KEEP SHARPA COLLECTION OF SKILL TIPS FOR SUCCESSFUL NEGOTIATION

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10 WAYS TO BECOME A REAL DEAL NEGOTIATOR

Over 40 years ago Scotwork set out with a mission to help people become stronger, more agile negotiators. We studied thousands of hours of observational research to create our unique eight-step training framework. Since then we’ve helped over 200,000 negotiators to become more confident, skilled and successful.

This ebook is an easy reference for any negotiator stuck in a corner and in need of quick inspiration to move forward. It brings together 10 of our most useful skill tips, distilled from complex negotiation analysis, shaped into practical techniques and described in everyday language.

Practical tips for real-world negotiation

Our tips are designed to tackle some of the most common deal-making dilemmas. They highlight well-tested techniques which the world’s most skilled negotiators put into practice day after day. Best of all, they’re easy to recall and deploy in the heat of negotiation.

These are practical quick-fixes to help you counter difficult situations and get your negotiating swiftly back on track. However, used in isolation they won’t necessarily ensure you land a successful deal every time.

To explore our principles of negotiation and skills training in more depth, why not take a look at the insights section of our website?

Or if you’d like Scotwork’s expert perspective on a specific negotiating challenge, please get in touch.

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NO, NO, NO#1

It’s like beating your head against a brick wall. You’ve hung on your negotiating opponent’s every word, tried so hard to see the world from their point of view, accommodated every constraint they’ve thrown at you and offered reasonable proposal after reasonable proposal. Whatever you ask for, the answer’s an emphatic ‘no’.

Your opponents are dug in and determined to turn the negotiation into a one-way street. You’re reeling from rejection after rejection. How do you break this impasse?

Scotwork says...

You have a number of options. One is to ask your opponent why they are giving you the brush-off. Understanding their motivation might make it easier for you arrive at a creative solution.

Or you could ask them: “How important is it to you that I concede on this?”

Knowing how significant an issue is for your opponent will help you attach an appropriate price to your concession. Finally, if you absolutely must switch their ‘no’ to a ‘yes’, you can either warn them of the consequences of sticking to their guns or offer them a new concession to soften their stance. You could even pose the greatest of all negotiator’s questions:

“Under what circumstances could you give me what I’m asking for?”

If their terms prove reasonable, that’s great news. If not, then at least you’re in a position to negotiate, which is far better than simply being told ‘no, no, no’.

SKILL TIP #1 NO, NO, NO

CAKE AND EAT IT#2

Ever heard the old one about ‘good’, ‘quick’ and ‘cheap’? You can have ‘good’ and ‘quick’ but it’ll cost you. You can have ‘good’ and ‘cheap’ but you’ll have to wait. Or you can have ‘quick’ and ‘cheap’ but you won’t like the quality. Sometimes it’s obvious your negotiating opponent isn’t au fait with this oft-quoted adage because all you hear from them is:

“I want it all, I want it now and I want it cheaper.”

All too often we find ourselves under the cosh to conjure up a Ferrari for a Fiat price-tag and deliver it yesterday. We bend in any direction to keep our client sweet. We do everything in our power to pull-off this three card trick. The only possible upshot is that your profitability takes a hit.

Scotwork says...

Rather than putting pressure on yourself by rolling over, take control by reframing the demand. Keep it positive by telling your opponent that all three of their requests are possible, but that conditions apply to each of them. It could sound something like this:

“I can provide the Ferrari quality and I can do it quickly but that would be for a Ferrari price.”

“Alternatively, I can deliver at a Fiat price but that would mean Fiat quality, at some point in time. Which would you prefer?”

Negotiators refer to this as a linkage. It creates constructive options linked to each demand but shows your opponent they cannot have their cake and eat it.

SKILL TIP #2 CAKE AND EAT IT

STAY FLEXIBLE#3

We’ve all said regrettable things in the heat of battle. Words you were supposed to think, not say out loud. In the adrenaline-charged melee of negotiation you could easily surprise yourself by blurting out things like:

“That’s it! There is no more! That’s my final offer!”

Before you know it those uncompromising words have left your mouth, landed on your unsuspecting opponents and painted you into the tightest of corners.

