanding the business<br />
examples previously mentioned,<br />
there doesn’t seem to be as much<br />
real-world deployment as there<br />
could be, and certainly not much<br />
evidence of automation being used<br />
in complex negotiations.<br />
THE END OF HUMAN<br />
NEGOTIATORS<br />
So, to revisit the question asked at<br />
the beginning of this article, will we<br />
see the end of human negotiators?<br />
Effective human negotiators<br />
demonstrate ten negotiation traits as<br />
identified by <strong>The</strong> Gap Partnership<br />
which, currently at least, robots cannot<br />
demonstrate. <strong>The</strong>se ten traits are nerve,<br />
self-discipline, tenacity, assertiveness,<br />
instinct, caution, curiosity, numerical<br />
reasoning, creativity and humility. (In<br />
the case of numerical reasoning, clearly<br />
computers can undertake very complex<br />
calculations. <strong>The</strong> question is whether<br />
they can make decisions based on whatif<br />
scenarios, using intuition to identify<br />
the optimal opportunity.)<br />
<strong>The</strong> concept of these traits is<br />
supported by academic research. Erik<br />
Brynjolfsson and Andrew McAfee<br />
at the Massachusetts Institute of<br />
Technology (MIT) demonstrated that<br />
fears that all tasks or jobs in the future<br />
will be undertaken by robots is probably<br />
a half-truth. MIT conclude that there<br />
are still many jobs in which humans<br />
perform better than machines, and<br />
these are grouped into three categories:<br />
creative endeavors, social interactions<br />
and physical dexterity and mobility.<br />
Within the social interaction category<br />
(where negotiation sits), they conclude<br />
that robots do not have the kinds of<br />
emotional intelligence that humans<br />
have and that motivated people who<br />
are sensitive to the needs of others<br />
can make great negotiators.<br />
CONCLUSION<br />
“Effective human negotiators<br />
demonstrate ten negotiation<br />
traits as identified by <strong>The</strong><br />
Gap Partnership which,<br />
currently at least, robots<br />
cannot demonstrate.<br />
THE FUTURE +50 YEARS?<br />
9<br />
10<br />
8<br />
11<br />
Partnership/<br />
joint problem<br />
solving<br />
Win win<br />
7<br />
Relationship<br />
building<br />
Concession<br />
trading<br />
12<br />
6<br />
<strong>The</strong> development of artificial<br />
intelligence and machine language<br />
may ultimately allow automated<br />
negotiation agents to acquire the traits<br />
of a negotiator, but it is probably a long<br />
way off being widely adopted in major<br />
corporations. Using the Clockface as<br />
an analogy below, it would appear that<br />
the current level<br />
of application<br />
of automated<br />
negotiation<br />
would be for<br />
negotiations on its<br />
right-hand side.<br />
<strong>The</strong> extent to<br />
which automated<br />
negotiation will<br />
extend into<br />
the Clockface’s<br />
left-hand side<br />
and by when<br />
will clearly depend on developments in<br />
artificial intelligence, machine learning<br />
and a recent concept called deep<br />
learning which has allowed artificial<br />
intelligence to boom. So, if fifty years<br />
ago Captain Kirk foretold the advent<br />
of mobile phones and verbal interaction<br />
with computers, who knows where<br />
negotiation will end up in the next<br />
fifty years? TNS<br />
Bartering<br />
Dealing<br />
1<br />
Haggling/<br />
bidding<br />
Hard<br />
bargaining<br />
5<br />
2<br />
4<br />
3<br />
THE PRESENT<br />
9
As <strong>The</strong> Gap Partnership’s<br />
new CEO, Graham<br />
Botwright is a man on<br />
a mission. He talked to<br />
Alistair White about his<br />
vision for the future of<br />
the business, and how his<br />
personal philosophy on<br />
life has evolved in a<br />
surprising direction.<br />
WITH<br />
A PLAN<br />
10
THE NEGOTIATION SOCIETY<br />
Think back fifteen years. What sort of person<br />
were you? Were you different to how you<br />
are now? Did you have different ambitions,<br />
different opinions, different values? Even if<br />
you answered in the affirmative, I am actually<br />
pretty certain you have not changed radically in<br />
that time. But I am equally sure that you have<br />
evolved. Events and experiences will have shaped<br />
you, changed your perspectives, and perhaps<br />
even shifted the course of your life.<br />
Fifteen years ago, I was being interviewed<br />
by a chap called Graham Botwright for a job<br />
as a consultant at <strong>The</strong> Gap Partnership, a small<br />
negotiation consultancy with just six employees<br />
based out of a small office in the market town<br />
of Chesham, UK.<br />
My overriding impression of Graham during<br />
that interview and the subsequent early months<br />
of my TGP career can be summed up in one<br />
word – “big”. Graham is a big guy – 6 feet 3<br />
inches, or 1.9 meters for the other 90% of the<br />
world’s population. He has big ambitions, big<br />
visions, a big appetite for life and all it has to<br />
offer, a healthy self-confidence, a big brain and<br />
a big, big heart.<br />
Scroll forward a decade and a half and that<br />
same Graham Botwright is about to take up his<br />
new position as CEO of that same <strong>The</strong> Gap<br />
Partnership. Except that it is now a global business<br />
with 250 employees and an annual turnover 20<br />
times its 2004 revenues.<br />
“We’d like you to interview Graham Botwright<br />
for the next issue of <strong>The</strong> <strong>Negotiation</strong> <strong>Society</strong><br />
magazine,” said Emma, the editor. “You know, new<br />
CEO, vision for the future, that sort of thing. You<br />
have known him a long time. Find out what drives<br />
him, what makes him tick, get under his skin.”<br />
That’s how I end up sitting in Graham’s office<br />
at a glass table – which has miraculously made it<br />
here from the little office in Chesham – with a<br />
smorgasbord of shared history, success – and yes,<br />
the occasional failure – celebrations, Christmas<br />
parties and friendship metaphorically spread out<br />
between us like a picnic of reminiscence. I wonder<br />
who will be the first of us to dip into the buffet.<br />
Graham initiates the conversation by revealing<br />
that he spent Christmas in Cape Town – more<br />
about South Africa later – and he confesses<br />
that he spent much of his time, “sitting on a sun<br />
lounger, painting a mental picture of what TGP<br />
should look like in 2025 and asking myself what,<br />
as an incumbent CEO, do I stand for?”<br />
Blimey Graham, I think to myself, that’s a<br />
bit deep for an opener isn’t it? Couldn’t we have<br />
talked about the weather for five minutes?<br />
Never mind, let’s get on with it. “So, what<br />
do you stand for Graham?”<br />
“He has big ambitions, big<br />
visions, a big appetite for life<br />
and all it has to offer, a healthy<br />
self-confidence, a big brain<br />
and a big, big heart.<br />
“<strong>The</strong>re are certain values that I like to think<br />
underpin what I believe in business and how I<br />
behave. Do you remember when we joined<br />
<strong>The</strong> Gap Partnership?” Ah, I think to myself,<br />
Graham is diving into the memory buffet first.<br />
“We were an entrepreneurial bunch, working with<br />
and for each other, kindred spirits taking on the<br />
world. We looked out for each other, everyone<br />
was everyone else’s deputy, and if something<br />
needed doing, we did it, without regard to whose<br />
“job” it was. <strong>The</strong>re wasn’t a set of written rules.<br />
If things have to be written down as rules, then<br />
they aren’t values. Values are more powerful than<br />
rules because they are implicit and they define the<br />
way we behave.<br />
“We are bigger now and we are not just seven<br />
people in a small office, but I really want to retain<br />
and foster the core values that define who we are<br />
as <strong>The</strong> Gap Partnership. <strong>The</strong> desire to be the best<br />
we can be, constantly seeking to innovate and<br />
grow, the passion we have for negotiation, the<br />
implicit trust we have in each other, and the sense<br />
that we are one global team, working with and for<br />
each other.”<br />
I am intrigued by Graham’s differentiation<br />
between rules and values. I know that Graham’s<br />
father is a retired police officer, having risen to<br />
a senior position in the London Metropolitan<br />
11
Police Service. I ask Graham whether his father,<br />
who made a career out of enforcing “the rules”,<br />
would have appreciated the distinction.<br />
“Absolutely he would. Of course his job<br />
was about enforcing the law and investigating<br />
criminals, but he would be the first to say the<br />
values of loyalty, teamwork, trust and devotion to<br />
a common cause were always the things that made<br />
for a good team of detectives.”<br />
So, how does he feel about taking on the role<br />
of CEO? Surely he’s pleased?<br />
“Naturally I’m pleased, but that is not the<br />
main thing I feel. My first sensation is one of<br />
excitement about the future, about where we can<br />
take the business. We have a team of around 250<br />
immensely talented people and, if we get things<br />
right, there is no limit to what we can achieve.<br />
But that sense of excitement is immediately<br />
followed by a huge awareness of responsibility.<br />
People will look to me for leadership and, if we<br />
don’t get it right, there will be only one person to<br />
blame. I am sure I will get used to it but that sense<br />
of responsibility is quite daunting.”<br />
What? <strong>The</strong> “up-and-at-'em, conquer the world<br />
single-handedly by tomorrow lunchtime” Graham<br />
Botwright – nervous, scared?<br />
“Definitely not scared, I don’t scare easily.<br />
But nervous? Sure, a little bit. In fact, I think<br />
I would be more worried if I wasn’t nervous.<br />
It is more about the very humbling, sobering<br />
realization of what comes with the job. Up until<br />
now there has always been someone above me<br />
who takes the final decision and now that person<br />
is me. But I know I have a great executive team<br />
and broader leadership group around me and<br />
that gives me huge confidence. We have some<br />
very robust debates but they usually lead to good<br />
decisions – I wouldn’t want to surround myself<br />
with people who agree with me all the time.”<br />
Graham has a reputation in our business for<br />
being ambitious, not purely personally but for<br />
the business as a whole, and he is renowned<br />
for coming up with big visions for the future<br />
and seeking to inspire others to buy into them.<br />
Does this newfound humility, this sense of<br />
responsibility, mean that he will become less<br />
of a risk-taker?<br />
“Ha! I hope not. I suppose that is inevitable in<br />
some ways, but I have a slightly different attitude<br />
to risk these days. For the last four years I have<br />
been playing backgammon in a league in London.<br />
<strong>The</strong> game has taught me a number of things.<br />
It has given me a very healthy fear of loss, but<br />
it has also taught me when and how to take<br />
calculated risks. In backgammon when you are<br />
losing, you take more risk, and when you are<br />
ahead you take less risk. You don’t need to take<br />
risk when you are in the ascendancy. <strong>The</strong> key<br />
12
THE NEGOTIATION SOCIETY<br />
“Graham has a reputation<br />
in our business for being<br />
ambitious, not purely<br />
personally but for the<br />
business as a whole.<br />
business learning for me is that to grow, you need<br />
to take measured risks, but foolish risks can be<br />
catastrophic. Knowing when to take a risk and<br />
when not to is critical. I won’t be frightened<br />
of taking a couple of well-calculated risks.<br />
We have a declared ambition to “Lead the world<br />
of negotiation”, and that is a big ambition to<br />
fulfil.” A smile plays across his lips. “We will have<br />
to be bold and I look forward to that.”<br />
His phone rings on his desk and Graham<br />
stands up and walks over to divert the call. I notice<br />
a cycling helmet on the window ledge. “Did you<br />
cycle to work, Graham?”<br />
“Yes, I try to cycle every morning and I do a<br />
couple of longer rides at the weekend. I am in<br />
training for the Cape Epic which I hope to ride<br />
in March 2020. It’s eight days riding and 16,000<br />
metres of climbing so I need to make sure I am<br />
in the best shape I can be.”<br />
BUSINESS LEADER<br />
PROFILE<br />
GRAHAM BOTWRIGHT<br />
BORN London, 1968<br />
PARENTS Richard, police officer<br />
and Margaret, maths teacher<br />
EDUCATION BSc Psychology from<br />
University of Dundee, Post Grad<br />
Diploma in HRM from Kingston<br />
Business school<br />
SPOUSE Carmel, Learning and<br />
Development Consultant<br />
RESIDENCE Buckinghamshire, UK<br />
NICKNAME GB<br />
CAREER HISTORY Harrods, Wickes,<br />
Kingfisher, Arthur Andersen<br />
PERSONAL PHILOSOPHY One life, live it!<br />
Graham’s connections with South Africa run<br />
deep. He has been married to Carmel, a native<br />
of Cape Town, for 20 years and they travel there<br />
three or four times a year. Although England is<br />
still home, the pair of them have plans to spend<br />
more time in South Africa once Graham decides<br />
to hang up his negotiating boots. But wait a<br />
minute, I am just working out the magnitude<br />
of what he has told me. Eight days? And 16,000<br />
