Get ready to deal

Knowing how to prepare for a negotiation is tough, whether it’s with a contractor, a crew member or for a new job. Matthew Johnson, CNE, CSLMP (Certified Negotiation Expert, Certified Sustainable Landscape Management Professional) and manager at All Year Round Expert Tree & Landscape Management
Phoenix, covers the basics for the best approach.

How do you prepare to negotiate?

To prepare, it depends on what you are negotiating for. You should have some gauge or comparison to find a relative value. This can take a lot of research, depending on the subject.

The next step in preparation is to find out what your side wants out of the negotiations and why. What is the motivation and how far are you willing to go to make the deal happen. Do we hold any advantages or disadvantages?

Harder, yet still necessary, I to find out as much as possible about the other side and answer those same questions, leaving an appropriate margin for error.

What are some common plans/strategies for negotiation outcomes?

There are different ways to negotiate and these incorporate emotions, personalities and strategies, and many times are determined by what is being negotiated. My training emphasized the win/win outcome where both parties feel like they received a good portion of what they wanted.

People often say that a good negotiation is one where no one is happy with the outcome. That may be true in some cases, but it doesn't have to be. Unless you know the parties you are negotiating with, you may not know how the first offer or counter will be played. Reading between the lines can help you determine what method they will be using.

Can you please discuss the win/win concept a bit?

If you are a belligerent negotiator, you likely will not be well accepted no matter what side of the table you are on. People want to feel like they got a good deal and part of that emotion is not pounding them over and over. A mature discussion about finding a common ground.

Often negotiations are about one item and the price. There is very little to discuss other than value and price however when selling a service, negotiating compensation, or buying a home; there are other factors to discuss that may add value and be important without adding much cost. In a mutually beneficial agreement where both parties are respectful and are both working toward the win/win, the objective is not to ask for things that you do not want for leverage. Discuss what is important for both parties so time and effort is not wasted on erroneous items.

How do you best gather information from the other party? What kind of information should be on the lookout for?

With the Internet, including or especially social media, it is often easy to get a feel for who the other person is. Being able to relate, befriend and talk more openly with them will help you find out more than anything. People love to talk about themselves and by allowing them to open up with subject matter they often post, can soften the process and pave the way to a win/win.

What are the best ways to deal with conflicts?

Asking for a recess or depending on the strategies and personalities you are working with, sometimes diving straight in and saying something like, "We are getting off track to get to our mutually desired outcomes, can we move over this sticking point and come back?" The 'good-old-boy' method of bringing it down to earth works well, too. "This is really getting elevated, what can we both do to move toward getting past this?"

How specific should you be when making an offer?

Again, the topic of negotiating dictates the amount of detail. I do believe that more detail alleviates misunderstandings after negotiations. Each person must know what is expected of the other in the end.

How do you best come to a mutually acceptable outcome?

I think everything mentioned above plays a part. If it happens that you must negotiate with someone that is using adversarial techniques and you cannot sway them away from that tactic, then you need to use some of the positive traits of the adversarial method to reach an agreement.

Another term that often comes up is "Best Alternative to a Negotiated Agreement" or BATNA. Can you define this?

BATNA is plan B. If you cannot negotiate a deal better than your plan B, go with plan B. By having an alternative, the value of plan A must exceed plan B. This is your leverage during negotiations. You don't need a poor deal because there is a backup to fall back on. The benefit of negotiating plan A is that you can come away with a better deal.

What is the best way to finalize the negotiation?

Make sure everything is written out clearly in as much detail as possible. Think of it as you are in a lawsuit and you are picking the agreement apart. In reality, that is what the agreement is for if someone does not hold up their end of the agreement.