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You're in supplier sourcing negotiations. What logical fallacies should you steer clear of?

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Navigating supplier sourcing negotiations requires a clear head and an eye for detail. It's a delicate dance of give-and-take, where the stakes are high and the pressure is on. You've done your homework; you know what you need and what you can offer. But there's a trap that many fall into without even realizing: the snare of logical fallacies. These errors in reasoning can derail discussions, compromise decisions, and ultimately lead to less favorable outcomes. As you engage in supplier sourcing negotiations, it's crucial to recognize and avoid these common pitfalls to ensure a fair and successful agreement.

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Zaid Arif

Supply Chain Service Strategy | P2P | Consulting | Value Enhancement | Contracting

1 Avoid Ad Hominem

In the thick of negotiations, it's easy to slip into ad hominem attacks, where you criticize the supplier's character instead of addressing the proposal on the table. Remember, the goal is to reach an agreement that benefits both parties, not to win an argument. Dismissing a supplier's offer simply because you question their expertise or past decisions can blind you to potentially valuable opportunities. Stay focused on the facts and the merits of the proposal itself.

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Yanina Aldana Ibanez

Gerente de suprimentos | Tecnosonda
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O desafio maior é desconsiderar o fator humano que é quem nos apresenta a negocia??o e manter a objetividade ao ponto de entender que o proposto seguirá o que foi oferecido independente do impacto causado pelo mensageiro. Em contrapartida ignorar nosso instinto quando ambos n?o se conversam pode ser algo negativo.

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Diana Inés Mejía Ramírez

| Supply Chain Manager | Procurement Manager | Operations Manager | Retail | E-Commerce| 3PL| Comex | Gerente de cadena de suministros | Gerente de compras | Gerente de operaciones
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In a negotiation, it does not matter who is right; it is not a competition to determine who is right. What truly matters is to visualize the offers presented and to evaluate their feasibility for both companies. Focusing solely on being right can lead to a loss of credibility and the potential to miss out on valuable partnerships.

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2 Straw Man Pitfall

Beware of the straw man fallacy, where you misrepresent a supplier's position to make it easier to attack. This not only undermines trust but also hinders your ability to understand the actual value of what's being offered. Instead, listen carefully and clarify any points that seem unclear. By addressing the real issues head-on, you'll foster a more productive and respectful negotiation environment.

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Diana Inés Mejía Ramírez

| Supply Chain Manager | Procurement Manager | Operations Manager | Retail | E-Commerce| 3PL| Comex | Gerente de cadena de suministros | Gerente de compras | Gerente de operaciones
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From my experience, in a negotiation, it is crucial to have active listening skills, seeking the added value of what is being offered, and even having the possibility to enrich the negotiation by contributing to the initial proposal.

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3 Appeal to Authority

An appeal to authority might seem like a strong argument, but in supplier sourcing negotiations, it's a logical fallacy to watch out for. Just because an influential figure or a well-known company endorses a particular supplier doesn't guarantee they're the best choice for your needs. Evaluate each supplier based on their merits, capabilities, and how well they align with your company's objectives.

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Zaid Arif

Supply Chain Service Strategy | P2P | Consulting | Value Enhancement | Contracting
(已编辑)
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True that. In the era of marketing and self gain, we often come across suppliers who are endorsed by some known faces. But they actually do not meet the criteria to be onboarded. What’s important here is that we analyse the suppliers thoroughly against the need without being influenced by any endorsement. Sometime you cannot simply say No when a supplier is recommended by higher ups. In those cases it helps to negotiate with the supplier and submit an unbiased summary and clearly call out as to why or why not you are going with the supplier.

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Diana Inés Mejía Ramírez

| Supply Chain Manager | Procurement Manager | Operations Manager | Retail | E-Commerce| 3PL| Comex | Gerente de cadena de suministros | Gerente de compras | Gerente de operaciones
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In my sector, it is very common to encounter family-run companies where certain suppliers are imposed, some of whom do not adequately meet the expectations of the organizations. From my experience, it is vital to conduct a 360-degree evaluation of these suppliers, using the same methodology applied to all others, and to highlight the potential risks of "protecting" certain suppliers. What I have found in my experience is that the decision to retain or not a supplier always depends on the quality of value they can add to the relationship, beyond the degree of relationship and influence they might have

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4 False Dilemma

In the world of supplier sourcing, presenting a false dilemma—where only two extreme options are considered—can be a tempting negotiation tactic. However, it's a logical fallacy that limits your possibilities and can lead to suboptimal decisions. Always be open to exploring a range of solutions and seek compromise where possible. This approach not only avoids the trap of false dilemmas but also often leads to more innovative and effective outcomes.

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5 Slippery Slope

The slippery slope fallacy can be particularly insidious in negotiations. It involves predicting an unlikely chain of negative events resulting from a particular decision, often used as a fear tactic to dissuade you from considering a supplier's offer. Stay grounded in reality and base your decisions on evidence and probable outcomes, rather than getting caught up in doomsday scenarios.

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6 Hasty Generalization

Finally, avoid making hasty generalizations during your negotiations. This fallacy occurs when you draw broad conclusions from a small sample size or limited information. For instance, dismissing a supplier because of one bad review or a single negative experience can cause you to miss out on a potentially fruitful partnership. Take the time to gather sufficient data and consider the full picture before making your decisions.

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7 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?

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You're in supplier sourcing negotiations. What logical fallacies should you steer clear of?

1

2

3

4

5

6

7

1 Avoid Ad Hominem

2 Straw Man Pitfall

3 Appeal to Authority

4 False Dilemma

5 Slippery Slope

6 Hasty Generalization

7 Here’s what else to consider

Supplier Sourcing

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You're in supplier sourcing negotiations. What logical fallacies should you steer clear of?

1

2

3

4

5

6

7

1 Avoid Ad Hominem

2 Straw Man Pitfall

3 Appeal to Authority

4 False Dilemma

5 Slippery Slope

6 Hasty Generalization

7 Here’s what else to consider

Supplier Sourcing

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