Organizational Processes

Question 1

4.1.1 What benefits does a good decision-making process bring to an organization? (p. 78)

Answer 1

1. Faster and better decisions
2. increased accountability,
3. alignment behind the decision
4. successful implementation
5. copetitive edge

Question 2

4.1.2 What six steps maximize the output of the decision making process? (p. 78)

Answer 2

1. Define the problem.
2. Identify decision criteria.
3. Allocate weights to the criteria.
4. Develop the alternatives.
5. Evaluate the best alternatives.
6. Select the best alternative.

Question 3

4.1.3 Describe the Decision Style Model. What two issues impact the outcome? (p. 79)

Answer 3

Toloerance for Ambiguity ( Low to high ) by Way of Thinking ( rational to Intuitive)

Question 4

4.1.4 Who may be included in groups empowered to make decisions? (p. 79)

Answer 4

Analyical: Rational thinkers who can tolerate ambiguity - cope will with new and changes
Conceptual: For more Intuitive and still able to handle Ambiguity - Good at finding creative solutions
Directive: Like everything factual and rational - Make logical efficient decisions, but may not consider all info or alternatives
Behavioral: Rely on Intuition and work well with others, seeking inputs, and agreement from all in order to decrease uncertainty

Question 5

4.1.5 What are the four orientations to the Decision Style Model? Describe each. (p. 79)

Answer 5

1. Analytical - These people are rational thinkers who are able to tolerate ambiguity. They make decisions carefully, seek out additional information, consider many alternatives, and cope well with new or changing situations.
2. Conceptual - These people are far more intuitive and still able to handle ambiguity. They have a broad outlook and usually a long range focus and are good at finding creative solutions.
3. Directive - These people like everything to be factual and rational. They will make logical, efficient decisions but may not consider all the information or alternatives as they will dismiss those not proven as facts.
4. Behavioral - These people rely on intuition and work well with others, seeking inputs and agreement from all in order to decrease uncertainty.

Question 6

4.1.6 Why should bad decisions be changed as soon as possible? (p. 80)

Answer 6

A bad decision cannot be saved by the best manager in the world. It is a waste of time and energy to try to cover it. Fix a bad decision as quickly as possible and move on

Question 7

4.1.7 Who should good decisions serve? (p. 81)

Answer 7

Good decisions serve multiple constituencies. Look for decisions that serve the customer and the client, as well as the employee and employer

Question 8

4.2.1 Define bargaining, agreement, understanding, and procedure. (p. 81)

Answer 8

1. Bargaining – discussing terms of a transaction.
2. Agreement – a conclusive commitment to mutually acceptable terms.
3. Understanding – achieving knowledge of mutual viewpoints and attitudes on an issue.
4. Procedure – the way of conducting a process.

Question 9

4.2.2 What can bargaining be used for? (p. 81)

Answer 9

A negotiation process uses bargaining as a tool to first, achieve understanding of the positions of various stakeholders, and eventually reach agreement between all parties

Question 10

4.2.3 What personal attributes may assist in negotiations? (p. 81-82)

Answer 10

1. Self-confidence based on knowledge and planning.
2. Personal stability and the ability to disagree when the need arises.
3. A careful planning ability and the courage to probe and check information.
4. A commitment to integrity, mutual satisfaction, and keeping an open mind to discern real bottom-line issues.
5. Patience and the ability to tolerate conflict and ambiguity.
6. A willingness to get involved with the all concerned parties and their organizations, understanding various personal and business issues.
7. An ability to negotiate and win the confidence of involved organizations.
8. The insight to view the negotiation from a personal standpoint, and the ability to see the hidden personal issues that could affect the outcome.
9. A willingness to use experts, and the knowledge and understanding of how experts might be valuable in the negotiation

Question 11

4.2.4 What are the advantages to using teams in negotiations? (p. 82)

Answer 11

Can bring a broader range of knowledge to the negotiation process than individuals can. - Miss less things - plan better

Question 12

4.2.5 How is negotiating like a chain reaction? (p. 83)

Answer 12

When planning your negotiation consider the impact each of your actions may have on the other person

Question 13

4.2.6 What are the needs of the other party that should be kept in mind? (p. 83)

Answer 13

1. They want money/service/goods.
2. They want to be heard. They want good explanations.
3. They want to avoid being boxed into a difficult position or corner.
4. They want to avoid future troubles, surprises, risks, and changes.
5. They want to be recognized by their peers, their boss and others as having good judgment. They want knowledge and information. They want to feel good about their work.
6. They want to work more efficiently, not harder.
7. They want to meet their personal objectives and goals without violating their integrity. They want to feel that what they are doing is important.
8. They want to be able to count on you, your team, and your organization – now and in the future.
9. They want to be liked and thought of as honest, fair, kind, and responsible.
10. They want to get this negotiation over with

Question 14

4.2.7 Why is preparing good questions vital? (p. 84)

Answer 14

prepare and consider how you will defend yourself against arguments

Question 15

4.2.8 What should be avoided in questions? (p. 84-85)

Answer 15

Antagonistic - Don’t challenge integrity - Don’t stop listening - Don’t assume

Question 16

4.2.9 Describe BATNA. (p. 85-86)

Answer 16

“Best alternative to a negotiated agreement’ The BATNA is simply the lowest accepted value that an individual will agree to in a negotiation.

