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  • Casual Articles - Negotiating Contracts: A Little Bit of Healthy Curiosity Goes a Long Way

    Six Habits of Highly Effective Teams
    Anyone who has spent time in software development organizations knows that some teams seem to achieve superhuman productivity, and some teams just can’t seem to get anything done. I think that the ratio of productivity can be hundreds to one, no matter how you measure it. What is it about Highly Effective Teams that lets them make so much progress with so little effort? Here are some the characteristics of these super-teams. I refused to consider a new way to look at my fees, I wouldn’t have gotten the contract and I wouldn’t have this delightful story to tell.

    I learned that asking even the simplest question in a real attempt to understand, then really listening to the answer, can unlock a negotiation.

    I learned that knowing someone’s interests can make entirely new solutions visible. Learning that the department head had an interest in being able to tell the CFO she had bargained me down helped open up my thinking. And it helped me see her in a different light. No longer was she just unreasonable

    Franchise Business Opportunities - What is the Role of a Franchise Broker?
    If you are interested in buying a franchise business, it may behoove you to do so through a franchise broker. You should also consider utilizing the advice of a professional franchise consultant.So, What Exactly is a Franchise Broker?A franchise broker is simply someone who acts as a liaison between franchisors and franchisees. He gets the two parties together and has the sale of a franchise as his ultimate goal.Em
    In the contracting meeting, the department head reviewed my proposal and slid the contract back across the table at me, shaking her head. “Too much,” she said. “I’ll give you 20% less.”

    This was more than a decade ago, when I was just starting out in private practice, and one of my first big opportunities was to help a large department work through a long-standing state of unrest that was getting in the way of operations. Here I was, sitting with the head of the department, attempting to finalize the contract proposal I'd so carefully constructed.

    Pleasantly, I explained that I hadn’t deliberately inflated my proposed fees to come in with a highball offer or play negotiating games. The proposed fee was a real number based on careful consideration. I further explained that while my hourly rate was not negotiable, perhaps she and I should revisit the scope of the work to be done to see if that could be scaled back to bring the cost down.

    She shook her head again, this time rolling her eyes ever so slightly, as though she couldn’t quite believe she could be talking to such an imbecile. “Everything’s negotiable,” said she, “even hourly fees.”

    Now, I had just finished a book cautioning new consultants not to negotiate their rates (assuming their rates were based on something real, like overhead, income needs, going rates in the field, etc. and not just pulled out of the air) because it became a slippery slope. At a loss for what else to do and fast realizing that my plum of a new contract was slipping from my grasp, I asked, “Why do you believe that everything’s negotiable?”

    She sat back and said, “I don’t. But the head of finance does. He’ll ask me if I bargained you down and got a good deal.”

    I stared in disbelief for a moment. Then I picked up my pen, crossed out the proposed fee, and wrote in a new fee about 25% higher than my original one. “Will this work?” I asked, sliding the paper back to her.

    She pondered my figure for a moment, then said, “Well, I’ll have to offer you 20% less than that. I think I’ve already been clear about that”

    “That sounds reasonable,” I said. And we had a deal.

    This really did happen. I learned a few important lessons about negotiating that day, ones that are often key when I’m helping mediation parties negotiate or helping coach someone for an upcoming negotiation of their own.

    I learned that pushing back and being firm in a position is often not a fruitful strategy. After all, had I refused to consider a new way to look at my fees, I wouldn’t have gotten the contract and I wouldn’t have this delightful story to tell.

    I learned that asking even the simplest question in a real attempt to understand, then really listening to the answer, can unlock a negotiation.

    I learned that knowing someone’s interests can make entirely new solutions visible. Learning that the department head had an interest in being able to tell the CFO she had bargained me down helped open up my thinking. And it helped me see her in a different light. No longer was she just unreasonable

    What Would You Do If You Lost All of Your Data?
    Every serious computer user has felt it: the fear of losing all of your data. Just what would happen if you were to lose a week’s worth of data due to file corruption? How about a month’s work? What about if you lost the entire contents of your laptop’s hard drive, potentially erasing years of data that you have been saving for personal and business use?We use our computers for many different reasons and store many different
    osed fees to come in with a highball offer or play negotiating games. The proposed fee was a real number based on careful consideration. I further explained that while my hourly rate was not negotiable, perhaps she and I should revisit the scope of the work to be done to see if that could be scaled back to bring the cost down.

    She shook her head again, this time rolling her eyes ever so slightly, as though she couldn’t quite believe she could be talking to such an imbecile. “Everything’s negotiable,” said she, “even hourly fees.”

    Now, I had just finished a book cautioning new consultants not to negotiate their rates (assuming their rates were based on something real, like overhead, income needs, going rates in the field, etc. and not just pulled out of the air) because it became a slippery slope. At a loss for what else to do and fast realizing that my plum of a new contract was slipping from my grasp, I asked, “Why do you believe that everything’s negotiable?”

    She sat back and said, “I don’t. But the head of finance does. He’ll ask me if I bargained you down and got a good deal.”

    I stared in disbelief for a moment. Then I picked up my pen, crossed out the proposed fee, and wrote in a new fee about 25% higher than my original one. “Will this work?” I asked, sliding the paper back to her.

