Negotiating is as simple as making sure both parties are comfortable with the final outcome – so why do we so often fail to get a win:win situation?
Whether you’re asking for a salary increase, a reduction in price for services rendered or are thrashing out the terms of a new vendor contract, the process of negotiation should be seen as one which produces a solution both parties are
comfortable with – a win-win situation if you like.
And yet for myriad reasons, negotiations can be fraught with panic and emotion, become heated and aggressive, or simply fail, with someone or everyone going home the loser.
In our webinar Developing your negotiation skills, everywoman Associate Pippa Isbell delved into the most common reasons why negotiations
fail – and shared her insight into how you can avoid the common pitfalls to negotiate your way to successful outcomes all round.
You panicked!
If a negotiation conversation sent you into a tailspin and you ended up walking away with nothing but anger, resentment and a sense of failure, you’re unfortunately not alone: 43% of everywomanNetwork members have been in the same boat at one time or another. Panic might set in because you felt intimidated by a more senior figure, or you suffered a sudden case of Imposter Syndrome, which left you underestimating your own values, strengths and abilities. There is one crucial antidote to both scenarios, and not to take it before your negotiations kick off is inexcusable: thorough preparation (see Pippa Isbell’s pre-negotiation prep checklist).“Some of us feel we can’t be straightforward if the person on the ‘other side’ is more senior but you can; if your position is an objective business case then that person will respect you for putting it well. And remember, they’re human too.”If you’ve done your homework and know what you’re working towards, you’re far less likely to be blindsided by any tricks the other side play, or curveballs that throw you off course. The old proverb rings true: “When you are up to your backside in alligators; it’s difficult to remember that your initial objective was to drain the swamp.” Keep in mind the three key principles of negotiation: identify the problem; generate a solution; agree on the outcome.
You dug your heels in hard
A doggedly determined 29% of everywomanNetwork members enter negotiations with a fighting attitude, determined to win. While confidence and focus are crucial to your success as a negotiator, single-mindedness should be exercised with caution. “Negotiate on objective criteria,” urges Pippa Isbell, “not entrenched positions”. That means keeping an open mind, having alternative options of your own and an open ear to those presented by the other party. Harvard Business School professors use the acronym BATNA to define this flexible approach to negotiating. Standing for Best Alternative To a Negotiated Agreement, it asks that you know both what your most desirable outcome is, but also what you are happy to settle for. If you can’t achieve 100% of your salary increase request, for example, might you be happy with 50% of it, along with an opportunity to request more on completion of agreed goals?You didn’t stop talking!
You asked for a raise and in the silence that ensued you immediately back-peddled, blurting out all the reasons why your boss might not concede, asking instead for a fraction of your initial request. If that sounds familiar then you’ve fallen victim to a classic negotiation mistake – filling in the silences. Park your discomfort with lapses in conversation. It could just be that the other side needs to think. Or perhaps they’re not thinking at all, and are simply waiting for you to undermine your position by filling in the blanks. Either way, silence is a powerful tool.“Don’t forget to summarise: ‘Before we leave let me just sum up what I think we’ve agreed here…’ Conclude gracefully and document the decision.” Pippa Isbell“Don’t assume you know what the other side is going to say,” says Pippa Isbell. “You don’t. Keep your flexibility as your bargaining tool [not as a way to fill pauses].”