Question 17

4.2.10 What factors will influence your choice of negotiation tactics? (p. 86)

Answer 17

Many factors influence the choice of tactics such as
1. personality of the negotiator
2. The stage of the negotiation
3. The moods of key players

Question 18

Surprise

Answer 18

Surprise may be used by a negotiator when it is a good way to keep pressure on the other party.
- Surprises can take many forms:
a. a new issue, an interruption, new rules, new negotiators, a shift in authority, or a new venue.

Question 19

4.2.11 What are the advantages and disadvantages of surprise? (p. 86)

Answer 19

• On the positive side, surprise may place the other party offguard and result in concessions.
  The sudden introduction of unexpected events can cause the other party to become embarrassed and likely harden his or her position. In these cases surprise will
  be disruptive and act as a communication block.

Question 20

4.2.12 What are the two strategies for dealing with threats used in negotiations? (p. 87)

Answer 20

to stop them, or ignore them

Question 21

4.2.13 What steps should you follow if the other party uses emotions in the process? (p.87

Answer 21

1. Recognize if genuine
2. Remain Calm
3. Take a recess or change negotiators
4. Split the differnce

Question 22

4.2.14 Why should you be cautious about splitting the difference? (p. 88)

Answer 22

Could end up with results that are equitable are not necessarily equal and both parties may end up leaving unsatisfied

Question 23

4.2.15 When might ‘take it or leave it’ be an effective approach? (p. 88)

Answer 23

1. If there is no future negotiating intended.
2. If the other party is experiencing a lot of pressure to say yes.
3. If a price drop to one customer will force a drop to all customers.
4. If you cannot afford to go lower and risk a loss (selling at the lowest possible price).
5. If you want to signal the other party that you are finished and have gone as far as you will.

Question 24

4.2.16 Describe the steps in the negotiation process. (p. 89)

Answer 24

1. creating a set of assumptions
2. establishing opening positions,
3. exchanging viewpoints
4. reaching impasse or concessions,
5. achieving a final agreement.

Question 25

4.2.17 What are assumptions? (p. 89)

Answer 25

Assumptions are pieces of information that you cannot confirm as facts.

Question 26

4.2.18 How can you break an impasse? (p. 91)

Answer 26

compensation, specifications, personnel, terms, options, performance scale and time, delivery of parts, risk sharing, grievance procedures, guarantees, or even a change in the way cost or pay percentages or discounts are calculated.

Question 27

4.2.19 What should you consider when granting concessions? (p. 91-92)

Answer 27

1. Obtain a concession before giving one. 2. A party will be more satisfied with a concession that they really had to work to get. 3. Poorly made concessions can separate the parties. 4. Be careful of the number of potential concessions you are requesting or a deadlock may be hard to avoid. 5. It is not necessary to stick with a concession on a specific issue as the whole agreement is greater than the parts.

Question 28

4.2.20 What are the advantages and disadvantages of negotiating by email? (p. 92)

Answer 28

Advantages: It is an efficient way to communicate and provides a written record Disadvanges: Negotiations by e-mail may take longer once response time is considered and the outcome may be less satisfying or perceived as unfair - impersonal and people often use terse, abrupt language rather than establishing the rapport of face to face negotiations - more likely to result in deadlocks, misinterpretations, and mistrust.

Question 29

4.3.1 What are the three essentials for effective meetings? (p. 100 )

Answer 29

1. Prepare for the meeting 2. Conduct the meeting 3. Evaluate the meeting

Question 30

4.3.2 What information should be included in the agenda? (p. 100)

Answer 30

• Approval of the agenda. • Correction and approval of previous minutes. • Announcements. • Reports – treasurer, committees, etc.. • Unfinished business. • New business. • Special issues. • Concerns and/or speakers. • Adjournment.

Question 31

4.3.3 What items should be dealt with first? (p. 100)

Answer 31

1. Each team member should be tasked ahead of time and have an opportunity to evaluate goals and objectives. 2. The team should be encouraged to pull resources together needed during the meeting for decision- making. 3. The team members should be asked to be prepared to give their opinions and ideas. 4. The decision should be made as to who will lead the meeting. The person designated to lead is usually the person who does the preparatory work. 5. An agenda should be developed and should define the pur pose and focus of the meeting. It will clearly state the topic so attendees can be prepared.

Question 32

4.3.4 How can a parking lot be used to avoid interruptions? (p. 101)

Answer 32

This issue may still be discussed, time permitting, or referred to a future meeting. Recording the issue in this fashion ensures important ideas are not overlooked simply because they were not on the agenda.

Question 33

4.3.5 What is the secretary’s role? (p. 102)

Answer 33

Take minutes and to document what transpires at the meeting. - The secretary should also assist the facilitator with record keeping and the assignment of responsibilities/projects/tasks.

Question 34

4.3.6 What questions should be asked to evaluate the effectiveness of a meeting? (p.102

Answer 34

Was I prepared? Were you notified in advance? Agenda Followed?