- NEGOTIATION SKILLS -

- Part 1 - March 2009 NEGOTIATION SKILLS - PART 1 - FUNDRAISING MEETING - [1]

FOUR MILLESTONES
VISIT
(arrange a meeting and control it)

IMAGE (Build up ELSA Image)

CO-OPERATION (Looking for company
/institution needs or common grounds

RESULTS (Define co-operation result)

NEGOTIATION SKILLS - PART 1 - FUNDRAISING MEETING - [2]

FIRST STONE Arranging

Fax Phone Recomendation Letter Offer Invitation Letter E-mail
NEGOTIATION SKILLS - PART 1 - FUNDRAISING MEETING - [3]

Meeting Preparation
Well known subject Well known Partner Meeting AIMs! Discussion Plan Ice-breakers Materials (Co-operation offer, Contract, Calendar,
Business Cards, other)

NEEDS ANALYSIS POSIBILITIES ANALYSIS

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Meeting structure:
Enter Secretary Introduction, Business Cards Ice breaker Coffe or Tea? Offer - Negotiations Summary Close up Exit

T I M E

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FIRST IMPRESSION
All you need to get it right first time
Appearance Dress Code Body Language Gestures Punctuality Dynamic Handshake Busienss Cards

NEGOTIATION SKILLS - PART 1 - FUNDRAISING MEETING - [6]

6 steps to sell
ARRANGE CONTACT IDENTIFY NEEDS OFFER PRESENTATION DEMAND CALL CLOSE UP FOLLOW UP

Firs imppresion is important but last impression is remembered

NEGOTIATION SKILLS - PART 1 - FUNDRAISING MEETING - [7]

Presentation Scheme
Ice breaker Information about our partner Questions ABC ELSA Questions to Partner Negotiations (Our Expectations, Partner
Expectations)

NEGOTIATION SKILLS - PART 1 - FUNDRAISING MEETING - [8]

ABC ELSA
ELSA is what is ELSA ELSA 6 adjective ELSA biggest world wide law students organisation. (NUTSHELL) ELSAPhilosophy Aim realisation
- International - National - Local level

Summary

NEGOTIATION SKILLS - PART 1 - FUNDRAISING MEETING - [9]

SECONDSTONE Image ELSA Image You building it

You are ELSA Ambassador You represent whole 200 LG in Europe High sophistication Always with smile! There will be others after you WATCH OUT!!!
NEGOTIATION SKILLS - PART 1 - FUNDRAISING MEETING - [10]

THIRD STONE Follow up

End of negotiations acknowledgements Contract Contract realisation Co-operation thanks Raport

NEGOTIATION SKILLS - PART 1 - FUNDRAISING MEETING - [11]

Co-operation control:
Obligation review Deadlines! Exectution of our rights Phone contact with Partner Inform about problems Make partner involved in your activities One Company - one face
NEGOTIATION SKILLS - PART 1 - FUNDRAISING MEETING - [12]

Meeting
Nothing by force Never lie Think like Kasparov Keep promises Work with and for Company Be sure that after 2 meeting you will be still well-seen in Company Office :)
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FOUR STONE CSF

PRIORITIES
Determine Milestones of co-operation Realize them Verify expectations and expected result

NEGOTIATION SKILLS - PART 1 - FUNDRAISING MEETING - [14]

NEGOTIATION SKILLS

Everything we want is under the control of someone else.

Roger Dawson

NEGOTIATION SKILLS - PART 1 - FUNDRAISING MEETING - [15]

Definition
Bargaining (give and take) process between two or more parties (each with its own aims, needs, and viewpoints) seeking to discover a common ground and reach an agreement to settle a matter of mutual concern or resolve a conflict.

Diplomacy is the art of letting someone have your way.

