Effective Purchasing and Contract Negotiation Strategies PetroTech

The ability to negotiate is one of the basic commercial business requirements yet it is often delegated to those least able to produce an effective outcome. The impact of poor negotiation is therefore felt throughout an organisation and has an immediate negative effect on company profitability.

This seminar provide practical, experience based guidance in planning and conducting a successful negotiation and identifies on an individual basis the key competencies and skills required to emerge on the winning side.

  • Each day involves the delegate in a specific negotiating scenario
  • The focus is upon achieving a "win - win "outcome but recognises that all negotiation are not conducted with this result in mind.
  • The emphasis is placed upon good planning and preparation to assure an effective negotiated result. Fail to plan and you plan to fail!
  • Common tactics and countermeasures are explored and Negotiational " traps" uncovered
  • Each delegate is expected to evaluate their current negotiating ability and develop a personal plan for improvement

Objectives

Upon completion of this seminar, participants will know:

  • The importance of planning in successful negotiations
  • Approaches in negotiations
  • Standards of ethics
  • The importance of determining, rating, and valuing the issues in a negotiation
  • Evaluating strengths and weaknesses
  • Important issues in various contract clauses
  • Important elements of final preparation
  • Common negotiation tactics & counter measures
  • Gain experience & confidence through the actual negotiation of sample cases

Conference Methodology

Participants will gain from a combination of instructional methods including lecture by an experienced practitioner and consultant, exercises, negotiation of model cases, and group discussions covering current practices and their relationship to the implementation of concepts and techniques discussed. This is a very " hands on " event with part of each day devoted to preparing and conducting a negotiation.

Organisational Impact

The organization will benefit by:

  • Reduced total cost of purchased material, equipment and services
  • Better outcomes in disputes and claims with suppliers and contractors
  • Improved supplier performance
  • Having the advantage in negotiations as a result of their employees being better prepared and trained than the employees of the other side.
  • Greater likelihood that the organizations objectives in dealing with outside firms will be met.
  • An employee who is more comfortable in dealing with people at all levels both within the company and across the supply chain

Personal Impact

Attendees will gain by participation in this program as a result of:

  • Establishing an understanding of their existing negotiation capabilities
  • Increased skill sets in negotiations
  • A greater sense of confidence and professionalism
  • Applying increased negotiation skills to personnel situations
  • Greater ability to obtain desired outcomes in negotiations
  • Increased recognition by the organization due to improved performance

CONFERENCE OUTLINE 

What Makes a Negotiation a Success?

  • Negotiation Exercise Number 1
  • Personal obstacles to a successful negotiation
  • Purchasing responsibilities as a negotiator
  • Identifying the phases of a negotiation
  • Understanding the phases of a negotiation
  • What makes the " winners" win - the elements of success
  • Comparing Approaches in Negotiations
  • Looking for a better deal for both parties
  • When to use what style of negotiation
  • Protecting yourself and your company
  • Using Time as a key element
  • Negotiation Exercise Number 2

The Expert Negotiator Has Many Talents

  • Skill sets and knowledge requirements
  • The role of intuition and Emotion
  • Understanding your present personal capability
  • Defining the negotiator competencies
  • Uncovering the learning gap
  • Identifying what should be negotiated
  • Positioning the negotiation
  • Determining the suppliers likely position
  • The influence of long and short term supplier relationships
  • The importance of research
  • Negotiation Exercise Number 3

Valuing Issues for Both Sides

  • Understanding price and cost
  • Determining the suppliers pricing strategy
  • Life cycle costing and improving added value
  • Developing price indices
  • Needs of a standard contract
  • Developing terms and conditions of contract
  • Transfer of ownership and risk
  • Warranties & spare parts issues
  • Liquidated damages
  • Negotiating contractor contingencies
  • Economic price adjustment clauses
  • The Tender Process - does it add value
  • Developing a tender assessment model
  • Negotiation Exercise Number 4

What Happens Inside Every Negotiation - Getting to " Yes "

  • Negotiation in an e-Commerce environment
  • Testing the potential benefits of e-Commerce
  • Ethics in negotiation & tendering
  • Developing a transparent & ethical organisation
  • Negotiating with different cultures
  • Telephone negotiations
  • How to communicate your needs
  • How to move the other party to your viewpoint
  • How to gain advantage through listening
  • Body language and uncovering deception
  • Negotiation Exercise Number 5

Common Negotiation Tactics & Countermeasures

  • Framing the negotiation
  • Deciding your tactics and counter tactics
  • Dealing with bargaining
  • How to concede to gain advantage
  • How to keep the seller selling
  • Dealing with deadlocks in negotiations
  • Avoiding The Funny Money Trap
  • Lessons in negotiation from history
  • 24 essential things to do in any negotiation

Knowledge

The adage that “knowledge” is power holds very true in this industry. In order to maximize results we are constantly updating and upgrading ourselves. This commitment to ongoing skills development is one of the reasons we are success, the belief that there is a “better way to do things” is what motivates us each and every day. By aligning with us you are going to benefit from our years of expertise in real world scenarios. Classroom learning is great but there is no substitute to real world experience which is what we are bringing to the table.

Quality

Billionaire investor Warren Buffett said “price is what you pay but quality is what you get” and that expression is very true. With use we understand that your time is very valuable and you only want the best and most current industry related knowledge which is what we bring to the table.  Instead of giving you massive amounts of inaccurate or outdated information you get precisely what you want, the most current knowledge so you can make truly informed decisions that will directly impact productivity and your bottom line. When results are what you are looking for then the choice is clear, we are your partners in success.

Innovation

Technology has revolutionized the way knowledge is disseminated in throughout the world, what use to take months or even years to reach the masses can be done in a few hours ! In order to remain relevant and viable we need to embrace innovations. The challenge with innovation is knowing when to implement it and what type of return you can expect from it. Instead of risking your time and resources we have the answers for you, Since we are at the vanguard of the industry whenever there is a fruitful innovation we will be there providing you with the information needed to make the right decision.

Respect

We understand you may have unique need so we provide a tailored made (bespoke for our U.K. friends) approach that will address your questions in the most conducive manner possible.  Respect to us means putting your interests, your needs at the forefront of our mind. You will see how genuine we are and that you not just “some customer” you are our partner in success just as much as we are your partner in success. We firmly believe in the “golden rule”, treat others with graciousness, courtesy and respect.  Come experience the difference that quality and respect makes and you will truly be amazed.

See all PetroTech courses

Contact information not available.

Courses you can instantly connect with...
Negotiation Skills in Concluding Contracts and Agreements Institute of Banking Studies Certified International Sales Manager (CISM) Institute of Banking Studies Sales: prospecting for Leads like a Pro European Arab Institute for Management & Technology

Is this the right course for you?

Rate our content

Didn't find what you were looking for ?

or