Exercise: Calculate The Cost Of Your Negotiations
Just in the last 2 years, how many of your deals or important conversations didn’t go to plan?
What did that cost you in terms of the following:
1. Dollar cost (hard cost, eg legal fees, or loss of current and future opportunities)
2. Time cost (wasted time, stalling or drawn out negotiations, deadlocks, lack of implementation, time devoted to resolving the conflict internally)
3. Relationship cost (broken trust, damaged or totally burnt relationships, loss of employee talent or toxic culture)
4. Energy cost (stress, effort, poor decision making, resources)
5. Credibility cost (loss of perceived power and status, loss of professional and/or personal credibility and reputation)
Write a list and quantify the costs.
Reflection
Reflect on negotiations or deals over the last 2 years. Begin a simple spreadsheet.
Answer Key Questions
Consider when you have used discounting to get the deal done.
How much does this cost you, and your business?
A New Framework
The World Economic Forum ranks negotiation in the Top 10 most important skills for leaders to take into the 2020’s. Consider the skills needed for the future and rank your own skills in order of strength.
How does this align?
Who do you need to be to lead your results and your business into a successful new era?
