Those who are seen as excellent negotiators didn't get there by chance - they got there by effort, application but above all by planning. Now we don’t all need to become excellent negotiators but the importance of good planning for your negotiation cannot be emphasized enough. But what does it actually entail?
Although not an exhaustive list, some key points are:
- · Have a good understanding of all the factors that may influence the outcome of your negotiation. For example this could include any feedback that you have had on performance or fees, other parties being considered for the role, and those other factors which may influence the overall decision.
- · Think through the likely negotiating items or areas, and how to respond. Obvious ones here include cost, but may also include down in such as the proposed scope, the timeline, the fee arrangement structure.
- · Work out what information you wish to share and what information you wish to receive.
- Think through what your negotiation targets may be, what potential concessions you may make, and when you need to say 'you can't go any further' and walk away.
- · See the negotiation from the other party's perspective. What is in it for them? Why are they speaking with us? What are their concerns ?
- · The final point I'd like to make, and one often referred to experts considerably more knowledgeable than I on the subject, is that preparation is 90% of negotiation. As lawyers (whether in a law firm or not), we typically like rational and analytical thought. Nothing contributes more to helping build greater commercial confidence than having the feeling of being prepared!
Good luck in your negotiation, and 'Happy Holidays'!