Communication and negotiation

Question 1

How would you prepare for a negotiation?

Answer 1

• Understand why the negotiation was taking place.
• Clarify the impact e.g. the importance of the relationship vs the outcome.
• Define what is negotiable and what is not.
• Define a ‘win-win’ and fall back positions.
• Understand or estimate the other parities ‘win-win’ and fall back positions.
• Identify areas of common ground.
• Prepare evidence and rationale to support my case.

Question 2

What is a ‘win-win’ situation?

Answer 2

• When the agreement reached cannot be improved further by any discussions.
• Outcome cannot be improved for your benefit, and similarly, the agreement for the other party cannot be improved further for their benefit either.
• There is no value left on the table and all creative options have been thoroughly explored and exploited.

Question 3

How would you conduct a negotiation?

Answer 3

• Rehearse my opening – ask the opening question to control negotiation.
• Convey confident, congruent communication – match body language and terms used, maintain eye contact.
• Manage expectations – Trade at low value, do not give a concession without trading it with reluctance.
• Be respectful but persistent – Assess offers on the spot and be courteous.
• Questioning – Ask open and closed questions to exert control.

Question 4

What are the tools of a negotiator?

Answer 4

• Position power.
• Expertise or knowledge.
• Charisma.
• Having alternative solutions prepared.
• Using past events as a precedence.

Question 5

What Stages of a construction project might involve negotiations?

Answer 5

• Tendering and procurement.
• Agreeing Variations.
• Agreeing Final Accounts.
• Extensions Of Time.
• Payment Terms.
• Loss and Expense.
• Basically anything that will make an adjustment to the contract sum.

Question 6

How do you ensure that you are successful in a negotiation?

Answer 6

• Preparation;

I will always review my arguments, produce and provide back-up information for each point. This allows me to negotiate my points confidently.

This allows me to know my bottom line.

Question 7

How should you record an agreement at the end of negotiating?

Answer 7

• Either get both parties to sign the agreement.

* Or produce a written confirmation, i.e. via email of the agreements made.

Question 8

What is working ‘open book’?

Answer 8

• A transparent process that encourages all stakeholders to work in a collaborative manner, as all the costs are seen by the client.

Question 9

What are considered to be the four stages of negotiation?

Answer 9

• Preparation.
• Exchange.
• Bargain.
• Agreement/Implementation.

Question 10

What skills would you need to negotiate?

Answer 10

• Charisma
• Position power
• Past is precedence
• Alternative solutions prepared
• Knowledge

Question 11

How did you negotiate a valuation with a contractor?

Answer 11

• Prepared evidence
• Reviewed contract to assess what it states in contract regarding valuations
• Understood what is negotiable
• Understood why negotiation was taking place
• Identify my win win position and estimated other parties position

Question 12

How has your communication changed in the past year?

Answer 12

Cost Reports
Meetings
Presentations

All over teams