Pitching and Negotiation Skills: A Comprehensive Guide

This comprehensive guide explores the intricacies of pitching and negotiation skills, essential for success in business and personal life. It delves into the definition, purpose, and key stakeholders involved in negotiation, outlining the five crucial stages of the process: preparation, information exchange, bargaining, conclusion, and execution. The guide further examines the Request for Proposal (RFP) process, including the required documentation, contractual obligations, and potential risks. It provides a critical evaluation of competitive tendering and contract processes, offering recommendations for minimizing risk and achieving successful outcomes. The guide also analyzes the potential outcomes of a pitch, identifies potential issues that may arise, and recommends strategies for fulfilling post-pitch obligations. Finally, it emphasizes the importance of risk management and developing contingency plans for unexpected situations.

PITCHING AND NEGOTIATION SKILLS
4/9/2018

Table of Contents
Introduction...........................................................................................................................................3
Task 1: Prepare a booklet......................................................................................................................4
a) Determine what is a negotiation, why it occurs and who the key stakeholders are during a
negotiation process............................................................................................................................4
b) Evaluate the key steps and information required for negotiating and generating deals..................6
Task 2: Prepare an information pack.....................................................................................................9
a) An explanation of the RFP process and the relevant types of documentation required..................9
b) An explanation of the contractual process and how relevant documentation is managed and
monitored........................................................................................................................................10
c) An outline of the key documentation required and consequences of breaching the terms of an
agreement when applying the RFP process within the given scenario.............................................11
d) A critical evaluation of the competitive tendering and contract process and make
recommendations for completing a successful tender with minimal risk.........................................12
e) An assessment of the potential outcomes of your pitch...............................................................13
f) Determination of how organisations fulfil their obligation from your pitch and identifying
potential issues that can occur.........................................................................................................14
g) A recommendation of the ways in which an organisation can fulfil their post-pitch obligations,
highlighting any potential issues......................................................................................................15
h) A critical evaluation of the pitch and post pitch outcomes to determine potential issues and risk
management.....................................................................................................................................16
Conclusion...........................................................................................................................................17
References...........................................................................................................................................18
2

Introduction
Negotiation is a critical and most essential ingredient in the business organisation. Even in
day to day life, people negotiate when they go out to buy any product or service. Every
person who is running the business has tip negotiate with each other at some point of time. In
this assignment we will be discussing about the negotiation process and the involvement of
the stakeholder in the process of negotiation. Also we will be also discussing about the
development of RFP which can ensure that the organisation selects a proper tender and
various issues and concerns which can be raised by the organisation in order to select the
specific contract. The business organisation has to undergo through various stages in order to
develop the business and once the business is set up it is essential to maintain the long term
relationship with the vendors and employees which are essential part of the organisation
without whom the business organisation cannot achieves its goals and objectives.
3

Task 1: Prepare a booklet
a) Determine what is a negotiation, why it occurs and who the key stakeholders are
during a negotiation process.
The process under which two or more parties tries to make an agreement over a conflict can
be termed under negotiation. Negotiations can be considered among one of the major positive
alternative which can be used to resolve certain conflict or argues in a constructive manner.
The main aim of the negotiation is to build an agreement rather than stretching upon a
particular matter.
Negotiations usually occur in any type of situation which is related with the business
situation, but in general also many people do negotiations in day to day life which is beside
the wok life. It arises when there are two or more outcomes are possible through a particular
situation under which two or more people or parties have concerned with the issue but they
are unable to determine the possible outcome for the same. For example, the negotiation
between the buyer and the seller relating to the purchase of a particular product such as car,
or among the friends relating to the movie they want to watch.
The negotiation related to business includes the following:
 Development of the deals with the vendors, suppliers, partnering business or with
the customers
 Creation of the targets with the inter department or with the team relating to the
processes and resources
 Discussion relating to the priorities and workload with the staff and management.
 In order to determine the pay scale with the trade union and management
 Recruitment of the new employees in the business such as interviews
Both in the personal and business manner negotiation are helpful process as it shapes various
deals. A business can be made successful through effective skills in negotiation.
There are various people which are engaged in the negotiation process specially the
stakeholders which act as the representative from one or both the parties. A stakeholder is
someone who directly gets affected with the results or the outcome which has arises due to
4

