Some folks like to run morale checks BtB. Some folks don't run them at all. Me, I like to keep things interestingly random and just before I roll for initiative, I roll a die to determine what action the NPC is going to take going up against the PC's.
1-Flee (Turn and run from area seeking escape, back is exposed)
2-Fight (Have weapon at hand, prepare to strike)
5-Parlay (If low intelligence then stop to see what PC's do)
9-Parlay (Roll on Parlay sub-table, only individual or leader of NPC's can parlay, if not leader "calling" for the group of NPC's, then re-roll)
One reason I like to use dice to determine their intentions is that I am sometimes guilty of just falling into "attack" mode as I roleplay the NPC's, especially if it is a random encounter or I had not necessarily planned out the encounter with a particular NPC.
If the NPC's do not get initiative then they will be as if surprised for one round due to not expecting to fight immediately
1-Negotiate cease fire-become allies/collaborate
2-Negotiate Surrender of PC's
3-Negotiate Surrender of NPC's
4-Negotiate cease fire-go separate ways
I'm always looking for new things I could add to these dice roll results, so if you have an idea or suggestion, let me know in the comments, I would love to hear it.