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Making the Team: A Guide for Managers by Leigh L. Thompson

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Group Negotiation

Some situations call for team members to discuss issues and build consensus—for example, when a team of professionals must divide responsibilities among themselves, or members of a department must allocate funds. In both cases, members must arrive at a mutually satisfactory outcome although each may have different interests. This involves negotiation.

Negotiation occurs when interdependent parties make mutual decisions regarding the allocation of scarce resources (Bazerman, Mannix, & Thompson, 1988). Negotiation is necessary when no one can dictate a solution. Furthermore, team members must agree for any decision to be binding. Failure to reach consensus can be costly for the team if, for example, it cannot move forward because ...

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