Course Content
Preparing for Negotiation
- Identifying goals, objectives, and desired outcomes.
- Researching suppliers, market conditions, and alternatives.
- Developing a negotiation strategy: BATNA (Best Alternative to a Negotiated Agreement), WATNA (Worst Alternative to a Negotiated Agreement), and ZOPA (Zone of Possible Agreement).
- Building a negotiation checklist.
Understanding the Supplier’s Position
- Analyzing supplier motivations and constraints.
- Identifying leverage points and negotiation strengths.
- Assessing supplier risks and dependencies.
Effective Communication Skills
- Asking the right questions and clarifying points.
- Using body language and tone effectively.
- Handling difficult conversations and objections.
Negotiation Tactics for Buyers
- Techniques like anchoring, framing, and mirroring.
- Strategies to handle different supplier personalities.
- Managing power dynamics and psychological tactics.
Cost Analysis and Total Cost of Ownership (TCO) in Negotiation
- Calculating TCO and its impact on negotiation decisions.
- Negotiating on factors beyond price: delivery terms, payment terms, quality, service, etc.
Negotiating Long-term Supplier Relationships
- Framework for developing win-win agreements.
- Maintaining leverage in long-term contracts and partnerships.
Cross-Cultural Negotiations