F-LG04 Effective Purchasing and Contract Negotiation Strategies

F-LG04 Effective Purchasing and Contract Negotiation Strategies 2019-02-28T11:32:18+00:00

Project Description

This course provides 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. 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. 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 Negotiation “traps” uncovered.

Why attend

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.

 The organization will benefit by reducing 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. The organization employee will feel more comfortable in dealing with people at all levels both within the company and across the supply chain

Course Objectives

By the end of the course, participants will be able to:

  • ·         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

Who should attend

This course is ideal for senior executives and organizational leaders who are responsible for strategic initiatives and organizational performance. Also, it targets managers who are involved in a project or activity which is going to result to a significant change in the current company status. Alternatively, the course would suit every employee of your organization who is being impacted by changes.

Course Outline

  • What Makes a Negotiation a Success 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

    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

    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

    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

    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

The workshop

This interactive training course includes the following training methodologies as presented on the next column based on percentage of the total tuition hours:

Lectures

30%

Workshops & Work presentation

30%

Case Studies & Practical Exercises

20%

Videos, Sofware & General Discussion

20%

The course instructor may modify the above training methodology before or during the course for technical reasons with no prior notice to participants.

Falcon Consulting Professionals is established in Greece for the last 15 years in the areas of technical consulting and professional training for the local industries. Falcon is expanding in GCC, aiming to provide the best consulting and training solutions to the industries of the region. Falcon’s instructors are accredited trainers and highly experienced in their fields, as well as adult training. We aspire to build our business relationships on mutual trust. The achievement of results with an emphasis on innovation and sustainability, quality, cost analysis and time scheduling are non-negotiable from the conceptual phase of the training.

Project Details

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