certain decision making process. In case of the negotiation process the stakeholder are those
individuals who are chosen by the parties to speak on behalf of the group in the process of
negotiation. The participation of the representative is very essential in the formal negotiation
as it is very complex to bring all the people at one decision in a larger organisation. Through
minimisation of the people in process of negotiation will actually help to work out on the
details of the agreement in an effective manner. The stakeholders which are involved in the
process of negotiations depend from organisation to organisation and as per the requirement
of the negotiation parties (Jacks, 2012).
5

b) Evaluate the key steps and information required for negotiating and generating
deals.
There are five essential steps which are required to do a particular negotiation. Below is the
model which has identified five stages of the negotiation in a simple manner which helps to
understand the process of negotiation in best manner.
(Source: Watershed Associates, 2016)
The particular model was developed through experience which has gained from diverse range
of clients in the organisation across the globe from 1993. It is in circular form as it depicts the
movement in the form of fluids in all the negotiations which are made by the organisation.
The negotiation which are made through collaborative approaches helps to develop
confidence, trust and makes the relationship strong and effective.
The five stages for negotiation are as follows:
6

Stage 1: Preparation of negotiation This step involves identification of the
potential which has value, generates interest
to develop data based on fact
Stage 2: Exchange of the information and
validation
Development of the negotiation options
which can create value for others to create
their interest and develop rapport and trust
Stage 3: Bargaining Creation and distribution of the value,
addresses interest and management of the
concessions
Stage 4: Conclude Capture of the values and confirmation of the
interest which has been achieved through
bargaining
Stage 4: Execution Expansion of the value through development
of the strong relationships
(Watershed associates, 2016)
Stage 1- Preparation of Negotiation: it is one of the essential stage in any negotiation, which
starts with determination of the possible collaborative situations through which the
organisation can select a suitable strategy. The next step is to collect the appropriate
information, analyzing of the data and leverages, identification of the interests and positions.
At last, the organisations require considering the relationship which they would to develop
with the other party.
There are five elements to prepare a negotiation which are as follows:
 Initial points which are require to be taken into consideration
 Research covers
 Inclusions in Analysis
 Identification of the interest for both the parties
 Understand the relationship which the organisation wants to develop.
Stage 2- Exchange of Information and validation:
This stage starts when we involve the other party, shares the information relating to their
interest and explore suitable options which are desired by both the parties as opposed to the
position. It is difficult to develop a rapport and trust because of which neither the parties
7

which are involved in negotiation will be relating to their interests comfortable to share the
information. There are four essential ingredients under this which are as follows:
 Trustworthiness
 Competency
 Likeability
 Alignment of the interest
Stage 3- Bargaining:
This is the stage where the process of give and take happens. If the organisation thinks that
they will take all the advantage without giving anything in return than they will not be able to
capture any value in the negotiation. It is essential to make various concessions in the process
of bargaining which can satisfies the requirement of both the parties which are involved in
the negotiations process. During the entire process of bargaining, it is essential to create value
and with the trades in order to reach at final value. There are two essential tools which are
used during the bargaining process i.e. Creativity and probe.
Stage 4- Conclude:
This is the stage when both the parties have arrived to a particular agreement. It is equally
relevant to understand that whether the other party has enough capacity to follow the things
which has been considered during the bargaining. In this stage it is important to write down
all the interest which are common among each party and develop a comprehensive summary
relating to the agreement.
Stage 5- Execution:
This step involves implementation of the agreement and it can also be seen as an opportunity
to prepare next negotiation opportunity. It is essential to follow the commitments which are
made during the process of negotiation in order to strengthen the relationship and trust
building. (Watershed Associates, 2016)
8

Task 2: Prepare an information pack
a) An explanation of the RFP process and the relevant types of documentation required.
RFP is a document which is required to be prepared by organisation to develop a formal bid-
from the potential suppliers or vendors regarding a particular solution. The RFP ensures that
it specifies entire requirement which is desired by the customer and describes each criteria for
evaluation on the basis of which the proposal of the vendor will be assessed.
RFP usually includes the background about the issuing organisation and the business lines, a
set of various specifications which elaborates the solution and criteria for evaluation through
which we can understand how the proposal will look like.
The RFP contains various sections which are called as Statement of work which defines the
scope of the work or services which needs to be provided by the organisation. For example in
the current scenario, the proposal to start a cafe in the college will mention about all the
services and products which the business is going to provide in the college such as food and
beverages, internet facilities, etc. The particular section will discuss about the tasks which
required to be perform by the bidder who has won the bid and the timeline under which he
will provide the deliverables (Rouse, 2015).
The various types of documents which are required to develop RFP are as follows:
 Statement of purpose
 Background- About the cafe and services which is required to be offered
 Scope of the Work
 Terms and condition of the contract
 Food and services which are required under the proposal and necessary questions
related to it
 Evaluation
 Contact details (Stone, 2015)
9

