Never Split the Difference by Chris Voss

  • Chapter 1 -
    • Ask open ended ("calibrated") questions: buys you time and gives them the sense of control
    • Negotiation can be overly rational and formulaic: we need to keep in mind that we are people and have emotions
      • Use Kahneman's understanding of our two types of thinking
    • Use tactical empathy to gain access to the mind of the other
  • Chapter 2 - Mirroring
    • Your most powerful tool in verbal communication is your voice
    • Mirroring (isopraxism), is imitation to establish rapport and lead to trust - we trust what is alike us
      • Repeat the last 3 words (or one important word) they said
    • Mirroring allows you to disagree without being disagreeable
    • The intention behind mirrors should always be "please help me understand"
    • Lessons from this chapter
      • A great negotiator uses his skills to reveal the surprises he is certain to find
      • Use assumptions as hypotheses and use the negotiation to test them vigorously
      • A negotiation isn't a battle, it's an opportunity to discover information
      • Make your sole focus the other person and what they have to say
      • slow it down
      • put a smile on your face
    • Three voices of negotiators
      • Late night DJ: downward inflection calm and slow to make a point with authority without awakening defensiveness
      • Positive/playful voice: should be default, relax and smile while talking
      • Direct/assertive voice: use rarely
  • Chapter 3 -
    • Empathy: the ability to recognize and vocalize the other person's perspective. You don't have to agree with them, just imagine yourself in their shoes
    • Tactical empathy: understanding feelings and emotions-and what is behind them-so you can increase your influence
    • Labeling: validating someone's emotion by naming it
      • use "It sounds like..." rather than "I'm hearing that...": "I" gets people's guard up
      • After labeling, wait in silence
      • Labeling diffuses negative emotions and reinforces positive emotions
    • Accusation audit: list everything negative they could say about your to "take the sting out"
  • Chapter 4 - No
    • Allow yourself and the other to say "no", it helps you feel comfortable and somewhat in control. No can mean:
      • I'm not ready
      • I'm uncomfortable
      • I need more information
      • ...etc.
    • No is a starting point
    • There are 3 kinds of yes: Counterfeit, confirmation, and commitment
    • Our primal urges: to feel safe/secure, and to feel in control
  • Chapter 5
    • "That's right" is better than yes
    • "You're right" is dangerous
  • Chapter 6
    • Compromise rarely leads to great results (think one brown shoe and one black shoe)
    • It is important to know each other's deadlines, but they aren't fixed in stone
    • "if you approach the negotiation thinking the other guy thinks like you, you're wrong"
    • The most powerful word in negotiation is "fair":
      • "we just want what's fair"
      • "we have given you a fair offer"
      • "I want you to feel like you're being treated fairly at all times, so please stop me if you feel otherwise"
    • Anchor their emotions
      • anchor their emotions and expectations low and then play on loss aversion
    • let the other guy go first, usually
      • let them anchor and adjust, especially when you don't have all the information
    • establish a range
      • understand that if you offer a range they will come in low
    • pivot to non-monetary
    • when you talk numbers, use odd numbers
      • an odd number ($115,500) sounds more exact, calculated, and immovable than a round $110,000
    • make a surprise gift - which they will feel obligated to repay
    • SALARY NEGOTIATION
      • be pleasantly persistent on non-salary terms: builds the right environment for discussion and can lead to higher salary if they can't meet those desires
      • define success for your position and metrics for your next raise
      • "what does it take to be successful here": once they give you guidance they have a stake in if you succeed and you have gained a mentor
  • Chapter 7
    • asking calibrated questions (asking for help) is the most powerful way to suspend unbelief, allows them to focus on solving the problem and gives them the illusion of control
    • instead of saying what you "need", describe what you are looking for and ask for suggestions
    • ask: "How am I supposed to do that?"
    • calibrated questions
      • be open ended, start with "what", "how"
    • calibrated questions require self-control
      • bit your tongue
  • Chapter 8
    • "yes" is nothing without "how"
    • signs that they're not on board with you:
      • "you're right" instead of "all right"
      • "I'll try" means "I plan to fail"
    • identify and motivate the players behind the table
    • Dealing with difficult/aggressive negotiators:
      • 7-38-55: % contribution of message, tone, and body language, respectively
      • Rule of 3: get 3 yeses in the same conversation to confirm you are on the same page
      • Use your name in your speech as a form of "forced empathy"
      • use a multi step empathetic no
  • Chapter 9
    • any response that is not an outright rejection means you have the edge
    • archetypes of negotiating style:
      • Accommodate
      • Assertive
      • Analyst
    • Ackerman bargaining system (for buying):
      • Set your target (goal)
      • Set you first offer at 65% target
      • Calculate 3 raises of decreasing increments (85%, 95%, 100%)
      • Use empathy and "no" to get the other side to counter before decreasing offer
      • Use precise, non-round number for your final offer
      • On final number, throw in a non-monetary item they don't care about to show you're at your limit
  • Chapter 10
    • Black Swan symbolizes the uselessness of predictions based on past experience (unknown-unknown)
    • never make a threat, but use labels to make the point:
      • "It seems like you value that I've always paid on time"
      • "It seems like you don't care what position you're leaving me in"
    • know your opponent's worldview or "religion"
    • People trust familiarity: build rapport
    • Express passion for their goals
    • Give a reason for your requests
    • Don't accept that they are "crazy": search to understand why
      • If they have bad information, they will make bad decisions
      • Weird behavior might indicate constraints that they haven't revealed
      • They may have other interests
    • Get face time
    • Observe the unguarded moments before and after the actual negotiation
    • If it doesn't make sense, there are cents ($) to be made
    • 3 types of leverage
      • Positive (give them what they want)
      • Negative (hurt them)
      • Normative (using their norms to bring them around)
  • Prepare negotiation sheet
    • When the pressure is on, we fall to our highest level of preparation
    • The goal
      • Think though best/worst case scenarios but only write down a specific goal that represents the best case
      • Don't focus too much on BATNA since it can be too low and become your goal
      • Never be so sure of what you want that you wouldn't take something better
      • Write your goal down, discuss it with someone else, and carry the written goal into the negotiation
    • Summary
      • Write out a couple sentences to understand facts that led to negotiation
      • Your counterpart must be able to respond with "that's right"
    • Labels/Accusation Audit
      • Prepare 3-5 labels to perform and accusation audit
      • Make a list of accusations they might bring
      • Then turn that list into labels and role play
      • Examples
        • It seems like x is valuable to you
        • It seems like you don't like x
        • It seems like you value x
        • It seems like x makes it easier
        • It seems like you're reluctant to x
    • Calibrated Questions
      • Prepare 3-5 calibrated questions
      • Example "how" and "what" questions:
        • What are we trying to accomplish?
        • How is that worthwhile?
        • What's the core issue here?
        • How does that affect things?
        • What's the biggest challenge you face?
        • How does that fit in with the objective?
      • Behind the Table killers (committee)
        • How does this affect the rest of the team?
        • How on board are the people not on this call?
        • What does your boss see as the main challenge?
      • Find deal-killing issues
        • What are we up against here?
        • What's the biggest challenge you face?
        • What happens if you do nothing?
    • Noncash Offers
      • Prepare a list of noncash items possessed by your counterpart that would be valuable
      • What could they give us that would get us to do this for free?

Topic: Negotiation