Why did you say that? Perhaps because you were flustered, irritated or frustrated with the process. Or maybe you were just plain worn out from a long, exhausting day at the negotiating table. Whatever the reason, you’ve given yourself a tricky dilemma: either stick to your guns or lose face.

Scotwork says...

Of course you could immediately apologise, retract and move on. However a desire to save face usually means you find yourself defending the indefensible. And digging an even deeper hole is definitely not your most productive option.

Instead, why not try linking any further flexibility from you to greater flexibility from them? You could say something like:

“Unless you can find more value in the deal, that’s my final offer.”

This statement keeps the pressure on but gives your opponents room for manoeuvre and keeps the negotiation rolling.

SKILL TIP #3 STAY FLEXIBLE

THINK BIG#4

Ever been hit squarely in the face with a demand so unreasonable it takes your breath away? Something so outrageous you have to ask your negotiating opponent to repeat it, just in case you didn’t catch it right first time. But there’s nothing wrong with your hearing. Their demand is every bit as shameless as you feared.

Your opponent insists you give them “The Moon and the stars above.”

Our natural instinct is to push back with indignation. To argue the toss and fight it out. Unfortunately raised hackles will only turn up the temperature and this rarely results in a positive outcome.

Scotwork says...

This is a deliberate tactic to draw you into a power struggle that you can’t win. Your opponent doesn’t really expect you to cave in to their lofty demand. Instead, by pitching so high, they’re creating a false perception of superior power. Eventually this power-play will force you to reset your expectations and make greater concessions than you’d planned.

In this situation, if your opponent is thinking big, then you should too. Avoid becoming drawn into an argument where they set the high water-mark. Instead, implement a blocking tactic. Match the unreasonableness of their demand with an equally excessive demand of your own.

“On the basis that you give me heaven and Earth I will give you the Moon and stars above.”

An emphatic ‘return of serve’ will defuse the power imbalance and reset discussions onto a more productive pathway.

SKILL TIP #4 THINK BIG

TAKE TIME#5

Your RFP response process is all going nicely. Everything is looking rosy and on track when suddenly you receive this:

“You’ve got 24 hours or the deal’s off!”

Out of the blue your submission lead-time has been slashed. Your plan is in pieces. Just one day to respond or your proposal will be rejected automatically. No appeals considered. It’s all or nothing. All hands on deck!

Here, your negotiating opponent is using time as a weapon to dial up the pressure. Less time means fewer opportunities to prepare your position properly. It leaves you prone to mistakes and poor decisions. And makes it more likely you’ll give greater concessions to secure a deal.

Scotwork says...

Of course this shift of deadline might be for genuine reasons, but you might want to test how real it is by giving them some options to consider:

“I can and will meet your deadline. However, if you can agree to give me another 24 hours I guarantee that my proposal will more effectively meet your needs. What would you prefer?”

This exposes any possible flex in timings without them losing face and puts the onus on them to decide between speed and quality.

SKILL TIP #5 TAKE TIME

MONEY TALKS#6

In the end, money often speaks loudest. Most negotiations hinge on the price that parties are prepared to pay. Money is the perfect driver for deal-making. It’s easy to count and value. It’s universally accepted and understood. And it’s an excellent yardstick for judging success or failure.

But in reality, negotiation is never about price alone. Deals are influenced by all kinds of softer, less tangible variables. Sometimes the fluffier, qualitative issues can make a big difference. So, even though they’re hard to quantify or value, you should never stop trying.

Scotwork says...

Don’t shy away from assigning a monetary value to something qualitative. As long as it’s based on a sensible rationale and not just ‘pie in the sky’, you can confidently offer up a value to your negotiating opponent. And if they do reject it, simply ask them:

“What value would you attach to it?”

You may disagree with the price they come back with, but at least you’ll be debating a tangible number rather than an intangible principle. Seek to quantify and let money do the talking.

SKILL TIP #6 MONEY TALKS

STAY ONSIDE#7

It’s one of those moments that stops you in your tracks. For an instant your negotiating opponent doesn’t sound like an opponent at all. They make an argument that’s so on-message, so justifiable that it’s completely irrefutable. You find yourself thinking:

“Damn, they really do have a point.”

