Negotition Skills - Corporate Soft Skills

Skill Development

1. Negotiating
“Negotiating is the art of
reaching an agreement by
resolving differences
through creativity”

2. What is negotiation?
Negotiation takes place when two or
more people, with differing views,
come together to attempt to reach
agreement on an issue. It is persuasive
communication or bargaining.
“Negotiation is about getting the best
possible deal in the best possible way.”

3. Negotiating Process
Style
Outcome
Principles

4. Style
Style is a
continuum
between two
styles:
Quick
Deliberate
Middle is
compromise

5. Quick Style
Negotiate in a hurry
Use when you won’t negotiate with
these people again
Get the best deal without regard to
the other side’s “win”

6. Deliberate Style
Use when long term
relationship likely
Involves
cooperation and
relationship
building to reach
agreement
Needs much prep,
hard work

7. Types of negotiation
Distributive (win-lose)
Integrative (win-win)

8. Outcomes
Realistic
Both sides satisfied, win/win situation
Usually results from deliberate style
Acceptable
Likely to result from quick style
Something is better than nothing
Always ask for a better deal
Worst
When you’re too stubborn to be flexible
Usually from quick style

9. Outcomes
Predetermine the outcomes before
you start negotiations, you have a
better chance of getting a better
result
“Think carefully, think creatively, and
think ahead”

10. Principles
There are no rules
Establish an agenda
Everything is
negotiable
Ask for a better
deal
Be creative
Learn to say “NO”
yourself

11. Negotiation Model
Investigate
Presentation
Bargaining
Agreement

12. Planning to negotiate
Establish your objectives
Establish other party’s objectives
Frame negotiation as a joint search for a
solution
Identify areas of agreement
Trouble shoot disagreements: bargain & seek
alternative solutions, introduce trade offs
Agreement and close: summarise and ensure
acceptance

13. Investigate
What do you want?
What does the
other side need?
Decide on style
What are the
consequences of
each choice.

14. Presentation
Prepare other
side’s case
Present the
reasons for your
side better
Planning sheet
Issues involved
Realistic, possible,
worst

15. “The” Presentation
Creative title
Reduce to “must
know” items
Keywords
Mini-speeches
around keywords
Visuals
Don’t give
concessions just
to keep things
going
Make note of
concerns and
keep going

16. Bargaining
When in doubt,
ask questions!
Open questions
Reflective
questions
Tactics

17. Tactics
Use
Walk out
Don’t use
Emotional outburst
Argue special case
Pretend ignorance
Play for time
Nibble and retreat
“You go first”
 Bad environment
Defer to higher
authority
Not willing to make
any changes
 Silence
Good guy/bad buy

18. Agreement
Arrangements should be neutral
and comfortable
Pay attention to what others say
Screen out all visual distractions
Ask open ended questions
Listen to responses
Proactive vs. reactive behavior

19. Are you a Motivated Negotiator?
Enthusiasm
Confidence
Engaged
Recognition
Accomplishment
Pat on the back
Integrity
No trickery
Trustworthiness
Social Skills
Enjoy people
Interest in others
Teamwork
Better as a team
Self-control
Creativity
Always looking for
ways to complete the
deal

20. A Good Negotiator Is..
Creative
Versatile
Motivated
Has the ability
to walk away

21. How to influence others
The three ‘Ps’:
Position (power?)
Perspective (empathy)
Problems (solutions)

22. Factors for success
Legitimacy of your case
Confidence in presenting it
Courtesy to the other party
Adaptation to the other party’s style
Rapport
Incentives and trade offs
Research the bigger picture

23. Tips
Aim high to begin with – easier to lose ground than gain
Give concessions ‘reluctantly’
Break down complex deals
Language:
 Make proposals with open questions such as:
“what would happen if we…?”
“suppose we were to…”
“what would be the result of?”
Dealing with stone-walls: “what would need to happen for you to be
willing to negotiate over this?”
Always get agreement in writing