b) An explanation of the contractual process and how relevant documentation is
managed and monitored.
A request for proposal is a formal document which is used by the organisation when they
want to buy a particular product or service. An organisation publishes its RFP which includes
all the relevant details which includes all the explanations of what the organisation is willing
to buy and for what purpose and its uses for the solicit bids and identification of the best
partner in development of the product. It has various processes in which the organisation
submits its proposal.
In this scenario, the cafe owner develops a RFP for the college under which he has to mention
all the relevant details relating to it’s the food and other services which the owner is willing
to provide. There is various contractual process which both the parties have to follow which
involves the period of contract such as 2 years, 5 years, 10 years etc. along with the allotment
of the space to the vendor. It is the responsibility of the vendor to develop the entire
necessary infrastructure which is required by him before starting the period of contract
(Cremades & Corcoran, 2016).
There are various documents which are required to be submitting in the RFP which are as
follows:
 Insurance, permits and indemnity: the vendor is required to obtain the liability
insurance of certain amount which will be specified by the college for any
occurrence. Along with these the fire insurance is also required to be taken and all
the other licences which are required by the vendor for managing the food
services permits should be taken in advance. And all the copies of the permit need
to be submitted with the college authority.
 Submission: Under this document all the relevant details need to be specified
under the copyright of the department. Two copies of this document are required
which needs to signed as per the requirement.
 Five copies of the technical proposal labelled is required
 Three copies of revenue proposal is required along with one original signature
 CD ROM or flash drive that contains electronic version of the same (Smart Sheet,
2016).
10

c) An outline of the key documentation required and consequences of breaching the
terms of an agreement when applying the RFP process within the given scenario.
There are certain terms and conditions which need to be fulfilled by the parties in negotiation
which are as follows:
Buyers Point of Contact: Entire enquires which are made for the buyer should be email
directly through buyer’s point of contact. The buyer may change the point of contact at any
point of time and only the authorised person by the buyer can reply to the respondents. The
buyer is not authorised for any statement which are made by any other person.
Conflict of interest: It is essential for each respondent to give conflict of interest declaration
form immediately after the buyer conflict interest arises. They may get disqualified from the
RFP process in case of non fulfilment (Dr. Bansal, 2018).
Ethics: respondents should not influence or provide any kind of reward or any other benefits
to any of the representative which is assigned by the buyer which is relating to the RFP. The
buyer also has right to demand for additional declaration or any supporting evidence from the
respondents.
Confidential Information: the buyer and the respondent are authorised to take essential steps
in order to protect the confidential information from the third party. The buyer and the
respondent can share the information to any person who are involved in the RFP process such
as employees, officers etc (Mills, 2016).
11

d) A critical evaluation of the competitive tendering and contract process and make
recommendations for completing a successful tender with minimal risk.
The particular section deals with the criteria which are used by the agencies in order to
evaluate various bids, and closes through the method of award or on the basis through which
the contractor will get selected. There will be various terms and conditions which need to be
followed which specified the particular need for the project.
Criteria for evaluation of the tender: All the tenders need to be reviewed under the deadline
of the submission will be evaluated on the basis of various criteria and ratings. The bidders
should ensure that all the elements in the application have been addressed properly along with
the required copies. The technical proposal will be reviewed and rated by the committee
which is organised for evaluation process. The proposal which receives 65% of the criteria in
the technical proposal will get selected for further process. Each of the proposals within a
specified deadline will be reviewed and rated based on the quality. The technical criteria will
have two aspects such as retail operation and pricing of the products and product description
whereas the revenue criteria will have gross sales percentage. On the basis of these criteria
the tenders will be evaluated and the best possible tender will be selected by the college for
the respective proposal which offers maximum services within reasonable price and minimal
risk. The committee requires selecting the tender properly so that it reduces the risk of failure
as cost is attach with all the activities (NYSD, 2015).
12

