Commercial Project Negotiation

This article covers the operation of diverse project contracts, methods of project negotiation, consequences of project delays, and evaluation of project management tools. It emphasizes the importance of negotiation in utilizing minimum resources and identifying new business opportunities. The article also discusses the negative implications of project delays and the methods used to detect and resolve inconsistencies in projects. Additionally, it highlights the importance of timely planning, unity, and commitment of employees and management in diverse project contracts.

Running Head: COMMERCIAL PROJECT NEGOTIATION 1
Commercial Project Negotiation
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Introduction
Contracts need to be negotiated in order to utilize the minimum inputs as well as identifying and
developing new business opportunities. In the process of negotiation, the concerned parties must
have an overview of the whole sales process and manage the commercial teams as well as
implement the wider sale plans. The best possible deal is focused at the beginning from the
inception of the project to completion. The business needs of the customers, potential risks and
the appropriate products and services must be analyzed (Watson,2012,p.47). There is the need to
research on the market, analyze the sales information, and provide the reports pertaining the
finances to be utilized and assess and identify opportunities for the business. Additionally, the
managers need to advise, negotiate, review agreements made commercially and make changes
that will optimize the potential revenue. Despite the fact that devise projects are difficult to
manage and operate, intensive research and focus on such projects ensure that results are
achieved at the end (Uher & Davenport, 2009, nop). In the paper, the analysis of the operation of
the project either by the government or non-governmental organizations will be covered as well
as other critical areas of project negotiation.
Operation of Diverse Project Contracts
In operation of diverse contracts, it is a requirement that contractors need to submit their plan
within three months (90 days) (Wysocki,2009,p.7). In such plans, innovative strategies are given
in order to increase the opportunities for fully utilizing the talents and capabilities of a diverse
workforce are needed to aid the task as well. This also helps in improving the talents of the
individuals in the society and improving their standards of living. The project needs to be
tailored following the unique scenarios of the individual’s contracts. The environment needs to

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be created in a conducive way in order to give the contractors the opportunities to exercise their
skills fully so as to make the operation successful. In regarding the aspect of contactor’s
workforce, there is need to provide equal employment opportunities with a view to establishing
and implementing results-oriented plans. This equal supply of job opportunities helps in
maintaining improving people’s standard of living in the same way in every corner of the world.
The employees need to be educated appropriately on the way to go about the plans drawn. The
community needs to involve as well in an order to initiate a good relationship making it possible
for the contractors to work effectively without opposition therefore immensely contributing
towards the success of the projects (Tren et.al, 2009,p.13). In the contract, due to the diversity
and complexity it has, there is a need for subcontracts to be made in order to deal with particular
parts of the project in sections put together to make the project a complete at the end of the
exercise. This also will make more people to be employed from different places to maintain their
standards of living. The integration of technology into the exercise needs as well to be made in
order to monitor the success of the operation of the contracts (Sanghera, 2008, nop).
Methods of Project Negotiation
In the process of negotiation, two or more parties aimed at reaching an agreement. For the
project negotiation to be successfully attained, the element of planning with the view of
gathering information that helps in setting the right goals is considered. Those who are planning
also they should consult those people with better understanding to avoid making unnecessary
mistakes which may lead to failures. The organizers of the projects are then given time to discuss
various aspects of the project. They then propose, bargain and agree on the way to conduct the
project. The bargaining will help in reducing the costs of that project and they are used in a better

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way or they are used in another project. The reviewing of the project is as well done in order to
capture the analysis of the possible outcomes of the project (Sollish & Semanik,2012,p.22).
Considering the aspect of managing the conflicts, the methods ensure that the negative elements
of conflicts are limited while at the same time promoting the positive effects of a conflict. Such
methods ensure that conflict management is enhanced making it possible for organizations to
work effectively. When resolving conflict whose parties come from different cultures, special
considerations need to be paid particularly prioritizing effective communication approaches
(Smith et.al.,2014, p.463).
Stakeholder engagement relies strictly on the decision of the client in order to balance the likely
costs and the benefits of the various methods. This is to avoid making mistakes which will make
the client go away without coming back hence some profits are lost. Methods such as invitation
letters that are useful at the early stages of consultation providing information and disseminating
the instructions that need to be followed are used. This invitation also helps to advertise the
company to different places thus the new clients are attracted to bring more profits to the
company. Consequently, questionnaires and surveys are crucial in obtaining basic information
that can easily be analyzed. They should be able to reach a large number of people to provide a
variety of information. There is need to structure the questions in order to avoid the element of
using the leading questions. Other crucial ways of engaging the stakeholders entail utilization of
roundtable discussions, workshops, advisory committee, focus groups, forums, public meetings
and use of full range of the media. This also makes the stakeholders to be attracted and they may
bring more clients to the company (Sieke, 2008, p.17).
Inconsistency Reconciliation

