Eskom Procurement Book 2015

NEGOTIATION

the negotiation. The basic strategy choices are win-win or win-lose. A lose-lose strategy is never recommended.

When preparing a negotiating strategy, some items to consider include:

• Objectives. • Emotions. • Roles. • Priorities. • Information requirements. • Behaviour. • Issues. • Assumptions.

• Strategy. • Attitudes. • Variables. • Tactics. • Incentives. • Precedents or history. • Concessions. • Differences between parties vs. common ground. • Facts.

7.4.4 ROLES

Certain roles should be allocated to particular members of the negotiating team. Three roles are suggested: a leader, summariser and recorder. The leader does not need to be the most senior person present. The summariser is responsible for keeping track of what is said. This role buys time for the leader. The recorder keeps a track record of all concessions hinted at and agreed. Both summariser and recorder observe the counterpart to feed information to the leader on the counterpart’s behaviour patterns. 7.5 NEGOTIATING STEPS After planning and preparation, the steps involved in carrying out a negotiation include:

Present/discuss/argue/signal – each side presents its case. Propose/map/validate – establish variables and BA. Package/bargain – hone in on a settlement package. Close and agree.

Some flexibility may be necessary when following these steps. If total failure looms in Step 3, the team can always return to Step 2. These steps are explained.

152 CHAPTER 7