Negotiating With Colleagues(A Lot Like Negotiating With Your Spouse)

by: F. Michael Babineaux, C.P.M.President/CEO

Babineaux Educational Services and Training, Inc.

A Presentation to

Who am I?

F. Michael “Mike” Babineaux, C.P.M., A.P.P.

Experience

– 40 years Supply Management Experience

• 30 year FedEx Veteran

• Lifetime C.P.M. & A.P.P.

• Recent CPSM

SCM Speaker, Coach & Trainer

– Babineaux Education, Services and Training, Inc.

Negotiating With Engineers(and Other Internal Customers)

“Internal business negotiations surely occur more often than external ones.”

“Purchasers frequently find that the primary negotiation takes place internally rather than with suppliers.”

Therefore, they may also be more important.”

By Dr. Lee Buddress, C.P.M. and Dr. Alan Readels, C.P.M.

Subject

Negotiating with . . .

– Colleagues

Subject

Negotiating with . . .

– Colleagues

– Spouses

Subject

Negotiating with . . .

– Colleagues

– Spouses

– Children

Subject

Negotiating with . . .

– Colleagues

– Spouses

– Other Independent Suppliers

Negotiating with very little competitive levers and/or authority

Subject

Direction

Two Definitions

Four Personalities

Six Step Process

Definitions

Negotiating - Give as little as you can while getting as much as you can

Definitions

Bargaining - Give as little as you can while getting as much as you can– Bargaining has its place

Defining the Subject

A collaboration between people in which they consider alternatives to arrive at mutually agreeable solutions and/or

objectives.

Negotiating with Colleagues:

Negotiating with Colleagues Keys

Mutually Satisfying Agreement– So that it happens

Develop or Strengthened Relationship– For the future

Defining the Subject

A collaboration between people in which they consider alternatives to arrive at mutually agreeable solutions and/or

objectives.

Negotiating with Colleagues:

Direction

Two Definitions

Four Personalities

Six Step Process

Observable Behavior of Colleagues

Facts

Feelings

Ask Assertive Tell Assertive

Quick Decisions No Detail Energetic

Slow Decisions Relationships Relaxed

Quick Decisions No Time Wasting Control

Slow Decisions Detailed Calm

Opposites Don’t Attract

Using Awareness Of Behavior Styles To Negotiate More Effectively

“In order to be an effective negotiator, we must:

Learn to recognize differences among our colleagues and their behavior styles

and adjust our own behavior to negotiate more effectively.”

by Jacqueline L. Miller, C.P.M., Purchasing Product ManagerHennessy Industries

Direction

Two Definitions

Four Personalities

Six Step Process

Process Steps

1. Describe Positions

2. Offer to Negotiate

3. Invent Options

4. Evaluate Alternatives

5. Pick the Best

6. Plan Implementation

Process Steps

1. Describe Positions

– Look for interest behind position

– The more discussion, the more understanding

Covey Quote

The Fifth Habit – Seek first to understand . . .

“The psychological equivalent of air is to feel understood.”

Stephen R. Covey

Creating the Right Environment

“You can lead a horse to water but, you can’t make it drink”

Unless you run it around the pond long enough to make it thirsty.

Process Steps

1. Describe Positions

2. Offer to Negotiate

– Take the lead

– Collaboration may be a better choice

Process Steps

1. Describe Positions

2. Offer to Negotiate

3. Invent Options

– No one answer

– Creative solutions that integrate interest

– Advance preparation

• Tips

– Use Brainstorming

– Think out of the box

Process Steps

1. Describe Positions

2. Offer to Negotiate

3. Invent Options

4. Evaluate Alternatives

– Joint criteria

– Unacceptable eliminated

– Weighted Decision Analysis

Process Steps

1. Describe Positions

2. Offer to Negotiate

3. Invent Options

4. Evaluate Alternatives

5. Pick the Best

– Obvious next step

1. Describe Positions

2. Offer to Negotiate

3. Invent Options

4. Evaluate Alternatives

5. Pick the Best

6. Plan Implementation

– Who will do what by when

– Follow up plans

Process Steps

Process Steps Review

1. Describe Positions

2. Offer to Negotiate

3. Invent Options

4. Evaluate Alternatives

5. Pick the Best

6. Plan Implementation

Eight Final Thoughts

Warn People– Agendas, Written Requests

Time Request– First thing for a morning

person

Sell Benefits/Penalties– What’s in it for them?

Ask for More– Settle for less

Eight Final Thoughts

Timetable/Deadline– Let them know

Sympathy & Guilt– Don’t let me down

Make it Easy– Don’t put obstacles in their way

Give Rewards/Recognition– Appreciation breeds

cooperation

– There’s always tomorrow

Summary

Negotiating with Colleagues

– Two Definitions

– Four Personalities

– Six Step Process

Negotiating With Colleagues(A Lot Like Negotiating With Your Spouse)

by: F. Michael Babineaux, C.P.M.President/CEO

Babineaux Educational Services and Training, Inc.

A Presentation to