The programme will provide the participants with the necessary skills to help them negotiate effectively, and at the same time maintain good relationships with their counterparts. By the end of the 2 hour workshop, participants will be able to: apply the necessary negotiation tactics depending on the situation adjust their behaviour and style depending on who they are negotiating with avoid errors and traps that lead to dead ends in negotiations

1. Introduction to negotiation skills
28 November 2018
www.pwc.com.cy
Marilena Shakalli Maroudia, BSc, FCA
Tutor of PwC’s Academy
marilena.maroudia@pwc.com

2. PwC
Introduction to negotiation skills
Agenda
• The negotiating process
• 3Ps of negotiations: Prepare, Probe, Propose
• Negotiation tactics
• Your attitude to negotiation

3. PwCPwC
There are many misconceptions around negotiations:
• It’s all about getting your own way
• It’s all about obtaining the cheapest deal
• It’s all about beating the other side
Many people see negotiations as a contest where there are winners and losers.
This can be counter-productive as it prevents everyone from achieving the best
possible deal because they end up opposed to each other.
Introduction to negotiation skills

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“Let us never negotiate out of fear. But let us never fear to negotiate”
– John F. Kennedy
Introduction to negotiation skills

5. PwCPwC
Introduction to negotiation skills
The negotiating process
Probing
Discussing
Bargaining ProposingAgreement
Preparing

6. PwCPwC
Introduction to negotiation skills
Conducting negotiations
3Ps of Negotiations:
P repare
P robe
P ropose

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Introduction to negotiation skills
Conducting negotiations
Prepare

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Introduction to negotiation skills
Conducting negotiations
Preliminary
Clarify your objectives
Common ground
Assessing the opposition
Information needed
Consequences of non agreement

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Introduction to negotiation skills
Conducting negotiations
Our position
Ideal, realistic and fall back positions
Best alternative to a negotiated agreement (BATNA)
Information to obtain (got, need, nice)
Concessions – cost to us; value to them
Climate (place, time)

10. PwCPwC
Introduction to negotiation skills
Conducting negotiations
Rehearsal
Opening statement
Responses to likely questions
List assumptions – how to test them
Behavioural style

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Introduction to negotiation skills
Conducting negotiations
Emergency Plan
Even time is negotiable
Build 2-way empathy
Tomorrow is another day

12. PwCPwC
Introduction to negotiation skills
Conducting negotiations
Probe

13. PwCPwC
Probing consists of 2 elements:
• Asking questions to understand at a deeper level
• Active listening
Introduction to negotiation skills
Conducting negotiations

14. PwC
Introduction to negotiation skills
Conducting negotiations
Types of questions
Type Used when … Examples
Open questions
/statements
you want to open up a
conversation
Tell me more about ….
What happened next?
How did you respond?
Probing questions you want to find our
more
What were you thinking when ….?
Why do you think the other party
made this offer?
Closed questions you want to clarify
something
Did you agree?
Did you change the way you
behaved?

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Introduction to negotiation skills
Conducting negotiations
Propose

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Introduction to negotiation skills
Bargaining continuum
• We open with our entry point. Where we are prepared to move to is our exit point.
• The distance between them is our negotiable range.
• The distance between our entry point and the other party’s is the bargaining continuum.
• If our exit points overlap, we could settle anywhere in the overlap. This is the settlement area,
also known as the Zone of Possible Agreement (ZOPA).
• If our exit points do not meet or overlap, we are unlikely
to settle.

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Introduction to negotiation skills
Negotiation tactics
Never give
concessions –
always trade in
Deadlines are
always negotiable
Stress the
advantages of
your offer
Don’t push too
hard
Make use of
silence
If you are selling, start high
then trade down, if you are
buying start low then trade up
Be realistic in
your expectations
When you’ve got an
agreement leave – do not
give time for second
thoughts!

18. PwC
Introduction to negotiation skills
Negotiation tactics
Don’t accept a
first offer
Leave the other side
feeling they’ve got as
good a deal as you
Proposals are
always conditional
Don’t change the
price, change the
package
Agreement is always reached
through trading
Focus on the facts,
not personalities
There must be a right of
veto for true negotiating.
You can always walk away
and come back to itDo not exaggerate

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Introduction to negotiation skills
Tactics to move things forward
Fragmenting Break the problems that prevent agreement into
smaller, more manageable issues
What if…? Try to suggest alternative options / solutions
By passing
Temporarily put aside an apparently intractable
issue – return to it when it seem more manageable
Concession and
trade
Never concede something without getting
something in return

20. PwC
Introduction to negotiation skills
Principles of closing a negotiation
To close effectively a negotiation you need to:
• Be open to closure from the very beginning of your negotiation
• Make it clear this is your final offer
• Present your offer in an upbeat confident manner
• Leave the other side some space to review your final offer

21. PwC
Introduction to negotiation skills
Principles of closing a negotiation
If they say ‘NO’ or haggle – move out
If they say ‘YES’ – put it in a written form which is:
• Brief
• Factual
• Concise
• Accurate

22. PwC
Introduction to negotiation skills
Your attitude to negotiation
Effective negotiation is 10% technique and 90% attitude!

23. PwC
Introduction to negotiation skills
Your attitude to negotiation
• Make sure your attitude is positive and your purpose is clear
• Believe that others have entered the negotiating process in good faith and by behaving
with integrity you set the standards for the negotiation that you wish to maintain
• In order to achieve your aims you need to keep in mind what you want. Specifically,
during a negotiation you should be:
– Convinced of your own case: this gives you confidence in your dealings
– Clear about your goal
– Able to ‘walk away’

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Introduction to negotiation skills

25. Thank you!
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Introduction to negotiation skills