Project Management 4
Risk Management 4
Decision Making 4
Our legal system is adversarial by nature, by structure, and by design. And it works pretty well. And so, in business, there is a time for everything, and once you’ve expanded the pie as much as possible, at some point, you must thrust in the knife. Most of us have experienced an over-aggressive value-capturer, so our focus will be on higher ideals… and tactics to deal with those unacquainted with higher ideals.
When considering how to share value with your new partner, consider who has contributed value, who is taking risk, who is providing future value, and what everyone’s alternatives are. Commit to an open and value-focused negotiation, and hope that they agree, in word and in deed. If they do not, then it’s back to you and their BATNA. The credible ability to walk away from a deal is so important it’s almost a necessity. Ensure you’ve built sufficient options!
The point many people forget here, is that for any deal of any significance, there are likely to be future interactions, engagements, and opportunities to do good or do harm. “Leave something on the table” is a minimalist way of saying, “most deals only begin when the ink has dried – launch your new relationship with care!”
Congrats, you’re almost done with the negotiation!
While you should be concerned about your new partner’s positive perception of the deal, you must also consider your own team’s perception of the deal, and what’s actually, objectively, equitable. Some of you probably need to clean up a spill or a spit-take… apologies. But yes, even today, fighting hard for what you’ve earned is a worthy activity!
Tactics for negotiating terms… that optimize for long-term value.