metres of climb? That is a serious bike ride.<br />
Will he be ready?<br />
“I hope so. Last year I took part in a ride across<br />
Tankwa Karoo National Park which was about a<br />
Graham riding at<br />
the Wines2Whales<br />
three day mountain<br />
biking event in<br />
South Africa<br />
13
third of the distance and climb so I kind of know what<br />
I am letting myself in for.”<br />
And how was that?<br />
“I won’t pretend I found it anything other than tough,”<br />
he says. I am grateful for that because if he had said it had<br />
been a breeze, I just wouldn’t have believed him. “<strong>The</strong> other<br />
guys on the ride were all seriously fit, triathletes, Ironman<br />
veterans. I was by far the weakest rider.”<br />
Aha! It’s taken 15 years but Botwright has finally<br />
voluntarily admitted that he is the weakest at something.<br />
This is too good an opportunity to miss; time to have a bit<br />
of fun at Graham’s expense. So how did that feel, Graham?<br />
How did it feel to be a mere mortal just like the rest of us?<br />
If he knows I am teasing, his body language doesn’t<br />
betray it. He leans across the table and his eyes burn bright<br />
as he recalls the memory. “It would have been pointless to<br />
pretend otherwise. All of them were clearly fitter, stronger<br />
and quicker than I was.<br />
But the thing is, it wasn’t<br />
a competition and nobody<br />
treated it like one. It was a<br />
challenge that we took on<br />
as a group and there was an<br />
unspoken commitment by<br />
all of us, to all of us, to make<br />
sure that we completed the<br />
challenge as a group.<br />
A shared value, if you like.<br />
In fact, even although I was<br />
the weakest link in the team,<br />
the generosity of spirit of the<br />
other guys, the metaphorical<br />
and sometimes physical hand<br />
in the small of my back,<br />
made me stronger. <strong>The</strong>re<br />
were parts of the ride that<br />
I could never have done on<br />
my own, particularly a 2km<br />
steep climb on day three,<br />
but with the support of the<br />
others and by placing my<br />
trust completely in them,<br />
I discovered levels of strength<br />
and resilience that I didn’t know I had. It was a pretty intense<br />
experience – not just physically but emotionally as well...”<br />
Silence. I glance across the table at Graham and the<br />
look on his face and the tone of his voice tell me this is not<br />
the moment for any of the banter that so often punctuates<br />
our conversations. A pause. To add a TGP word –<br />
an appropriate pause.<br />
“What does that teach you about yourself?” I ask,<br />
seriously. “<strong>The</strong> importance of humility,” comes the reply.<br />
“Asking for and accepting help is not a sign of weakness, it is<br />
a strength. Nobody can be expected to have all the answers.<br />
If you really want to accomplish something amazing, don’t<br />
be too proud to seek out the help of others. Confronting a<br />
challenge as a team, a solid unit with shared vision, allows<br />
you to achieve so much more than you can do on your own.<br />
I think deep down I have always known that, but I think I<br />
have got better at asking for and accepting help.”<br />
Our time is nearly up. <strong>The</strong> soon-to-be CEO has another<br />
diary commitment to honor. I decide to lighten the mood<br />
a little towards the end with a series of rapid-fire questions<br />
about Graham’s preferences. His answers come immediately.<br />
South Africa or England? “England.”<br />
Wine or beer? “Wine.”<br />
Golf or rugby? “Rugby.”<br />
Thinking or doing? “Doing.”<br />
Captain of a gallant losing team or reserve player in a<br />
winning squad?<br />
He hesitates. <strong>The</strong>re is still some of the old Botwright in<br />
there, the desire to lead from the front, to be the top dog. And<br />
then he says, with a rueful smile, “Reserve in a winning squad.”<br />
I can almost hear the sound of him gritting his teeth as he<br />
gives his answer. But let’s be generous and give him the benefit<br />
of the doubt. Maybe his response is sincere, a sign of maturity,<br />
a sign that he is growing into the role that awaits him.<br />
I reflect on our conversation before I go back to my<br />
day job. I said earlier that Graham is a big guy in many<br />
senses of the word. He is still a big guy – big ambitions,<br />
big visions, big appetites, big heart and now he is taking<br />
on big responsibility. But I think back over our conversation<br />
and realize that, apart from being a big character, there is<br />
something else to Graham. Depth. During our conversation,<br />
I have sensed humility, thoughtfulness, accountability and<br />
self-awareness that temper the burning energy, enthusiasm<br />
and occasional impetuosity of old. That has come with<br />
work and life experience. Or maybe it was there all the<br />
time and I never noticed it? Nah, who am I kidding,<br />
he’s just grown up a bit.<br />
Let me have the last – heartfelt – words:<br />
Good luck Graham. TNS<br />
14
THE NEGOTIATION SOCIETY<br />
HOW I LEARNED TO<br />
STOP WORRYING AND<br />
LOVE TECHNOLOGY<br />
<strong>The</strong> savvy negotiator uses<br />
technology to support their<br />
negotiations. Scott Chepow<br />
explains how.<br />
Every day, technology speeds up the way<br />
we work, interact with others and see<br />
the world. Whether it has a positive or<br />
negative influence will depend on your outlook.<br />
I recently watched my son speedily complete his<br />
Latin homework in Google Translate instead of<br />
spending the time and thought process doing<br />
it himself. He was delighted; I wasn’t so sure.<br />
(And perhaps it can be argued both ways – did<br />
he know his conjugated verbs already and the<br />
googlebot freed up his time to practice the piano?)<br />
This ambiguity around the effect of modern<br />
technology is also at play when we look at its<br />
impact on the way we negotiate. One example<br />
is information and the power this can confer to<br />
either party. Before the internet, information<br />
asymmetry existed to the point that often one<br />
party knew more than the other when heading<br />
into a negotiation. It wasn’t uncommon for a<br />
small supplier to hold a perceived advantage<br />
in the balance of power due to the tremendous<br />
amount of information they could access about<br />
their larger counterparty. Well, things have<br />
definitely evolved. Information asymmetry has<br />
been reduced to the point that buyers can now<br />
break down the ingredient mix of goods and<br />
services to approximate the cost of the offering.<br />
Vice versa, much of the information about buying<br />
organizations is known publicly, regardless of<br />
whether or not they are publicly traded. <strong>The</strong>se<br />
developments, powered by technology, have<br />
moved the buyer-seller power dynamic towards<br />
parity – but only if both parties take full advantage<br />
of the information sources available.<br />
A technology that has become all-pervasive<br />
over the last three decades is email, and it has<br />
had a particular impact on the way we interact in<br />
our negotiations. Email provides something of a<br />
hiding place for the negotiator, making it easier<br />
to open extreme and hiding any discomfort felt<br />
at the words in the message. We may feel able to<br />
hit send on something that we would never say<br />
in a face-to-face situation. But of course, this isn’t<br />
the whole picture. Have you ever thought deeply<br />
about the words that your counterparty has sent<br />
you? Sure, you lose the visualization of nonverbal<br />
communication in email, but discomfort may still<br />
be displayed in the soft language of the written<br />
word. As an example, I was asked by a client for<br />
my thoughts on an email they had received from<br />
their counterparty that read: “When your new<br />
terms go into effect here, how will this change be<br />
implemented?”. My thoughts? <strong>The</strong>y just accepted<br />
your terms – move on to creating value elsewhere.<br />
If email masks nonverbal communication,<br />
video conferencing technologies such as Skype,<br />
FaceTime and TelePresence can provide<br />
something of an insight in this area. You may not<br />
see fidgety hands or tapping feet, but you will see<br />
facial expressions. You may be thinking to yourself:<br />
“I never turn on my camera during video calls and<br />
neither do they.” Do you want them to? If you’re<br />
me, you do. Try applying the law of reciprocity to<br />
video, especially in a small group. Turn on your<br />
camera. More often than not, they’ll turn theirs on<br />
as well. An example of this in reverse: I had a very<br />
early morning overseas Skype call recently and,<br />
after pumping myself full of coffee, turned on<br />
my laptop to find everyone had their camera<br />
on. I ran upstairs, threw on my dress shirt, and<br />
turned on my camera…just to reciprocate.<br />
Technology is absolutely having an impact<br />
on negotiation – but that’s not necessarily a<br />
bad thing. <strong>The</strong>re are ways to utilize technology<br />
effectively and to your advantage. But as with all<br />
aspects of negotiation, it takes conscious effort,<br />
awareness and practice to do so. TNS<br />
15
THE COMPLETE<br />
SKILLED NEGOTIATOR<br />
SAVES THE WORLD<br />
A N E G O T I A T O R ’ S M A N I F E S T O<br />
Gordon Hall makes an impassioned case<br />
for bringing a mature outlook and collaborative<br />
negotiation skills to the world’s thorniest issues.<br />
W<br />
ow – that’s quite a title!<br />
You may be forgiven for<br />
wondering how on earth<br />
I plan to live up to such a grandiose<br />
statement. Well, hear me out. I have<br />
a passionate and long held belief<br />
that negotiators have not only a<br />
responsibility to the personal wellbeing<br />
and success of themselves and their<br />
stakeholders, but also in shaping the<br />
future of the human race.<br />
Allow me to present my case.<br />
It could be argued that humankind<br />
today is in one of the best places it<br />
has ever been throughout our long<br />
evolution. Over millennia we have<br />
endured hunger and famine, fought<br />
brutal wars, and battled diseases<br />
and plagues. In 2019 these three big<br />
challenges to human evolution are,<br />
relatively speaking, largely under<br />
control. Of course, sadly there are<br />
still significant pockets of famine,<br />
war and disease in the world today,<br />
and I don’t for a second mean to<br />
belittle this desperate and ongoing<br />
human suffering. But, in comparison<br />
to our history, right now is a pretty<br />
good time to be alive.<br />
While we have matured, as is evident<br />
from the general reduction in famine,<br />
war and plague, I question whether we<br />
have actually grown up. This concept<br />
of “growing up” is, I believe, key to our<br />
future – and by growing up I mean<br />
acting less childishly, not allowing<br />
ourselves to be pulled into petty<br />
16
THE NEGOTIATION SOCIETY<br />
arguments and conflicts, and operating<br />
in an adult-to-adult way.<br />
In light of this, let me pose a<br />
question which moves us closer to the<br />
nub of my argument. Have negotiators,<br />
specifically, grown up? And to be clear<br />
– by “negotiators” I don’t just mean<br />
in business, I am also referring to our<br />
political leaders who of course have a<br />
vital role to play in our future. Are we/<br />
they maturing and acting less childishly<br />
by looking at bigger opportunities<br />
and working together, rather than<br />
focusing on differences? Or are some<br />
still taking the more high-spirited,<br />
aggressive and competitive approach<br />
often associated with the overconfident,<br />
yet still immature, 21-year-old – an<br />
over-confidence that leads to value<br />
destruction rather than value creation?<br />
A small caveat at this juncture:<br />
I must beware of sweeping<br />
generalizations – as we ourselves teach<br />
at <strong>The</strong> Gap Partnership, there is no<br />
right or wrong within negotiation.<br />
However, if we were to think of<br />
maturity and growing up as negotiators,<br />
what issues should we consider?<br />
I would suggest these are very similar<br />
to those we consider when transitioning<br />
into adulthood. Burying our ego; not<br />
getting pulled into petty arguments<br />
that you are never going to win; giving<br />
the other party satisfaction and making<br />
them feel respected; understanding<br />
what is important to the other party;<br />
helping the other party understand<br />
what is important to us; and of course,<br />
listening. If we do these things, we have<br />
a good chance of being able to pool our<br />
collective knowledge and collaborate<br />
enough to work towards a negotiated<br />
solution. <strong>The</strong> alternative to this level<br />
of maturity is petty, childish squabbles<br />
that result in entrenchment in our own<br />
point of view and a reduced chance<br />
of progress.<br />
So, how are we doing in 2019?<br />
Are we appreciating the opportunity<br />
that grown up negotiation can give<br />
us to work together, avoid wars and<br />
famine, and stop the destruction of<br />
our planet and ultimately ourselves?<br />
<strong>The</strong>se opportunities are about as<br />
immense as you can get. I would<br />
argue that as fellow negotiators, albeit<br />
in the commercial world, we have a<br />
responsibility to grow up and spread<br />
the gospel for collaborative negotiation,<br />
