Negotiation Skills CLP Negotiation Skills Getting what you want without losing the relationship.
-
Upload
joseph-dean -
Category
Documents
-
view
219 -
download
3
Transcript of Negotiation Skills CLP Negotiation Skills Getting what you want without losing the relationship.
Negotiation Skillswww.goodfoot.co.uk
CLP Negotiation Skills
Getting what you want withoutlosing the relationship
Negotiation Skillswww.goodfoot.co.uk
Objectives
Understand the key techniques for formulation of strong business relationships
Prepare and plan negotiations in a structured and professional manner
Understand how to structure a negotiation and maintain control of the phases and the agenda
Have the confidence to obtain the best agreement for the business
Use a range of tools for influence Professionally handle tough negotiation tactics which
are used against us Deal with changing scenarios that require adept,
sensitive and firm negotiation.
Negotiation Skillswww.goodfoot.co.uk
Topics
Managing Relationships
Initial Negotiations
Negotiating When Change Occurs
Negotiation Skillswww.goodfoot.co.uk
Data Process Relationship
Who are you?
What are our objectives?
What is important to them and us?
What will success do for us?
What is this negotiation about?
What do we both have in common?
What do we both want?
Let’s do it!
How can we worktogether on this?
What would be the best way to
resolve this?
Negotiation Skillswww.goodfoot.co.uk
Building a Relationship
=TRUST
likecompetence +
RELATIONSHIP means TRUST TRUST means INFORMATION
Negotiation Skillswww.goodfoot.co.uk
Amiable
DriverAnalytical
Expressive 10
10
10
10
Logic
ExtrovertIntrovert
Emotion
0
Negotiation Skillswww.goodfoot.co.uk
•Bold•Assertive
•Affirmative•Determined
•Cheerful•Spirited•Buoyant•Uplifting
•Clear•Objective•Detached
•Showing no bias
•Still•Tranquil•Calming•Soothing
characteristics
Negotiation Skillswww.goodfoot.co.uk
•Aggressive•Controlling
•Driving•Overbearing
•Intolerant
•Excitable•Frantic
•Indiscreet•Hasty
•Flamboyant
•Stuffy•Indecisive•Suspicious
•Cold •Reserved
•Docile•Bland
•Plodding•Reliant
•Stubborn
we can be seen as
Negotiation Skillswww.goodfoot.co.uk
•Power dressing•Suits
•Well pressed•To impress•Designer
•Statement•Trendy•Louder
•Brighter colours•Different
•Conservative•Dark suits
•3 piece•Traditional
•Relaxed•Jumpers•Tweed•Casual
•Earth colours
personality dress code
Negotiation Skillswww.goodfoot.co.uk
•Look tidy•Impressions•Power desk•Certificates•Equipment
•Famous photos
•Disorganised•Art
•Gizmos•Friends / family•Inspiring quotes
•Very tidy•Spreadsheets•Gant Charts
•Technical photos•No clutter
•Plants•Sofas
•Charity info•Coffee machine•Organised chaos
the environment we create
Negotiation Skillswww.goodfoot.co.uk
dealing with Blues-Analytical Be punctual
Plenty of facts and figures Lots of data and research
Product information Statistics
Leave information with them Confirm bookings in writing
Know your competition No social chit chat
Good customer care Find out about their business
No gimmicks
Negotiation Skillswww.goodfoot.co.uk
dealing with Reds-Driver Prepare well
Direct questions Be punctual
Plenty of product knowledge Examples
Be professional No social chit chat
Not too many facts and figures May it easy for them by offering service
Give “whats in it for them”
Negotiation Skillswww.goodfoot.co.uk
dealing with Greens-Amiable No jargon
No pressure, empathise Be on time
No direct questions More casual approach
Testimonials Not too much data Seek out opinions
Be friendly and sincere Listen
Give them time
Negotiation Skillswww.goodfoot.co.uk
dealing with Yellows-Expressive
Enthusiasm Visuals
Be creative Seek out their opinions
Give them more than one option Friendly
Plenty of social chit chat Let them talk Use humour
Not too many facts and figures
Negotiation Skillswww.goodfoot.co.uk
Get them to talk
“What is your view of the situation?”
“What are the most important points for you?”
“What is your ideal solution?”
“Why is that important for you?”
“How can I help in the short, medium and long terms?”
