Negotiate Right! The Checklist
10 Point Checklist to Claim Value Within Your Organization
Negotiation—Some people are very confident at it while others avoid it at all cost. No matter how you feel, negotiating is a ubiquitous part of real life. Every day you are likely to be negotiating something—maybe it’s a raise with your boss, more help from your spouse, or less ‘screen time’ from your kids. Conscious or unconscious, we’re practicing negotiation skills throughout the day.
What does negotiation really mean? There are several interpretations; however in essence it’s the “act of reaching an agreement with another party when both of you have common interests and others that are opposed.”
This all sounds very simple, right? Surprisingly, a majority of people actually have had little to no negotiation training. In fact, most of us have negotiated much less in a professional context than in our personal lives.
Negotiation is grossly underestimated, yet it is one of the most critical business skills that procurement leaders can have when it comes to providing value to the enterprise. Negotiations in purchasing is not just driving down costs—it’s about improving supply chain relationships in order to create win-win relationships and better manage and improve quality, service, and performance.
How do you become an effective negotiator? It comes down to one thing—preparation. The more you know about who you’re negotiating with, your own requirements, key performance indicators, and other critical factors, the more likely you’ll succeed. Along with preparation, it’s equally important to put yourself in your supplier’s shoes—understand their priorities, pressures, and objectives to determine the best approach to the conversation.
Only when you properly prepare and go through the required analysis and research are you positioned to build solid, long term relationships. To help you with successful negotiations, we’ve developed a comprehensive checklist that will not only help prepare you to create more value with your suppliers, but claim your value within your organization.
This checklist will help you to:
- Identify critical information about your negotiating partner to improve communications and garner more influence
- Become more self-aware of your own personal strengths and weaknesses as it pertains to the negotiation process
- Set goals and develop KPIs of ongoing business activities designed to improve performance, quality, service, and value to the enterprise
- Perform benchmarks and financial assessments