Planned Concession

Tactics of Organizational PoliticsTiming and MomentumA borderline tacticAlso known as Sacrificial Lamb Initiative

Proposals built with a lower-priority item their author is prepared to give up let the concession earn goodwill and spend the opposition's energy while the core changes go through.

Borderline: whether this move is justified depends on the situation, and only the person in it can judge.

An example

Shift leads at three plants of a frozen-foods manufacturer were renegotiating their operating agreement, and the vice president of operations wanted one thing above all: moving shift bids from seniority to skills certification. The proposal also included Sunday overtime at straight time for the first four hours, which would have saved about $400,000 a year and which the operations head had ranked, before talks began, as the first thing to trade. The shift leads organized against the Sunday rule, and it filled three sessions. In the fourth the operations head withdrew it and asked for movement in return. Skills-based bidding passed with two amendments the shift leads drafted. The same logic shaped the budget submission that fall: an attractive automation pilot sat in the package, the finance committee cut it, and the rest passed with little scrutiny.

Why it works

Once the author gives something up in view of everyone, accepting the rest gets easier, because holding out now looks like refusing to take yes for an answer. Continued resistance looks worse, since the grievance that recruited allies, that leadership would not listen, has been answered. It also becomes costlier: reciprocity is a real social pressure, and the side that refuses to match a concession looks like the one acting in bad faith. Budget reviewers who need to show cuts react the same way. Once they have killed a visible project, cutting deeper into the core looks excessive.

The thinking behind it

Robert B. Cialdini Reciprocal Concessions Procedure for Inducing Compliance: The Door-in-the-Face Technique (1975) found that people who had refused a large request were more likely to agree to a smaller one, which the authors explained as returning a concession with a concession; Influence (1984) puts it under reciprocity. Withdrawing the Sunday overtime rule is a visible concession, and the shift leads felt obliged to move on skills-based bidding in return. The obligation is real only if the item conceded had real value.

Herbert A. Simon In A Behavioral Model of Rational Choice (1955), Simon argues that decision-makers with limited time and information stop searching once they find an option that meets their aspiration level, which he called satisficing. A budget committee that needs to show discipline reaches that level when it cuts one attractive project. After that, the rest of the package passes with little scrutiny, and the budget version of this move works on exactly that stopping point.

When it fits

This suits negotiations and budget rounds where the other side needs a visible win to show its own people: labor talks, cross-functional plans, annual budgets with reviewers expected to cut. You need a package with more than one real component and a clear private ranking of which ones you can live without.

How to use it well

Rank the package before you open it. Know which item is the core and which ones you would trade, and for what.

  • Include only items you would actually be glad to get. A tradeable item has to be plausibly valuable, or the other side will see through it and feel insulted.
  • Let the other side choose its fight. Usually it picks the most visible item.
  • Concede at the moment it buys something, and ask for movement in return, out loud.
  • Keep the core items defended on their merits, with the evidence ready.

Skip the show of reluctance. Say that you heard the objection and are moving, and name what you expect in return.

What it costs and where it backfires

Each use is perishable. A counterparty that sees the pattern two or three times reprices every future concession and starts treating your first proposal as padding. If the traded item turns out to be one you could not afford to lose, you have given away something real. The line is honesty about the items. Seeding a package with demands you never wanted and staging a painful retreat is a con, and once the other side finds out, the goodwill it earned turns into distrust of the whole deal.

When it is used on you

Expect a package to contain one item meant to be traded. Split it into separate items in public and ask that each be defended on its own merits, so one cannot be bought with another. Ask who wins if only the most visible item is cut, and track the pattern across cycles.

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