Daniel Vare
NEGOTIATION SKILLS - PART 1 - FUNDRAISING MEETING - [16]

Two styles of negotiating, competitive and cooperative, are commonly recognized. No negotiation is purely one type or the other; rather, negotiators typically move back and forth between the two styles based on the situation.
NEGOTIATION SKILLS - PART 1 - FUNDRAISING MEETING - [17]

Clarify INTERESTS Not Positions

Ask why?, why not? Capitalize on joint interests, reconcile differing interests Look to CRITERIA and creative OPTIONS to deal with conflicting interests

Invent OPTIONS for Mutual Gain

Separate inventing from deciding Generate options through brainstorming
no evaluation, no commitment, no attributions

Use CRITERIA to Help Evaluate Options

Look to humanitarian principles and elements of international law as objective criteria Ask Why is that objective/fair? Use the test of reciprocity
NEGOTIATION SKILLS - PART 1 - FUNDRAISING MEETING - [18]

NEGOTIATION SKILLS - PART 1 - FUNDRAISING MEETING - [19]

CLUSTER NEGOTIATIONS
POSSIBLE SCENARIOS WITH WHOM? WHERE? ABOUT WHAT? WITH WHAT IMPORTANCE (STAKES)? IN WHAT CULTURES (AND LANGUAGES?)

- FUNDRAISING MEETING - [20]

NEGOTIATION TIPS
Prepare! Know the interests who stands to win, who to lose?

Look for alternatives that will still meet the main interests
Be clear about what you want, describe it as something positive Dont provoke, or be provoked

Identify mutual benefits, search for common ground

- FUNDRAISING MEETING - [21]

NEGOTIATION TIPS contd.

Stay in control of the communication (art of asking good questions) Be ready to Compromise Make an early, small concession; Ask for something in return Be honest it will show one way or another! Avoid negotiating something you dont believe in! Preserve relationships for the longer-term (winning the battle, but losing the war!) And PREPARE!
- FUNDRAISING MEETING - [22]

Positions, bottom lines, interests and BATNA

Position: specific statement summarising what you would like to achieve with the negotiation
Bottom line: worst acceptable outcome for you if you fail to achieve your position Interests: deeper needs that both sides in a negotiation are trying to satisfy in accordance with the positions they articulate BATNA: Best Alternative to a Negotiated Agreement
- FUNDRAISING MEETING - [23]

Types of negotiation
Positional bargaining
Focus on positions Win-lose agreements

Principled negotiation
Focus on interests
Win-win agreements

- FUNDRAISING MEETING - [24]

Negotiation: Three Phases

P R E P A R A T I O N
SEEKING AGREEMENT I M P L E M E N T A T I O N
- FUNDRAISING MEETING - [25]

Three Phases of Negotiation

Phase I PREPARATION

STEP I: COORDINATE APPROACH WITH PARTNERS STEP 2: DECIDE ON OBJECTIVES AND STRATEGY STEP 3: LEARN ABOUT, ANALYZE YOUR NEGOTIATING PARTNER STEP 4: BUILD CONCENSUS ON THE PROCESS OF NEGOTIATION STEP 5: IDENTIFY THE ISSUES STEP 6: DEVELOP OPTIONS STEP 7: WORK TO SEEK AGREEMENT ON OPTION THAT BEST MEETS THE ELSA OBJECTIVES

Phase II SEEKING AGREEMENT

Phase III IMPLEMENTATION

STEP 8: DEFINE CRITERIA FOR IMPLEMENTATION STEP 9: FOLLOW-UP: MONITORING AND RELATIONSHIP BUILDING

NEGOTIATION SKILLS - PART 1 - FUNDRAISING MEETING - [26]

Phase 1: preparation
Define your objectives, positions, bottom lines, interests and BATNA (Best Alternative To a Negotiated Agreement) Identify the right counterpart Assess the other partys objectives, positions, bottom lines and interests Measure compatibility of objectives and interests Assess how much and what kind of leverage you have

Devise a good strategy

- FUNDRAISING MEETING - [27]

NEGOTIATION PREPARATION WORKSHEET INTERESTS

1. 2. 3. Mine Theirs 1. 2. 3.

OPTIONS
1. 2. 3. 4. 5. 6.

