BUSI 510

Intrapersonal and Interpersonal Issues

Compare and contrast the three major negotiation models as applied in a healthcare
setting

The three major negotiation models as applied in a healthcare setting are the distributive,
integrative, and collaborative approaches. Each approach has its own strengths and weaknesses,
and the appropriateness of each approach depends on the situation.

The distributive model is the most traditional and common of the three models. It is also known
as the win-lose model because there can only be one winner in the negotiation. With this model,
both sides come to the table with their own best offer and try to get the other side to agree to it.
The distributive approach to negotiation focuses on obtaining the greatest possible benefit for
oneself in a negotiation. This approach is often used in situations where there is a limited
amount of resources, and each party is trying to get the largest share possible. In a healthcare
setting, this approach could be used when negotiating for things like funding, staff, or supplies.
(Borkowski & Meese, 2021).

While this approach can sometimes be effective, it can also lead to conflict and resentment
between the parties involved. For instance, the distributive approach may be used by a hospital in
negotiations with a health insurance company over the reimbursement rate for services provided.
The hospital may take a hard line in these negotiations, demanding the highest possible rate in
order to maximize its own revenue. This approach can often be effective in obtaining a higher
rate, but it may also lead to a breakdown in the negotiation process if the health insurance
company refuses to agree to the hospital's demands.

The integrative approach is more complex than the distributive approach. It is also known as the
win-win model because it is based on the idea that both sides can come out of the negotiation
with a positive result. This model is all about finding a compromise that is acceptable to both
sides. With this model, both sides come to the table with their own best offer and then work
together to find a middle ground that they can both agree on. This model is often seen as the best
option because it leads to a more positive result for both sides. This approach is best suited to
situations where the parties have a good understanding of each other's interests and there is room
for negotiation on the terms of the agreement. (Nelson & Staggers, 2018)

The collaborative model is the most recent of the three models and it is based on the idea that
both sides can come out of the negotiation with a positive result. This model is all about working
together to find a solution that is acceptable to both sides. With this model, both sides come to
the table with their own best offer and then work together to find a middle ground that they can
both agree on. This model is often seen as the best option because it leads to a more positive
result for both sides. However, it can also lead to a longer negotiation process, as each side needs
to take time to understand the other side's interests and find a way to create a win-win situation.
This approach is best suited to situations where the parties have a good understanding of each
other's interests and there is room for negotiation on the terms of the agreement. (Clay-Williams
et al., 2018)

The book of Matthew 18:19-20 NIV States, “Again, truly I tell you that if two of you on earth
agree about anything they ask for, it will be done for them by my Father in heaven. For where
two or three gather in my name, there am I with them.” Each party must be willing to work
together to find a common solution that is acceptable to both sides.
References

Borkowski, N., & Meese, K. A. (2021). Organizational behavior in health care. Jones et Bartlett
Learning.
Clay-Williams, R., Johnson, A., Lane, P., Li, Z., Camilleri, L., Winata, T., & Klug, M. (2018,
April 9). Collaboration in a competitive healthcare system: Negotiation 101 for clinicians.
Journal of health organization and management. Retrieved November 1, 2022, from
https://www.ncbi.nlm.nih.gov/pmc/articles/PMC5925852/

Nelson, R., & Staggers, N. (2018). 3 Users - health informatics: An interprofessional approach.
Elsevier.