Negotiation Framework

Process
- how to interact and make decisions
- efficient & FAIR
- how much time to allocate
- what order to address items in
- how many meetings and purpose of each
- who should & should not participate in the negotiation
- use of a facilitator, mediator, etc
- where to meet
- how to open & close discussions
- what information to gather and share
- agree on a process before negotiating the substance

Alternatives
- how to meet interests & concerns if no agreement reached
- not the bottom line
- improve my walk-away alternatives
- reality-test or worsen their alternatives
- in general, leave out of discussion
- disclose your alternatives when it's better than they think and their offer in inferior
- disclose it as a warning, not a threat
- emphasize your preference to reach agreement
- leave the door open if choose to walk away
- discuss their alternatives when they mention it or overestimate/overstate it
- acknowledge it as a choice and ask openly how it would meet their interests better than your proposal

Interests & Concerns
- needs, wants, fears, objectives, motivations, goals
- not the positions
- common, DIFFERING or conflicting
- consider & prioritize all parties's interests
- SHARE interests before inventing options
- share your understanding of their interests & ask what's missing

Options
- possible solutions
- create value for ALL parties
- not alternatives
- trade options based on differing interests
- use benchmarks to handle conflicting interests
- negotiate a "no commitment" ground rule
- separate inventing from evaluating options
- use tentative commitments on options until you know the WHOLE package

Benchmarks
- precedents, market practices, customs, laws, professional guidelines, usual procedures, comparables
- negotiate the benchmarks
- use criteria cannot be influenced or manipulated by either party
- use it as a "sword" and a "shield"

Commitment
- oral/written agreement of what you will and will not do
- clear & OPERATIONAL
- roles, responsibilities, timelines
- what to do if things go wrong
- level of authority to make decisions
- commit on process early, substance late
- know all pieces of the deal before committing
- revisit alternatives before committing
- check for MUTUAL understanding of intentions behind deal terms
- ensure operational details are in the agreement

Communication
- verbal & non-verbal signals
- clear and two-way
- what assumptions should we test
- how to manage communication problems
- check your understanding of what you heard
- consider the medium - IN PERSON, phone, email, etc

Relationship
- maintain or improve quality of the interpersonal dynamics (trust, respect, goodwill)
- if gap exists, what are possible causes
- address relationship concerns before addressing substance
- build TRUST to help build value in the deal
- don't make inappropriate concessions on the substance to "buy" a good relationship
- don't reward "bad" behavior with concessions

--- Common Outlook Consulting Inc.