when it is appropriate of course.<br />
<strong>The</strong> wider world of media and<br />
politics has a pivotal role to play<br />
here. Our global media encourages<br />
competitive argument. A sensible,<br />
mature, worked through discussion<br />
does not sell news. Competition on<br />
the other hand is exciting, it sells,<br />
it’s interesting. So, journalists enjoy<br />
sparking debate. But the noise and<br />
entrenchment that is broadcast can<br />
mean that issues don’t move forward.<br />
Likewise, our political landscape<br />
is mired in a historically combative<br />
system: two or more competing sides<br />
continuously arguing about how and<br />
why they are better than the other,<br />
with nobody ever changing their<br />
mind, perhaps because if they do<br />
it is seized on as a sign of weakness.<br />
<strong>The</strong> very layout of the UK parliament<br />
is combative, with two lines of<br />
“Are we appreciating the<br />
opportunity that grown up<br />
negotiation can give us to<br />
work together, avoid wars<br />
and famine, and stop the<br />
destruction of our planet<br />
and ultimately ourselves?<br />
opposing groups two sword widths<br />
apart, set in permanent competition<br />
with each other.<br />
And it’s in the UK that we have a<br />
very topical example of this adversarial<br />
system at work – at least at the time of<br />
writing, although I can’t imagine it will<br />
resolve itself in the near future. I refer<br />
of course to the Brexit negotiations.<br />
Observers from all sides of the debate<br />
are frustrated by the lack of progress<br />
being made, with everyone vociferously<br />
arguing that their opinion is the right<br />
one. This is a fine example in which the<br />
negotiators involved could choose to<br />
accept their differences of opinion and<br />
work on finding a solution, rather than<br />
constantly locking horns by focusing on<br />
the problem. Because make no mistake,<br />
skilled collaborative negotiators are<br />
able to do just that – find solutions<br />
from problems.<br />
Acres of opinion and analysis will<br />
be written about the Brexit negotiations<br />
in the years ahead, but as an example<br />
of the need to negotiate collaboratively<br />
for our future wellbeing I can think<br />
of no better one, in which we witness<br />
competitors jousting across a political<br />
divide rather than focusing on<br />
joint objectives.<br />
Let’s look at another power struggle<br />
taking place on the world stage – the<br />
proposal to build a wall on the US-<br />
Mexico border. Pledged by Donald<br />
Trump as a way of stopping illegal<br />
immigration into the US, this has<br />
generated intense argument and<br />
conflict. One side‘s position is that it<br />
would be a waste of money as well as<br />
a human rights issue. <strong>The</strong> other side<br />
point to an absolute necessity to protect<br />
American borders. At its core however,<br />
there is common ground – both sides<br />
agree on the need to protect borders.<br />
With this common interest, negotiators<br />
should be able to work through a<br />
solution. Instead<br />
we have deadlock<br />
and discord.<br />
Imagine another<br />
way. Imagine that<br />
we discussed options.<br />
Imagine that we<br />
simply opened one<br />
of our negotiation<br />
tools, the trade<br />
surveyor, and in an<br />
adult manner debated<br />
which variables<br />
were important to<br />
each other for the<br />
purpose of examining<br />
possibilities. Imagine that as a result<br />
of that approach, enough value was<br />
created to enable a bargaining range<br />
and the crafting of a deal that would<br />
work for all parties and remove the<br />
impasse. Does this sound fantastical?<br />
It shouldn’t. This is simply how<br />
grown-up, collaborative negotiators<br />
behave, and how they get results.<br />
Back to my case. I firmly believe<br />
that collaborative negotiators have a<br />
part to play in our global future, not<br />
only for the worlds of business and<br />
politics, but for humankind itself.<br />
Here is my manifesto:<br />
• It’s time to grow up and<br />
stop our childish bickering.<br />
• It’s time to transition from<br />
self-obsessed adolescence into<br />
more considered, reflective and<br />
reasonable adulthood.<br />
• It’s time to negotiate, skilfully<br />
and collaboratively.<br />
If we don’t, these fruitless arguments<br />
that dominate the news headlines<br />
could escalate with potentially<br />
catastrophic consequences. TNS<br />
17
US E LEC TIO N SPECIAL<br />
HOW DO THE<br />
CANDIDATES<br />
NEGOTIATE?<br />
<strong>The</strong> negotiation style of any US President is arguably the most<br />
scrutinized of anyone in the world. When the incumbent president<br />
Donald Trump seeks reelection to a second term in 2020, he will be<br />
fighting challenges from a diverse range of candidates. But how do<br />
they negotiate? Sib Law takes us on a guided tour.<br />
In the United States, and in many parts of the world, the name Donald Trump<br />
is a lightning rod for commentary. From trade to immigration to judicial<br />
nominations, opinions abound. <strong>The</strong> US President has fomented disagreements<br />
about these topics via Twitter, and it has kept him and his administration at the<br />
top of most news cycles.<br />
Long before Trump was known for any of these issues, he staked a claim<br />
on the topic of negotiation in the 1987 book Trump: <strong>The</strong> Art of the Deal.<br />
<strong>The</strong> first two years of his presidency have seen a Negotiator-in-Chief<br />
tend toward competitive negotiation in the range of two to four o’clock on<br />
<strong>The</strong> Gap Partnership’s Clockface. His critics have argued for a more collaborative<br />
approach to negotiation, especially when dealing with allies and partners.<br />
More than a year away from the next presidential election, a broad range of<br />
candidates have declared they are running to unseat Pres. Trump; many more have<br />
publicly stated they are formally considering a challenge. Should any of them find<br />
a path to the presidency, they will be responsible for negotiating on behalf of the<br />
United States. By looking at the negotiation styles of the top contenders, we can<br />
start to consider what might be to come.<br />
18
THE NEGOTIATION SOCIETY<br />
SENATOR BERNIE SANDERS<br />
REPRESENTATIVE BETO O’ROURKE<br />
O’Rourke tends to be more<br />
conservative than other<br />
House Democrats, having<br />
voted against the majority<br />
of his party more than<br />
150 times. This suggests<br />
he might adopt more<br />
collaborative negotiating<br />
strategies in working<br />
with political opponents.<br />
However, as a City Council<br />
Member in El Paso, he<br />
adopted a competitive<br />
approach to police union<br />
negotiations over pay, at one<br />
point seeking ways to abolish<br />
the union altogether. If those<br />
tendencies return during a<br />
stint at the White House,<br />
he may find impasses<br />
around signature issues.<br />
Campaigning, Sanders appears unyielding and has<br />
conceded to some descriptions of him as “nasty”.<br />
One might conclude he behaves the same way in<br />
negotiation. History suggests otherwise. Many times,<br />
he has dropped idealism in favor of pragmatism.<br />
During a funding conflict over the Veterans<br />
Administration, as parties approached deadlock he<br />
opted for a live conversation with his opponents that<br />
restarted negotiations and ultimately, led to a deal.<br />
As Mayor of Burlington, VT, he was known to hard<br />
bargain over issues related to poor and workingclass<br />
people: he supported a plant that made Gatling<br />
guns because it brought in jobs. Additionally, he has<br />
shown a willingness to make trades: he scaled back<br />
a waterfront building project he supported to add<br />
public amenities and green space. It’s likely that,<br />
as president, he would vary his negotiating style<br />
to match the specific needs of each negotiation.<br />
SENATOR JOE BIDEN<br />
During the mid-term elections<br />
of 2014, Republicans made<br />
sweeping gains in both houses<br />
of Congress. A week later, Eric<br />
Cantor, Republican and former<br />
House Majority Leader, gave<br />
an interview to Time Magazine<br />
about what it was like to<br />
negotiate with Biden. He said,<br />
Biden “knows how to negotiate.”<br />
He went on to say that Biden,<br />
“understands how far you can<br />
push and not lose a result or a<br />
deal.” In the interview, Cantor<br />
cited his experience serving with<br />
Biden on a commission related<br />
to the debt ceiling. <strong>The</strong>y worked<br />
together for two and a half hours<br />
a day, three days a week, for seven<br />
weeks. He explained “the Vice<br />
President was the only one, and<br />
that commission was the only<br />
entity that really came up with<br />
a list of spending reductions<br />
that both sides could agree to.”<br />
This example is one of many<br />
earning him a reputation as a<br />
dealmaker. Should he find a<br />
path to the White House, it’s<br />
likely Biden will continue his<br />
approach of understanding his<br />
counterparty’s positions and<br />
trading concessions until he<br />
reaches executable agreements.<br />
19
SENATOR KAMALA HARRIS<br />
A relative newcomer to national<br />
politics, Kamala Harris joined the<br />
Senate in 2017. Prior to that she<br />
held posts as California Attorney<br />
General and as a District<br />
Attorney in the San Francisco<br />
Bay Area. Her background in the<br />
courtroom suggests she might<br />
take hard fighting stances on<br />
issues she finds important. She<br />
did this during questioning of<br />
Trump appointees who sought<br />
Senate approval, most notably of<br />
Brett Kavanaugh, in advance of<br />
his confirmation to the Supreme<br />
Court. However, when it comes to<br />
one of her early signature issues,<br />
anti-sex trafficking legislation,<br />
she has chosen not to co-sponsor<br />
bipartisan legislation. Instead, she<br />
has worked behind the scenes as<br />
a broker between advocates for<br />
the legislation and the powerful<br />
Silicon Valley companies who<br />
have concerns around internet<br />
freedom. This change in tack on<br />
a key issue for her indicates she<br />
might vary her style to match the<br />
negotiation situation. Like Barack<br />
Obama when he campaigned for<br />
the White House, there are few<br />
negotiations on a national level to<br />
assess. However, should she find<br />
herself in the Oval Office, her<br />
ability to change her negotiation<br />
style will directly impact her<br />
ability to make deals.<br />
SENATOR AMY KLOBUCHAR<br />
On the heels of a spate<br />
of negative press about<br />
her Senate office work<br />
environment and with<br />
one of the highest staff<br />
turnover rates in a<br />
fifteen-year period, Amy<br />
Klobuchar explains, “I can<br />
be tough.” However, as<br />
a member of the Senate<br />
she is known for her<br />
civility and for working<br />
across the aisle. After an<br />
exchange during the Senate<br />
Confirmation of Brett<br />
Kavanaugh to the Supreme<br />
Court, conservative blogger<br />
Erick Erickson wrote,<br />
“If more senators behaved<br />
like Amy Klobuchar<br />
behaved today, we’d have<br />
a far more dignified<br />
process and Senate.”<br />
She was a central player<br />
in the Common Sense<br />
Coalition of centrist<br />
senators, which was<br />
credited with brokering<br />
an end to the government<br />
shutdown. Should she wind<br />
up at 1600 Pennsylvania<br />
Avenue, there is every<br />
reason to think she would<br />
continue her tendency<br />
to work with, instead of<br />
against, her opponents.<br />
SENATOR ELIZABETH WARREN<br />
Her fiery rhetoric,<br />
rancorous style and<br />
branding as an East<br />
Coast liberal suggest the<br />
last thing she would do<br />
is work across the aisle<br />
with Republicans. While<br />
that may be true on big<br />
ticket issues, her work on<br />
smaller ticket items paints<br />
a different picture. Here<br />
are a few Republicans in<br />
the Senate with whom<br />
she has worked: Shelley<br />
Moore Capito (an opioid<br />
bill, which passed into<br />
law), Thom Tillis (in a<br />
Twitter video in December<br />
2018, she said he was on<br />
the “same page” with her<br />
when it came to veterans),<br />
and Marco Rubio (cosponsored<br />
several measures<br />
in an effort to stop human<br />
trafficking). Should she<br />
become president, her<br />
ability to find common<br />
ground on smaller issues<br />
may help her reach across<br />
the divide on the big ones.<br />
20
THE NEGOTIATION SOCIETY<br />
SENATOR CORY BOOKER<br />
ILLUSTRATIONS: CHRIS PEROWNE<br />
Cory Booker was the first<br />
senator to testify against<br />
another senator when he<br />
testified against Jeff Sessions<br />
for the role of Attorney<br />
General. At the Brett<br />
Kavanaugh confirmation<br />
hearing, he said he was<br />
prepared to release classified<br />
documents to the public.<br />
<strong>The</strong> New York Times<br />
ranked him as the third most<br />
liberal senator. <strong>The</strong>se facts<br />
titillate the most liberal of<br />
the Democratic party and<br />
enflame conservatives.<br />
It’s easy to see a route to<br />
impasse in these public<br />
displays. However, his ability<br />
to break impasses is a charm<br />
offensive. His approach<br />
can best be seen during the<br />
