Interest-Based Bargaining
Dig beneath positions to discover what people actually need
Interest-based bargaining is the practice of looking behind stated positions to find the underlying interests that drive them. A position is something you have decided upon. An interest is what caused you to decide. The classic illustration is two people quarreling over whether to have a window open or shut. They are unable to reach agreement on positions. But when asked why they want the window open or shut, their interests are revealed: one wants fresh air, the other wants to avoid a draft. A solution that meets both interests emerges: open a window in the next room.
The method works because for every interest there usually exist several possible positions that could satisfy it. Behind opposed positions lie shared and compatible interests, not just conflicting ones. The most powerful interests are basic human needs: security, economic well-being, a sense of belonging, recognition, and control over one's life.
To practice interest-based bargaining: ask 'Why?' to understand the other side's interests, ask 'Why not?' to understand what stands in the way of their agreeing, make your interests come alive with specific details, acknowledge their interests as part of the problem, put the problem before your answer, look forward not back, be concrete but flexible, and be hard on the problem while being soft on the people.
- Interests define the problem: A position is something you decided upon, an interest is what caused you to decide
- Behind opposed positions lie shared and compatible interests, not just conflicting ones
- The most powerful interests are basic human needs: security, economic well-being, belonging, recognition, and control
- For every interest there usually exist several possible positions that could satisfy it
- Ask 'Why?' to discover interests, ask 'Why not?' to discover barriers
- Put the problem before your answer: give reasoning first, proposals later
- Identify interests behind positionsAsk 'Why?' about each position the other side takes. Ask 'Why not?' to understand what stands in the way of agreement. Look for the basic human needs underlying their demands: security, economic well-being, a sense of belonging, recognition, and control over one's life. Realize that each side usually has multiple interests, not just one.Pro tipAssume every position they take is a genuine attempt to address basic concerns of each side. Ask how they think their position addresses the problem at hand.
- Make your interests come aliveBe specific and concrete about your interests. Tell the other side about the dangers and problems you face, with vivid details. Establish the legitimacy of your interests by helping them see how they might feel in your shoes. Be hard on the problem while being soft on the people.Pro tipIf you go with a raging ulcer to see a doctor, do not describe it as a mild stomachache. It is your job to have the other side understand exactly how important and legitimate your interests are.WarningAs long as you do not imply that the other side's interests are unimportant or illegitimate, you can afford to take a strong stance in setting forth your concerns.
- Acknowledge their interests as part of the problemDemonstrate that you understand and appreciate their interests before asking them to appreciate yours. People listen better if they feel understood. They tend to think that those who understand them are intelligent people whose opinions may be worth listening to.Pro tipBegin by demonstrating that you appreciate their interests. Restate their concerns accurately and positively before presenting your own.
- Put the problem before your answerGive your interests and reasoning first, your conclusions and proposals later. If you lead with a demand, the other side will spend their mental energy preparing counterarguments instead of listening to your reasoning. When you present your reasoning first, they will listen carefully to figure out where you are going.Pro tipTalk about where you want to go rather than where you have come from. Ask 'Who should do what tomorrow?' instead of arguing about what went wrong yesterday.
- Be concrete but flexibleThink about what specifically you would like the other side to agree to, but treat each option as illustrative rather than fixed. Use 'illustrative specificity' by offering concrete examples of what might satisfy your interests while remaining open to alternatives. Go in with more than one option that meets your interests.Pro tipHaving thought about your interests, go into a meeting not only with one or more specific options that would meet your legitimate interests but also with an open mind. An open mind is not an empty one.
Interest-based bargaining is the second pillar of principled negotiation as developed by Fisher, Ury, and Patton. The concept was powerfully illustrated by the Egypt-Israel negotiation over the Sinai Peninsula. Egypt and Israel both had incompatible positions on sovereignty over the Sinai. But their underlying interests were different: Israel's interest was security, Egypt's interest was sovereignty. The creative solution of a demilitarized Sinai gave Egypt sovereignty and Israel security. This example became one of the most cited in negotiation literature.