Negotiation Strategies for Achieving Best Purchasing Value

Negotiation Strategies for Achieving Best Purchasing Value

Methodology:

• Interactive training course utilizing various methods and techniques such as role-playing, videos, exercises, group discussions, and surveys.

Course Objectives:

By the end of the course, participants will be able to:

• Develop effective negotiation strategies to meet purchasing needs within the organization.
• Apply these strategies to maximize purchasing value.
• Explore appropriate negotiation methods for each situation or case.
• Clarify how to deal with complex negotiation scenarios.
• Identify strengths of both the supplier and the buyer.

Target Audience:

• Purchasing management experts, buyers, business professionals, supervisors, and purchasing department managers.
• All company employees involved in procurement responsibilities.

Program Content:

• Preparation strategies.
• Identifying buyer’s needs and requirements.
• Understanding the buyer’s position.
• Understanding the supplier’s position.
• Number of suppliers in the market.
• Economic analysis of the market.
• Creating a pre-negotiation checklist.
• Selecting a negotiation strategy.
• Forming a procurement negotiation team.
• Appropriate preparation and readiness.

Application of Negotiation Strategy:

• Activating the purchasing plan.
• Best timing for negotiation.
• Timing as an important element in purchasing and negotiation processes.
• The importance of information in purchasing and negotiation processes.
• Other important elements in negotiation processes.
• Best location for negotiation.
• Understanding supplier expectations.
• The 80/20 rule in negotiation.

Developing Negotiation Style:

• Traits of a good negotiator.
• Developing those traits for the buyer.
• Effectively expressing your purchasing needs.
• Familiarity with your purchasing products and goods.
• Familiarity with the supplier’s services and products.
• Active listening techniques.
• Questioning techniques.
• Creating the right list of questions.

Dealing with Complex Negotiation Processes:

• Sole supplier source.
• Sole supplier source alternatives.
• Win/win vs. win/lose or lose/lose scenarios.
• Backdoor purchasing tactics.
• Intensifying emotions during negotiation.
• Friendly suppliers.
• Negotiation and ethical behaviors.

Preparing and Conducting Individual and Group Negotiations (Teams):

• Role-playing.
• Role-playing as the buyer.
• Role-playing as the supplier.
• Role-playing as the evaluator.
• Supplier strengths.
• Buyer strengths.
• Understanding suppliers’ hidden techniques and tricks.