sixth hour of the Kavanaugh<br />
confirmation hearing,<br />
when he warmed the chilly<br />
partisan atmosphere with<br />
praise for his counterparty<br />
“Mr. Chairman…even<br />
though you did not rule in<br />
our favor, I do hope you<br />
understand that I value your<br />
friendship…I have come to<br />
have a deep respect for you.”<br />
Chairman Grassley went<br />
on to speak positively about<br />
their friendship. If Booker<br />
finds himself seated at the<br />
Resolute Desk, it’s likely<br />
his charm will be one of his<br />
critical negotiation tools.<br />
REPRESENTATIVE TULSI GABBARD<br />
<strong>The</strong> former soldier who was deployed to Iraq and<br />
Kuwait is no newcomer to taking a position. She<br />
delighted liberals by resigning as Vice Chair of<br />
the Democratic National Committee to support<br />
Bernie Sanders against Hillary Clinton. <strong>The</strong>n, as<br />
Donald Trump was preparing to enter the White<br />
House, she took a Trump Tower meeting, despite<br />
rumors he was considering her for a cabinet<br />
position. She has openly supported direct talks<br />
with North Korea and has met with Syria’s leader,<br />
Bashar al-Assad. If she lands in the president’s<br />
chair, taking unexpected positions may help her<br />
bridge gaps with political opponents. However, in<br />
doing so, she may alienate some in her own party.<br />
Certainly, being unpredictable will be a tool she<br />
employs in negotiations.<br />
If Donald Trump is elected to another four years as<br />
President of the United States, he may continue to employ the<br />
negotiating style he’s already exhibited. However, lacking the<br />
need to campaign or please a base during a second term, we<br />
may see an unfettered President Trump change his negotiation<br />
style. One thing is certain, whether Donald Trump wins<br />
another four years or one of his opponents wins, the victor’s<br />
negotiation style will impact outcomes. Those outcomes will<br />
impact everything from the economy to law to everyday life.<br />
How does your favorite candidate negotiate? TNS<br />
21
Novelist Katy Regan uncovers<br />
the strategies, decisions and<br />
deals involved in bringing a<br />
book to market.<br />
I<br />
am fairly sure that anyone who<br />
loves reading would agree there is<br />
something thrilling about picking<br />
up a new, highly anticipated book,<br />
and becoming utterly absorbed<br />
in it. It is as though a subtle<br />
alchemy takes place between<br />
writer and reader, a connection<br />
that is unspoken yet powerfully<br />
communicated. This is what most<br />
authors aspire to, and in part this<br />
drives the hours, days, months…<br />
sometimes years…of work<br />
involved in writing a book.<br />
But its writing is only one<br />
part of a book’s birth. From the<br />
germ of an idea forming in the<br />
author’s subconscious to it finally<br />
appearing on the bookshelves,<br />
a book has been on a veritable<br />
odyssey involving not just the<br />
writer, but a team of negotiation<br />
specialists. As a five-times<br />
published author, I am fortunate<br />
to work with just such a team.<br />
I sat down with three of them –<br />
my publisher, agent and publicist<br />
– to learn more about what they<br />
do and the skills they employ.<br />
22
THE NEGOTIATION SOCIETY<br />
THE AGENT THE PUBLISHER<br />
SAM HUMPHREYS<br />
ASSOCIATE PUBLISHER AT MANTLE,<br />
AN IMPRINT OF PAN MACMILLAN<br />
<strong>Negotiation</strong>s for an editor begin<br />
with the buying – in publishingspeak,<br />
acquiring – of the book.<br />
What this involves depends on<br />
whether other publishing houses<br />
want it. If they do, and there’s an<br />
auction, my negotiation will be<br />
HARRIET MOORE<br />
LITERARY AGENT AT<br />
DAVID HIGHAM ASSOCIATES<br />
<strong>Negotiation</strong>s begin the<br />
moment an agent starts working<br />
with an author to get their book<br />
ready to go out on submission to<br />
prospective publishers. I come<br />
with my antennae for the market,<br />
and the author comes with their<br />
artistic vision, so it’s a case of them<br />
deciding what they must remain<br />
about convincing the author and<br />
their agent that we are the right<br />
home for the book. I will share<br />
my editorial vision, for example<br />
where I see it sitting in the market<br />
and on the list of other books I’m<br />
publishing. <strong>The</strong>n of course, there’s<br />
money – not the be-all and end-all<br />
but authors need to live! I come at<br />
it from a commercial point of view,<br />
consider overheads and profitability,<br />
and negotiate with our finance and<br />
contracts team to determine what<br />
I can offer. I’ll also meet with the<br />
in-house sales team, whose job is to<br />
pitch to booksellers. <strong>The</strong>y give their<br />
opinion on the profitability of the<br />
book and where it might sell, which<br />
also informs how much I offer.<br />
Once I’ve acquired a book, I need<br />
the best publishing slot for it, i.e.<br />
what time of year. In our scheduling<br />
meetings we try to ensure there<br />
aren’t two similar titles in the same<br />
slot. Similarly, we wouldn't want to<br />
publish a debut novel in October for<br />
example, as it would compete with<br />
big name authors bringing books<br />
robust on, and me working<br />
within those creative boundaries.<br />
It’s ultimately the agent’s job to<br />
turn the book into its most saleable<br />
self, and this often occurs most<br />
successfully in the sweet spot<br />
where creative vision and the<br />
commercial market meet.<br />
I curate the list of editors to<br />
submit the book to, so I need<br />
to understand what they want.<br />
Lunches with editors are invaluable<br />
therefore, allowing me to accrue<br />
markers of their tastes: so-and-so<br />
loves big romances at the moment,<br />
but would they be open to sci-fi?<br />
My job is to hoard that information<br />
and then matchmake books<br />
to editors.<br />
Once an editor makes an offer,<br />
the real business negotiations begin.<br />
If you have one offer, you negotiate<br />
what rights are on the table and<br />
safeguard as many as possible.<br />
Ideally, we would license the UK<br />
publisher the right to sell the book<br />
in the UK in the English language<br />
only, so we could then sell the<br />
out for Christmas. Sometimes I<br />
think a book is going to be a bigger<br />
book than the sales team and they<br />
have to rein me in! Or I may think<br />
of it as a hardback Waterstones<br />
literary book, whereas they see it<br />
as a commercial book that will sell<br />
in the supermarkets. It’s important<br />
to present a unified vision to<br />
the booksellers, however, so we<br />
negotiate on this before we get in<br />
front of them.<br />
<strong>The</strong> negotiation for the cover<br />
and title are mainly with the author<br />
and their agent. Sometimes it’s a<br />
matter of trying to persuade the<br />
author to go with a cover that<br />
they may not particularly love,<br />
but we feel gives the book its best<br />
chance. Perhaps the most sensitive<br />
negotiation however is the editing<br />
of the book. I am always acutely<br />
conscious of the author’s artistic<br />
sensibilities and creative ownership,<br />
so I try to demonstrate compromise,<br />
for example, “If you agree to let that<br />
bit go, then we can keep that other<br />
bit in.”<br />
translation and US rights.<br />
We will also want to keep film<br />
and TV rights separate. When<br />
trying to sell the book in the US<br />
we can either sell direct to the US<br />
publishers, or pitch to a US agent<br />
who will then submit and sell the<br />
US rights on their behalf. If the<br />
latter, then myself and the other<br />
agent have to negotiate a share<br />
of commission between us.<br />
When there’s more than one<br />
offer, we have to negotiate how to<br />
run that auction. We might ask each<br />
publisher to pay a certain amount or<br />
else they don’t get to the next round<br />
of the auction, or they need to get<br />
their best bid in by a certain day and<br />
time. <strong>The</strong> best offer is not always<br />
the most money, it’s also about<br />
editorial and publishing vision.<br />
Once the match has been made,<br />
and the offer of advance and main<br />
terms, i.e. territories and royalties,<br />
negotiated and accepted, I work on<br />
negotiating the finer points of the<br />
contract for the author.<br />
23
LAURA SHERLOCK<br />
COMPANY DIRECTOR AT<br />
LAURA SHERLOCK PR<br />
As an in-house publicist,<br />
I negotiate with my colleagues to<br />
work on the book I want in the first<br />
place. I then push for proof copies<br />
which are a seal of belief – a sign<br />
the publishing house thinks this is<br />
a book worth going the extra mile<br />
for. <strong>The</strong> book editors of long-lead<br />
magazines (monthly and quarterly)<br />
particularly need proofs because<br />
they work so far in advance.<br />
I’ve then<br />
got to persuade them that this is<br />
the ideal book for their slot and<br />
that issue. When I’m writing a press<br />
release I try and include a couple<br />
of lines that reviewers can lift: if<br />
they can immediately see a sentence<br />
that will work in their copy, they<br />
are halfway to being persuaded.<br />
Often a key focus for the rights<br />
team or the author’s agent is to sell<br />
serialization rights i.e. the right to<br />
extract a section of the book in a<br />
newspaper or magazine. But a big<br />
serial deal with one newspaper can<br />
make it tricky to achieve coverage<br />
in other papers – both because they<br />
will see that one paper has already<br />
had the exclusive, and because the<br />
books are embargoed until this<br />
serialization has run, so we have<br />
less time to get the books into<br />
other journalists’ hands. We try to<br />
negotiate with the rights team to<br />
agree dates for the extract to run<br />
which are sufficiently early that we<br />
have a window of time to get<br />
review copies out and encourage<br />
further coverage. As publicists, we<br />
would ideally like to achieve the<br />
widest coverage possible in the<br />
greatest number of media outlets.<br />
So to us it isn’t<br />
about the value of<br />
the rights deal, it’s<br />
about the value of<br />
the editorial – the<br />
balance between<br />
the benefit of<br />
getting a huge<br />
splash in one<br />
paper or getting<br />
widespread<br />
but smaller<br />
pieces across a<br />
cross-section<br />
of the media.<br />
All newspapers and magazines<br />
want to go first. I believe in being<br />
honest about what coverage I’ve<br />
secured, while respecting that a<br />
newspaper that has already agreed<br />
an interview or feature will not<br />
necessarily want competitors<br />
knowing what their plans are. I am<br />
dealing with journalists who know<br />
and trust me to a certain extent, so<br />
usually that is enough information<br />
for them to make a decision on<br />
whether or not they’re willing to<br />
follow. You can’t mess them around<br />
as they will never trust you again.<br />
In the run up to publication,<br />
I speak with the author about<br />
possible interviews and things<br />
they could write about to publicize<br />
their book. I need to tease out<br />
ideas they may not have thought<br />
of, and sometimes manage their<br />
expectations, “Why can’t I get on<br />
Newsnight/guest edit <strong>The</strong><br />
Spectator?” Sometimes a newspaper,<br />
magazine, radio or TV show might<br />
publish or broadcast a negative<br />
interview or take quotes out of<br />
context, and as the publicist who<br />
has set up the piece, the author may<br />
apportion some of the blame to you.<br />
That’s a tricky part of the job and<br />
a question of explaining what has<br />
happened and perhaps trying to get<br />
a correction published, or at least<br />
an apology on email.<br />
Lastly, there are events and<br />
festivals. When we get a request<br />
for our author to appear we need<br />
to ask lots of questions to establish<br />
feasibility. Because if it’s likely to<br />
be five people in a library in<br />
Edinburgh when the author lives<br />
in London and they’re only<br />
covering expenses, we probably<br />
have to politely decline! TNS<br />
THE PUBLICIST<br />
Katy’s novel, Little Big Love (formerly Little Big<br />
Man in hardback) was published by Mantle, Pan<br />
Macmillan, in paperback on April 18th 2019.<br />
24
THE NEGOTIATION SOCIETY<br />
T h e Futureproof Negotiat o r<br />
Alistair White explains why “future consciousness”<br />
should be practiced by all negotiators.<br />
You have just concluded a deal. You shake<br />
hands, smiles all round. Yippee!<br />
<strong>The</strong> master negotiator does it again!<br />
Wait a minute. Ask yourself: at that precise<br />
moment, right there, right then, how much is that<br />
deal worth to you or your organization? Sorry to be<br />
a killjoy here, but the answer is…zero. That’s right.<br />
Nothing, nada, zilch, nix, diddly-squat.<br />
<strong>The</strong> truth is that any deal – whether it is a<br />
multi-billion-dollar international trade agreement<br />
between nation states, or a bargain struck with your<br />
teenage son to tidy his room – is negotiated in the<br />
present but implemented in the future. <strong>The</strong> only<br />
time that deal is worth anything is when goods<br />
and services start to flow between the two nations,<br />
or when you walk into your son’s bedroom and you<br />
