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Negotiations 2020

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Negotiations
“The perfect negotiation”
-Gavin Kennedy
The Four Phases
Preparation
Discovery
Proposals
Bargaining
Phase 1-Preparation

What do you want?
Phase 1-Preparation
Decide what you want and prioritize your wants



-High importance: those you must get if you are to
agree at all.
-Medium: those that you would prefer to attain, but
are not critical
-Low: those that you would like to attain, but would
not let them jeopardize the deal
Assign ranges of possible values to each want :
100-150 euros or “will deliver by Friday”
Phase 1- Preparation
Issues
Problems
Wants
your ideal
Importance
high, med, low
Entry
should be
reasonable
Exit
walk
away
CHECKLIST FOR PREPARATION




What are the negotiable issues?
What do you want for each?
Rank each by its importance to you

High - absolutely critical – certain or no deal

Medium – important but not critical

Low – desireable but would not sacrifice the deal if not
obtained
What are your entry and exit limits?

Entry terms should be reasonable

Exit terms are your “walking away” positions
Phase 2-Discovery
What do they want?
Phase 2-Discovery





Listen actively
Ask open ended questions
Seek and give information
Summarize neutrally and briefly
Keep doors open, never say “No” but ask a
question
Phase 2- Discovery
Language: use open questions to seek
information:
Could you tell me more about…?
What exactly do you mean by…?
Have you considered…?
How long/much/large/important….?
Phase 2- Discovery
Language: use closed questions to
check understanding:
Do you need the solution rapidly?
Did you find…?
Is quality an important point for you?
Phase 3- Proposals
What could you trade?
Phase 3- Proposals
Making proposals


If the issues and wants have been discovered,
you are ready to make proposals
Make proposals conditional - the condition first
and then the offer
 STATE YOUR PROPOSAL AND WAIT FOR A
REACTION OR COUNTER-PROPOSAL.
Phase 3- Proposals
Language: use conditionals type 2:
Proposal -If you agreed to a price of 20€ per
unit, then I would sign today.
Counter-proposal –I could agree to that on
condition that you ordered 500 units.
Phase 4 -Bargaining

What will you trade?
Phase 4 -Bargaining




This involves giving something up in return
for something you want
Your offer must be specific and conditional
Actively seek agreement on your issues
NEVER give something up without getting
something in return
Phase 4 -Bargaining




Counter bargain- “If you agree to 10 days,
we have a deal”
Don’t argue - Propose alternatives
If you accept an offer you simply say
“Agreed”
Nothing is ever agreed until everything is
agreed
Phase 4 -Bargaining
Language: use Conditionals type 1:
If you agree to a price of 20€ per unit, then
I will sign today.
CLOSING A NEGOTIATION



Go over the concessions that you have
both made and highlight the benefits of
the proposed agreement
SUMMARIZE to make sure both parties are
clear on the terms
Decide who will draw up the contract
It’s a deal !!
The Four Phases
Discovery
What do they want?
Preparation
What do I want?
Bargaining
What will I trade?
Proposals
What could I trade?
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