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Opera Case - Opera's Point of View

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REVISED NEGOTIATION PLANNING TEMPLATE
Opera’s point of view

1. ANAYSIS OF THE CONFLICT

|What is the nature of the conflict as seen by the |Person in lead role |
|organisation/constituency you represent? |Production will open in 3 wks |
| |Sally’s salary |
| |Inexperience of secondary person |
| | |
| | |
|How is the other party/parties likely to see the |Sally heard rumours, not known what detailed info Sally has received |
|nature of the conflict? |She likes to take the title role |
|What immediate and/or strategic value does solving the|Cancel the opera – loss of hundreds of thousands of dollars |
|conflict have for your organisation/constituency? |Not a full house – break even is 85% of seats |
| |Postpone the opera |
| |Continue with opera (Sally, secondary, other) |
|What immediate and/or strategic value does solving the|Having a title role again – career come-back |
|conflict have for the other party/parties? |Proven record of being able to achieve +85% seat occupation |
| | |
| | |
| | |

2. ISSUES RELATED TO THIS CONFLICT

|2.1 What are the issues related to this conflict, as|Issues relating to my organisation/constituency |Priority |
|seen from the perspective of your | |ranking |
|organisation/constituency? | | |
| |Tangible: | |
| |Cancel the opera = loss |4 |
| |Less than 85% seat occupation is below b/e point | |
| | |3 |
| |Sally’s salary | |
| | |2 |
| |More marketing needed with Sally as lead, with a |1 |
| |younger person you could get the 85% seat occupation, | |
| |with Sally you don’t know | |
| |Intangible: | |
| |Lower quality due to lower quality performance |3 |
| |Inexperience of secondary |2 |
| |Sally has been there, less attractive b/c it’s not a |1 |
| |new role for her | |
|2.2 What are the issues related to this conflict, as|Issues relating to each of the other parties per party |Priority |
|seen from the perspective of the other party/parties? | |ranking |
| | | |
| | | |
| |Tangible: | |
| |Salary |1 |
| |Number of performances |2 |
| | | |

|2.2 Continued ………. |Issues relating to each of the other parties per party |Priority |
| | |ranking |
| |Intangible: |3 |
| |Popularity | |
| |Future options and possibilities | |
| | |4 |
| |Publicity |2 |
| |Come-back for her career |1 |
| |Opera house will provide reference on her CV |5 |
| | | |

3. THE DEAL PARAMETERS

|3.1 What is the aspiration base of your |$12,000 |
|organisation/constituency? | |
|3.2 What is the real base of your |45,000 |
|organisation/constituency? | |
|3.3 What is the BATNA of your |Less experienced secondary role |
|organisation/constituency? |Postpone the opera to find another person or to train the secondary |
|3.4 What do you assume the aspiration base of the |30,000 |
|other party/parties is likely to be? |Get the lead role |
|3.5 What do you assume the real base of the other |12,500 |
|party/parties is likely to be? | |
|3.6 What do you assume the BATNA of the other |Secondary role in another performance |
|party/parties is likely to be? |Try to get title role in another performance |

4. ANALYSIS OF THE OTHER PARTY/PARTIES

|4.1 What are the most important characteristics of |Sally has passed the apex of her career |
|the other party/parties? | |
| |Sally wants a come-back |
| |Sally is older |
| |Sally is experienced with the title and the secondary role of Norma |
| |Sally was very popular 4 years ago |
| | |
| |Sally wants her name in the marketing and advertising |
| | |
| |Sally wants a good salary |

|4.2 What additional information do you require with |How is her voice this year? |
|regard to the other party/parties? | |
| | |
| |Is she looking for a career boost, title role and reputation or money |
| |(she expects to receive more money out of title role)? |
| |Does she have a conflict in her schedule? |
| | |
|4.3 What information do you have on the negotiation |Successes: They seems to be good negotiators, she received more than |
|reputation, style, successes and failures of the other|double the secondary pay in her last lead role and she received more |
|party/parties? |than half the lead salary in her last secondary role |
| | |
| |Failure: Sally hasn’t had a lead role in years and a secondary role in |
| |2 years |
| | |
| | |
| | |
| | |
|4.4 What requests/demands do you expect the other |Possibilities with future operas/confirmations |
|party/parties to make during the negotiation? | |
| |Reference (disclose seat occupation info to other opera’s) |
| |Price request |
| |Marketing campaign request |
| | |