“Can you prioritise?”
Negotiation Skillswww.goodfoot.co.uk
Managing First Impressions
1. Initial thoughts1. 30 seconds?2. 2 Minutes? 3. 20 Minutes?
2. Timing – pausing / filling gaps / rhythm 3. Avoid vacuity – go beyond small talk4. Get them to talk…they’ll like you more
59%
38%
7%
Tone / Visual / Words
Negotiation Skillswww.goodfoot.co.uk
Prepare your case
Facts & examples What are their main worries? Options Preventative actions to stop it
going wrong Something for them
Negotiation Skillswww.goodfoot.co.uk
What is the past? What is the future? Who are the key
players? What else are they
negotiating?
What is my carrot? What is my stick? What is my
banana?
Context Power
What are the main benefits I am offering?
What are the unexpected extras I am offering?
How am I reducing the risk to enable an easy decision?
Arguments
Negotiation Skillswww.goodfoot.co.uk
Method
Hold back from saying what you really want to say… your objective early on is to get permission to say what you really want
Don’t jumpin feet first
POSITION
WHAT they
want
INTEREST
WHY they
want it
Target the other side’s underlying interests
logiclogicemotionemotion
Negotiation Skillswww.goodfoot.co.uk
Preparing for Negotiation
DEFINE OUTCOMEWhat will success
do for us?
BACKGROUNDHistory, personalities, relevant
info.
SPECIFY OBJECTIVESIdeal, Realistic, Fallback
BANANA
ASSESS THE POWERWhat is important to them?
What is important to us?
DECIDE STRATEGYHow to build relationship?
Tactics Agenda
PLAN ARGUMENTSWhat are your strengths
and weaknesses?
1.
2.
3.
4.
5.
6.
Negotiation Skillswww.goodfoot.co.uk
PlanningIDEAL
REALISTIC
FALLBACK
IDEAL
FALLBACK
REALISTIC
=
!
=
REMEMBER!
Keep the gaps between your positions fairly equal.
Be prepared to justify all three positions.
Don’t be surprised at the gap between their opening position and yours.
Negotiation Skillswww.goodfoot.co.uk
When to Walk Away
The Best AlterNative to A Negotiated Agreement
Typical BANANAS:
Someone else you can do a deal with
Option to do without the item being negotiated
Ability to defer the deal to a later date
Alternative solution
ALWAYS KEEP A BANANA IN YOUR POCKET!
Negotiation Skillswww.goodfoot.co.uk
Creating Movement
Bargaining
Packaging
Amended Proposals
ClosingContracting
Signals
Negotiation Skillswww.goodfoot.co.uk
Creating Movement
SharedInterests
Shared Needs
The P-I-N Triangle
Positions
Interests
Needs
Negotiation Skillswww.goodfoot.co.uk
Working Towards Agreement
Important to us Important to both of us
Less important to us and them Important to them
THEIR LEVERS DIFFICULT ISSUES
OUR LEVERSLUBRICATORS
■ Start with the Lubricators
■ Deal with the Difficult Issues
■ Don’t sign off the Lubricators until you have dealt with the Difficult Issues
Negotiation Skillswww.goodfoot.co.uk
Building Rapport
You want this person on your side of the bridge.
Do you: Throw a lasso over and pull
them Call them over to your side Meet them halfway across
OR WHAT?Draw yourself standing where
you feel you should.
Negotiation Skillswww.goodfoot.co.uk
Rapport Breakers
Talking more than listening
Formal-speak
Parental language
Using “irritators”
Doing their thinking for them
Arguing
Being dogmatic
Negotiation Skillswww.goodfoot.co.uk
Signals
Listen out for underlying interests that you can use later as leverage
Never accept a refusal or blockage, test it as a signal
Listen for easy quick hit successes, longer haul topics and no-gos
Negotiation Skillswww.goodfoot.co.uk
• “We never admit liability”
• “We could not produce that quantity in that time”
• “It is not our policy to discuss discounts, and even if we did they certainly would not be 10%”
• “Our price for that quantity is £x”
• We are not prepared to discuss that at this stage”
• “These are our standard terms and conditions”
• “We would find it extremely difficult to meet that deadline”
• “Our production line is not set up to meet with that requirement”
• “I am not empowered to negotiate this price”
Sample Signals
Negotiation Skillswww.goodfoot.co.uk
Package
link apparent concessions Underlying Interest Low Risk decisions
Negotiation Skillswww.goodfoot.co.uk
Bargain
only Bargain near the end show a willingness to move “If ..”