can actually see the floor.<br />
And let’s face it, we have all negotiated<br />
agreements which have, for whatever reason, either<br />
gone disastrously wrong or haven’t quite delivered<br />
the results we anticipated. This presents the<br />
seasoned negotiator with both a challenge and an<br />
opportunity: can we craft an agreement that both<br />
protects us against the unexpected and increases<br />
the likelihood of generating the outcome we<br />
want? Like a negotiation architect, can we design<br />
durability into our contracts?<br />
<strong>The</strong> good news is that we can – it just involves<br />
a little thought and foresight. Fundamentally, we<br />
need to ask ourselves the question, “What could<br />
go wrong?”. Of course no one can predict what<br />
will happen in the future, but we are all capable<br />
of imagining what could happen. And if we can<br />
envisage what could happen, then we are in a<br />
position – right here, in the present – to figure<br />
out what we will do if that eventuality arises.<br />
For example, if you conclude a three year<br />
contract that features a pricing structure across<br />
multiple international currencies, then it really<br />
doesn’t take a Nobel Prize winner to figure out that<br />
those currencies might fluctuate against each other<br />
over the contract lifetime. So, in the present we can<br />
build a clause into our contract which stipulates<br />
how our pricing structure will change in the event<br />
of a fluctuation of x or y percent. We have secured<br />
the future of our agreement and furthermore, we<br />
have avoided the possibility of having to react<br />
quickly to an unforeseen development and hastily<br />
renegotiate our contract when we are under short<br />
term pressure. Moreover, this kind of renegotiation<br />
has a nasty habit of escalating into a dispute that<br />
threatens the integrity of the whole agreement.<br />
It doesn’t have to be currency. Just think of all<br />
the macro-economic circumstances that might<br />
change over the duration of the contract and work<br />
out, with your counterparty, how you will deal with<br />
them should they happen. If they don’t happen,<br />
then you carry on as before; but if they do, then<br />
at least you are protected.<br />
I imagine that most of you have some form of<br />
life insurance or that you have insured your home<br />
and its contents. You really don’t want your house<br />
to burn down and you definitely don’t want to die<br />
prematurely – the likelihood is that neither of these<br />
will happen. But, sensibly, you have made provision<br />
in advance, to protect yourself and your family<br />
against either eventuality. Why would you not do<br />
the same in your other negotiations?<br />
But we can go further than that. Virtually<br />
every contract I have ever seen will contain some<br />
concrete measurement around the outcome which<br />
the contract is supposed to generate. It could be<br />
a sales number, it could be a completion date, it<br />
could be a performance measurement. Somewhere<br />
in the contract there will be a specific metric<br />
that acts as an indicator of success. Again, it isn’t<br />
difficult to imagine circumstances in which that<br />
metric is not achieved, or even over-achieved.<br />
<strong>The</strong> future-conscious negotiator will build clauses<br />
into their contracts which either penalize underperformance<br />
or reward over-performance – or<br />
even a combination of both. In doing this, we are<br />
building a layer of protection into our contract that<br />
increases the probability of a successful result.<br />
Two of the key personality traits of a negotiator<br />
are caution and creativity. By exercising caution<br />
we can assess the various factors that pose a risk<br />
to our agreement. By deploying our creativity we<br />
can design contracts that protect us and make the<br />
successful implementation of the contract all the<br />
more probable.<br />
Negotiate the future, in the present.<br />
mmxix<br />
25
LEARNING<br />
LOBOLA<br />
Campbell Graham reports on an ancient<br />
African custom with negotiation at its heart.<br />
One of the occasions I most enjoy as a negotiation<br />
consultant is the team dinner on the second day<br />
of a workshop. It’s a chance for my delegates and<br />
I to relax, get to know each other over a drink, and share<br />
our negotiation war stories. It was recently at one of these<br />
dinners that I was somewhat taken aback to overhear one<br />
delegate ask another, “How much did you pay for your wife?”<br />
As conversation starters go, it proved a strong one – and the<br />
topic of lobola went on to dominate the evening’s discussion.<br />
As the night wore on, I realized that despite living in Africa<br />
for most of my life I knew remarkably little about this<br />
ancient and very specific type of negotiation.<br />
Lobola is an African tradition where the families of a<br />
betrothed couple negotiate how much will be paid by the<br />
groom’s family to the bride’s. This “bride price” – traditionally<br />
remunerated with cattle – symbolizes the groom’s family’s<br />
gratitude to the bride’s family for the upbringing of their<br />
daughter and as such aims to build unity between the two<br />
families. <strong>The</strong> practice of lobola is still widely viewed as a<br />
key step in cementing a couple’s relationship and is supported<br />
by both men and women. Recognized in law, it is governed<br />
under the Recognition of Customary Marriages Act (1988).<br />
<strong>The</strong> bringing together of two families is an appealing<br />
concept, but what intrigued me was the negotiation angle.<br />
What’s the protocol of these negotiations? How long do<br />
they take? Who is involved? And, are there any lessons<br />
for the modern-day commercial negotiator?<br />
Seeking to deepen my understanding, I met with four<br />
of my clients and asked them to talk me through their own,<br />
very personal, experience of lobola.<br />
26
THE NEGOTIATION SOCIETY<br />
THEMBA MABIZELA<br />
PROVINCIAL HEAD OF BUSINESS BANKING,<br />
FIRST NATIONAL BANK<br />
SIBONGILE MTSHALI<br />
SENIOR MANAGER: INTEGRATED MARKETING<br />
COMMUNICATION, AT FNB SOUTH AFRICA<br />
My lobola negotiation took place in 1994 between<br />
two Zulu families. <strong>The</strong> build-up to the negotiations<br />
was an exciting and anxious time for all concerned. In our<br />
culture the preparations before the meeting take days and<br />
include the slaughtering of a cow or sheep ready for the<br />
feast that will take place immediately after the negotiations<br />
are concluded. As the groom I was not permitted to take an<br />
active role in the negotiations, but I did attend to observe<br />
the discussions. Crucially, this meant I had some control<br />
over how much was paid.<br />
Traditionally this payment is made in cattle, but as a<br />
modern couple we’d decided to ask for a cash equivalent.<br />
Once the bride’s party had stated their price and put forward<br />
their rationale, we requested a time-out to discuss their offer.<br />
<strong>The</strong>y’d agreed to our cash request, which we felt was a good<br />
sign, so we returned to the negotiations with a counter offer.<br />
That was the beginning of intense discussions that went back<br />
and forth from morning till noon, before we were finally able<br />
to settle on a price that was acceptable to all.<br />
I was anxious about what to expect – the process<br />
is very formal and I had heard stories where the<br />
“requesting party” was sent home because a step in the<br />
process was missed. I did not want that to happen.<br />
As the bride, tradition did not permit me to be present<br />
during the negotiations. My role was to meet the party<br />
representing my husband so they could confirm if it was me<br />
or my sister they had come to negotiate about. I remember<br />
rolling my eyes at the absurdity of this and thinking –<br />
“Seriously, guys?”<br />
After the negotiation my mother reported that my father<br />
made a surprising move. Following a high opening offer,<br />
Dad intervened and said, “I don’t want these kids to start<br />
life with a struggle. My daughter and this young man are<br />
building a life together, and that is going to need money.”<br />
This was unheard of but my father stood firm. My husband<br />
and I still talk about the kindness my father showed us that<br />
day, and that we must remember this for the future if our<br />
daughter gets married.<br />
KATLEGO MOLUTSI<br />
SENIOR CATEGORY MANAGER, ANGLO AMERICAN<br />
KAYA MLENZE<br />
REGIONAL BUYER, AFRICA'S LARGEST RETAILER<br />
My lobola negotiation took place in 2016 between<br />
my Tswana family and my wife’s Sotho family.<br />
It was a complex and formal process and made me feel<br />
as if I was being asked to buy my place in my wife’s<br />
family – this negotiation was very different to a<br />
commercial transaction.<br />
Firstly I had to find three people, who I implicitly trusted,<br />
to represent my interests. My mother helped to select my<br />
team, and we decided on my uncle and two close family<br />
friends. Tradition dictates that the groom does not take part<br />
in the negotiations, but these days there is scope to bend<br />
the rules. I met with my wife’s father before everyone else<br />
got involved to discuss what the family’s expectations<br />
were regarding the lobola payment. This unconventional<br />
approach was effective and allowed me to agree the<br />
lobola amount and what it would be used for in advance<br />
of the official negotiations.<br />
My lobola negotiation occurred in 2013 between<br />
my Xhosa family and my wife’s mixed-race family.<br />
It began outside the gate of the bride’s family’s house and<br />
started off firmly on the right-hand side of the Clockface.<br />
Initially the groom’s party received the “silent treatment” but<br />
then, once acknowledged, they were invited into the house,<br />
or more specifically, the “negotiation room”.<br />
Gifts were presented and the negotiation proper began.<br />
Once the first offer had been made, the bride’s party counteroffered<br />
supported by a rationale why their daughter was<br />
worthy of the higher price. <strong>The</strong> negotiations began to move<br />
around the Clockface as our future together was considered<br />
and further offers were put forward. As they began to reach<br />
an agreement, another date was set to further discuss details<br />
and the basis of our families’ new relationship with each<br />
other was established.<br />
27
NEGOTIATION PRINCIPLES FROM LOBOLA<br />
Listen to the other family’s perspective. Get inside the other party’s head.<br />
Understanding the other side’s priorities and situation is the best way to<br />
achieve a mutually acceptable deal.<br />
Behave with humility. Don’t let ego get in the way. Don’t open the<br />
negotiations with money; instead begin with prayer or the offering of gifts.<br />
Proceed with caution. Remain consciously competent. Follow each<br />
stage of the negotiation in turn and with patience. Do not resort to<br />
arguing. Both parties should be aiming to build relationships.<br />
Know your figures. Be in control of the math. Understand the real cost<br />
of what you are negotiating. For example, negotiating cash rather than<br />
cattle shows that the couple’s needs for their wedding are being considered.<br />
Hold your nerve. Stick to the plan. Tension will build up at times,<br />
and this is when it is important to not deviate from your game plan or<br />
get emotional. People prefer to do business with people they respect<br />
and this certainly applies in the coming together of two families.<br />
FOR LOBOLA<br />
Lobola has been carried out for<br />
generations and is deeply embedded<br />
in African culture, but how relevant<br />
will it continue to be in the future?<br />
On the one hand its opponents<br />
argue that it is rooted in a patriarchal<br />
system out of step with modern times,<br />
commoditizing women and creating<br />
a financial barrier to marriage which<br />
disadvantages those of lower financial<br />
means. However recent legal challenges<br />
to lobola have had mixed results.<br />
In 2016 a Ugandan court rejected an<br />
appeal to ban the practice but ruled<br />
that men can’t ask for a refund in case<br />
of divorce. In the same year Zimbabwe<br />
passed a law preventing parents from<br />
accepting payment for daughters under<br />
the age of 18.<br />
Supporters of lobola point to the<br />
values of mutual respect, love and<br />
dignity upon which it is built, and<br />
argue that it is a beautiful tradition<br />
which brings families together, unites<br />
communities, and future-proofs and<br />
redistributes wealth.<br />
Whichever camp you fall into, the<br />
study of lobola is a fascinating one for<br />
negotiators. Drawing from my own<br />
investigations, I was struck by how the<br />
principles of effective negotiation are<br />
as relevant to this ancient custom as<br />
they are to a modern-day commercial<br />
scenario. And so it proves that the skill<br />
of negotiation, rooted as it is in human<br />
psychology, is truly timeless. TNS<br />
28
THE NEGOTIATION SOCIETY<br />
Tricks of my Trade<br />
US consultant Mikaela Hollidge takes her<br />
turn in the hot seat to be quizzed about how<br />
her commercial life before TGP informed her<br />
expertise and passion for negotiation.<br />
<strong>The</strong> <strong>Negotiation</strong> <strong>Society</strong>: What did you do before<br />
