You're about to negotiate a contract. What do you need to know to get the best deal?

Change your mentality: The best deal is not undressing your contract/service partner. The best deal has to be beneficial for you and for the vendor. If it's not both ways, one of the two will come out of the negotiation and then provide unsatisfactory result in the long run. Always negotiate so both parties get the best out of it!

Know your goals starts with a true understanding of the existing and legacy contracts and services currently in place. We work in telecommunications, so the first order of business is to prepare a telecommunications asset registry of all telco services (landlines, VoIP, mobiles, data, internet, cloud, etc). The next step is to conduct a "bill to contract" validation process where you ensure that all current services are charges as per the existing contract and clean up all zero usage services. Once you have this in place and the current billing is accurate and understood, you can then negotiate "on the front foot" with telco providers which places you "in the drivers seat" for all future contract negotiations.

When negotiating a contract, keep in mind what you need from that contract, and don't get bogged down on something that may not be important to you. It may be important to the other party, and if you are willing to bend on an important issue for them, they will also bend on an important issue for you.

-Create a win win situation - Confirm the value for money - Clearly explained contract where there is no vague terms and conditions -there should be multiple options for the solution of any individual problem

Know your goals and objectives can help negotiate contract in more effectively, efficiently, and strategically. ??consider targets; acceptable range; and any quantitative or qualitative criteria ??consider any deadlines and timelines ??consider any conditions precedent ?consider strategies and action plan to achieve goals and objectives ??discuss with internal stakeholders regarding goals and objectives to consider different perspectives for alignment, if necessary

In any industry, you need to understand the market-place and who are the best providers most relevant to your specific company's requirements. Once you have this "short-list" of reputable providers (typically 3 to 5) you are then in a position to issue tenders and embark on contract negotiations.

Entenda qual a posi??o de sua contraparte, uma boa conversa de apresenta??o e alinhamento de expectativas é essencial para que possam ter um ponto de partida, fazer um benchmark com a concorrência da sua contraparte também ajuda a entender melhor o nicho e o que pode ser ofertado para gerar valor ao seu cliente.

Knowing your counterpart is important for considering the relevant factors and strategies for effective communication and contract negotiation. ??gathering information and researching regarding counterpart ??analysing information and data regarding counterpart eg. SWOT analysis (strength, weakness, threat and opportunities), cost and benefit analysis ??active listening to counterpart for - finding out any concern, feedback or objections - determining appropriate response, options, alternatives or win-win solutions - empathy - building rapport - enhancing mutual understanding and mutual respect

Alright, now it's time to do some homework on the other party. Who are you negotiating with? What are their interests, priorities, and constraints? Understanding your counterpart's perspective will give you valuable insights into their motivations and help you tailor your approach to better meet their needs.

In a negotiation both parties lack information relevant to the transaction, leading to anxiety around getting a fair deal. In my experience, understanding the decision escalation pathway your counterpart is operating under, how well they maneuver within in it, and the level of support from--and accessibility to--decision owners, increases the likelihood of reaching mutually acceptable terms in a timely manner. Diligence around the escalation pathway should be done in the 'pre-negotiation' stage--use it as a relationship builder and an opportunity to develop rapport with your counterpart. When each party has an understanding of the escalation pathways prior to the negotiation, anxiety tends to turn into excitement.

Last but definitely not least, don't forget to know your own worth. What unique value do you bring to the table? What are your strengths, accomplishments, and competitive advantages? Being confident in your value proposition will give you the leverage you need to negotiate from a position of strength and get the best deal possible.

Knowing the value of self and all relevant parties of intended contract will be helpful for contract negotiation. ??SWOT analysis of strength, weakness, threat and opportunities of other parties own party/self ??consider and compare with relevant industry data, information and price, fees, charges ??active listening for effective communication to consider strategies and means to further add value to the deal and/or contract negotiation ??consider to add value through collaboration to create win-win situation with synergism, where appropriate

First keep the floor open and just listen to the vendor and just keep noting what they want to say. Talk less and listen more : it should be the mantra. Be very careful in arguments so that vendors can not understand your lacking if any.

Choosing best alternative is very tough job. As we have to trade off one option to another. It requires some calculation. It’s always not about financial factors rather sometimes many other anonymous psychological and socioeconomic variables impartial to economy standards

Knowing BATNA, best alternative to a negotiated agreement can help to assess the appropriateness, suitability or desirability of a potential contract or deal for further planning and action. ??assess under objective criteria ??analyse different options eg. feasibility analysis; costs and benefit analysis; and SWOT analysis of strength, weakness, threat and opportunities ??seeing multiple perspectives

Be confident in surfacing 'asks'--every negotiation has a tally of asks and concessions for each party. If your tally for concessions is high, your counterpart is waiting for an ask--the opposite is true as well. Under the same principle, be diligent in accounting for material concessions that have been made leading up to the negotiation that your counterpart may not be aware of (e.g., ring fencing teams, personnel, resources, time and effort needed to qualify for the opportunity)--having a higher tally for concessions going into a negotiation is a benefit.

Planning, research, discussion with stakeholders, and analysis can be helpful for determining the strategies for contract negotiation. Factors that can be considered for deciding on the strategy of a particular deal or potential business matter: ??goals and objectives of respective parties ??costs and benefits analysis ??SWOT analysis of strength, weakness, threat and opportunities ??timing, deadlines ??available options and alternatives ??feasibility study of various scenarios ??gap analysis ??to what extent that the terms relevant draft contract can meet goals and ??whether and what further changes (amendments to terms of draft contract) need to be made to create a win-win situation

Getting the best feasible deal in contract negotiation would need to consider not only own goals but also positive mindset, perseverance and resilience, effective communication and strategic thinking for achieving common goals and win-win solutions, with mutually agreed terms of contract. 1??preparation, research, analysis and action plan 2??effective communication with internal and external stakeholders/counter-party; and persuasion 3??consider sustainability 4??collaboration for synergism 5??empathy, active listening

Research all angles to better understand others perspectives on the topic being discussed to help the overall goal for both parties.