STANDARDS
1. 2. 3. 4. 5. 6. Theirs

BATNA

Mine

PROPOSALS
Aspire To Content With Live With

- FUNDRAISING MEETING - [28]

Phase 2: Seeking Agreement

Build the right relationship
Manage cultural differences Identify interests: inquiry Invent options for mutual gain

Insist on using objective criteria

- FUNDRAISING MEETING - [29]

NEGOTIATION SKILLS - PART 1 - FUNDRAISING MEETING - [30]

Phase 3: Implementation
Monitor ongoing negotiations
Communication between negotiators and operational teams Effective paper trail (e.g. records of meetings) Personal reflection

Monitor an agreement
Identify the right monitoring mechanism to ensure that your agreement produces results.

- FUNDRAISING MEETING - [31]

REASONS FOR ASKING QUESTIONS

TO GET INFORMATION TO LEAD OR MOLD THINKING

WHAT IF..?
WHY DO YOU SAY THAT? IF YOU COULD, WOULD YOU..? ISNT THAT WHAT WE BOTH WANT TO ACHIEVE?

TO STALL

TO DETERMINE POSTIONS

TO MAKE A STATEMENT

- FUNDRAISING MEETING - [32]

GOOD NEGOTATING QUESTIONS

WHAT DO YOU HAVE IN MIND? DO I KNOW EVERYTHING I SHOULD ABOUT THIS? WHAT WOULD IT TAK TO..? WHAT ELSE? WHAT IF I COULD..? YOUVE TOLD ME WHAT YOU WANT. WHAT DO YOU NEED? WHATS IN IT FOR ME? WHERE WILL YOU COMPROMICE? COULD YOU REPEAT THAT OFFER?

- FUNDRAISING MEETING - [33]

ALTERNATIVE WHEN ASKED A QUESTION

WHY DO YOU ASK THAT? BEFORE I ANSWER THAT, TELL ME WHAT I HEAR YOU SAYING IS WHAT EXACTLY DO YOU MEAN? REMAIN SILENT - WHEN THE OTER PARTY BECOMES UNCOMFORTABLE, HE OR SHE WILL BEGIN TALKING AGAIN.

- FUNDRAISING MEETING - [34]

SUCCESSFUL NEGOTIATIONS

BOTH SIDES FEEL AS IF THEY HAVE BEEN TREATED FAIRLY WHILE GIVING AND RECEIVING CONCESSION OF EQUAL VALUE COMMON STRATEGIES AND POSSIBLE RESPONSES

- FUNDRAISING MEETING - [35]

TACTICS

The first offer is never the final offer.

Edward Levin
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SURPRISE
NEW, UNEXPECTED INFORMATION PURPOSE - TO DESTABILIZE AND CREATE PRESSURE

COUNTER: KEEP A COOL HEAD AND EVALUATE THE SITUATION

- FUNDRAISING MEETING - [37]

AGENT OF LIMITED AUTHORITY

UNABLE TO MAKE DECISION OR CONCESSION PURPOSE - TO BUY TIME AND GET MORE INPUT

COUNTER: SEE THIRD PARTY THEN BECOME AGENT WITH AUTHORITY YOURSELF

- FUNDRAISING MEETING - [38]

ULTIMATUM
ACCEPT ONLY ONE OUTCOME PURPOSE - TO FORCE A QUICK DECISION

COUNTER: PROVIDE REAL OPTIONS TO STATED POSITION

- FUNDRAISING MEETING - [39]

REDUCTION TO THE RIDICULOUS

USE OF MANIPULATIONS OR GIMMICKS TO MAKE SITUATION LOOK DIFFERENT FROM REALITY OR GENERAL PERCEPTIONS PURPOSE - TO MAKE YOUR POSITION APPEAR TO BE MORE REASONABLE

COUNTER: ANALYZE ALL ITEMS USING THE SAME CRITERIA

- FUNDRAISING MEETING - [40]

POLICY OR PROCEDURE
INDICATE POSITION IS ACCEPTED PRACTICE OR OFFICIAL POLICY PURPOSE - TO MAKE A POINT NONNEGOTIABLE

COUNTER: CHALLENGE STANDARD/GIVE EXAMPLE

- FUNDRAISING MEETING - [41]

