Monday, August 9; Day 16

Leadership and  Power
  The New Proposal and  The New Initiative

Instructor:  Hannah Riley Bowles

Key Take Aways....

• Educational Philosophy....Undergrads.  Make the unfamiliar ... familiar.  Executive Level.  Make the familiar...unfamiliar (look at from a different perspective). 
• Rational behavior and social behavior.  Are not the same thing! 

Negotiations I
  Intro to Negotiations Analysis

Instructor:  Guhan Subramanian

Key Take Aways....

• Core Concepts.  When you negotiate, you need to understand three core concepts:
• BATNA.  Best Alternative to a Negotiated Agreement.  What will you do/get if you don't make this negotiation successful? 
• Reservation Value (aka Walk Away Amount).  The value at which you would be indifferent between entering into or not entering into an agreement.
• ZOPA.  Zone of Possible Agreement.  What are the possible agreement amounts for both parties. 

             If you think through each of these concepts before starting a negation, you will have a much better chance of success. 

• Anchoring.  A bias in which people give too much weight to the first tangible number or "evidence" and then adjust too little from that starting point.  Think about the first figure you hear when you are looking for a house, car, a piece of jewelry etc.  Make sure and give this number careful analysis. 
• Midpoint Rule.  The most likely final outcome will be the midpoint of the first offer and counter-offer. 
• Tip.  If negotiations break down....Try teaching agreement on process instead!

• Obama on Active Listening.  "The way I think about interacting with people generally is to find out what it is that they're thinking, to give them a sense of what I'm thinking, and then to try to synthesize and try to find the truth that lies between people....     My nature instinct is not to try and beat the other persona down, but rather to understand their pint of view and make sure they understand my point of view, and then see if we can find common ground." 

Economic Policy I

Instructor:  Roger Porter.

• #1 Economic Indicator is Productivity.  It is the best predictor of an economy if you can only look at one factor.  The three big influences of Productivity are (1) Investments (Physical Capital, Intellectual Capital such as R& D and Human Capital); (2)  Efficiency (Getting $, Regulatory Pressure and Tax Burden) and  (3) Competitive Process (Trade, Anti-trust). 
• Factoids.  At the time of the Civil War...about 140 years ago.  There was 0 books on Business Management, only 8 hospitals on the East Coast, Only 5 paid hospitals on East Coast, Biggest Government Service--Delivering the Mail.  Productivity in the US has increased 2% per year since the Civil War!