Who can benefit?

• Managers and professionals involved in projects, contracts, purchasing, operations, maintenance, engineering, quality,

Course objective

• The importance of planning in successful negotiations
• Approaches in Negotiations
• Standards of ethics
• How to determine, rate, and value the issues in a negotiation
• Elements of supplier cost structure to assist in negotiations
• Evaluating strengths and weaknesses
• Important issues in various contract clauses
• Important elements of final preparation
• Common negotiation tactics & countermeasures
• Gain experience through the actual negotiation of sample cases

Course content 

• Negotiation
  •  Why are we here?
  • What are negotiations?
  •  Our responsibilities as Agents
  • Exercise: Defining Negotiation Skill sets
• Who Wins Negotiations
  • Preparation-the critical step?
  • The most important thing to remember in negotiations
  •  Steps in Negotiation Preparation
• Comparing Approaches in Negotiations
  •  Win/lose approach
  •  What does Win/Win really mean?
• What gets negotiated?
  •  How many issues?
  • Determining the issues 
• Timing as an Issue
  •  Business cycle
  •   Market conditions
  •  Lead-time
• Defining Purchasing Issues 
  • Payment terms
  •   Transportation issues
  • Inventory
  • Quantities
  • Pricing issues

• Contract Issues for.
  • Types of contract
  •  Progress Payments
  •  Warranties
• Defining Contract Issues for
  • Acceptance
  •   Spare parts
  •  Liquidated damages
  •  Training
• Rating & Issue Types
  • Ranking issues
  • Determining the 4 types of issues
• Valuing Issues for Both Sides
  •   Understanding elements of supplier cost structure
  •   Total cost of ownership considerations
• Negotiating Contractor Contingencies
  •   Economic Price Adjustment Clauses
  •   Price Indexes
• Let's Talk about Ethics
  •  Standards of ethics in purchasing and contracting conduct
  • Sharp practices
  •  Assess Strengths & Weaknesses
  •  Evaluating your position
  •  Analyzing the other Side
  •  The 4 sets of needs
• Defining the Objectives
  •   Determining initial positions
  •  Negotiation objectives diagram
  • Negotiations planning forms
• Impact of other Influences
  • Actions of competitors
  • Economy
• Pre-negotiation Exchanges
  • Purpose of pre-negotiation exchanges
  • Preparing the team for pre-negotiation exchanges
• Final Preparation
  • Team or individual negotiations
  •  How to handle the issue of authority
  •  Determine strategies
  • Where and when
  •  Planning the agenda
  •   Role play and role play