Domain: People Task 8: Negotiate Project Nae Pay knowledgehut upGrad @Build a Team Ay koe sone Negotiate project agreements : Key competencies + Importance of negotiating project agreements. + Bounds of negotiation + Determining project objectives + Significance of identifying project objectives in negotiation + Importance of verifying if the objectives of the project agreement are met + Active participation and effective negotiation strategies + Types of negotiation strategies + Selecting the most appropriate negotiation strategyLearning Objectives Develop the skills to engage in effective project agreement negotiations Gain the ability to thoroughly examine and understand the scope and limits of negotiations when reaching project agreements Hone the capability to evaluate priorities and establish clear and achievable objectives during the negotiation process Learn how to confirm that the objectives outlined in the project agreement are successfully met throughout the project lifecycle Learn how to engage in project agreement negotiationsLearning Objectives > Understand the importance of negotiating project agreements » Analyze the bounds of negotiation > Understand how to determine project objectives > Determine the significance of identifying project objectives in negotiation > Get an overview of active participation strategies > Explore strategies used for effective negotiation > Explore the types of negotiation strategies > Understand how to select the appropriate negotiation strategy > Discern the importance of verifying ifthe objectives of the project agreement are metThe Importance of a Project Agreement Ay koe Consider the launch of a new software application by a technology company. Budget management: Roles and responsibilities: It specifies the project budget for financial clarity and effective budget Delineation of roles ensures ‘efficient colaboration. rmcrogemane scape and expectations Tintin renc: Quy aac nd comple Theameenertdefns sofware ope _sgreedpojectomeines ansmesones Nan ny sande nd edincrandien opens Mttedpje tine nde shore prevent miaunderstanings and cope creep.The Importance of a Project Agreement Ay koe Legal protection and Risk mitigation: dispute resolution: Identifies and addresses Provides legal protection risks, framing proactive and dispute resolution risk management, processes, Client involvement and Project success metrics: Change control: feedback: Includes success criteria to measure overall project Establishes procedures for Specifies client success ‘managing changes and involvement, feedback, ‘adapting to evolving and iteration cycles for Tequirements, satisfaction,The Importance of a Project Agreement 7 + A comprehensive project agreement is vital for successful software development. + Itsets the project's parameters, expectations, and processes, ensuring @ structured and collaborative approach towards delivering a high-quality software application on time and within budget.What does a Project Agreement Include? AX koe [OY Atypical project agreement includes contract terms and conditions with external parties, Service-Level Agreements (SLAs), Verbal agreements, Statements of Work (SOW), and so on.Introduction to Project Charter > Aproject charter is one of the first project agreements created for a project. > Itis like a compass and a map for a team embarking on a journey.Introduction to Project Charter A knowledgehut Similarities between a project charter and a compass + Compass (guiding direction): ‘The project charter guides the team towards objectives and goals, ensuring alignment. + Map (Overview and route): Itoutlines the scope, milestones, and activities, providing a project overview and route. + Destination (project goals): Defines project goals and objectives, keeping everyone focused. + Key landmarks (project milestones): Highlights significant project milestones, signifying progress and achievement. Overall, the project charter serves as a foundational tool that provides direction, clarity, and a sense of purpose to the team throughout the project journey, much like a compass and map do during a physical journey.Analyze the Bounds of the Negotiations for AgreementImportance of Negotiating Project Agreements A knowledge Imagine a technology company tasked with developing a new e-commerce platform for a client, aiming to revolutionize their online retail presence, The importance of negotiation in project agreements: > Aligning expectations (scope and features): Negotiation aligns client and team expectations on project scope and features » Budget negotiation: Negotiation balances client budget constraints with development needs. > Timeline negotiation: Negotiation sets realistic project timelines € Dp considering speed and quality. Fy > Risk assessment and mitigation: Negotiation addresses risks, allocates responsibilities, and plans mitigationImportance of Negotiating Project Agreements Ay koe > Change management and flexibility: Negotiation establishes structured change management for flexibility. > Roles and responsibilities: Negotiation defines clear roles, preventing conflicts in project execution, > Quality assurance standards: Negotiation sets achievable quality standards aligning client and team expectations > Client involvement and feedback loops: Negotiation determines client to participation and feedback processes, finding a satisfying compromise,Importance of Negotiating Project Agreements AX koe To summarize: + Negotiation is the cornerstone of a successful project agreement. + Itbridges the gap between client aspirations and development feasibility, aligning expectations and establishing a foundation for a collaborative and fruitful partnership. + Effective negotiation ultimately contributes to a project that meets both business objectives and client satisfaction.Overview of Analyzing Bounds of Negotiation Imagine a software development company negotiating a project agreement to create a cutting-edge mobile application for a client within a specified timeframe