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Negotiations and Planning Overview

An Overview

Of The Negotiation Strategy Planning and Analysis System

Prepared By Tom OConnor

Tom OConnor
Phone 571 332 2349 email SKMOLTOM1@Aol.Com

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Negotiations and Planning Overview

I. Introduction and Summary of Analytical Models

The Negotiation Strategy Planning and Analysis System (NSPA) is a proprietary series of analyses, reports and seminars developed by Tom OConnor to assist in supply chain management, logistics and related strategy planning and negotiations. Some of its applications include: 1. Merger Analysis Clients, For clients including The Kansas City Southern Railroad, The Fertilizer Institute (TFI) and others we conducted independent merger analyses to analyze the effects of proposed railroad mergers including the Burlington Northern Santa Fe merger and the Union Pacific Southern Pacific. We analyzed the proposed merger identifying rail points and rail corridors on which the merger could impact rail competition and other aspects of interest. We also provided recommended strategies to mitigate adverse effects. 2. Chemical Industry Clients We conducted rail benchmarking studies as part of wide range of projects. We applied the types of studies described in the next section of this report. 3. Manufacturing Industry Clients We conducted rail and truck benchmarking studies to evaluate the reasonableness of transportation rates. We applied the types of studies

described in the next section of this report. We have applied these systems and analytical tools on behalf of dozens of clients over the years. On behalf of many clients, we provided a broader range of services. 4. A Broader Range of Services Several years ago, we were asked to assist in analyses of a major chemical company. At that time the chemical company was led by a senior management team installed by the Debtor in Possession (DIP). Our assignment included conducting a series of interviews with senior management, middle management and line management at facilities in the US and in Canada. Our focus was
Tom OConnor
Phone 571 332 2349 email SKMOLTOM1@Aol.Com

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Negotiations and Planning Overview defining the processes involved, their interactions and the potential for improvement. The scope of the study included: Rail transportation Truck transportation Rail and truck fleet planning and management Waterborne transportation - inland waterways and offshore Other aspects

Based on our interviews and on site field work we prepared a series of process maps for senior management identifying the processes involved, the flow of the operation, the issues encountered and the steps taken to manage the processes and to resolve the issues and challenges. In the following section we provide an overview of some of the analytical systems we have developed and which we apply on behalf of our clients.

II. Negotiations Strategy Planning and Analysis System

The Negotiations Strategy Planning and Analysis System components and milestones include:

Analytical Methodologies
Applied throughout the Negotiation Strategy Planning and

Analysis System Process, these include:

Network systems analyses

Freight

Tom OConnor
Phone 571 332 2349 email SKMOLTOM1@Aol.Com

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Negotiations and Planning Overview

Passenger Other

Routing analyses Transport analyses

Freight Passenger Truck Transport and Waterborne analyses - inland and offshore

MicroTOCS Truck transportation cost analyses of truckload, less

than truckload and specialty carriers

MicroBOCS Barge and Waterborne transportation cost analyses

of Inland Waterway, Inter Island and Ocean going water transport carriers

Master Contract
The Master Contract Implements the Negotiation Strategy Plan

and focuses effort by beginning with the end in mind

With this plan we work to develop a Plan A and Plan B for

achieving the strategic objectives

Lane Specific Analytical Methodologies

Initial analysis reviews all strategic lanes and subsequent analysis

focuses on strategic points

Negotiations Factors Assessment

Tom OConnor
Phone 571 332 2349 email SKMOLTOM1@Aol.Com

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Negotiations and Planning Overview

The Negotiations Factors Assessment Identifies the preferences,

positions and underlying interests of the parties to a negotiation including both allies and adversaries as well as service providers

Negotiation Strategy Overview

The Negotiation Strategy Overview analyzes, evaluates and

synthesizes the Negotiations Factors Assessment responses

The Negotiation Strategy Overview is developed and discussed in

team planning sessions which outline the strategy, focus the effort and produce the Negotiation Strategy Plan

Negotiations Strategy Review and Planning Sessions

Negotiations Strategy Review and Planning Sessions are

scheduled at key points during the process

During

negotiations

strategy

and

planning

sessions

The

Negotiations and Contracting System components are integrated into a targeted plan.

Negotiations Sessions Guidelines and Checklists

Initial meeting between the parties establishes the WinWin

framework

Subsequent meetings between the parties develop the specifics

and the combined plan for achieving the objectives.

The strategy followed during the Negotiation Sessions is shaped

during the Negotiation planning process, based on:

Negotiation Factors Survey

Tom OConnor
Phone 571 332 2349 email SKMOLTOM1@Aol.Com

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Negotiations and Planning Overview

Negotiation Strategy Checklist Negotiation Launch Checklist Negotiation Strategy and Tactics Checklists; Analytic Review of the initial situation, the plans and the Negotiation Sessions

Negotiations Session Reports

The Negotiations sessions record is based on notes and

observations during the meeting with the parties.

Analytic Review of the initial situation, the plans and the

Negotiation Sessions.
This planning process systematically applies proven tools including:

Network Analyses Rail Transportation logistics models Truck Transportation logistics models Barge Transportation logistics models Deep water Transportation logistics models Negotiations Factors Assessment Negotiation Strategy Checklist Negotiation Launch Checklist Negotiation Strategy and Tactics Checklists; Master Contract

Tom OConnor
Phone 571 332 2349 email SKMOLTOM1@Aol.Com

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Negotiations and Planning Overview

Other models and systems

Using these proven tools and systems we work with the

client to

Define the key involved parties interests, Estimate the service providers interests; Develop Win-Win approaches Develop and analyze alternative positions any party may take and Develop and apply Win-Win strategies for addressing the

positions while achieving the goals and interests.

We have successfully applied all aspects of the preceding systems in conjunction with numerous clients. We look forward to working with you. Thanks,

Tom OConnor

Tom OConnor
Phone 571 332 2349 email SKMOLTOM1@Aol.Com