5. ENVIRONMENTAL SCAN

|5.1 What are the strengths of your |We have money to pay our employees (singers), and pay them correct |
|organisation/constituency relative to this | |
|negotiation? | |
| | |
| | |
| |Average seat occupation of 85% |
| |Quality for the money, Good reputation |
| |Have several opera performances each year |
| |We have an opening for the lead in Norma |
| | |
|5.2 What are the weaknesses of your |Fixed costs are high |
|organisation/constituency relative to this | |
|negotiation? | |
| | |
| | |
| |Cancelling an opera’s performance is not a viable option |
| |Loosing reputation by not having a young person in the lead role, or by|
| |having an inexperienced person |
| |Short time = URGENCY |
| |Opera needs to make money |

|5.3 What are the opportunities your |Build up reputation by bringing singer back after having passed her |
|organisation/constituency could exploit relative to |apex |
|this negotiation? | |
| | |
| |Big marketing campaign needed |
| |Future performances option |
| | |
| |Sold out by bringing Sally back |
|5.4 What are the potential threats your |Reputation (not a young person in the lead role) |
|organisation/constituency faces relative to this | |
|negotiation? | |
| |Seat occupancy < 85% |
| |Cancel the show |
| | |
| | |
|5.5 What are the strengths the other party/parties |Experienced |
|have relative to this negotiation? | |
| |Knows the title role |
| |Knows the theatre and the management |
| | |
| | |
|5.6 What are the weaknesses the other party/parties |Age |
|have relative to this negotiation? | |
| | |
| | |
| |Career downturn |
| |She may attract an public interest |
| | |
| | |
|5.7 What are the opportunities available to the |Reboost career if she succeeds in lead role and having seat occupancy >|
|other party/parties by way of this negotiation? |85%, she’ll received more lead roles in future for different operas |
| | |
| | |
| | |
| | |
|5.8 What are the potential threats the other |If no seat occupation > 85%, she’ll never again receive a lead role and|
|party/parties face relative to this negotiation? |maybe reduced offers for secondary roles |
| |Not having money, is she broke? |
| | |
| | |

6. INTERESTS

|6.1 What are the interests of your |Interests |Priority |
|organisation/constituency (needs, fears, concerns, | |ranking |
|desires etc)? | | |
| |Tangible: |1 |
| |Have the performance as is (not cancelling or altering | |
| |schedule) | |
| |Have at least 85% seat occupation |2 |
| | | |
| | | |
| | | |
| |Intangible: |1 |
| |Keep up reputation of opera house | |
| |Keep on increasing quality of operas |2 |
| | | |
| | | |
| | | |
|6.2 What interests do you assume the other |Interests |Priority |
|party/parties (needs, fears, concerns, desires etc) | |ranking |
|has relative to this negotiation? | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| |Tangible: | |
| |Earn more money |2 |
| |Receive more offers for lead roles |1 |
| | | |
| | | |
| | | |
| | | |
| | | |
| |Intangible: |1 |
| |Reboost career | |
| |Become popular again |2 |
| | | |
| | | |
| | | |
| | | |

7. CULTURAL and GENDER DIMENSIONS

|7.1 Are there cultural and gender differences |Sally’s agents: Anoob & Lorena |
|between the parties that may impact on this | |
|negotiation? | |
| |Male & Female |
| |India & Peru |
|7.2 What are the most important cultural and gender |From our personal experience working with these individuals we |
|considerations that need to be taken into account |determined that they are both task-oriented |
|during this negotiation, and how do you intend dealing| |
|with these considerations? | |
| | |
| | |
| | |
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| | |

8. COMPETITIVE ADVANTAGE

|8.1 What are the strongest arguments you could make |Strongest arguments |Priority |
|relative to this negotiation? | |ranking |
| |It’s Sally’s last chance, she’ll never get again this |1 |
| |opportunity for a come-back | |
| | | |
| | | |
| | | |
| | | |
| | | |

|8.2 What are the strongest arguments you expect the |Strongest arguments |Priority |
|other party/parties could make relevant to this | |ranking |
|negotiation? | | |
| |They need me (Sally) |1 |
| |I’m good and I’m available |2 |
| | | |
| | | |
| | | |
|8.3 Which existing precedents or practices could |Lead role is usually twice as much as secondary role |
|impact on this negotiation? | |
| |Younger person has lead role to achieve 85% seat occupation |
| |Sally hasn’t received many lead role offers, or even secondary role |
| |offers in the past few years |
| | |
| | |

9. DEAL OPTIONS

|9.1 Which value-creating options could you propose |Options we could propose |Priority |
|to facilitate a deal or agreement? | |ranking |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| |Low salary |1 |
| |More expensive marketing campaign |3 |
| |Bonus if seat occupation |2 |
| |85 – 87% | |
| |87 – 89% | |
| |89 – 91% | |
| |91 – 93% | |
| | | |
| | | |

|9.2 Which options do you anticipate the other |Options the other party/parties may propose |
|party/parties may propose to facilitate a deal or | |
|agreement? | |
| |Upcoming shows - future performances |
| |Reference |
| |Marketing |
| |Less: performances (she can’t handle 3/wk). Does she have a strong |
| |voice still? |
| | |
| | |