and budget.Overview of Analyzing Bounds of Negotiation AY krgutedeenut Budget limitations Scenario: Client sets a fixed project idget. Importance: Defines cost boundaries, allocates resources efficiently, and meets clients financial expectations.Overview of Analyzing Bounds of Negotiation A knowledgehut ArdOverview of Analyzing Bounds of Negotiation AX koe > By defining negotiation boundaries and constraints in this scenario, the software development company can engage in negotiations that are efficient, focused, and aligned with the client's expectations. > Itallows for a mutually beneficial agreement that respects the project's financial, temporal, and technical constraints while delivering a high-quality mobile application that meets the client's needs.Real-world Examples AX koe 1. Infrastructure development project: + Negotiation: A government agency initiated an infrastructure project, negotiating with construction firms to set scope, budget, and quality boundaries. + Benefits: Negotiation ensured cost control and adherence to quality standards. The project was on time and within budget.Real-world Examples Ay koe 2. Software development for a startup: + Negotiation: A startup negotiated with a development company for a mobile app. They defined budget, timeline, and scope. + Benefits: Negotiation enabled efficient resource allocation, on-time launch, and cost control, meeting the startup's market window. 3. Healthcare compliance software: + Negotiation: Healthcare negotiated with a vendor for compliance software, setting regulatory boundaries. . + Benefits: Negotiation reduced legal risks and gained trust from patients By identifying and incorporating project objectives into the negotiation process, the software development company ensures that negotiation outcomes are aligned with the client's needs, expectations, and the ultimate success of the project. > Italso provides a structured foundation for achieving a mutually beneficial agreement that respects project constraints and objectives.Exercise: Prioritize Project Objectives A wet Scenario: You are the Project Manager for a software development project aimed at creating a mobile app for a fitness startup. The startup’s goal is to launch the app within a year and achieve significant user adoption and revenue growth. However, the startup has limited resources and budget. Your task is to prioritize project objectives considering these constraints.Exercise: Prioritize Project Objectives a all \ List objectives: Define project goals, ike features, user adoption, revenue, or timeline. Importance: Rate each goal's importance on a 1-5 scale, considering strategy, impact, and constraints. Constraints analysis: Assess resource and budget constraints on goal feasibility. Priority calculation: Calculate priorities by multiplying importance and feasibility: Priority = Importance * Feasibility Rank objectives: Arrange objectives by priority, highest to lowest. Justify: Justify rankings based on the exercise’s outcomes, considering alignment with project success,Verify that the Objective(s) of the Project Agreement Is MetSignificance of Validating if Project Agreement AX koe Objectives are Met _ + Evaluating whether the objectives of a project agreement are being met is crucial for project success and client satisfaction. * Itensures that the project stays on track, resources are optimally utilized, and any necessary adjustments can be made to meet the agreed-upon goals.Significance of Validating if Project Agreement A knowledgehut Objectives are Met Implementing an Enterprise Resource Planning (ERP) System Imagine a large manufacturing company implementing a new ERP system to streamline its operations, improve supply chain management, and enhance overall efficiency. 1. Resource optimization: + Scenario: ERP system aims for 15% better resource allocation. + Importance: Verify if ERP optimized allocation for efficiency. 2. Process efficiency and cost reduction: + Scenario; Project targets 10% operational cost reduction. + Importance: Assess the project's cost-cutting efficiency. 3. Customer service enhancement: + Scenario: Objective is 2 20% quicker customer service. + Importance: Evaluate system's impact on service quality.Significance of Validating if Project Agreement Objectives are Met 4, Data accuracy and decision-making: + Scenario: The aim is 95% data accuracy for decisions. + Importance: Check if data meets decision standards, 5, Scalability and growth readiness: + Scenario: ERP should handle 30% business growth. + Importance: Confirm the system's scalability for expansion. 6. Compliance and risk management: + Scenario: Compliance and risk objectives exist. + Importance: Ensure the system aligns with standards and risks are managed. 7. Employee produ + Scenario: Target is a 25% productivity increase. + Importance: Gauge if training improved productivity. knowledgehutSignificance of Validating if Project Agreement A knowledgehut Objectives are Met > By evaluating whether the objectives of the project agreement are being met, the manufacturing company ensures that the substantial investment and effort put into implementing the ERP system deliver the intended outcomes. ® Italso allows for adjustments or enhancements to maximize the system's benefits and align it with the company’s evolving needs and strategies. te: aVerifying if Project Agreement Objectives are Met There are several ways to verify if the objectives of the project agreement are met. These include: Involve structured evaluation points in a Project's lifecycle. At these gates, the project is assessed for progress and Slignment with objectives. Decision makers determine whether to proceed ta the next phase based on predefined cetera, ensuring objectives areon track Oo O Oo ‘Acceptance criteria sign-offs: Ental formal approvals by stakeholders on the citeria that must be met for a project oF Geliverable tobe accepted. Sign-offs ensure that expectations and abjectves defined in the project agreement are met before