Negotiation Tips

Before you negotiate anything with anybody, be it a contract on a house or car, a pay raise, a union pact, or anything else, first be aware of what negotiation is. It is NOT arguing, yelling, or fighting, and while negotiating you must be careful that it does not devolve into any of those items. Negotiation is a process in which two or more people or parties (who may or may not have different goals and/or needs) work together to find a mutually acceptable solution to a problem or issue.

Negotiation should never be a case of who "wins" and who "loses," as that mindset in itself defeats the entire purpose of negotiation. By attempting to find a mutually acceptable resolution, both parties will theoretically "win" in the end.

Often, it is difficult (if not impossible) to become emotional during a heated negotiation. This is normal; however, remember to focus on the negotiating goal and not the emotions themselves, as the emotions may become part of a conflict if they are not held in check.

During negotiation, it is vital that you put aside any personal issues or feelings regarding the person you are negotiating with if you dislike the person. Allowing personality clashes into the negotiation mix will create issues that may become impossible to resolve.

Make sure during the negotiation process that your needs are clearly stated and understood by the other person or party. On the other side, make sure you fully understand the needs/wants of the other party as well. Communication is the key to understanding what each person wants out of the situation.

Before you enter into a negotiation process, develop several alternate options should your first goals not be reached.

As mentioned above, do NOT waste time arguing or fighting, as no good will come of this. If you disagree with a position taken by the person on the other side of the table, be assertive, yet gentle, in stating your opposition. Be sure to give good reasons as to why you feel this way. Make sure that respect is kept between all parties at all times.

Know your limits. Do not expect to go into a negotiation for a price on new car and pay only several dollars. Be realistic in terms of what you are looking for and what you think you may achieve.

Choose your timing wisely when entering into negotiation. If the other party is preoccupied with another issue, if there is a high level of stress on either side, or a high level of fatigue, this would not be a good time to enter into a negotiation over something.

If you feel you are not making any headway with your negotiation, or you begin to feel as if you and/or the other party is becoming fatigued or stressed, or if you are beginning to reach a degree of anger, do not be afraid to ask for a "time-out" for cooling down, or to table the discussion for a set period of time so you can begin refreshed and renewed.

Don't make a bluff that you aren't prepared to back up. Because if the other party calls your bluff, then you are left in a weakened negotiating position. You must make sure that you have created enough credibility with the other party to be in a position to make your bluff appear valid. Also, only bluff on important issues as smaller ones are not worth damaging your reputation over. Be sure to have believable reasons to support your bluff and try to compromise on another less vital (to you) issue to show flexibility. Lastly, try to leave yourself a way out of your bluff in case it gets called such as mitigating details that have changed thus making your bluff no longer applicable.

One of the best tools in a negotiation is the ability to walk away if your can not reach your Goal. Try this: when you go to buy a car and the salesman tells you he just can't do any better on the price, thank him for his time and get up to leave. Chances are he will ask you to let him ask his manager for a better deal. I saved $1000 dollars on one car doing this!