The pivotal negotiation skill required to unlock optimal value from complex business negotiation environments is to identify and understand the interests of all the players affected by or taking part in the negotiation. In some cases, it is simple to understand both the positions & interests of stakeholders in the negotiation. In most cases, however, it is not only tricky to identify the interests of all parties; it is also difficult to identify all the stakeholders.
How to negotiate in complex, multi-party negotiations?
1. Identify all the participants in the negotiation
This may be stating the obvious but in reality, it is often hard to identify and keep track of all the stakeholders in a negotiation. In a business environment, we should at minimum try to identify the following stakeholders:
a. Financial stakeholders
These are the people or groups that will finance, underwrite or lend authorisation to reach an agreement based on the financial terms suggested. It is important to identify all potential individuals that may have an interest in the financial dimensions of the negotiation.
b. User/consumer stakeholders
These are the individuals or groups that will implement and support the outcome of the agreement that is reached. These are the stakeholders that will live and work with the result of the negotiations on a day to day basis.
c. Technical & legal stakeholders
These are the parties or groups that will agree to and approve the technical and contractual elements of the negotiations.
d. Guides/Gurus & other Influencers
These are the individuals or groups that hold important influence over the pivotal decision makers involved in the negotiation.
2. Identify the interests of each stakeholder in the negotiation
There are basically two methods to identify an individual or group's interest in a negotiation. The 1st way is to put yourself in that individual or group's position and to try and see things from his/her/their point of view. What supporting data would you require? What precedents would come into play? What assumptions can you make, and validate? The 2nd way is to ask the individual or group a number of questions to help you (and them) to accurately identify their key interests. The best question to ask is "Why?" "Why is this negotiation important to you? Why are you assuming this position? Why is this option being explored?"
3. Create a frame that is appropriate for each stakeholder
Having identified the interests of each participant, you should now position the appropriate frame. Different people take decisions for different reasons. It is not useful to highlight the same points to support decision making to all participants. You should focus on communicating the most useful frame to each participant or potential stakeholder.
4. Create an effective management structure for the negotiation
If our counter parties experience us to be rational, the odds are greatly increased that they will also respond to us in a rational fashion. We can only present a unified and rational 'front' if we have thought about the roles & responsibilities within our negotiation team. Allocate the responsibility in the team between those that will manage the Relationship dimensions, and those that will manage or be involved in the Task related aspects.
Negotiation skills training teaches us to create an agenda that addresses the interests of all potential stakeholders. A successful way to simplify complex negotiations is to add structure. We need to focus on the process aspects to ensure that we make progress at every level of the negotiation. You will find that complexity can be managed with the use of an appropriate supporting structure.
How to prepare effectively for successful negotiations by carefully considering the key objectives that both you and your counterpart would like to achieve so as to see whether an agreement is possible or not.
The major source for the standards and techniques of IT project management and all other project management methods is the Project Management Institute (PMI), the main certifying body for project management professionals and clearinghouse for training programs and information in the field.
Most employers see professional management coaching as a valuable resource for employees. Many organizations will pay for coaching, or reimburse costs once sessions are successfully completed. This is also valuable to the manager, as it will increase an individuals marketability but does not cost the manager out of pocket.
Many companies hire managers for no reason other than that they have managed people before, in some capacity at some point, and are therefore assumed to know what they're doing
Another option many managers are choosing are employing the help of management coaches. Coaches are most often experienced managers with practical knowledge. Because these coaches are already successful in the business world, many of them have valuable contacts to utilize.
Companies seek out interim managers for a variety of reasons. Sometimes, they need to replace a project manager with a problematic track record. Other times, high management turnover rates can plunge high-ticket projects into chaos.
It's relatively to commit to regular management coaching training sessions; anyone can do that. But for it to change your life and really transform your career, you have to have an open mind and be willing to consider the advice and opinions of your coach.