Negotiation Preparation – 11 Steps For A Powerful Negotiation

Does the word ‘negotiation preparation’ intimidate you? If your answer is YES, then you should stop reading this article and go back to our previous ones so you can learn more about negotiation preparation and research.

For this article, we are going to introduce 11 steps on how to prepare yourself for negotiation. These steps are already found in one or two of our recent articles here on the site, but they will be explained further. 

After reading this article, you should be preparing negotiations like how a master chef prepares the dishes that he/she is about to cook.

Whatis Negotiation?

Before you prepare for a negotiation, you must know first what negotiation is. Negotiation is a process where parties resolve an issue or arrive at a better outcome through concession.

Negotiation is a way to avoid argument and to align the interests of both parties that will make them satisfied. 

Negotiation is common in our day-to-day lives. When you go to the market to purchase something, you negotiate with the seller to get the best price for the item. 

How to Preparefor a Negotiation

As stated, most of the steps included in this prepare negotiation article are already present in this article. If you haven’t read those articles, then we suggest that you go back and read them again. Otherwise, you can also enroll in our Negotiation Course For Procurement Professionals to learn more about these amazing negotiation techniques.

Indeed, you’ve seen some of these prepare negotiation strategies and techniques in several procurement or negotiation websites. But it’s only here in Procurement Tactics where we embody these negotiation tactics. What we mean by this is that we practice what we preach; this is why we can explain each of the following negotiation tactics in great detail:

1. Do your Research First

Before your negotiation, it’s important to plan. You certainly don’t want to start your negotiations without doing your research first. It’d be like going to war while forgetting your gun. You are going to get shot at and you can’t retaliate at all.

Key things you should have a clear answer to:

• Are you in a win-win or win-lose situation?
• What is your goal?
• What is your position? What is their position?
• What are your interests? And theirs?
• What is the best possible outcome?
• What would be a fair deal?
• What is your minimum acceptable deal?

Does the article above sound familiar? It should be because the key points were taken from one of our articles on negotiation principles. Research is very important, especially when it comes to negotiations that tackle the procurement process.

2. Negotiate with a Team

When comparing between negotiation on your own or with a team, team negotiations are shown to have better impact and better results. This is because of the old saying where “two heads are always better than one.” Apart from that, you have more opinions regarding topics that may come out during the negotiations themselves.

The following tips came from the original article “Negotiation Team – 5 Powerful Tips for a Great Deal.” 

So here are some of the reasons why it’s always a good move to negotiate together with a team:

• In general, two heads know more than one
• Teams are better at making accurate judgments
• Teams feel less pressured and more powerful

In many scenarios, a team will outperform a solo negotiator. This can be attributed to several factors:

• High ambitions that teams set for themselves
• A heightened sense of competition
• The tendency to challenge the view of the team members

3. Approach with a Win-Win Attitude

Negotiations should always be approached with a win-win attitude. If you don’t, you are doomed to fail from the start. Always keep in mind how to best approach discussions with your eye on the prize at all times. Not only are you going to perform at your best during negotiations, you will also be seen as a confident negotiator.

4. Prepare and Analyze your BATNA

During negotiations, your BATNA is your secret weapon. It is both your trump card and your escape plan, should negotiations become sour at one point and you are no longer sure if the outcome of the negotiations will still be optimal for you. Of course, you also need to analyze your BATNA. You need to make sure that it’s an optimal alternative. Otherwise, you run the risk of getting a short-handed deal in the end.

5. Learn when to say No

Not all negotiations will always go your way. There will come a time where you need to understand that there is no point in continuing negotiations. If ever that time comes, you need to say no and leave at once.