Negotiating Techniques

by Jeff Wright

What Is Negotiating?

Negotiating is the resolution of a disagreement by sharing ideas and information in a give-and-take manner. It involves joint problem solving with the ultimate goal of both parties feeling satisfied. Successful negotiators have the following attitude and behavior characteristics:

Attitude

Behavior

·         Believe in win-win·         Flexible
·         Value dialogue·         Creative
·         Seek to understand·         Patient
·         Not quick to judge·         Ethical
·         Give/take mentality·         Friendly
·         Confident·         Persuasive
·         Realistic·         Active listener

A successful negotiator has these characteristics and uses them to address the other person’s interests and needs. You need to understand the person you are negotiating with and what their key issues are, which requires preparation before the meeting.

  1. Gather as much information as possible about the company and person you will be talking to.
  2. Be prepared to address their needs and propose possible solutions.
  3. Know how to compromise with alternatives if they say no.

It is best to know what the most desired outcome is, as well as the least desired, in order to leave the meeting feeling satisfied. By following these three steps, you will be better prepared to negotiate.

During A Meeting: Tips

When meeting, it is important to create a positive environment and build a relationship. Address the problem, but do it in a positive way. Ask open-ended questions to get the other person to talk about their desired outcome. These questions are designed to get information that will allow you to understand their concerns and explore options with them. Asking these questions will show the other party that you value their suggestions. Clear and objective two-way communication is necessary to reach common ground. Body language should be noticed throughout the process. Voice, tone, gestures, eye contact, and facial expressions provide feedback about the direction of the negotiations. Ask what their concerns/objections are, listen to their feedback, and then respond with ideas. The discussion should not be one-sided. Ask for suggestions to keep everyone engaged. Try to put yourself in the other person’s shoes and try to understand their perspective.

You should attempt to include the decision maker in the meeting. You want your message to be clear about what you can offer and provide them. It is also important to be available to answer any questions they have. Not having the person with the ultimate authority there can result in misinformation being delivered and delays in the decision-making process.

Negotiating is a joint problem-solving process where the goal is to add value for both parties. By using the above information, your chance of success improves significantly. Over time, the relationship builds and trust develops.

Interested in seeing if Hitachi Business Finance can help your business?  Contact us at (248) 658-1100 or newbiz@hitachibusinessfinance.com.

About the Author

jeffJeff Wright has been with the Hitachi team since 2006 and contributes more than 30 years of experience in the banking and commercial finance industry. He is currently responsible for business development in the Midwest Region, covering Michigan and Indiana. He works with small businesses and their trusted advisor network to provide factoring and asset-based lending services.

Jeff is involved with professional and civic activities including the Turnaround Management Association, Association for Corporate Growth, and the International Factoring Association.

He can be reached at jwright@hitachibusinessfinance.com or (248) 259-3749.

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