moving Terward Product demonstration methods: Involve showcasing project deliverables or the {inal product to stakeholders, Demonstrations Provide a tangible way to very whether ‘objectives have been met by allowing stakeholders to see, Interact with and assess ‘the product against agreed-upon criteria,Participate in Agreement NegotiationsActive Participation Strategies Ay koe > Preparation: Thoroughly research goals, define boundaries, and anticipate the other party's perspective. > Active listening: Pay close attention, ask clarifying questions, and show empathy. > Effective communication: Clearly articulate objectives, use precise language, and maintain professionalism. > Problem-solving mindset: Embrace collaboration and creative solutions. > Flexibility: Prioritize key objectives while being open to adjustments. > Conflict resolution skills: Use conflict resolution techniques and avoid escalation.Active Participation Strategies A knowledge > Time management: Set time limits, stick to agendas, and avoid unnecessary delays, > Emotional intelligence: Manage emotions, understand the other party's feelings, and build trust. » Team collaboration: Coordinate roles, responsibilities, and communication within the team. > Documentation: Keep accurate records of discussions and agreements. > Review and reflect: Assess outcomes and identify areas for improvement post-negotiation.Simulated Negotiation A knowledgehut Negotiation scenari Asa Project Manager, you're negotiating with a potential client for a custom software project. They have specific needs, a tight budget, and a strict deadline. The below negotiation strategies will help you work collaboratively with the client to reach a mutually beneficial agreement for the custom software project.Simulated Negotiation 1. Preparation Research the client's industry, needs, and your team’s capabilities. 3. Effective communication Clearly explain your team's capabilities and how your soluttion aligns. 5. Flexibility Be open to adjusting proposals to meet client needs. Ay koe 2. Active listening Listen carefully, ask open- ‘ended questions, and understand their priorities. 4, Problem-solving Collaboratively find creative solutions within budget and timeline constraints 6. Conflict resolution Resolve disagreements by finding common ground or suggesting alternatives.Simulated Negotiation Ay koe 7. Time management 8, Emotional intelligence 9, Team collaboration Set time limits, stick to the Manage emotions and build Coordinate with your team agenda, and avoid delays. ‘rust with the client. and keep them informed 10. Documentation 11. Review and reflect Maintain records of Assess outcomes and discussions, terms, deadlines, improve negotiation skills and responsibilities. for future deals.Determine a Negotiation StrategyTypes of Negotiation Strategies A knowedgetut Collaborative (Win-Win) Parties work together for mutual benefit, sharing < information and interests. Competitive (Win-Lose) ‘Adversarial approach where parties seek individual gain, ap comets using tacts, Integrative (Problem- solving) Focus on jointly solving issues to create value and satisfy both sides.Selecting an Appropriate Strategy A econ How to choose the most suitable negotiation strategy based on the project's context and goals? ‘Assess and reflect: Analyze the situation: Adapt and blend strategies: “Aer ams EMS. tele answatgoatge, —_*Hbeteoames iron he «= Consider cultural and ethical + Blend strategies when needed, project goals. feooae” arlene * + Reflect for futur improvements. Vr ry cr () Define project context and goals: select an appropriate stratesy: Communication and feedback: + Define project content, objectives, + Colaboratve, Competitive, __* Maintain apen, transparent communication. and constant. Integrative + Continuously assess and adjust based on + kdenykayisses, interests, and feacback ProstSelecting an Appropriate Strategy A Choose a strategy aligning with project needs, parties involved, and desired outcomes while staying flexible and adaptable, often blending strategies for optimal results,Expert Insights Chris Voss, a former FBI negotiator, emphasizes “Tactical Empathy” in negotiations. He stresses the importance of understanding the perspective and emotions of the counterpart to build rapport and facilitate better agreements. Voss also advocates for techniques like mirroring and labeling to create a cooperative atmosphere. Harvard Program on Negotiation: BATNA ‘The Best Alternative to a Negotiated Agreement (BATNA) concept is highlighted by the Harvard Program on Negotiation. it emphasizes the importance of understanding your BATNA, as it empathy, strategic thinking, active listening, provides a benchmark for evaluating the that aims to create value and a satisfying success of an agreement. Having a strong, outcome for all parties involved. BATNA enhances negotiation leverage. Based on these expert insights, negotiation is a collaborative problem-solving process based onWhat You Have Learned a soneteret When negotiating project agreements, there should be a clear understanding of project objectives, setting budget, timeline, scope, and resource limits, and alignment with client expectations. Effective negotiation involves understanding and respecting these bounds to achieve mutually beneficial agreements, Understand stakeholders’ needs, set clear objectives, align interests, and negotiate project agreements that ensure mutual success. Verify project agreement objectives are achieved, ensuring alignment with scope, budget, timeline, quality, and stakeholder expectations. Active participation, adaptability, ethical conduct, trust building, and collaborative strategies are essential for successful agreement negotiations. Choose collaborative or competitive approaches based on project context, goals, and party dynamics to achieve favorable agreements.Thank You Copyright © Knowledgehut Upgrad., All rights reserved Confidential Information, intended for approved distribution list of Knowledgehut Upgrad