Gaming

Negotiation skills: the salami technique

Some negotiators love to play tactical games. In this article we will look at one of your favorite negotiation tactics, the Salami technique, and think about how to reject it.

Salami sausages are big (often spicy) things that are eaten one slice at a time. They would be indigestible if taken in one large piece. This aspect has led negotiators to use the name for a negotiation technique that attempts to do just that: win concessions in small doses (slices) when the other party would likely reject them if they were all brought to the table at once. The technique is often used against a party that is primarily concerned with damage limitation.

Consider bargaining with a tough union with management. Management would really like to keep the status quo (damage limitation), but union negotiators would like to have a lot of goodies for their members. These could include a salary increase, more vacations, flexible work hours, private health affiliation, better pension arrangements, better dining room, increased allowances, etc. It’s not difficult for the union to make a case for each of these and they can probably add to the list.

If union negotiators use the salami tactic, they will present just one of their demands for discussion and push hard for a deal. Let’s say they focus on a 6% salary increase and after a long discussion and some haggling, they agree on 4%. Deal done, except there’s more to come. That’s just the first slice of salami and there’s a whole sausage in the cupboard.

The next portion could be vacation arrangements. The current 23 days are from a bygone era. ‘Other employers’ They have agreed to 25 more holidays. Let’s say you finally reach an agreement at 24 days this year and 25 days next year. Well! Managers might be congratulating themselves on their rusty bargaining skills and damage limitation, but union reps have been busy honing their bargaining skills.

“Now we would like to discuss something that is very dear to our members, the need for flexible working hours.” Sausage cutting continues: private health, pension, dining room, allowances, etc. At the end of the negotiations, when the management team adds everything up, they are in awe of what they have conceded, piece by piece. None of the individual elements seemed that good at the time, but if we add them all together, the cumulative effect is staggering.

What went wrong?

Management negotiators were misled by one of the standard tactics used by skilled negotiators. Of course, presented like this, the salami technique seems so obvious that you might think that no management team could be stupid enough to get sucked into it. However, just as a simple magic trick can seem incredible when performed by a skilled magician, even simple negotiation skills, such as the salami technique, can produce astonishing results when used by skilled and experienced negotiators.

Salami is not limited to negotiations between employers and unions. Any negotiator who has a list of things he wants to agree on can use it. Give it a try the next time you buy a car. Are you buying just one item, the car? Or are you reaching an agreement on several things: buying the car, filling the gas tank, replacing worn tires if it is a used car, a free service next year, alloy wheels … and whatever else is available. happen to you? Will they lose the sale for a new gas tank or tire?

So what do you do if you’re on the receiving end and the other party is dealing with salami?

Of course, your first line of defense is to recognize what they are doing and the second is to stop it. You will need to be assertive about it, but the answer is pretty straightforward. The salami tactic works because the person being cut does not recognize what is happening. Once you do, you can fight it.

How? Just reject the agreement on any portion until you have everything on the table. “Is there anything else you want to discuss as part of these negotiations?” Do not discuss the details until you have formally agreed that everything is in view. Then submit a proposal for a collective agreement – group everything together.

The discussion can now start in earnest and you can use your negotiation skills. You can swap one slice of salami for another by offering some flexibility in, say, item one, as long as they drop, say, items two and three. Continue like this until you are happy with the deal, then close.

Good luck! And watch out for that spicy sausage!

Author: Tony Atherton

© Tony Atherton 2005)

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