The art of persuasion

By Tom Wagner

You are a contractor. Presumably you like to build things. That's the fun part of the job. Negotiating with suppliers, customers, employees or others is probably not your favorite pastime but it, too, is part of the job.

Use the following seven steps to increase your persuasion performance and improve your winning percentage.

1. Know the other party. The most important factor in effective negotiation is to know the other party.

• Understand the current business situation and each party's strengths and weaknesses
• Tailor your proposals to appeal to their perspective
• Try to see yourself through the other party's eyes
• Speak their language

Besides the structure and context of the negotiation, consider psychological elements that may be important. For example, some people approach negotiations as an important part of their life and consequently their behavior reflects a "life or death" approach. In contrast, other people treat negotiating as a game.

2. Develop a plan. Knowledge of the other party's situation, concerns, needs and preferred communication style allows you to plan your approach. A blueprint for the negotiation helps you stay on track and recover from diversions. Determine in advance where you can give a little and what is nonnegotiable. Sometimes, a small concession from you is very valuable to the other party.

Make a distinction among interests, issues and positions. You have positions on the various issues at hand. Your interests are the underlying concerns that would be affected by outcomes or resolution of various issues. For example, price and delivery may be important issues, while payment terms are less important.

Try for a win-win solution and consider future consequences on your operations, reputation and competitiveness. If you cannot avoid a win-lose deal, be prepared to accept the best alternative to a negotiated agreement. This may require moving in a totally different direction.

3. Choose the best location and communication method. Choose how (telephone, email, in person, etc.), when and where to negotiate. Balance convenience or speed with potential negotiating advantages to you. Also, remember that anything less than the other party's complete attention diminishes your persuasion effectiveness.

4. Build rapport. You want the target to regard you positively, so begin by expressing your positive regard for him/her/them. Where possible, establish common experience, emphasize similarities and express empathy. Other strategies to advance your effectiveness include:

Use an "early lock-in" to remove or settle an issue before serious negotiatons starts

Agree to a process, including ground rules and participants, for complex situations

Find some small things to agree on early in the discussions

5. Establish credibility. Answer the unasked question, "Why should I listen to you?" Your credibility may be based on your situational advantage, knowledge of facts or ability to offer the other party something of value.

6. Use a simple, dynamic message. Avoid abstractions and fuzzy logic. Deliver a clear, concise and convincing message, but be flexible. Beginning a negotiation with a predetermined "zone of possible agreement" opens your mind to alternatives but still provides the discipline to avoid bad deals. Offer a quid pro quo when practical, promising a future favor in return for a concession is an effective negotiating tactic.

7. Use an appropriate style. Knowledge of your audience should guide the tone of the negotiation, especially your choice of when to use appeals to either emotion or logic. Defusing anger or negative emotional responses may be necessary before addressing the core business issues. For example, the other party may set out an unacceptable position, like "I demand payment within 15 days." Rather than directly attacking this position, laugh it off ("Oh, that's ridiculous!") with a smile and keep talking without hostility.

Persuasive people enjoy advantages in life. They influence their environment to create more options for themselves. Moreover, a convincing individual can achieve his or her goals more easily. Selling, negotiating, resolving disputes and attracting supporters for a position or project all require persuasion.