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The element of inconsistency is acknowledged to exist when two goals exist such that satisfying
one goal could result in some situation negating the other goal. The situations result in confusion
of the ideas thus making false promises to the clients (Schiavo-Campo & McFerson, 2008, p.11).
There is, therefore, no way that can make it possible to satisfy all goals in a group. In identifying
and resolution of inconsistency, the following methods are key:
Root Requirement Analysis
It attempts to understand the relationships that exist between the requirements and utilizes such
relationships to identify vital elements in the system. In order for the method to succeed there is
the need to form groups with similar requirement concepts, select the effect concepts with the
general requirement. These groups should have people with right intentions to the business.
These groups may also help in understanding the areas which the people were not able to
understand before. The process is repeated until groupings have no more meaning leaving a
requirement that is general for the system (root requirement) hence it becomes more successful.
It is then followed by a pair of comparison with the view of identifying any conflict that may
occur in those formed groups to avoid falling instead of succeeding the business (Saxena,2008,
nop).
ViewPoint
In regarding this element, consistencies rules are used in ensuring that multiple of a system are
compared. These rules also help in maintaining the discipline in all individuals in each area to
avoid mistakes which are done either knowingly or unknowingly. The effectiveness of the rules
used determines profoundly on the success of the viewpoint approach. If richer inconsistency
rules are used, the element of inconstancy is detected at ease (Sjödin, 2013, p.235). The method

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not only identifies the problem of inconsistency but also provides alternative resolution to the
problem. It is therefore clear that the quality of inconstancy detection is greatly determined by
the inconsistency rules efficiency used. These rules everybody is informed therefore any
mistaken done is punishable in any way. The tree of perspectives of information is clearly
evidenced in the viewpoint approach with the aim of building the subject of the information to be
evidence. Viewpoint ensures that all conflicts are identified and variety of solutions explored
then followed by giving a resolution to the conflict (Ray,2011,p.12).
Consequences of Project Delays
Delays and disruption of projects result in a delivery delay of the project. This occurs because of
many reasons such as the lack of committed workers, lack of finances, and lack of enough
material for the project among many others. The delays bring about unnecessary costs which do
not favor the business thus they should be avoided at a high rate. In attempts to avoid the delay in
delivery of the project, therefore, avoiding penalties, side effects occur mostly in the attempts to
control the situation which further causes a more disruption to occur. The disruptions cause
further delays of the project. The situation forces for the additional managerial actions to be put
in place. The positive feedback loop is usually created such that the delay and disruption
feedbacks on themselves result to further delays and disruption. Due to the dynamics behaviors
that emanate from the vicious cycles, it is difficult to evaluate the cost involved (Brandmeier &
Rupp, 2010,p.6).
Evaluation of the Project Management Tools
The tools and techniques of managing the projects need to be evaluated in order to make the
project be of great success. They are important in ensuring that managers of the project are able

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to successfully and timely deliver the project. When evaluating the project with the view to
ensuring that it succeeds, the element of the timeframe of the project is given the priority
(Blazey,2009,p.10). After enough time has been allocated to the project, it is important to regard
the element of budgeting as well. This enough time allows all the projects to be accomplished
well without any hurry and also those projects are done in the best way. It is also crucial in
ensuring that tasks that are parallel and sequential are identified and estimated in terms of the
budget and the timeframe (Bernardin &Russell, 2009, p.700).
Conclusion
It is clear that projects need to be negotiated in order to ensure that they are done appropriately
and timely with the use of minimum resources in order in order to realize profits at the end.
Disruption of the project has a negative implication towards timely delivering of the project,
additional of the managerial actions that are usually involving and expensive. It also attracts
penalties, therefore, impacting both the owners of the project and the contractors negatively.
Root requirement analysis and viewpoint are the two common methods utilized in detecting the
element of inconsistency in projects. Viewpoint not only detects the problem of inconsistency
but also provides a solution to the problem. In order to effectively operate a diverse contract,
timely planning is crucial, followed the unity and commitment of the employees and the
management. The environment and the surrounding community play a crucial role in the success
of diverse project contracts.

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