We recently reviewed an interesting article by Horacio Falcao, titled ‘The Power of AI to Shape Negotiations.’ It highlighted the significant value AI can bring to negotiations as both a strategic and tactical tool.
However the article also made a key point that AI should serve to enhance, rather than replace, direct party-to-party interaction.
This had us thinking about how AI might be currently informing and assisting your own negotiation practices. What is your perspective?
From our discussions within the legal, finance and property industries it appears there is a diverse range of thinking and adoption of AI. Some organisations are leaning in heavily to not miss the AI boat, and investing in a range of different solutions and applications some are sitting on the fence. One thing is certain, AI will only become more pervasive through professional work practices as time goes on.
Horacio rightly notes; “The expansion of AI’s role in negotiations also brings legal concerns like data privacy, confidentiality and compliance. For example, disclosing confidential details informally in a negotiation could be a common practice to build trust or untangle impasses. However, in a semi-automated or automated negotiation, confidential information captured risks being divulged, leveraged or exploited at another time without consent.”
At ProPact we firmly believe AI is a valuable tool to help aid negotiation, but the final mile is the human component. AI at this stage can not replace the nuances of human interaction and negotiation.
A bit about Horacio Falcao
Horacio is a Professor of Management Practice at INSEAD and a co-founder of the Negotiation and Conflict Management Collaborative. He is also the programme director of INSEAD’s Negotiation Dynamics and Certificates in Negotiation programmes.
