Improve Your Negotiating Skills And Improve The Odds Of Getting Your Way

Invaluable skills

Negotiating is a process between two or more parties by which they attempt to find a mutually acceptable position. Negotiating may end up with a ‘winner’ and a ‘loser’ – that is, one party giving in completely to the other so that an agreement can be reached, but more often than not negotiation is about compromise so as to find an outcome that provides some satisfaction to both parties.

Negotiation, in a business context, is used in selling, purchasing, determining the details of a workplace agreement, arranging a loan, getting the best deal from suppliers and any number of other situations. In fact, you probably spend quite a lot of time negotiating in one way and another.

There are skills and techniques that experienced negotiators use to ensure that they come out of negotiations with a worthwhile result and the application of these techniques will improve your chances too of getting the best deal in your negotiations.

Make a preliminary analysis of people’s positions

Before beginning negotiations analyse what’s driving the thinking of the other party. Basically, this means understanding what they really need to achieve, so that you can assess as closely as possible just what they might be prepared to accept. You should know what are the most important points that the other side is pushing and which are of lesser importance, ones they’ll likely concede more easily.

This applies to your position as well. You need to have a full understanding of your own position and know exactly what you want ( a 2% cut in price from your supplier, an extension of 6 months to the loan repayment period or whatever) and where you’ll have to ‘draw the line’. Be very clear in your own mind as to what will constitute an acceptable outcome.

Plan a negotiating strategy

Decide what your approach will be. Are you going to start off by asking more than you really want and then fall back to a position where you seem to give in but actually achieve your goal? Do you play it tough all the way to the end or give up your original position in gradual steps?

Try to anticipate the strategy of the other side as well. Study their previous negotiations and how they were conducted. It will help you predict how they’ll respond to your actions as you proceed.

In general, when negotiating aim as high as you feel necessary in order to achieve the best deal for yourself. The other party may be able to get you to give way on certain points but in general it’s a good tactic because giving way a little is easier than trying to get extras included as you go along.

Be clear on the details

Negotiations are often used to produce a contract, so it’s necessary to consider the fine print in any negotiating situation.

Never allow a misunderstanding to arise. If you’re in doubt on anything, ask questions until you’re positive you know the answers and what they mean. You don’t want to reach what you think is the end of negotiations, only to find out that you aren’t getting what you thought you’d bargained for.