    She pondered my figure for a moment, then said, “Well, I’ll have to offer you 20% less than that. I think I’ve already been clear about that”

    “That sounds reasonable,” I said. And we had a deal.

    This really did happen. I learned a few important lessons about negotiating that day, ones that are often key when I’m helping mediation parties negotiate or helping coach someone for an upcoming negotiation of their own.

    I learned that pushing back and being firm in a position is often not a fruitful strategy. After all, had I refused to consider a new way to look at my fees, I wouldn’t have gotten the contract and I wouldn’t have this delightful story to tell.

    I learned that asking even the simplest question in a real attempt to understand, then really listening to the answer, can unlock a negotiation.

    I learned that knowing someone’s interests can make entirely new solutions visible. Learning that the department head had an interest in being able to tell the CFO she had bargained me down helped open up my thinking. And it helped me see her in a different light. No longer was she just unreasonable

    Complaints + Compliments = Good Communication
    Some companies track a monthly ‘complaints and compliments ratio’ for each branch, store, department, country or station. This approach has a fundamental flaw. Here’s why:A complaints and compliments ratio encourages staff to actively avoid or suppress written complaints from customers. After all, every written complaint will impact the ratio to their disadvantage.For example, if your station gets 3 compliments and 0 comp
    tes (assuming their rates were based on something real, like overhead, income needs, going rates in the field, etc. and not just pulled out of the air) because it became a slippery slope. At a loss for what else to do and fast realizing that my plum of a new contract was slipping from my grasp, I asked, “Why do you believe that everything’s negotiable?”

    She sat back and said, “I don’t. But the head of finance does. He’ll ask me if I bargained you down and got a good deal.”

    I stared in disbelief for a moment. Then I picked up my pen, crossed out the proposed fee, and wrote in a new fee about 25% higher than my original one. “Will this work?” I asked, sliding the paper back to her.

    She pondered my figure for a moment, then said, “Well, I’ll have to offer you 20% less than that. I think I’ve already been clear about that”

    “That sounds reasonable,” I said. And we had a deal.

    This really did happen. I learned a few important lessons about negotiating that day, ones that are often key when I’m helping mediation parties negotiate or helping coach someone for an upcoming negotiation of their own.

    I learned that pushing back and being firm in a position is often not a fruitful strategy. After all, had I refused to consider a new way to look at my fees, I wouldn’t have gotten the contract and I wouldn’t have this delightful story to tell.

    I learned that asking even the simplest question in a real attempt to understand, then really listening to the answer, can unlock a negotiation.

    I learned that knowing someone’s interests can make entirely new solutions visible. Learning that the department head had an interest in being able to tell the CFO she had bargained me down helped open up my thinking. And it helped me see her in a different light. No longer was she just unreasonable

    How I Started My Studio Business
    I remember back when I decided I was ready to start recording bands. I went to a local “metalfest”, setup a table, told everyone I charged $20 an hour, and nothing happened. I mean NOTHING happened. It was a total waste of time. So I went back to the drawing board and had to rethink my strategy.I'm a firm believer that you must give someone something if you want something in return. Take the approach of your potential custo
    ginal one. “Will this work?” I asked, sliding the paper back to her.

    She pondered my figure for a moment, then said, “Well, I’ll have to offer you 20% less than that. I think I’ve already been clear about that”

    “That sounds reasonable,” I said. And we had a deal.

    This really did happen. I learned a few important lessons about negotiating that day, ones that are often key when I’m helping mediation parties negotiate or helping coach someone for an upcoming negotiation of their own.

    I learned that pushing back and being firm in a position is often not a fruitful strategy. After all, had I refused to consider a new way to look at my fees, I wouldn’t have gotten the contract and I wouldn’t have this delightful story to tell.

    I learned that asking even the simplest question in a real attempt to understand, then really listening to the answer, can unlock a negotiation.

    I learned that knowing someone’s interests can make entirely new solutions visible. Learning that the department head had an interest in being able to tell the CFO she had bargained me down helped open up my thinking. And it helped me see her in a different light. No longer was she just unreasonable

    Have Your Own Business As Pet Sitters
    Pet sitting can be a rewarding job but can also be tiring. If you are interested in making your own business as a pet sitter, here are answers to most frequently Asked Questions about this career.1. What does a pet sitter do? What he/she is responsible for?Pet sitters care for your pet just as a baby sitter cares for your children. While most pets do not demand the same amount of supervision and care that a child does eve
    I refused to consider a new way to look at my fees, I wouldn’t have gotten the contract and I wouldn’t have this delightful story to tell.

    I learned that asking even the simplest question in a real attempt to understand, then really listening to the answer, can unlock a negotiation.

    I learned that knowing someone’s interests can make entirely new solutions visible. Learning that the department head had an interest in being able to tell the CFO she had bargained me down helped open up my thinking. And it helped me see her in a different light. No longer was she just unreasonable or stubborn.

    And I learned that even the zaniest solutions sometimes work or lead to other ideas that do. Who ever would have dreamed that upping my contract price, right in front of her, could have lead to a deal after she’d already told me it was too high?

    Copyright © 2005 by Tammy Lenski. All rights reserved.

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