In negotiation, two people are usually involved – one achieving his/her goals while the other walking away due to disappointment in the outcome of what has been talked about (or vice versa). In a study conducted by The Negotiation Academy, 35% of the 430 businesses they targeted spend 1/3 of their 24/7 activity in negotiating. That being said, businesses are more into this move, instead of individuals. In fact, the word “negotiation” has become synonymous in business deals or transactions. 

Components of a Negotiation Explained below are the five components of negotiating that not only businesses, but also individuals should consider. 

1. Relationship: Don’t forget that all of us negotiate with others. It is quite easy to forget that we deal with an individual or group who has more aspirations than we do. In negotiating, always remember that the facts and figure don’t only matter. It is clear that many of us are likely dealing with those we trust, rather than others we can’t share our interests with. To establish good relationships with people we are negotiating with, try focusing on certain elements given by “counter-parties”. Don’t forget the human elements, as well. 

2. Process: This negotiating component has a lot to do with asking yourself these questions: - Have I spent time thinking about a particular agenda for my upcoming negotiation? - Do I have the necessary templates or tools to support the usefulness of the entire negotiation? - Will the negotiation ensure my desired minutes of dealing with others? - Will I take note all the concessions received or given by other parties? Tip: Write down these questions in your journal for better assessment of your negotiation with others.

3. Value: Value is another negotiating component that has lot to do with asking questions such as: - What are the facts and figures supporting the entire negotiating environment? - What are the key objectives I need in pursuing an effective negotiation with other parties? - What alternative/s does each party involved have? Value is considered the most essential component of negotiating since this allows you to gauge the objectives of other parties. Once a successful negotiation is achieved, both parties now have the prerogative to highlight any key details, then share it to non-involving parties without creating any conflict. 

4. Vision: Vision is also as essential as value since gives both parties an option to visualize the possible outcome of what they’ve negotiated. Vision allows a party to understand the “quiet motivations” of what has been talked about via images presented from the other party (and vice versa). 

5. Understanding Yourself: Before we begin to understand the objective side of negotiating with others, we need to understand ourselves first. This doesn’t need any further explanations: It is imperative that we invest effective negotiations by assessing ourselves. The idea of “understanding” in negotiations lies beneath optimizing strengths and minimizing weaknesses.

Originally Published on LinkedIn