e) An assessment of the potential outcomes of your pitch.
In order to start any business, it is essential that the owner should develop a strong business
plan or pitch which can attract more buyers. Similarly, in the given scenario it is essential to
develop a strong RFP which can convince the buyer to select the particular proposal. There
are four main priorities which needs to be taken into consideration for securing a new
business which involves winning without pitching, derailing of the pitching, to get beyond
the rack and pitch or walk. In order to make the business proposal lucrative, it is essential for
the business organisation to develop a strong business pitch which can ensure that the
business has potential which can make it success. There are various assessment criteria
through which potential results can be generated for the purpose of identification of the best
tender. The grading scale and criteria needs to be very accurate through which the potential
results can be generated and effective decisions can be made by the authority. Without a
proper pitching the business organisation will not be able to understand the importance and
the value which the business will offer to them. For example, a person in the normal retail
shop will only buy a new product if the seller convinces him by telling its new features and
benefits which he will receive from that product which is considered as his pitch through
which the decision for purchase can be made. Similarly, in the current scenario, it is essential
to develop a strong pitch for the cafe proposal so that the college authorities will assign the
particular project which will be beneficial for both the parties’ i.e. to the cafe owner as well
as to the college (Blair, 2016).
13

f) Determination of how organisations fulfil their obligation from your pitch and
identifying potential issues that can occur.
It is essential for the organisation to evaluate the proposal through extensive usage of various
techniques which can ensure the potential results. The organisation needs to be abiding the
terms of contract once they make the agreement for business. Though it is possible that they
can raise various issues because of which they might give a second thought for the selection
of the proposal and those potential issues can be as follows:
Pricing of the products: the first and foremost issues which can be raised by the college
authority will be related with the pricing of the products and services which the cafe owner
will be providing to the students. The college will always ensure that they get the best
product at lesser price but it is essential for the business to ensure that they also earn profits.
in order to remain competitive in the market, it is essential for the organisation to price its
products as per the market standards and norms (Dignall, 2014).
Quality of the product: Management of the quality of product and service is essential as the
food items which will be delivered to the students should be of desired quality as prescribed
by the inspection department to ensure the health and safety of the students.
Inspection Check: in order to maintain the quality and hygiene in the cafe, it is essential that
the owner should do quality inspection on timely basis relating to the food items which will
get sold to the students.
Infrastructure management: the college authorities will allow a specified space for conducting
the cafe business and it is the responsibility of the owner to maintain the infrastructure in a
proper manner along with that he is also responsible to maintain the college infrastructure
which is maintained by the college authorities (Jony, 2018).
These are few common issues which can raise concern from the management of the college
which needs to be taken into consideration while developing the proposal for the business.
And it is essential to provide a concrete and specific plan relating to each of the risk and
returns possibility which should not leave any chance for rejection of the proposals by the
college authority.
14

g) A recommendation of the ways in which an organisation can fulfil their post-pitch
obligations, highlighting any potential issues.
It is essential for every business to maintain their pitch effectively which can convince the
authorities to consider the proposal which is designed by the person. In order to make the
pitch there are various recommendations which can make it more efficient and convincing to
the potential buyers which are as follows:
Focus on what the product and service we will offer: it is essential for the owner to make the
authority understand as what product and service they will be offering and how it will be
benefited to the organisation. The Written proposal should be very specific and concrete
which carries all the relevant information.
Get inside the business: it is essential for the owner to get into the integrities of the business
which he is going to start so that the interested party can create interest into the respective
business proposal (Fisher & Ury, 2012).
Ask to understand: in case if the other party raises various concerns and issues, it is the
responsibility of the organisation to clear their doubts which can make them more confident
about the particular proposal.
Development of various solutions: it is essential for the business organisation to develop
various solutions which can help to resolve the issues rather than focusing on the features
which they can deliver.
Management of the objection: the last recommendation is that the business owner should be
strong enough to manage the objections which are raised by the interested party in an
effective manner which can develop confidence among theme and creates a positive impact
(Efti, 2014).
To make a successful tender, it is essential for the vendor to take all the possible situations
into consideration which can ensure the smooth functioning of the business organisation. The
assessment and evaluation of the process at each and every stage is highly essential for the
organisation.
15

