LIS 405 Negotiation Exercise

LIS 405: Schedule, Summer 2000

IN-CLASS EXERCISE - NEGOTIATION

Negotiation Simulation
June 23, 2000

Objective: To form a coalition with another group, in order to provide new and enhanced services and to agree on how to divide a financial grant.
Situation: A state agency has announced that it will provide a substantial incentive to any two groups who can reach agreement on ways to improve services by cooperating.
Three groups have been invited to participate as teams in negotiating for this grant: a group of academic library directors who represent the major colleges and universities in the state; a group of public library directors from the state; and a group of school librarians who represent the school library systems in the state.
The Stake: Each team has unequal resources and the State agency recognizes this by providing different payoffs to different coalitions. The following table shows the payoff possibilities:
Academic library directors and public library directors will receive a stake of $600,000.

School librarians and academic library directors will receive a stake of $475,000
Public library directors and school librarians will receive a stake of $350,000.
The Strategy: Each team will meet separately to develop a strategy before the negotiations. Each team must also select negotiators (the spokespeople). A different negotiator should be chosen for ech of the three rounds of negotiation.
Rules for Negotiation:

All members of a team may be present for negotiations (not required); however, only the negotiator may speak. Notes may be passed to negotiators, if desired.
A team must change its negotiator between sessions.
Only one formal coalition is permitted. At the termination of the game, the grant will be awarded only if a coalition has been formed. If no coalition is reached, no funds are allocated.
Negotiations will be conducted in the following fixed order and for the following fixed periods of time. Designated teams will meet in a specified room (Room 113?).
The team not in negotiations -- that is, while the other two teams are negotiating - must leave the negotiation room.
Volunteers Needed: I will need two volunteers to assist me who will not participate directly in the exercise.
Valid Coalitions:
A valid coalition will be recognized by the instructor only if

neither of the two teams will receive the same amount of money, and

neither of the two teams will receive zero.

After negotiations, all three teams have the opportunity to submit a written statement in the following form:
Team X has a coalition with Team Y, whereby Team X gets $xxx,xxx and Team Y gets $xxx,xxx.
Only when the same written statement is received independently from two teams will a valid coalition be recognized and the award conferred.

Time Negotiating Teams

Zero Hour Academic and Public Library Directors - 5 min.

0 + 5 Public and School Librarians - 5 min.

0 + 10 Academic and School Librarians - 5 min.

0 + 20 Academic and Public Library Directors - 4 min.

0 + 24 Public and School Librarians - 4 min.

0 + 28 Academic and School Librarians - 4 min.

0 + 30 Academic and Public Library Directors - 3 min.

0 + 33 Public and School Librarians - 3 min.

0 + 36 Academic and School Librarians - 3 min.

0 + 40 All teams back in classroom. No talking amongst yourselves until coalition agreements have been submitted.

Revised 6/19/2000.

Time	Negotiating Teams
Zero Hour	Academic and Public Library Directors - 5 min.
0 + 5	Public and School Librarians - 5 min.
0 + 10	Academic and School Librarians - 5 min.
0 + 20	Academic and Public Library Directors - 4 min.
0 + 24	Public and School Librarians - 4 min.
0 + 28	Academic and School Librarians - 4 min.
0 + 30	Academic and Public Library Directors - 3 min.
0 + 33	Public and School Librarians - 3 min.
0 + 36	Academic and School Librarians - 3 min.
0 + 40	All teams back in classroom. No talking amongst yourselves until coalition agreements have been submitted.