becoming a negotiation consultant?<br />
Mikaela: I spent the first ten years of my career in retail.<br />
It appealed to me as it combines art and science: you<br />
could be a buyer working with the design team but<br />
also be responsible for P&L.<br />
TNS: Where did you start your career and<br />
what did you do?<br />
Mikaela: I joined Target’s grad scheme, a brilliant<br />
introduction as it teaches core skills such as<br />
forecasting, assortment development and trend<br />
recapping. I became an analyst in apparel.<br />
We regularly reviewed and made recommendations<br />
using data – what’s selling per region, what colors<br />
are popular in what sizes – and also assumptions<br />
based on understanding customers and trends.<br />
TNS: Any trends that you spotted?<br />
Mikaela: Yes – the legging! We found they were getting<br />
popular after a trend trip to Boston where preppy high<br />
school girls were wearing them as pants. <strong>The</strong> tricky part<br />
was predicting how high it would go. Could I commit<br />
to 1m units from my supplier? In fact, the leggings<br />
trend never went away. It was fun to be part of that<br />
phenomenon, and a valuable learning curve.<br />
TNS: Tell us about your experience of negotiating<br />
in your role at Target?<br />
Mikaela: As a buyer, I held negotiation events with<br />
my suppliers and in one case 3 suppliers made up<br />
75% of my category and 15 small guys the rest.<br />
I realized the margins of these small guys were<br />
terrible! I negotiated to gain better terms using<br />
low cost/high value trades. I saved $2m and my<br />
profitability saw an 8.5% improvement.<br />
TNS: Impressive! How did it make you feel?<br />
Mikaela: Good, obviously! I gained respect from my<br />
leadership and supplier base and received a Senior<br />
Vice President award for the results. That was when<br />
my passion for negotiation was born.<br />
TNS: Any other notable learning experiences?<br />
Mikaela: I was part of the team who launched Target<br />
in Canada. We were the biggest international retail<br />
expansion ever, with 133 store openings in a year.<br />
Despite the business bombing, it was a great experience.<br />
I helped grow a team and learned how to respond<br />
to failure on a massive scale. It taught me resilience<br />
and grit. My category, Kids Apparel, was one of two<br />
categories to hit its financials for the year, with a<br />
healthy 7% market share in the Back to School season.<br />
TNS: So, Target Canada closed down. What was next<br />
for you?<br />
Mikaela: Walgreens headhunted me to help set up their<br />
merchandising planning team in Chicago. It was an<br />
amazing opportunity – helping to hire a 50-person<br />
team and coaching the rest of the company on how<br />
to work with planning. I found building my team’s<br />
relationship with the buyers incredibly rewarding.<br />
We created a seasonal dashboard that went to the<br />
executive team each week including the President<br />
of Merchandising.<br />
TNS: How did you make the move from<br />
Walgreens to TGP?<br />
Mikaela: TGP started working with<br />
Walgreens during my time there.<br />
At one point, I found myself in front<br />
of [TGP consultant] Paul Bradford<br />
and was in awe. I was looking to<br />
pivot into consulting and decided<br />
this was my dream job. I did my<br />
research and sent a heartfelt note<br />
on LinkedIn to the HR manager.<br />
<strong>The</strong> rest is history.<br />
TNS: What’s it like<br />
working at TGP?<br />
Mikaela: I love it – the<br />
exposure to leadership,<br />
the passion and drive<br />
from everyone across<br />
the business. Above<br />
all I love that my<br />
experience in retail<br />
comes into play<br />
when working<br />
with clients.<br />
We speak the<br />
same language.<br />
29
<strong>The</strong> exclusive online<br />
community for negotiators<br />
In May 2019 <strong>The</strong> <strong>Negotiation</strong> <strong>Society</strong> launched a new digital platform that<br />
provides its members with a range of tools, content and resources that facilitate<br />
the continued learning, embedding and development of negotiation skills.<br />
Members can access:<br />
NEGOTIATION PLANNING TOOLS<br />
Sophisticated yet easy-to-use tools to plan, prepare and<br />
execute the most complex of negotiations. Specifically<br />
designed to ensure that the maximum value is achieved<br />
with every deal.<br />
THE PROFILER<br />
<strong>The</strong> Gap Partnership’s negotiation profiler allows members<br />
to measure their skills against the 14 behaviors required<br />
to be a complete skilled negotiator.<br />
NEGOTIATION CASE STUDIES<br />
A set of realistic and commercial scenarios that members<br />
can use to practice negotiating with each other.<br />
NEGOTIATION SHORTS<br />
A series of bite-size films that explore individual negotiation<br />
principles to refresh learning. Ideal preparation for an<br />
important negotiation!<br />
EVERYDAY NEGOTIATION FILMS<br />
Short films that bring to life how negotiation skills can be<br />
used to optimize the results of those negotiations taking<br />
place outside of work.<br />
NEGOTIATION BLOGS AND INSIGHTS<br />
A new suite of negotiation thought pieces as well as regular<br />
commentary on negotiations in business and the news.<br />
THE NEGOTIATION SOCIETY MAGAZINE<br />
<strong>The</strong> opportunity to view all of the digital versions, or<br />
subscribe to have the printed copy delivered straight to<br />
your door.<br />
THE FOUNDATION NEGOTIATOR<br />
Exclusive access to <strong>The</strong> Gap Partnership’s online learning<br />
app that teaches basic negotiation principles for anyone<br />
looking to develop or refresh their core skills.<br />
DISCUSSION BOARD<br />
An interactive space for members to engage and debate<br />
with each other on topics of interest.<br />
30
THE NEGOTIATION SOCIETY<br />
A GLOBAL<br />
COMMUNITY<br />
connecting over<br />
20,000 members<br />
A KNOWLEDGE<br />
BANK<br />
sharing the latest thinking,<br />
tools and development<br />
resources<br />
A NEWSROOM<br />
serving negotiation news<br />
and insight from around<br />
the world<br />
Membership is open to anyone<br />
interested in negotiation, whether<br />
to develop their skills further, meet<br />
like-minded negotiators, or simply<br />
keep in touch with negotiation<br />
thinking from around the world.<br />
Subscription rates apply. Limited<br />
founding member status available<br />
for alumni of <strong>The</strong> Gap Partnership.<br />
To become a member register at<br />
www.thenegotiationsociety.com<br />
31
QUESTION<br />
With companies from Procter & Gamble to General Motors<br />
to Intel hiring futurists, foresight and trend analysis is<br />
becoming firmly embedded in the corporate world.<br />
And little wonder – knowing what might be around the<br />
corner can provide a huge commercial advantage to firms,<br />
individuals...and, of course, negotiators.<br />
To get ahead of the game, we asked a group of futurists from<br />
around the world to answer the question, “What future<br />
scenarios do you envisage in your area by 2030?”<br />
32
Dr. Amy Zalman<br />
CEO AND FOUNDER OF STRATEGIC<br />
FORESIGHT CONSULTANCY PRESCIENT<br />
As a futurist, my area is Strategic<br />
Foresight, a management discipline<br />
that helps people and institutions plan<br />
for complex, uncertain and distant<br />
futures. How will the practice of<br />
foresight change in the next decade or<br />
so, and how might the people in firms,<br />
governments and communities begin<br />
to plan differently?<br />
First, there is a growing recognition<br />
now that leaders and organizations<br />
need to approach planning and<br />
organizational change differently.<br />
<strong>The</strong> premise that the future will<br />
be different from the past, once an<br />
abstraction, is becoming a palpable<br />
reality in the workplace, in our daily<br />
lives, in our politics and civic lives, in<br />
our natural environment. <strong>The</strong> scale<br />
of change introduced by artificial<br />
intelligence and through connected<br />
devices promises to be immense, in<br />
ways both productive and harmful.<br />
Leaders and organizations are<br />
in the process of waking up to this<br />
fact, and there is, as a result growing<br />
interest in the mindsets and toolkits<br />
that futurists use. By 2030, there is<br />
likely to be an even broader and more<br />
intense understanding that we – all of<br />
us – are living through a transformative<br />
moment. People may respond by<br />
shying away from change, but there<br />
will be greater will to understand and<br />
adapt to change.<br />
Second, artificial intelligence is<br />
likely to play a larger role in planning.<br />
Analytics will have grown more<br />
nuanced in offering predictive insights<br />
about communities or customers,<br />
and many decisions will be based on<br />
patterns found in massive data sets.<br />
We will all have to make decisions<br />
about the benefits and drawback of<br />
algorithm-based planning, and to<br />
grow literate in the new versions<br />
of planning this engenders.<br />
Shara Evans<br />
FUTURIST KEYNOTE<br />
SPEAKER<br />
Researchers are predicting that<br />
within a few years digital assistants such<br />
as Alexa, Google and Siri will routinely<br />
analyze conversations to provide<br />
relationship advice, and with the help of<br />
genetic matching even predict chemistry<br />
and compatibility between people<br />
looking for a partner. This type of AIbased<br />
analysis is likely to make its way<br />
into the business world: imagine having<br />
a conversation with a business prospect<br />
and your personal AI sends you prompts<br />
through your augmented reality glasses<br />
on the best way to “seal the deal”.<br />
We’ll see advances in health-related<br />
technologies, with precision medicine<br />
enabled by genetic research, nanotechdriven<br />
cures, preventive therapies,<br />
and tiny robots capable of performing<br />
surgery deep within our bodies,<br />
autonomously or guided by doctors.<br />
Wearables – machines buried deep<br />
within our bodies – will provide realtime<br />
telemetry of everything happening<br />
inside of us. Many of these technologies<br />
are being experimented with in labs<br />
right now and will be ready by the<br />
mid-2030s.<br />
Voice interfaces are going to<br />
be commonplace, and kids will be<br />
perplexed when they encounter<br />
something that doesn’t talk back to<br />
them! Image recognition is rapidly<br />
making its way into our everyday<br />
world – from facial recognition to<br />
unlock our smartphones to state-based<br />
surveillance of our every move. We’ll<br />
continue to generate massive data sets<br />
from our phones, computers, gadgets<br />
and everything we do. People and<br />
companies will be looking to monetize<br />
this information, or more nefariously<br />
use it for criminal purposes.<br />
<strong>The</strong>re are many exciting technologies<br />
on the horizon. It’s up to us to decide<br />
when, where and how we will deploy<br />
them. This is the time and place to<br />
stand back and take stock of the future<br />
we want to build for humanity.<br />
Maree Conway<br />
FORESIGHT PRACTITIONER AND<br />
STRATEGIC ADVISOR, THINKING FUTURES<br />
One of my specialist areas of<br />
foresight is further education. I can<br />
see four possible futures for the<br />
university in 2030.<br />
<strong>The</strong> corporate university<br />
A linear, business as usual projection<br />
of today, where the university continues<br />
to be a corporate and controlled public<br />
institution, with no real ability to shape<br />
its future.<br />
<strong>The</strong> academic university<br />
More a hope than a possibility –<br />
where the traditional and deeply<br />
held belief in the university’s social<br />
purpose resurfaces, and the right to<br />
determine what a university does<br />
returns to the academic.<br />
<strong>The</strong> alternative university<br />
New structures and processes<br />
are already being established outside<br />
today’s higher education system.<br />
<strong>The</strong>se universities share the belief<br />
of the second possible future around<br />
the university’s social purpose but here<br />
academics have decided that they won’t<br />
‘play the game’ and have moved outside<br />
the system.<br />
<strong>The</strong> digital university<br />
A projection of today, one where<br />
technology is part of the design and<br />
operations of universities. It rejects old<br />
ways of teaching and seeks two-way<br />
real time interaction with students.<br />
<strong>The</strong>re is a final possible future,<br />
emerging from a trend towards<br />
seeing university education as having<br />
little relevance in today’s world –<br />
too expensive, unnecessary and a<br />
waste of time. In this future, there<br />
are no universities.<br />
It’s unlikely that any of these<br />
possible futures will emerge as I’ve<br />
described there. Instead, we need<br />
to take a futures stance to better<br />
understand today’s shifting context<br />
for universities to respond proactively<br />
to shape change rather than end up<br />
having no choice but to react to it.<br />
33
Cecily Sommers<br />
BUSINESS FUTURIST, AUTHOR,<br />
KEYNOTE SPEAKER<br />
<strong>The</strong> story of the next ten<br />
years holds fascinating potentials.<br />
<strong>The</strong> AI race is only getting hotter.<br />
