Negotiation is a strategic dialogue where two or more parties aim to receive something — and they want to convince the listener to give it to them.
Effective communication, of course, is an essential negotiation skill.
You need superior communication skills to make your intentions clear and establish boundaries. If you don’t articulate yourself well, you might cause confusion and frustration, and you want to set limits to ensure you don’t give more than you take.
It’s also important to be sensitive to non-verbal communication, like body language. The more information you have about how the other side feels — like nervous or arrogant behavior — the better you can tweak your negotiation tactics to suit.
Experts in this field contend that another essential negotiation skill is something called value creation.
Creating win-win scenarios for negotiation means adding value to your offering. Consider suggesting alternatives that don’t cost you anything but benefit the other party.
You could negotiate a shorter payment window if you accept three smaller weekly shipments rather than two larger ones, for example, lowering your warehousing costs.
Additionally, don’t be afraid to set-up tactics before the negotiation. Well before they sit down at the table, negotiators typically make a number of decisions, small and large, that can have a dramatic effect on how their talks unfold.
One of the most important questions to ask is whom you should be negotiating with to meet your goals. Look beyond your final target: You might make the most progress by negotiating first with people who can influence him or her.
Another key question is whether to negotiate online (via email, videoconferencing, or text messages), on the telephone, or in person—or a combination of all of these formats. Meeting in person is often ideal, but other communication media have their advantages.
Want to learn more? Tonex offers Contract Management and Negotiation Skills, a 2-day course where participants learn about essential skills and strategies for effective contract management and negotiation in the context of defense acquisition.
Topics may include contract types, negotiation techniques, and risk management.
For more information, questions, comments, contact us.