Your opponent’s words are impossible to counter. Awkwardly, like it or not, you’re right there on the same page. This situation is a hazardous tipping point which many negotiators will choose to concede on rather than try to defend the indefensible.

Scotwork says...

Find and exploit ways to shift the discussion away from your common ground and divert focus from your opponent’s original argument. Typically, we all develop a shortlist of reasons to support our position, each of them incrementally weaker than the previous. Use this against your opponent. So, next time you face an argument you’re struggling to counter, ask this simple question instead:

“Are there any other reasons?”

Of course your opponent will be more than happy to disclose their full list of justifications. This gives you an opportunity to challenge them on the weaker arguments.

SKILL TIP #7 STAY ONSIDE

BE ALL EARS#8

Many of us prefer the sound of our own negotiating voice. We take great care to choose our words, prepare our arguments and analyse our delivery. Often, we’re far too busy asserting our own negotiating power to take in the subtle reactions and subtext from the opposing side of the negotiating table.

But ignore your opponent’s words at your peril. As the sagacious Dalai Lama once said:

“When you talk, you are only repeating what you already know, but if you listen you may learn something new.”

No doubt the Dalai Lama strikes a mean deal.

Scotwork says...

Good negotiators are always good listeners. They study their opponent’s speech carefully to pick up useful signals, clues and snippets of information.

Become a more active listener by waiting for your opponent to finish speaking before deciding on a response. Create a silent pause to give yourself extra time to process what’s been said and construct your best riposte.

Silence can also be a useful way of extracting information. Most people will say anything to avoid the discomfort of sitting in silence. So avoid restarting the conversation and when your opponents break the silence they might reveal additional nuggets that would otherwise remain hidden.

SKILL TIP #8 BE ALL EARS

ROUND AND ROUND

#9

Is this déjà-vu or have you really been here before? You’re caught in a repetitive cycle of indecision. Your negotiating opponent isn’t listening to anything you say, let alone pondering your proposal. You’ve tried it all: spoken more slowly, upped the volume, used simpler words, but they still don’t get it. Time has slowed to a crawl. Round and round and round you go.

Truth is, your opponents are probably thinking the same about you. By now your dialogue has diverged into two parallel monologues. You politely ignore their points. They politely ignore yours. You restate your position. They restate theirs. When will it ever end?

Scotwork says...

Repeatedly orbiting the issues at high altitude gets you nowhere, so you need to find a way to re-engage your opponents. Try acknowledging their point, drive home your own point and then say:

“On that basis, my proposal is…”

In the world of negotiation, a proposal always trumps an argument. It instantly elevates the discussion from a tit-for-tat about who’s right and who’s wrong, and helps to steer you towards an agreement.

SKILL TIP #9 ROUND AND ROUND

GET TRANSPARENCY#10

You’re trying to get a handle on the numbers. You need a clear breakdown of costs from your negotiating opponent so you know exactly what you’re getting for your money. You ask once. You ask twice. But instead of itemisation you just get obfuscation:

“We can’t give a breakdown of costs, for commercial reasons.”

Frustrating isn’t it? But see it from your opponent’s standpoint. Justifiably, they are worried that exposing the detail will draw them into to a line-by-line renegotiation of every quoted item. Full transparency could easily condemn their proposal to a ‘death by a thousand cuts’.

Scotwork says...

Think about what would encourage your opponents to be more open with you. Make them realise that the consequences for not being transparent could be far worse than if they did share the detail. Next time you receive an opaque response you could try something like:

“I acknowledge that you feel uncomfortable about sharing this information, but if you don’t I’ll be forced to guess and I’m not a good guesser.”

Then let your imagination fly. Assume they make a 95% margin and could easily afford to give you a thumping 50% discount. See how they respond. They’ll soon see that their secrecy is no longer working to their advantage. Your creative hypothesis may not prompt instant disclosure, but it will start the process of uncovering a true picture of the costs.

SKILL TIP #10 GET TRANSPARENCY

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ABOUT SCOTWORKMAKING A REAL IMPACT WORLDWIDE

Scotwork has coached over 200,000 senior managers in 24 languages. We have grown into the world’s number one independent negotiation consultancy, operating in 38 countries. We work with organisations large and small across all sectors. After 40 years we are still the real deal, giving people powerful skills that transform their lives, and handing businesses more successful futures.