<strong>The</strong> functional combination of<br />
surveillance, automation, and machine<br />
learning – what AI looks like today –<br />
will deepen and spread. Its effect on<br />
our economy and society is at once<br />
subtle and profound. <strong>The</strong> virtual,<br />
digital, autonomous economy that it’s<br />
spawning has a life of its own. Like<br />
a genie released from its bottle, AI is<br />
kicking over the old containers, running<br />
roughshod over our slow, deliberative<br />
democratic processes, our free-market<br />
ideology, and our views on privacy,<br />
rights, and morality.<br />
Though AI will continue to take<br />
the limelight, the real power over the<br />
next decades will be how it combines<br />
with other equally revolutionary<br />
technologies, such as bioengineering.<br />
<strong>The</strong> ability to clone and edit DNA,<br />
print organs and food, and make<br />
custom biological treatments<br />
and enhancements relies on AI.<br />
Together AI and neurobiology will<br />
literally blow our brains open, as we<br />
begin to wire nature and tech into a<br />
complementary intelligence. That’s the<br />
dream that many researchers are after<br />
and, as with most tech dreams, it’s just<br />
a matter of time before they come true.<br />
<strong>The</strong> most compelling aspect of these<br />
technologies is how fundamental they<br />
are. AI is redefining intelligence, and<br />
bioengineering is redefining life itself.<br />
However, the one to watch in these<br />
next ten years is quantum computing<br />
which may redefine what reality is,<br />
what facts are, and even the principles<br />
and tools we use to probe the universe.<br />
<strong>The</strong> science behind each of these<br />
technologies is as real as it is radical.<br />
We must become comfortable enough<br />
with these ideas that we can then be<br />
thoughtful about how we use them.<br />
Our collective goal for 2030 should<br />
be to become not only more intelligent<br />
on these matters, but wiser.<br />
Alisha Bhagat<br />
SENIOR STRATEGIST,<br />
FORUM FOR THE FUTURE<br />
A healthy, flourishing food system is<br />
critical for human health and planetary<br />
stability. Continuing along the current<br />
trajectory, by 2030 we could see further<br />
degradation of agricultural land and<br />
healthy food becoming a scarce luxury.<br />
Or we could experience a future that<br />
shifts towards sustainable agriculture<br />
practices, reduces food waste, and<br />
provides food that is affordable,<br />
convenient, nutritious, and culturally<br />
relevant. To achieve a preferred future<br />
we must first deal with many critical<br />
present-day problems.<br />
Laborers throughout the food<br />
system, from farmworkers to restaurant<br />
staff, are among the lowest paid. If we<br />
continue to devalue this work, we will<br />
struggle to build a just food system that<br />
reflectsthe critical role of growing crops,<br />
planning and preparing meals, and<br />
feeding people.<br />
Consumers can face up to 50,000<br />
products in a grocery store. To make<br />
the task of choosing food even more<br />
difficult, there are hundreds of studies<br />
in the media making health claims<br />
about particular foods. Consumers<br />
consistently express preferences for<br />
healthy, tasty, sustainable food, but the<br />
barrage of information can make it<br />
impossible to know what to buy.<br />
Current solutions split into two<br />
camps. On one side you have those that<br />
support tech-driven, highly engineered<br />
products such as lab-grown meat, meal<br />
replacements, fortified grains, and plantproteins<br />
that mimic meat. In contrast,<br />
a very different food movement<br />
prioritizes minimally processed foods,<br />
regenerative agriculture, local and<br />
organic foods. Ideological differences<br />
between food advocates is resulting in<br />
missed opportunities as people focus on<br />
what divides them.<br />
We have the resources to build the<br />
future we desire. However, we need to<br />
rethink our values and norms in order<br />
to collaborate to achieve a sustainable<br />
food system.<br />
Dr. Jennifer Gidley, phd.<br />
DIRECTOR OF RESEARCH,<br />
OCEANIC RESEARCH INSTITUTE<br />
<strong>The</strong> future we face threatens to<br />
end comfortable, urban, middleclass<br />
lifestyles. <strong>The</strong> impact of a global<br />
climate crisis is evident with wildfires,<br />
floods and extreme weather, indicating<br />
futures of rising seas, drowning cities<br />
and drastic food shortages, as arable<br />
land is lost to drought, floods and<br />
salination. While climate scientists<br />
see so clearly, many politicians appear<br />
almost blind.<br />
Science reports the nine hottest years<br />
on record occurred in the last decade,<br />
attributing heating atmosphere and<br />
oceans to increased carbon emissions.<br />
<strong>The</strong> UN Special IPCC Report (2018)<br />
warns that heating above 1.5 degrees<br />
celsius will expand oceans, causing<br />
extinction of coral reefs and entire<br />
ecosystems, displacing hundreds of<br />
millions of people worldwide. <strong>The</strong> UN<br />
Secretary-General Antonio Guterres<br />
warns we must take "urgent and far<br />
more ambitious action” to cut emissions<br />
in half by 2030, reaching net zero<br />
emissions by 2050. Many politicians<br />
supported by coal and oil industries<br />
refuse to accept this. In Australia,<br />
politicians argue that coal creates jobs,<br />
but Germany disproves this having<br />
created more jobs in renewables than<br />
they lost from closing down coal.<br />
As former President of the World<br />
Futures Studies Federation (2009-17),<br />
I know that “catastrophic futures”<br />
is but one scenario. <strong>The</strong>re are many<br />
others. Humans have never been more<br />
conscious, more globally connected, or<br />
more capable of radical positive change.<br />
<strong>The</strong> instantaneous communications at<br />
our fingertips can mobilize millions in<br />
an instant to act for positive change.<br />
School children striking for climate<br />
action to protect their own futures<br />
are showing real leadership with<br />
knowledge, passion and political will.<br />
My book <strong>The</strong> Future: A Very Short<br />
Introduction examines “Grand Global<br />
Futures Challenges”, including climate<br />
change options, and proposes numerous<br />
“global futures alternatives” that offer<br />
powerful opportunities.<br />
34
Koffi Kouakou<br />
DIRECTOR, THE MILLENNIUM PROJECT,<br />
SOUTH AFRICAN NODE (A THINK TANK)<br />
Here are four future scenarios for Africa.<br />
Afreedomia: Africa grows mineralrich<br />
and closes exceptional deals<br />
Africa becomes global investors’<br />
best friend for natural resources deals;<br />
described by <strong>The</strong> Economist as the<br />
“New Scramble for Africa”. Africa’s<br />
resources attract world-class investors<br />
for deals that speed up economic<br />
growth. African nations are prosperous<br />
and strike fair deals. Key business<br />
implication: <strong>The</strong> art of negotiation is<br />
an important instrument for better<br />
deals in Africa.<br />
Afrorisia: Africa is resource-rich<br />
yet it gets raw deals<br />
Africa’s natural resources attract<br />
investors but achieves unfair deals to the<br />
detriment of its economy. Unscrupulous<br />
investors don’t play by the rules. China<br />
becomes the dominant trade player and<br />
the yuan becomes the preferred trading<br />
currency. Key business implication:<br />
Be ready to negotiate in Swahili<br />
and Mandarin.<br />
Afropocalypse: Africa's reserves<br />
decline so it gets raw deals<br />
<strong>The</strong> scramble for Africa by global<br />
investors turns into a war over<br />
resources. Africa's economic growth<br />
declines due to poorly negotiated<br />
mining extraction deals, environmental<br />
degradation, political turmoil, poverty,<br />
unemployment, corruption, resource<br />
nationalism, and disinvestment. Key<br />
business implication: Short-term<br />
negotiation for better, low-cost deals<br />
becomes a priority.<br />
Afrocentria: Africa's resources<br />
are depleted but it gets fair deals<br />
Although Africa's natural resources<br />
are depleting, it enters an era of<br />
attractive negotiation with the rest<br />
of the world. <strong>The</strong> new scramble for<br />
Africa diminishes to a few global<br />
players, mainly Asian investors. Africa<br />
is now “China’s Second Continent”,<br />
as Howard French quips in his book.<br />
Key business implication: Africa<br />
becomes the center of complex and<br />
risky business deal negotiations.<br />
Bronwyn Williams<br />
TREND ANALYST AND FORESIGHT<br />
LEAD, FLUXTRENDS.COM<br />
<strong>The</strong> global balance of power has<br />
reached a crossroads. Technological<br />
advances are combining with shifting<br />
socio-economic trends, creating new<br />
ideologies, each pushing for a<br />
different version of utopia.<br />
Let’s consider some scenarios:<br />
AI + UBI = Social Utopia<br />
Tech-pessimism, caused by<br />
rising digital displacement results<br />
in widespread acceptance of statesponsored<br />
universal basic income as<br />
an alternative to the current capitalist<br />
economy e.g. Democrat Andrew<br />
Yang’s 2020 presidential campaign<br />
pledge of UBI for all.<br />
AI + Centralized Control =<br />
Centrally Planned Economy<br />
<strong>The</strong> threat of terrorism causes<br />
governments to follow China’s lead<br />
and invest in surveillance technology<br />
to monitor, control and protect their<br />
populations. Citizens voluntarily give<br />
up a level of privacy and autonomy in<br />
exchange for security e.g. China’s<br />
social credit score system.<br />
AI + Private Corporations = Smart Cities<br />
Cash-strapped governments with<br />
ageing populations, unable to raise<br />
funds to update infrastructure through<br />
taxation or quantitative easing, allow<br />
tech corporations to develop selfgoverned<br />
smart cities, outsourcing<br />
part of the governance function to the<br />
private sector e.g. Toronto’s partnership<br />
with Google’s Sidewalk labs.<br />
Blockchain + Individualism =<br />
Self Sovereignty<br />
Individuals, empowered by new<br />
technologies, reject control by states<br />
and privacy-invasions by corporations<br />
in favor of collaborative self-governance<br />
systems e.g. BitNation and V-Taiwan.<br />
Regardless of which socio-economic<br />
governance scenarios plays out<br />
corporations and individuals<br />
need to be aware of all possibilities<br />
and implications so they can take<br />
steps today to ensure their preferred<br />
futures have the best chances of<br />
coming to fruition.<br />
Carmen Villadar<br />
BUSINESS DEVELOPMENT AND<br />
ENGAGEMENT CONSULTANT<br />
I see the “artificial intelligence<br />
of things” (AIoT) becoming more<br />
prevalent in industries that have seen a<br />
surge in innovation and new technology<br />
adoption over the past fifteen years.<br />
Healthcare, fintech, education, and<br />
business services have been the main<br />
themes that have occupied most<br />
of my consulting career, however,<br />
implementation and/or integration<br />
of some form of artificial intelligence<br />
will also take hold in the older more<br />
established industries such as logistics<br />
and transportation, manufacturing,<br />
and construction.<br />
<strong>The</strong> obvious use of virtual reality<br />
and augmented reality applications will<br />
provide an interesting opportunity to<br />
expand the immersive experience in<br />
the education and entertainment fields.<br />
<strong>The</strong>se industries will learn how to create<br />
VR and AR experiences that heighten<br />
even our basic daily experiences.<br />
<strong>The</strong>re will also be a clearer picture<br />
of what the future of work will look<br />
like in the next decade. As the tail end<br />
of the visionary baby boomers hold on<br />
tighter to their foothold in emerging<br />
technologies, the idea of remote<br />
work will be a forethought in more<br />
workplaces. We’ll see more and more<br />
thoughtful contribution by a group<br />
of Millennials who have managed to<br />
balance online/offline life. More so,<br />
it will be the later Post-Millennials<br />
(Generation Z) who will stand out as<br />
true game changers. This generation<br />
will set the new standards of society,<br />
culture, and humanity. We’ll have much<br />
to learn from Generation Z. Sit back,<br />
observe and take notes. TNS<br />
35
Steve Gates introduces the TCSN-6, the innovative<br />
negotiation program that is experiential, transformative<br />
and entirely virtual.<br />
ur residential workshops are based on experiential<br />
learning: learning from doing. As such they are<br />
measurable and accountable while delivering<br />
confidence and performance. For many years our clients<br />
have been asking for increased flexibility in how we deliver<br />
our training; a format which their teams can attend over a<br />
period of time from home or the workplace. <strong>The</strong>y may have<br />
a business need spread across geographically remote areas,<br />
or perhaps their teams from, say, Africa and Australia, wish<br />
to adopt a common way of working together.<br />
We are living in an age of disruption that is<br />
revolutionizing the way people learn. Advances in technology<br />
and a millennial mindset have transformed how information,<br />
