The cowboy is an iconic figure that represents the rugged individualism so often prized in our society. Although the cowboy’s go-it-alone style may have its place, during negotiations it can be counter-productive. This is particularly true in complex negotiations that involve multiple parties or multiple avenues for finding value. During these situations, it can be helpful to have extra eyes, ears, and hands to support the processes. In the following paragraphs, we will outline important reasons why you should leave your spurs at the door and take some help when entering more sophisticated negotiations.

Observation
One quality that helps in negotiating is the ability to read the other party. Sometimes you want to gauge their reaction to an issue. Other times you might want to pay extra attention to the words and emphasis they are using in articulating their position. These are examples of subtle issues that you can easily miss in the heat of negotiations. It can be helpful to have an extra person whose role is to simply watch and listen. A person who is more focused on this task is more likely to observe the minute details that can give meaningful insight into the thinking or attitudes of the other party.

Grouping / Combinations
As we mentioned before, complex negotiations often involve multiple avenues for securing value. As you have more options for securing value, the number of different combinations grows significantly. To simplify the discussions, and to ensure that important items are getting the right emphasis, you will want to be in a position to bundle options together. If you do this without enough thought, you can easily lose value or accept a bundle from the other party without understanding the impact. In a recent negotiation with a contract manufacturer, we were dealing with multiple issues involving lead-times, product pricing, warranty terms, and inventory liability. One of the top priorities for our client was protecting against inventory risk. We were able to quickly propose two specific bundles for resolving the issues and were able to make this move with confidence because a person on the team had been crunching the numbers to check the impact while the discussions continued. Having this resource was critical for providing the extra focus necessary to successfully group options and secure additional value.

Creative Break
By their nature, complicated negotiations tend to take longer and can be a drawn-out affair. It is not unusual for these negotiations to start cycling on the same issues with the same arguments. To break the rhythm and get the discussions moving again, it sometimes helps to inject a different voice. Allowing someone from your team to take the lead for a while and ask questions can provide a needed change to the discussions. This also gives you a chance to regroup and refocus your efforts.

Analysis and Evaluation of Alternatives
You can and should do most of your homework and analysis before getting into a room to negotiate. Negotiations can be very fluid with a number of ideas and alternatives at play at any one time. It is important that you make informed decisions. In the middle of negotiations, sometimes unique opportunities will arise and you will typically have a limited timeframe in which to respond. In these situations, it is important that you have a resource who can perform analysis on the trade-offs and the value of the specific proposals being offered. We were involved in negotiations for an outsource Field Service contract that is a perfect example of this. During the negotiations, there was a discussion around changing some language concerning a “system” versus and individual “covered item”. We calculated that the impact to the client was about $50K per year for the change but the service provider was offering a concession that was worth over $200K per year, giving our client a net advantage of over $150K. We were able to respond quickly to this offer because we had the resources to perform the analysis and show the advantages.

Organization / Capturing Agreements
In the end, all of the talk needs to lead to action and concrete results. So that you do not have to rehash issues again later due to miscommunication or misunderstandings, it is worthwhile to write down points of agreement as you go. It is best to do this in such a way that everyone can see the point and comment on the language used to capture the specifics. In addition, you will want to capture action items for follow-up as they are discussed throughout the negotiations. Both of these situations lend themselves to having an extra resource to capture and organize items so that you can focus on facilitating the negotiations.

Summary
There are certainly times where independence and a cowboy spirit may be useful qualities. In complex negotiations, however, you are better served by recognizing your limitations and leveraging the help of others to achieve greater results. Based on our experience, you should bring support into complex negotiations - those that involve many avenues for value and/or many stakeholders. Symphony has built its business around helping companies get more from their negotiations. If you are facing some significant purchases or contracts, we may be able to help. Feel free to contact us at info@symphonyconsult.com about our services and our value proposition.