Team Negotiations Lead to Better Results

When conducting business negotiations there are very few instances where it is better to do it individually rather than as a team.

There are many advantages to team negotiating:

Broad base of knowledge
Teams are more creative than individuals
Teams are involved in better planning and better thinking
Teams set higher targets for negotiations
Team members reinforce each other’s strengths

According to an article (http://www.leighthompson.com/media/are_two_heads_better_than_one.htm) extracted from the Harvard Business Review:

“Team negotiations are generally more accurate than solo negotiations in discerning the other party’s interests and, as a result, they are better able to find common interests and create the win-win situations that benefit both parties.”

Whenever you are negotiating in a team you must have a good team leader. Team leaders are tactful and flexible. They know how to manage a diverse group of folks to achieve one end result. Team leaders must be able to control the content and flow of the discussion.

Having the right team will make the difference. Chester L. Karrass advises that you should never negotiate with a second-rate team. Take the time to recruit the best members for your negotiating team, and this will pay off in a more favorable negotiation.

Team negotiations take some planning. As this article by Tom Wood on AllBusiness.com points out (http://www.allbusiness.com/human-resources/819060-1.html) to negotiate as a team you need to follow certain steps:
1) Build the team
2) Prepare for the team negotiation by practicing and planning
3) Prepare the timing

Wood concludes by saying:
“....when complex multi-million dollar deals are at stake, effective team negotiating is critical. Who represents the team, when and how they speak and the role each team member plays can make or break a highly profitable deal.”

Do you participate in team negotiations? How does your company or organization select its teams?