knowledge and news is absorbed. Ever-increasing<br />
connectivity and the proliferation of cloud-based platforms<br />
combine with social media, instant communication and<br />
virtual relationships to become the new norms.<br />
Our challenge was how to deliver the experiential<br />
component and have our attendees learn from practice whilst<br />
still enabling the workshop to take place online. We know<br />
from research that many existing online training options<br />
struggle with this, often delivering the facts but missing the<br />
journey. This is fine if you want to learn about a process, a<br />
law or a product, but where human interaction is concerned<br />
we found that the binary nature of an online question and<br />
answer format is simply not strong enough to change behavior.<br />
We have embraced the challenge.<br />
We have built the platform,<br />
reengineered and updated the<br />
content of <strong>The</strong> Complete Skilled<br />
Negotiator, and launched our first<br />
pilot workshops.<br />
<strong>The</strong> Complete Skilled<br />
Negotiator 6: the world’s leading<br />
negotiation behavioral change<br />
program – via your laptop.<br />
IN BRIEF<br />
• A 6-week negotiation program incorporating<br />
6 live case studies and featuring modules<br />
delivered by 6 negotiation consultants.<br />
• 42 hours of online tuition, 22 of which are<br />
interactive with our consultants, ensuring<br />
active and consolidated learning.<br />
• Full utilization of Gap Tools, our online<br />
negotiation planning tools, across two<br />
live negotiations.<br />
• A workshop app which helps attendees manage<br />
their learning with progress charts, live attendee<br />
profiling and interaction with other participants.<br />
• 360-degree feedback and personal reports<br />
produced by experienced negotiation consultants.<br />
<strong>The</strong> formal release of available<br />
dates for TCSN-6 will commence<br />
in the summer of 2019. For more<br />
information please contact<br />
<strong>The</strong> Gap Partnership.<br />
36
THE NEGOTIATION SOCIETY<br />
Tim Green<br />
Hoping for the best:<br />
a poor strategy for<br />
a wildebeest, and<br />
a negotiator<br />
Human beings have always possessed the ability to<br />
dream, to imagine something better for tomorrow<br />
than the reality of today. Central to this is the<br />
concept of hope, defined in the Oxford English<br />
Dictionary as, “a feeling of expectation and desire for<br />
a particular thing to happen”. Whether hope is the<br />
sole domain of humans is a question for the scientists<br />
to debate – although I’ve often wondered what passes<br />
through the mind of a wildebeest as it jumps off the<br />
banks of the Mara River in Kenya, having just watched<br />
its best friend get munched to pieces by one of the<br />
dozens of giant crocodiles lying in wait…if it isn’t hope,<br />
then it’s certainly a plucky spirit!<br />
<strong>The</strong> trouble with hoping for better things is that for<br />
most people it means putting the outcome in the hands<br />
of someone else. You are relying on others to deliver on<br />
your hope and make life better for you, to do the work<br />
that you can’t, or won’t, do. Perhaps they’re the scientists<br />
and engineers figuring out how to make things taller,<br />
smaller, stronger or lighter, while you were trying to<br />
figure out how quickly you could drink a pint of beer at<br />
college. Perhaps they’re the environmentalists striving<br />
to rid the seas of plastic while you’re busy buying a bottle<br />
of water at the beach. <strong>The</strong> point being, it’s them doing it,<br />
not you.<br />
<strong>The</strong> other problem with putting your faith in others<br />
is that the reality that transpires can be far removed<br />
from the utopian picture you were sold. History is<br />
littered with such examples. What’s billed as the next big<br />
thing, an innovation to transform humankind, can turn<br />
out to be as full of gas as the mighty Hindenburg just<br />
before the much-heralded future of air transportation<br />
(and the entire passenger airship industry) quite literally<br />
went down in flames in Manchester Township, New<br />
Jersey on May 6, 1937. Fictional scenarios can be just as<br />
misleading. In Back to the Future Part II, Marty McFly<br />
finds himself in 2015 where he borrows a futuristic<br />
hoverboard to escape the evil Biff. <strong>The</strong> film was shot in<br />
1985, and looking 30 years ahead a flying skateboard<br />
seemed, well, highly plausible. But has anyone seen a<br />
kid on a flying skateboard recently?<br />
As disappointed as some of you might be that we<br />
aren’t all holidaying on the moon by now – as <strong>The</strong><br />
Jetsons cartoon of the 1980s would have had the more<br />
mature readers of this magazine believe – the folly of<br />
hoping for something better and putting your faith in<br />
others to deliver it for you is even more damaging and<br />
inappropriate in your commercial negotiations, where the<br />
costs can be huge. <strong>Negotiation</strong> is a process that requires<br />
you to absolutely rely on yourself, not others, to make<br />
your dreams a reality. <strong>The</strong> adage that “you don’t get what<br />
you deserve, you get what you negotiate,” is one that<br />
all commercial negotiators would do well to remember.<br />
Hoping for the best is a sure-fire way to minimize the<br />
value of any deal for yourself before you’ve even started.<br />
And worse than that, it’s plain lazy. Just like the person<br />
who doesn’t exercise and is surprised to find they’ve<br />
gained 20lbs, when the result of your negotiation isn’t<br />
what you wanted, the blame game may start: “It was out<br />
of my control”, or “It was someone else’s fault.”<br />
But, of course, it wasn’t. It was yours. Your job as<br />
negotiator is to control the total process. This means<br />
ensuring that every step is planned and prepared; that<br />
you are operating inside the other party’s head; that you<br />
have modeled and played through different negotiation<br />
strategies and scenarios in enough time to arrive at an<br />
option which, aligned through your business, offers the<br />
best potential at that moment. But, of course, things<br />
don’t always go to plan, so you will also need to have<br />
prepared options, fallbacks and other routes to take<br />
in case something happens you weren’t prepared for.<br />
Given the need to do all of these things, and more<br />
besides, the sheer notion of simply hoping for a positive<br />
outcome (and by extension doing little or nothing<br />
yourself to make that happen) is unwise and as unlikely<br />
to work out positively for you as the decision by our<br />
friend the wildebeest to take a giant leap of faith from<br />
the banks of the Mara River. Just like him, you’re in<br />
serious danger of getting munched! TNS<br />
37
ASK ALISTAIR<br />
<strong>Negotiation</strong> expert Alistair White returns<br />
to answer questions from our alumni.<br />
Q: Will the highest value deals of<br />
the future be achieved by the team<br />
with the best algorithms rather<br />
than the best negotiators?<br />
Account Director, Media<br />
A: You may be astonished to<br />
learn that I am not an expert<br />
in artificial intelligence. But<br />
I have done a little desktop<br />
research and come to an<br />
opinion – with the invitation to<br />
others who are better informed<br />
on the subject to tell me I am<br />
talking nonsense.<br />
<strong>The</strong>re are two possible scenarios<br />
here – an algorithm negotiating with<br />
a human and an algorithm negotiating<br />
with an algorithm. For the purposes<br />
of this column, I’ll focus on the<br />
algorithm-human interaction.<br />
<strong>The</strong> short answer is “no”, and I will<br />
offer a few reasons as to why I’ve come<br />
to that view.<br />
I’ll start with emotional intelligence.<br />
Part of the art of negotiation is the<br />
ability to read the<br />
emotional state of mind<br />
of your counterparty,<br />
because the negotiator’s<br />
fundamental task is<br />
to create satisfaction<br />
irrespective of the<br />
outcome. I am not sure<br />
AI can do that.<br />
Now, consider trust.<br />
Particularly in the later<br />
stages of the Clockface,<br />
trust and integrity of<br />
intention are vital if we are to conclude<br />
agreements that will survive in the<br />
future. Can an algorithm trust? Can it,<br />
itself, be trusted? I’m not convinced.<br />
What about creativity? Many<br />
negotiations reach impasse and are<br />
only resolved by the introduction of<br />
a variable that has not hitherto been<br />
discussed. How would an algorithm deal<br />
with something it had not yet heard of?<br />
Finally, listening. A skilled<br />
negotiator arrives at crucial insights<br />
by listening not just to what is said,<br />
but also to the way it is said, and what<br />
is not said. Can an algorithm listen in<br />
this interpretative sense?<br />
“How would an algorithm<br />
deal with something it had<br />
not yet heard of?<br />
I could go on. Suffice to say I<br />
have no doubt that algorithms could,<br />
currently, outperform humans in certain<br />
negotiations – complex, multi-variable<br />
auctions for example – and I am equally<br />
certain that, as technology develops, the<br />
answer to the question might be very<br />
different in a few years’ time. For the<br />
time being, I’ll put my money on the<br />
human.<br />
Q: My biggest customer is always<br />
making unilateral demands for<br />
rebates, investments and more.<br />
What can I do to counteract this?<br />
Regional Portfolio Manager,<br />
FMCG<br />
A: Never argue about why<br />
you shouldn’t concede to<br />
the demand. That will make<br />
your buyer more insistent on<br />
arguing back about why you<br />
should. Ask, “Why?” Get them<br />
to talk about the underlying<br />
reasons for the demand. If you<br />
understand them, you might be able<br />
to suggest different ways of generating<br />
the same outcome by a different route.<br />
Use the questioning sequence of<br />
Why? How else? What if? to open up<br />
the conversation.<br />
Broaden the agenda. I infer you’d<br />
prefer to operate on the left-hand side<br />
of the Clockface. If so, it’s imperative<br />
you do not allow the negotiation to<br />
focus on one single issue, because<br />
that is de facto a<br />
3 o’clock negotiation.<br />
Make a conditional<br />
proposal. Set out the<br />
conditions under which<br />
you would be prepared<br />
to grant them some or<br />
all of what they<br />
are demanding.<br />
Make it clear the offer<br />
is conditional.<br />
Buy time. This won’t<br />
solve the problem<br />
but it allows you to think and consult<br />
internally. Explain you need to seek<br />
guidance internally, or say this is not<br />
something you have come prepared<br />
to discuss and you need time to think<br />
about it. Occasionally, problems will<br />
resolve naturally over time. But don’t<br />
bank on it.<br />
If you have a question for Alistair and<br />
would like it to be considered for our<br />
next issue, please email it to<br />
alumni@thegappartnership.com<br />
38
THE NEGOTIATION SOCIETY<br />
CROSSWORD<br />
Our fiendishly challenging British-style crossword returns.<br />
ACROSS<br />
9 Philosophy to restrict beer (9)<br />
10 See 24<br />
11 Diverse debts follow victory by<br />
acting king (7)<br />
12 See 20 Down<br />
13 Ways and means computer data<br />
to finally be resolved (5)<br />
14 Peak broadcast of essentially<br />
holographic TV set seems<br />
unlimited (2,7)<br />
16 Better way to choose local tree,<br />
cryptically (9,6)<br />
19 Proposed absurd introductions to<br />
gene editing; disgusted, I’d left (9)<br />
22 Heads of designer babies turned<br />
around ten at Academy showing<br />
17D of their lives (7)<br />
23 Mum and I objectively acquiring<br />
flying one of 4D – it’s a fringe<br />
pursuit (7)<br />
24/10 Bright illiberal detective making<br />
responsive pads (5,5)<br />
24/21 Superior’s tackling antibiotic<br />
resistant tuberculosis initially,<br />
doctor might cure using<br />
these (5,5)<br />
25 Attempting to avoid confrontation<br />
– men lie a lot hiding a fling (9)<br />
DOWN<br />
1/4 Those traveling without conductors<br />
– wood section entertaining,<br />
playing right scales (10, 4)<br />
2 Watch rats running around at first<br />
and dream of the future (8)<br />
3 Some with artificial intelligence<br />
having sources to restrict book (6)<br />
4 See 1<br />
5 Type of military truck mounted<br />
net and turned (3-7)<br />
6 Good ability to notice special<br />
instrument with drone delivery<br />
free, ultimately (5,3)<br />
7 Judge probes with outsiders absent<br />
before anger (6)<br />
8 American watchers, in the main<br />
abbreviated (4)<br />
14 Expedition to heavenly body sounds<br />
like mother’s journey (4,6)<br />
15 Draw around grid, set out ways of<br />
recording hours worked (4-6)<br />
17 Article on bible book includes fine<br />
truths (3,5)<br />
18 “Do eat luv” – freshly made eggs (8)<br />
20/12 Gambling law or alternative –<br />
a major challenge for the<br />
future (6,7)<br />
21 Compliant measure I will<br />
broadcast (6)<br />
22 See 23<br />
23/22 Low number joins graduates<br />
at English out-of-this-world<br />
accommodation (8)<br />
For solutions email<br />
alumni@thegappartnership.com<br />
ILLUSTRATION: WWW.CARTOONSTOCK.COM<br />
"Now you'll have more<br />
time to binge things."<br />
39
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