10. CONCESSIONS

|10.1 What concessions could you make, and which | Complete appended concession template. |
|counter-concessions would you require? | |

11. POSITIONS AND OPENING OFFERS

|11.1 What value-creating opening position do you intend |Low salary – we risk losing money with an older person in the |
|adopting, if any? |lead role because less seat occupation |
|11.2 If you intend making an opening offer, what will this |12,000 + additional money in marketing campaign |
|offer be? | |
|11.3 What position do you expect the other party/parties to |Get the lead role |
|take at the outset of the negotiation? |Receive more money |
| | |
|11.4 What opening offer, if any do, you expect the other |30,000 salary |
|party/parties to make? | |

12. COMMON GROUND

|12.1 What are the shared interests between the parties? |Sally wants to perform the title role |
| |Requirements met offer – good voice experience |
| | |
| | |
| | |
| | |

|12.2 What are the complementary interests between the |Experience of Sally |
|parties? | |
| |Sally knows the role & the theatre |
| | |
| | |
| | |
| | |
| | |
|12.3 What are the conflicting interests between the parties?|Salary |
| |Future commitments (?) |
| |Reduce number of performances if her voice can’t handle three |
| |performances per week (?) |
| | |
| | |
| | |
| | |

13. YOUR NEGOTIATION TEAM

|13.1 How do we intend constituting your negotiation team? |Task negotiator? |
| |Annie: business manager |
| |Relationship negotiator? |
| |Dina: business manager |
| |Back-up specialists? |
| |n/a |

14. SITTING DOWN AT THE NEGOTIATION TABLE

|14.1 Which parties should be present at the negotiation |Sally’s agents & potentially Sally – all have decision making |
|table? Do the members of these parties have decision-making |power |
|power? | |
| | |
| | |

|14.3 Which issues should be included on the negotiation |Proposed draft agenda |
|agenda? | |
| |Discuss salary |
| |Additional marketing needed for Norma |
| |Current schedule and timing of performance |
| | |
| | |
| | |
| | |
| | |
| | |
| | |
| | |
|14.4 Which ground rules should apply to the negotiation? |Proposed ground rules |
| |Fill position |
| |With a low salary |
| |Option for bonus if high seat occupation (> 85% - see details |
| |on other paper) |
| | |
| | |
| | |
|14.5 What specific steps need to be taken to establish a |Build relationship before beginning to negotiate |
|negotiation climate and build a relationship conducive to a win| |
|more/win more deal/agreement? | |
| | |
| | |
| | |
| | |
| | |
| | |

|14.6 Which negotiation strategy do you intend using? |Minimize salary, we need her but not to the extent risking a |
| |seat occupation being less than 85% |
| | |
| | |
|14.7 Which negotiation strategy do you expect the other |Maximize salary |
|party/parties to adopt? | |
| | |
| | |
|14.8 What tactics, if any, do you intend using during the |We review several alternatives |
|negotiation? | |
| |Time and urgency – we can postpone the performance |
| |Seat occupation is key and age seem to have a inverse |
| |correlation with seat occupation |
| |If Sally’s sure she’ll achieve the 85% seat occupation, she’ll |
| |be paid well. If she wants more this means she’s not sure |
| |she’ll get the 85% seat occupation. |
| | |
|14.9 What tactics do you expect the other party/parties to |I’m your best alternative |
|use during the Negotiation? | |
| | |
| | |
| | |
| | |
|14.10 Which financial implications related to this |Break-even |
|negotiation should you bear in mind? |Cost of cancellation |
| |Cost of seat occupation |
|14.11 Which legal implications related to this negotiation |People complaining (season-ticket holder) |
|should you bear in mind? | |
|14.12 Which specific time frames and time pressures may apply|The opening is in 3 weeks |
|to your organisation/constituency relative to this negotiation,| |
|and how will you deal with these time frames and pressures? | |
| | |
| | |
|14.15 Which specific time frames and time pressures do you |Need money |
|assume may apply to the other party/parties relate to this | |
|negotiation, and how could you leverage these time frames/ | |
|pressures? | |
| |Sally is “aging” |
| | |

15. THE AGREEMENT

|15.1 What provisions need to be included in the contract to |Average seat occupation of the 18 performances |
|ensure effective consultation and access to information by the | |
|parties after implementation? | |
| |Marketing budget 6,000$ |
| | |
| | |
|15.2 On what basis will decision-making take place after |Formally for the seat occupation |
|implementation - consensus, majority, formally, informally, at | |
|what level etc? | |
| |Overall formally and with a consensus |
| | |
|15.3 How will disputes arising after implementation be |Formally |
|resolved – formally, informally, mediation, arbitration etc? | |
| | |
| | |
|15.4 How will re-evaluation and re-negotiation be handled if|Formally – there would be a new negotiation and a new contract |
|unexpected challenges arise, e.g. changes in competition. | |
| | |

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