The_Essential_Manager_s_Handbook

390 / SETTING YOUR STYLE

Creating win–win deals

Getting the conditions right

Effective negotiations, unlike competitive

sports, can produce more than one

winner. However, it takes motivation by

both parties to find creative alternatives

that fulfill their interests to create a

win–win outcome. To promote win–win

deals, effective negotiators focus on both

the substantive issues of the deal (price,

terms of payment, quality, and delivery

schedule) and on formulating a social

contract between the negotiators—the

spirit of the deal. This involves setting

appropriate expectations of how the deal

will be negotiated, implemented, and

revisited, in case future disputes arise.

If, by contrast, negotiators believe that

negotiations are a zero-sum game that

must inevitably be won at the expense

of the other party, a win–win deal is

not possible.

Some negotiators talk about wanting to create win–win deals, but when

they hit major roadblocks leave the negotiating table prematurely, thus

missing out on an opportunity to make a good deal. Effective negotiators

utilize techniques to ensure they can create win–win deals.

To promote win–win deals,

negotiators focus on the

substantive issues and on

formulating a social contract

US_390-391_Creating_win_win_deals.indd 390 30/05/16 3:06 pm