Discuss the Applications of the PIOC (People, Interest, Options, Criteria,)Principles inCollaborativeNegotiation BrieflyThere are many negotiations in the world, but the business negotiations take the mostly dominant role. In this situation, the final purpose of each side of the negotiating parties is attempted to meet the other’s interest as well as their own. There are many kinds of negotiations such as competitive style, accommodative style, collaborative style, vengeful style, compromising style, etc. and most commercial negotiations tend to collaborative style, because it is a win-win negotiation. There are four principles which are People, Interest, Options, and Criteria. It is indispensable when we are going to talk about the collaborative negotiation owing to the applications they exert.People PrinciplePeople Principle requires separating the people from the problem. Business is business, taking too many people emotions into negotiation is harmful. Especially in collaborative negotiations, good master of People Principle need follow the three techniques.(1)Establish an accurate perception. (2)Cultivate appropriate emotion. (3)Strive for better communication.Interest PrincipleInterest principle requires focusing on interests, not positions (interests always underlie positions). A position is what you say you want or must have. An interest is why you want what you want. Taking much attention to position will greatly reduce the interest, negotiators need to distinguish between interests and positions and focus on interests not positions. There are two methods negotiators should obey. (1)Identify the self-interests. (2)Discuss interests with the other party.There is an example. Jim takes a fancy to a second-hand car which has good quality in all aspects except the high price. When he comes to the host’s officer to negotiate aiming to cut down the price, he finds the host is the boss of the company and the office is luxurious. He becomes inexplicable nervous. Having a seat for a while, the host is busy with telephone talking about a cooperative projects amount of up to millions of money. The tension and fear in the hearts of Jim are further broadened. He sits on pins and needles for a long time but the host seems not to hang up the phone and seems to ignore the existence of Jim. A strong anger begin to spread in Jim’s mind, so he deliberately makes some sound and the host finally hang up the phone and apologize to him.However, what the host said next shames Jim. The host say “my time is tight, aren’t you tell me you come here to cut down the price”Jim had hoped to get the car at the half price, but now he is completely suppressed by the momentum of the host. Anger becomes fear which affects Jim’s negotiating ability. He affirms the host who has the ability to do big business won’t waste time to negotiate. In order to make him leave the uneasy place and finish the embarrassing negotiation as soon as possible, Jim accepts original price. Although Jim repents himself but it’s late.In this case, Jim disobeys the People Principle. He takes emotions to the negotiation, nervous, fear and inferiority. In his mind,he and the host are not in the same level which makes him unable to negotiate with the host. Jim should calm down and get the host to participate in the mutual activities, and Jim’s emotions make the host stick to his price. Jim even not speaks out his purpose which is silly. Jim disobeysInterest Principle. He completely not focuses on his own interests but the host’s positions.He should explore and recognize the interests of the host and stand in his way. This should be a good collaborative negotiation. But owing to the deficiency of negotiation Jim lacks, the host takes advantages from Jim.Options PrincipleOptions Principle requires inventing options for mutual gains. There are often obstacles during the negotiations which needs people develop multiple solution options to reach an agreement. The ability to invent options is one of the most useful assets a negotiator can have and negotiator should avoiding the followed thinking, premature judgement, searching for the single answer, the assumption of a fixed pie and thinking that “solving their problem is their problem”.Hereare methods negotiators should obey. (1)Separate the act of inventing options from the act of judging them. (2)Develop as many options as possible before choosing one. (3)Search for mutual gains.Criteria PrincipleCriteria Principle requires insisting on using objective criteria.When options become available, negotiating parties need to decide which one suits both sides best. The guidelines for objective criteria are (1) Independence of wills of all parties. (2) Legitimate and practical. (3) Acceptance to all parties. In a word, focus on objective criteria firmly and flexibly.There is an example. A Chinese negotiating group goes to a Middle East country to negotiate a project contract. During gossip, a Chinese member discusses the Islam without intention which arise the unhappy of the other side.When come to the substantive issues, the opposite side shows no sign of conceding, and they seem to intend to withdraw negotiation. At the time, the Chinese team hurries to seek options to solute the problems. Frist, they apologize to the Islamic workers sincerely. Then the Chinese makes decision to offer them 5%account of the total amount. If they don’t accept theChineseproposes introduce another company to negotiate the contract. Finally, the Islam accept apologize and accept the contract, but the Chinese should comply with rules about Islam. Last, the two teams approach consensus.In this case, when problems occur, the Chinese not shrinkback but struggle to find solutions, and they offer two options for the Islam to choose. Last, the two groups reach agreement and take the Islam as criteria. This is a successful collaborative negotiation which applies the Interest Principle and Criteria Principle correctly. Though the Chinese give a 5% discount, but which accelerates the negotiation reached an agreement quickly.The correct application of PIOC Principles in collaborative negotiations is a powerful tool to crack the tough nuts in negotiations, and reach a consensus promptly. Principled negotiations make the win-win maximum benefit.。