Creating a Negotiation Goal Framework: Part 2, Plan B

When it comes time to start a negotiation, there are generally two ways of approaching it. The first is to dive in head first, figuring it out as you go. The second is to research every angle and then plan all details, creating a rigid plan of attack.

I’d like to propose to you a third approach – a hybrid – because there are benefits to both approaches, and the magic of a negotiation is all in how you balance between those extremes.

Knowing where you’re going in your discussions and what your end goals are is critical, so creating a framework of goals and strategies before you engage in discussions or document revisions is important. But just as critical is cultivating your adaptability, and knowing how to roll with the punches once negotiations really get going.

In this 3 part series, you’ll learn more about creating that framework of goals and strategies, which rather than being restrictive, will actually give you increased freedom to ‘play’ as a negotiator.

In Part 1, we looked at how to qualify goals in order to create your Ideal Outcome when heading into a new negotiation. It’s all about dreaming big – but then taking those visions through a rational and quantitative process to figure out which ones are worthy of a place in the Ideal Outcome.

Part 2 will help you answer one of the toughest questions in business… “What if this deal falls through…?”

Plan B

In a perfect world, you’ll be able to kick off a negotiation, collaborate effortlessly with your counterpart and each of you leave the meetings with your Ideal Outcome. But in reality? That’s not so much the case.

Discovering what your Plan B is requires that you ask yourself a tough question – “What if this deal falls through? Then what?” True – there are several things that would have to go horribly wrong in order for you and your counterpart to walk away from the negotiation table without any deal at all – but knowing your Plan B will help in two ways:

1)   It will let you know exactly how badly you need the deal

2)   It lets you know how empowered you really are

A good example of this is being in the market to lease some office space. You’ve got your eye on a fantastic building. You love the location, the charm of the building and could really see yourself taking care of business there. What if you can’t negotiate the lease? Start doing some research into alternative properties. Explore your options. If a few others pop up that aren’t quite as ‘perfect’ but still fit your needs, then guess what, you’ve got a really strong Plan B – one of those other offices. You may want to close the deal on your top pick, but in the truest sense of the word, you don’t need to.

How does this shift your negotiation? You’re now empowered to make decisions with the benefit of having perspective on how critical each ‘give’ and ‘take’ are in your overall business. If your Plan B is weak – no other offices, for example, then you’re going to have to be a lot more flexible in your negotiation. If you Plan B is strong – lots of offices, then you can afford to be more aggressive in your approach.

If you’re feeling stumped in coming up with a Plan B, try looking at each item on your Ideal Outcome for inspiration. Brainstorm different ways you can achieve those goals, outside of the negotiation you’re planning. Maybe there’s another customer knocking at your door? Perhaps an alternate material is on the market? Can you work as a sole proprietor rather than enter the partnership?

With both an Ideal Outcome and a Plan B in hand, you’ve now established the two ends of your negotiation spectrum – the very best, down to the very worst. Coming up in Part 3, you’ll ask some tough questions and establish your ‘Make It Work’ scenario…which will guide you in figuring out how much you’re willing to negotiate, before adopting your Plan B.

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Do you tend to view options as abundant? Or scarce? Have you ever had to walk away from a deal that just wasn’t working? How would you handle being someone’s Plan B?