Original Source: Supply Chain 247
So what does it take to get ready for even the toughest adversaries? Here are seven techniques that top supply management negotiators put into action—techniques that prove effective even when the deck is stacked against them.
Although supply chain managers today have access to a wide range of e-sourcing and auction technology tools, they still use conventional negotiations as the way to establish or adjust the business relationships.
Most senior procurement professionals would agree that this is the preferred way to handle alliances and strategic supplier relationships, which collectively account for a large proportion of supply chain spending.
In my many years of leading negotiations on behalf of Fortune 100 companies, and in training corporate and conference audiences on best practices in negotiations, I’ve become impressed with the levels of preparation of the typical supplier negotiating team compared to their procurement opponents.
It’s apparent that those suppliers’ teams are making the time to cover every possibility they can think of. The team on the other side of the table? Not so much.
Inventor Thomas Edison is quoted as having once said, “A genius is just a talented person who does his homework.” Many negotiation experts have rightly observed that 75 percent of the total time spent in the negotiation process should be spent in preparation activities, which should ideally include important tasks such as the solicitation and evaluation of supplier proposals, the development of a negotiation strategy, and the endorsement of the senior management team.
https://www.supplychain247.com/article/seven_techniques_for_preparing_winning_negotiations_with_your_key_suppliers
Contributors: Open SourceCategories: Industry Articles, SIG U Resource
SRC Type: All Talent Management, Talent Management