Negotiation

Negotiation definition

 Negotiation is the science and art of

ensuring you meet your personal
objectives whilst skilfully maximising
the joint opportunity for both parties
where the opportunity exists.

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 What Type Of Negotiator are you?

 COMPETING
 COLLABORATING

 COMPROMISING
 COOPERATIVENESS

 AVOIDING  ACCOMODATING

 ASSERTIVENESS

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 Responsibilities of a negotiator

 Profitability

 Understanding intrinsic value

 Respect of Company Strategies

 Legal Considerations

 Integrity

 Avoid Confrontation

 Be Well Prepared

 Commercial Professionalism

 Aware of Empowerment

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 Different Negotiation Approaches

Hard
Synthesis
Bargaining

Win / Win Auctioning

Positional
Partnership
Bargaining
Trading

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 8 Key Behaviours of Negotiation

1. COMMERCIAL STANCE: Has and opens the negotiation with pre-planned commercial
proposition. Manages the opponent’s expectations

2. OBJECTIVE FOCUSED: Set and knows how to let objectives guide behaviour, without letting a
sense of fairness dominate

3. SELF CONTROL: Maintains self-control, uses silence and manages verbal and non-verbal signs
of discomfort

4. QUESTIONING AND LISTENING: Questions, listens and summarises to interpret and test
understanding

5. RELATIONSHIPS: Builds a sustainable, trusting relationship

6. CONDITIONAL TRADING: Trades variables effectively and conditionally

7. CREATIVITY: Builds on creative ideas and counter proposes ideas which have merit

8. CREATES SATISFACTION: Gives sense of satisfaction and creates a feeling of success

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 Getting into the mind of opponent

 Whenever doing

 Preparation

 Positioning

 Understanding the really critical

issues

 Recognise that you are dealing

with a human being in negotiation

 Success lies in gaining insight into

their mind and turning that
insight into an advantage

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 Shopping lists

 A shopping list includes what

you / your customer want to
achieve during the specific
negotiation

 Have a robust list

 Predict and identify your

customer’s specific list

 How similar / different are they?

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 Variables

Customer has a shopping

You have a shopping list
list

Variables are traded

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 Negotiation overview

Buyer Seller

Openin Openin
g g
stance stance
Tradable Tradable
Variables Variables
£ Cost / Value Cost / Value £
Seller’s Break Buyer’s
Point Break Point

Potential Zone of
Agreement

Win Win

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 A new mindset…

 Five approaches to help negotiators transition from deal maker mentality

to
 implementation mind-set
1. Start with the end in mind
 Imagine the service when delivered
 How do you know if it is a success
 Who should have been involved earlier

2. Help them prepare, too

 Surprising the other side does not make sense
 ProvidING a measured disclosure of background and other information will pave the way
to smoother negotiation and stronger implementation

3. Treat alignment as a shared responsibility

 Sellers often fail to disclose how undisciplined their processes are and how resistant
their cultures are.
 Involve all stakeholders necessary for a successful implementation

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 A new mindset…

4. Send one message

 Agree the common aim for both parties.
 Shift attention away from the individual negotiators/stakeholders and
their personalities towards the merits and value of the deal and
successful action

5. Manage negotiation like a business process

 Send a clear message about the value of the deal
 Focus on delivery, not on how the deal looks on paper.
 If delivery of service is your ultimate goal, you will fall short of the best
outcome

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