WALKOUT
LEAVING NEGOTIATIONS PURPOSE - TO FORCE THE OTHER PARTY TO ACT

COUNTER: WAIT/MAKE A CONCESSION

- FUNDRAISING MEETING - [42]

GOOD GUY/BAD GUY

NEGOTIATORS ASSUME OPPOSITE ROLES PURPOSE - TO GET ADDITIONAL INFORMATION REVEALED

COUNTER: INDICATE AWARENESS OF TACTIC

- FUNDRAISING MEETING - [43]

ITEMIZATION
REQUESTING DETAILED BREAKDOWN OF DEMANDS/COSTS PURPOSE - TO LOWER THE DEMANDS/PRICE ITEM-BY-ITEM

COUNTER: PROVIDE REASONING FOR NO BREAKDOWN

- FUNDRAISING MEETING - [44]

REFERENCE
USE FEEL/FELT/FOUND STATEMENTS (some feel that; it has been found that ) PURPOSE - TO PROVIDE THIRD-PARTY SUPPORT

COUNTER: REALISTICALLY APPRAISE THE REFERENCE

- FUNDRAISING MEETING - [45]

TRY IT, YOULL LIKE IT

PERMIT TRIAL WITHOUT COMMITMENT PURPOSE - TO DEMONSTRATE VALUE OF THE ARGUMENT OR PRODUCT

COUNTER: PROPOSE THEY TRY YOUR ALTERNATIVE SOLUTION. POSSIBLY ACCEPT THE TEST, ON CONDITION IT BE MUTUAL

- FUNDRAISING MEETING - [46]

FLINCHING
DRAMATIC, NEGATIVE REACTION TO OFFER PURPOSE - TO LOWER THE EXPECTATIONS OF THE OTHER PARTY

COUNTER: REFUSE TO BE INFLUENCED

- FUNDRAISING MEETING - [47]

BUDGET CONSTRAINTS
USING EXTERNAL, NON-NEGOTIABLE (BUDGET/RESOURCE) LIMIT PURPOSE- TO ESTABLISH RANGE/FORCE CONCESSIONS

COUNTER: CHALLENGE THE LIMITS/ASK FOR CONFIRMATION, ARGUE SIMILAR LIMITS, FIND OTHER WAYS OF PRESENTING SAME DEMAND OR COST
- FUNDRAISING MEETING - [48]

DISBELIEF
YOUVE GOT TO DO BETTER THAN THAT TO FORCE A BETTER OFFER

COUNTER: HOW MUCH BETTER

- FUNDRAISING MEETING - [49]

PLAYING DUMB
PRETEND TO HAVE LIMITED KNOWLEDGE PURPOSE - TO DISARM OTHER PARTY/GAIN FACTS BY ASKING FOR GREATER EXPLANATIONS

COUNTER: OFFER ONLY THE BASIC INFORMATION NECESSARY

- FUNDRAISING MEETING - [50]

MEASURED APPROACH
REACHING DECISIONS ITEM BY ITEM PURPOSE - TO REVEAL AGENDA ITEMS ONE AT A TIME AND WEAR OTHER DOWN

COUNTER: ASK FOR THE ENTIRE AGENDA

- FUNDRAISING MEETING - [51]

QUICK CLOSE
ADDING ITEMS WHEN A DECISION IS CLOSE PURPOSE - TO MAKE AN OFFER MORE APPEALING/CLOSE THE DEAL

COUNTER: ASSESS THE REAL VALUE OF THE EXTRA ITEM

- FUNDRAISING MEETING - [52]

CHANGING LEVELS
APPROACHING A HIGHER OR A LOWER LEVEL PURPOSE - TO CONTINUE THE NEGOTIATIONS

COUNTER: ENSURE THAT NO ADVANTAGE IS GAINED BY THE ACTION

- FUNDRAISING MEETING - [53]

People who expect more, earn more.

Dean Fouraker

Fair and reasonable to Me are Not necessarily fair and reasonable to You
William Shakespeare

- FUNDRAISING MEETING - [54]