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  • MONTRAL OTTAWA TORONTO CALGARY VANCOUVER NEW YORK CHICAGO LONDRES BEIJING blakes.com

    Blake, Cassels & Graydon S.E.N.C.R.L./s.r.l.

    Habilets de ngociation : Trucs et astuces pourmener des ngociations commerciales efficaces

    Sminaire prsent par lACC Canada, Section du Qubecet Blake, Cassels & Graydon S.E.N.C.R.L./s.r.l.

    Negotiation Skills: Tips and Tricks for ConductingEffective Commercial Negotiations

    Presented by ACC Canada, Qubec Chapter and Blake, Cassels & Graydon LLP

    Le mercredi 9 dcembre 2009Wednesday, December 9, 2009

  • Negotiation Skills: Conducting Effective

    Commercial Negotiations

    Presented by Dr. Sunny Handa

  • 2

    Understand Your Goals

    Long-term relationship vs. Short-term gain

    Creating value vs. Claiming value

    Cooperation vs. Competition

  • 3

    Negotiation Strategies (theory)

    COOPERATIVE Principled

    Interest-based

    AGGRESSIVE Competitive Positional

    vs.

    Not mutually exclusive strategies

  • 4

    The Aggressive Strategy

    Being perceived as rigid or unreasonable

    Conflict escalation or deadlock

    No mutual gains or long-term relationship building

    Being perceived as assertive and confident

    Direct and efficient communication

    Short-term gain

    CONSPROS

  • 5

    The Aggressive Strategy (continued)

    When is it useful? (examples)

    Maintaining your absolute bottom-line

    One-off contracts

    Hostile take-over situations

    Some litigation

  • 6

    The Cooperative Strategy

    Perceived as timid

    Risk of losing control to more aggressive parties

    Sacrifice profit to keep others satisfied

    Perceived as constructive, team player

    Conflict resolution

    Mutual gains and long-term relationship building

    CONSPROS

  • 7

    The Cooperative Strategy (continued)

    When is it useful? (examples)

    Negotiations with unions and other employees

    Negotiations with long-standing suppliers, service providers, distributors or other partners

    Outsourcing arrangements

    Negotiations with government bodies

    Settlement of disputes to avoid litigation

    Whenever the preservation of goodwill or reputation is important

  • 8

    Some Practical Tips for Effective Negotiation

    Listen and ask questions

    Get the other party talking

    Ask short, purposeful and broad questions

    Gather information

    Avoid the temptation to interrupt

    Let the other party exhaust themselves

  • 9

    Some Practical Tips for Effective Negotiation (continued)

    Repeat and paraphrase Confirms that you have a complete and accurate

    understanding of the other partys position Gives the speaker the opportunity to modify

    his/her point (and you can lead them to do so)

    Use silence to your advantage

    Use of body language

  • 10

    Some Practical Tips for Effective Negotiation (continued)

    Know your personality type

    If you are extroverted, make sure to listen to the other partys perspective

    If you are introverted, make sure to communicate your point fully

    Know your strengths and weaknesses

  • 11

    The Starbucks Effect Feast or famine

    Room positioning

    Senior / Junior effect

    Length of day

    Use your adversaries timing constraints to your advantage

  • 12

    Achieving the Optimal Outcome

    Win/Win

    (Positive-sum game)

    Win/Lose

    (Zero-sum game)

    Lose/Lose

    (Negative-sum game)

    Not mutually exclusive On one point, the outcome can be a Win/Lose,

    whereas another can be a Win/Win. You may have to sacrifice on one point, to win on

    another.

  • 13

    Final Thoughts

    Your best position is when you are able to walk away

    Always be polite and respectful

    Never lose your composure

    Never appear too happy with the result

  • QUESTIONS

    Sunny HandaBlake, Cassels & Graydon LLP

    (514) 982-4008sunny.handa@blakes.com

  • Tips for Conducting Effective Commercial Negotiations

    Habilets de Ngociation: Trucs et Astuces Pour Mener des Ngociations

    Commerciales Efficaces

    Prsentation de / Presented by Jacques Par

  • NEGOTIATION - DFINITION

    2

  • WHY DO WE NEGOTIATE?

    3

  • TYPES OF BUSINESS NEGOTIATIONS

    4

  • SUCCESSFUL BUSINESS NEGOTIATIONS

    5

  • SUCCESSFUL BUSINESS NEGOTIATIONS

    6

  • SUCCESSFUL BUSINESS NEGOTIATIONS

    7

  • PSYCHOLOGICAL BLOCKS TO EFFECTIVE NEGOTIATING

    8

  • STYLES IN NEGOTIATIONS

    9

  • STYLES IN NEGOTIATIONS Competitive or Cooperative?

    10

  • STYLES IN NEGOTIATIONS COMPETITIVE OR COOPERATIVE?

    11

  • LES CINQ TAPES VITALES

    12

  • PLANNING AND PREPARATION

    13

  • PREPARATION ANALYSIS

    14

  • PREPARATION ANALYSIS

    15

  • PREPARATION ANALYSIS

    16

  • SWOT ANALYSIS

    17

    The market situation analysis findings are summarized in terms of strengths, weaknesses, opportunities and threats--also known as SWOT.

    External EnvironmentPolitical factorsEconomic factorsSocial factorsRegulatory factorsMarket factorsCompetitive factorsInternal Environment

    Financial resources Staffing resources Facilities &Equipment

    Environmental Scanning

    Analysis

    SWOTSummary

    Strengths (+)

    Weaknesses (-)

    Opportunities (+)

    Threats (-)

  • Relative advantages of the corporation. Must be exploited and built upon.

    Relative weaknesses of the corporation. Must be corrected or compensated for in another way.

    Situation in the marketplace (external to the corporation) that should be exploited

    Situation in the marketplace (external to the corporation) that should be countered.

    Threats

    Opportunities

    Weaknesses

    Strenghts

    18

  • HOW TO ORGANIZE FOR BETTER NEGOTIATIONS

    19

  • PRIORITIZING OBJECTIVES (MIN)To establish these you need to consider:

    20

  • MEILLEURE ALTERNATIVE UNE ENTENTE NGOCIE (BATNA)

    21

  • PROCESS FOR DETERMINING YOUR BATNA

    22

  • THE NEGOTIATING PLAN

    23

  • NGOCIATIONS MONDIALES ET INTERNATIONALES

    24

  • NGOCIATIONS MONDIALES ET INTERNATIONALES

    25