Importance of Influence & Negotiation in Business |
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"The art of getting what you want, even when you don't have direct control over the person who will give it to you"
Preparing to negotiate So, let's start with the most obvious aspect of a negotiation - you negotiate in order to get something. What makes it a negotiation instead of a demand or request? The belief that you
have to give something back in return. Let's explore this interesting aspect of negotiation first; that you don't always have to give something back. Or, at least you might not always be aware of what the other person is getting in
return. Think back to when you were a child. You constantly made demands on your parents - for their time, their attention, their money and for all the things they gave you. Was this a negotiation? Or was it an
unfair trade? Of course, your parents got something in return and, as a child, you instinctively knew that you could ask for the moon on a stick and your parents would still get more out of the deal. At least, you acted if that
were true, and herein lies the first secret of negotiation and influence: "Act as if you fully expect to get more than you are asking for" Of course, this presupposes that you know both
what you want and what you are prepared to settle for. In all kinds of transactions, people have two expectations; what they would like and what they would settle for. What I see, time and time again, is that people end up getting
what they would settle for. There's an important lesson in that.
* What do I want? * What is the minimum I will settle for? * What would I get in my wildest dreams? * What is a realistic expectation?
Planning your strategy In order to execute any plan you need a strategy. In other words, after you have decided what you want, the next step is to do something. The question is - what? Planning a strategy is not the same as doing something. Ultimately, people can only give you what you want if they know you want it. Therefore, the next secret of negotiation and influence is:
The easiest way to get what you want is to ask for what you want And do it in the most direct way possible. Other people cannot be relied upon to understand hints and gentle nudges, or roundabout requests,
or tact, or any of the other ways that we make ourselves feel less self conscious about expressing our needs. If you do not habitually tell people what you want then you have no right to get it!
So, taking your original goal:
* How will I know when I have achieved this? * What will happen when I get this? * What will happen if I don't get this? *
What won't happen if I do get this? * What won't happen if I don't get this?
Understanding needs and outcomes Possibly the most important skill for helping other people get what they want is to be able to understand their needs,
even when they aren't very good at expressing them. Think of a time when you've had really good service in a shop or restaurant and I bet it has something
to do with the other person predicting your needs or exceeding your expectations. It's easy to imagine that you are exceeding your customers'
expectations by giving them more than they have asked for, but beware of giving them 'more' according to your criteria than to theirs. For
example, in choosing a removal company to help me move house, price is not my main selection criteria once it falls into a broadly
competitive range. My main criteria are reliability and care - I want the removal company to turn up on time, move me efficiently and not break anything. In
order to get this, I will pay more than the lowest price as long as the price is "in the ball
park" i.e. in the range limited by the supplier's competitors or market. If a removal company tries to win my business by offering a discount, I will probably rule them out. If
a company gave me a list of previous customers I could speak to, I would probably be more impressed, but I probably wouldn't call anyone. If the
person who comes to provide the estimate gives an air of confidence and capability, I will probably choose that company. Therefore, in exceeding your customers'
expectations, it's vital to know what their criteria are, and how they are different to your own. In negotiations, everyone wants something in order to get something else -
people want cars to go places, they want furniture to sit on and they want money to buy things. The objects of the negotiation are not an end in themselves; they are a means to an end. A very useful step
in the negotiation is for you to find out what ends are served by the negotiation. This will make you more flexible and more effective.
* What is your partner/opponent asking for? * What will have that do for them? * What else can you offer that achieves the same result - or better?
The only time I've ever seen customers really unhappy is when they were given what they asked for
instead of what they wanted. Therefore, always find out what people really want instead of simply giving them what they ask for. The most important characteristic of Negotiation is that it is aimed
at a win-win outcome. The objective is to attain mutual gain. This approach is based on the assumption that there exist one or more solutions to a problem that could result in a win-win situation. This partnership,
integrative approach to negotiation helps to develop long-term relationships between the negotiating parties, and eliminates differences between them so as to ensure cooperation of the other party in the future as well. These few things are important for negotiating to be successful: parties should be sensitive to each other needs; they should be honest about their concerns and should trust each other; & they should be willing
to be flexible. |
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Source: E-mail November 23, 2006 |
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