Five common negotiation strategies of consulting companies and how to safeguard their own interests

A successful negotiation is something that enterprises need to plan . First of all, understand the strategies that your potential consulting company may adopt , And how to avoid these strategies .

Unfortunately , Many enterprises find themselves vulnerable to the strategies adopted by consulting companies , These strategies are to manage risks and optimize business layout in a way conducive to consulting companies . Here are some main strategies that enterprises must pay attention to ：

1、 To build a relationship .

Consulting companies will use a variety of strategies to increase the role of relationships . These strategies can be implemented in multiple mature relationships —— Relationship with senior leaders who have worked in consulting companies before 、 The relationship established through previous projects , And the relationship established with the consultants of the previous company . The consulting company recognizes that , Project leaders are not naive about the nature of these leadership relationships , And may use this relationship in business negotiations with the project team .

for example , Consulting companies will try to test the strength of their relationship with executive leaders , And the strength of the relationship with the project leadership team . Consulting companies will try to understand the core project team capabilities 、 Lack of confidence in project direction and business position , And use some uncertainty in the negotiation process . This can effectively introduce uncertainty between senior leaders and project teams , Make the consulting company more confident when negotiating .

2、 Leverage credibility and capabilities .

In addition to building relationships , Consulting companies will also strive to show their team's credibility in the industry and their ability to achieve transformation . This is normal and common in consulting companies .

However , What enterprises cannot understand is , The consulting firm will also conduct a comprehensive assessment of the capabilities of its potential or existing client teams and the credibility of their executive leadership . This assessment may not be obvious to the customer , But one thing is for sure , It's happening ; The consulting company will record the problems related to reputation based on the internal reputation of previous projects and project leaders .

Besides , Enterprises should expect , Based on their goals , The consulting company may take advantage of the weakness of the core team , Thus, it is conducive to establishing a higher degree of credibility with the executive leadership . Consulting companies will also use the trust of senior leaders to emphasize their ability to identify project risks and reduce company risks .

Although this is a more radical strategy , But some consulting companies do take advantage of this trust , Destroy the negotiation position of the core negotiation team through offline contact with senior executives . These contacts are aimed at causing some problems outside the negotiation process . Unfortunately , This method can be extended from the negotiation and contract signing stage of the project to the implementation stage , And may lead to many relationship and management problems .

3、 Clarify strategic priorities .

Consulting companies will continue to propose greater strategic initiatives and business interests for their clients , To minimize the importance of completing the best business negotiation for its services . in many ways , Executive leaders agree with this view and have a sense of urgency , To respond to market demand and make commitments to its board of directors and shareholders .

The consulting company will use this sense of urgency to exert direct and indirect pressure on the customer's negotiation team , and “ Close the deal ”. then , Enterprises can continue to carry out real strategic priorities , And advance those commitments related to the business case .

The problem with this situation is , The task of the customer team is within the scope of the project 、 Provide a high degree of accuracy in terms of methods and total costs , At the same time, they are also required to achieve very good business results . Some common problems include that the project schedule and commitments made by the previous leadership do not provide the necessary time to achieve these results .

Because the executives did not communicate with the consulting company about the strategic priorities and mutually beneficial agreements that must be reached , This makes this situation more complicated .

4、 Adopt procrastination strategy and speed .

Once the basis of the above three strategies is determined , Consulting companies may use traditional procrastination strategies to respond to customer requests , To further define and consider the scope of commercial terms , So as to exert pressure on customers . These procrastination strategies are not necessarily obvious in nature . in many instances , The consulting company will use the ambiguity of process and expectation to delay the reply .

perhaps , The consulting company will lack clarity in the scope and method of the project , And delay the substantive response to the business request . In some cases , It is precisely because the customer is inexperienced , As a result, the consulting company can use even the slightest ambiguity to defend the delayed response and business negotiation process .

Once the two sides start negotiations , The consulting company will certainly hope to speed up the negotiation , Because they want customers to make more internal preparations for effective negotiation . The consulting company recognizes that the client lacks experience in such negotiations , And before starting the negotiation, the customer may lack the necessary ability and energy to achieve internal coordination .

The delayed reply of the consulting company is combined with timely and planned acceleration of the progress of the negotiation process , This is good for consulting companies . therefore , This strategy forces the customer to make a choice between delaying the negotiation process due to lack of preparation and starting the project under pressure . In the early stages of the project , The core project team faces many risks , The consulting company is fully aware of , And due to the delay of starting work , Internal teams may lose credibility .

5、 Establish a situation in which only one consulting company can negotiate .

The main goal of each consulting company at the beginning of the project is to avoid subsequent RFP (RFP) technological process . Consulting companies use a variety of strategies to create a situation where there is only one consulting company .

First , They set the proposed project schedule in a way that uses strategic priorities to start the project as soon as possible . Use the 0 After the method of stage , It's hard to see what the consulting company submitted ( Including the time required to bring the project to market through the RFP ) Project roadmap . The most sophisticated consulting company will put the traditional first 0 Stage work and actual project mobilization work and the so-called “ Early results ” At the same time , To guide the project into the situation of only one consulting company .

The second strategy is to use their mature relationship strategy and the credibility they have built with senior executives and core teams , Create uncertainty when you turn to another consulting firm . Their purpose is to make you question the overall value of entering the market and ( The implementation of article 0 Stage work ) At present, consulting companies are turning to ( Those who do not have the same credibility of senior executives and the same level of understanding of the project and the company ) Risks of new consulting companies .

Steps to deal with the strategy of the consulting company

Just as consulting companies will protect their interests through these strategies , An enterprise can also take some countermeasures to deal with the above strategies , And protect their own interests .

• The enterprise must appoint a reliable leader to lead the transformation plan , The leader is fully supported by the senior management both internally and in the eyes of suppliers , And business 、IT、 law 、 A reliable cross functional team of financial and third-party consultants supports his work .
• The senior management must explain to the consulting company , The leader is fully empowered , And gain the full trust of senior management . Deliver these messages as early as possible and often emphasize , It will help avoid falling into “ Divide and rule ” The strategy of .
• The enterprise must establish an overall strategy and schedule for supplier selection in the context of the overall project plan —— Must be coordinated with each other . Do it well in advance , So you don't get caught up in having to make “ either this or that ” The choice of . Develop a strategy and process , Thus, the evaluation of consulting companies can be successfully launched 、 Screening and negotiation , And be able to formulate a timetable and method for mobilizing the transformation plan .

Enterprises that do not understand the strategies of consulting companies are vulnerable to these strategies , And it is likely to reach less than ideal negotiation results and project results . in the final analysis , The consulting company takes a lot of risks in taking over your transformation project , Therefore, they will use various strategies to ensure that risks are minimized and business opportunities are maximized .

Take time to understand the motivations of your consulting company and the strategies derived from these motivations , It can help you make the best preparation for the negotiation , And make sure your project moves forward according to the project objectives .