h) A critical evaluation of the pitch and post pitch outcomes to determine potential
issues and risk management.
It is essential for the business organisation to develop various criteria for the purpose of
evaluation of the proposal made by different vendors in order to understand the various issues
and conflicts which can arise out of the proposal and to minimise the risk for starting a new
business. In starting a cafe business in the college premises can raise various issues relating to
the health and safety of the students, maintenance of the quality and hygiene, management of
the infrastructure facilities etc which needs to be taken into consideration well in advance.
The pitch should be very strong which should cover all the necessary points which can raise
concern from the management point of view. The organisation gets tender from various
business vendors but they select only one suitable proposal which meets all the requirements
of the individuals so it is essential for these vendors to draft a strong pitch which can
convince the management of the college. The organisation need to focus on each and every
aspect of the business which can impact the proposal and in order t maintain the long term
sustainability of the business, it is essential that the business organisation should take into
consideration all the available risks and possibilities into consideration so that they can
develop a possible solution in case of various situations and circumstances (Bhutani &
Paswan, 2017).
Business is all about risk and it is very significant for the organisation to make appropriate
alternatives in case of any unexpected situations which may arise in the future. No business
can run smoothly without any risk and in the current market, where globalisation has made
competition such intense that the business will not survive even for a short period if
necessary steps are not taking at the right time. The business management needs to develop
the strategies as per the business market which can ensure that the business earns profits and
can survive in the market in the long run (Wolff & Dorfman, 2017).
16

Conclusion
In order to start any business, it is essential for the organisation to develop an agreement
among both the parties which are involved in the course of business. No business can run
without involvement of the stakeholders and negotiation is an essential part of the business
organisation. for the survival of any business, it is essential to develop long term relationships
with the vendors, employees etc which can be managed through effective negotiation and in
this competitive business environment it is equally essential that all the business organisation
should develop a strong rapport with the vendors because of which the business can function
smoothly.
17

References
1. Bhutani, K., & Paswan, A.K.A., 2017. Collective Bargaining and Negotiation Skills.
Galgotia Publishing Company.
2. Blair, E., 2016. Responding to Request for Proposals. [Online] Win without pitching.
Available: https://www.winwithoutpitching.com/requests-for-proposals/, [Accessed
on 9th April, 2018]
3. Cremades, A., & Corcoran, B., 2016. The Art of Startup Fundraising: Pitching
Investors, Negotiating the Deal, and Everything else Entrepreneurs need to Know.
John Wiley & Sons.
4. Dr. Bansal, S., 2018. Collective Bargaining and Negotiation Skills. JSR
PUBLICATION HOUSE LLP.
5. Dignall, C., 2014. Negotiation Skills in 7 Simple Steps. HarperCollins.
6. Efti, S., 2014. 10 Steps for giving a convincing Pitch. [Online] Forbes. Available:
https://www.forbes.com/sites/theyec/2014/04/18/10-steps-for-giving-a-convincing-
sales-pitch/#574650352102 [Accessed on 9th April, 2018]
7. Fisher, R., & Ury, W., 2012. Getting to Yes: Negotiating an agreement without giving
in. RHUK.
8. Jacks, A., 2012. Smart SkillS: Negotiation. Rupa & Co.
9. Jony, M., 2018. Management and information. [Online] Scribd. Available:
https://www.scribd.com/document/369036926/Management-and-Information
[Accessed on 9th April, 2018]
10. Mills, W., 2016. Section 6: RFP Process, Terms and condition. Ministry of Business,
Innovation and Employment [NZ].
11. NYSD, 2015. Request Proposal for operation of coffee shop in Science library. Board
of Regents of the University System of Georgia.
12. Rouse, M., 2015. Request for Proposal. [Online] Tech Target. Available:
https://searchitchannel.techtarget.com/definition/request-for-proposal [Accessed on 8th
April, 2018]
13. Smart Sheet, 2016. Write a winning Proposal and conquer the Process in your
company. [Online] Smart Sheet. Available: https://www.smartsheet.com/request-for-
proposal, [Accessed on 9th April, 2018]
14. Stone, M., 2015. How to prepare a corporate food service request for Proposal.
[Online] Cafe Services. Available:
18

https://www.corporatediningservices.com/cafeteria-management/corporate-dining-
food-service-rfp.htm [Accessed on 8th April, 2018]
15. Watershed Associates, 2016. Negotiation Stages. [Online] Watershed Associates.
Available: https://www.watershedassociates.com/learning-center-item/negotiation-
stages-introduction.html [Accessed on 6th April, 2018]
16. Wolff, R., & Dorfman, H.A., 2017. The Mental ABCs of Pitching: A Handbook for
Performance Enhancement. Taylor Trade Publishing.
19