Negotiation Skillswww.goodfoot.co.uk
Push or pull?
KUNG FU JU JITSU
You are wrong because … I disagree because … You need to re-think … You don’t understand the
situation … No, that’s not right … You shouldn’t take that approach You haven’t considered … It won’t work because
We are saying almost the same thing …
You are right to point that out, which is why I …
Is your approach achievable within the cost/time constraints?
I think you are clarifying this for me. What if …
I understand and you are right. But what else can we do?
I like that. How about we incorporate that idea.
Negotiation Skillswww.goodfoot.co.uk
Awkward People
If People You Then
go quiet on you ask questions. if they refuse to answer, ask them WHEN and HOW an answer will be available
make demands listen, slow down, state that you want to achieve their demands and that to do that you need to ask some questions first
are over friendly and complimentary
smile, be friendly, and return to the business agenda
unpredictable, changing the subject or changing mood
say you are unsure of how to proceed because you are getting different signals
impatient and want a quick decision
say you can give them a quick decision which will partly solve the problem but you’d rather give them a decision that will fully solve the problem
Negotiation Skillswww.goodfoot.co.uk
Tips for Breaking Deadlock don’t argue or defend probe on the underlying issues keep stating that you are willing to work out an
agreement change location, people, subject try incentives know your walk away point and call the bluff backtrack and review push for what you can agree on
Negotiation Skillswww.goodfoot.co.uk
Handling Objections• empathy• (rephrase)• decide when• general now, detail later• back to agenda
• generalised statement• options• recommendation• next steps
• specifically you seem • worried about...• if I.... could you.... ?
• underlying concern• agree• recommendation• next steps
Negotiation Skillswww.goodfoot.co.uk
How to say NO
I understand (pause, not BUT) currently (state facts) therefore (difficult / impossible) I suggest (give 2/3 options) your choice?
Negotiation Skillswww.goodfoot.co.uk
Being Tough, Nicely“I understandIn order to achieve that I need…How can you help?”
“Currently the situation is …Therefore it is impossible for me to …What I can do is …”
“What you are asking for requires a re-assessment of our whole position.To move forwards I suggest …”
“I want to be direct and honest with you about what we can and cannot achieve.We cannot achieve X, we can however achieve Y”
“I am prepared to negotiate further and move my position. However, I require movement from you in return.”
“That’s as far as I am willing to go at the moment. I can get back to you with further ideas, or we can perhaps discuss another issue.”
“I can certainly commit to these broad aims, with respect to detail we need to construct a timetable for discussion.”
“I am prepared to consider your requests though I think achieving all of them will not be possible. Can you prioritise this list for me please?”
“I believe we can reach an agreement but we will both have to accept that we have to move our position. To get an agreement I am prepared to move, how far are you prepared to move?”
Negotiation Skillswww.goodfoot.co.uk
Some golden rules
1. Uncover real reasons underneath (why why)
2. Ask for things you know they will refuse then ask for something you really want
3. Smile even when you say no
4. Get agreement in principle
5. Listen for BASIS of argument and use it back
6. Collect all requirements before arguing or replying
7. Ask for something more than once
8. Disclose more information to get the moral high ground
9. Be happy with compromise, let them feel they have made you move
10. Trade offs (if I ... will you ...)
Negotiation Skillswww.goodfoot.co.uk
Negotiating Bad News
current situation
downside
remedy
benefits
next steps
facts, numbers
impact on them
simple
to them
immediate
Negotiation Skillswww.goodfoot.co.uk
Handling Pressure
stay with logic go back to agenda identify what can agree on suggest steps for resolving disagreements seek agreements in principle if attacked personally then address their
criticism as another issue for discussion
Negotiation Skillswww.goodfoot.co.uk
Handling Pressure
don’t argue, ask a question !!
If They Then You Say
criticise your suggestion what do you suggest?
change the subject do you agree on the issue that needs solving?
criticise you personally we can either solve this issue or discuss my performance, what do you want to discuss?
say they are not convinced
what do I need to do to convince you of my solution?
say they need you to do xxx
if I do xxx will you back my suggestions?