Negotiation Process and Stakeholders

Pitching and Negotiation
Skills

Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Determine what is a negotiation, why it occurs and who the key stakeholders are during a
negotiation process......................................................................................................................1
P2 Evaluate the key steps and information required for negotiating and generating deals.........3
M1 Present a concise rationale for the negotiation process, including detailed steps that
organisations go through during a negotiation process and the information required in
preparation...................................................................................................................................4
D1 Critically evaluate the steps of the negotiation process and present valid solutions for
dealing with issues that can arise.................................................................................................5
TASK 2............................................................................................................................................6
P3 Explain the RFP Process and the relevant types of documentation required.........................6
P4 Explain the contractual process and how relevant documentation is managed and
monitored.....................................................................................................................................7
M2 Evaluate the RFP process within an organisational context, outlining the key
documentation required and consequences of breaching the terms of an agreement..................9
D2 Critically evaluate the competitive tendering and contract process and make
recommendations for completing a successful tender with minimal risk..................................10
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
Business negotiation refers to a process of open discussion between two or more than two
business organisation or parties to resolve a conflict or an issue (Ehlich and Wagner, 2011).
Dynamic and competitive nature of business environment has increased the importance and
significance of negotiation agreements between organisations operating in a similar dimension.
In the following report, an attempt has been made to analyse the term negotiation and the factors
contributing to its existence along with the important stakeholders during the process of
negotiation. The report also aims to determine and critically evaluate the process of negotiation
with respect to various steps and stages in the process of negotiation. In the report, the process of
RFP and contractual management are also being evaluated along with critical evaluation of the
competitive tendering and contractual process.
TASK 1
P1 Determine what is a negotiation, why it occurs and who the key stakeholders are during a
negotiation process.
Negotiation can be termed as a strategic process wherein two or more than two business
organisations come together to conduct an open discussion for resolving any particular conflict
or an issue which both the parties might be facing (De Moor and Weigand, 2004). Under
negotiation deals, an effort is made by business organisations to find a solution for ending a
dispute by mutual agreement and compromise. Mutual acceptance lays the foundation of a
negotiation and based on the respective position of the business organisations in the conflict,
compromise is made in an effective manner which brings positive outcomes and results to both
the parties involved in the negotiation. Negotiation process is primarily influenced when
business organisations feel the need to arrive at a mutual conclusion to solve an existing problem
which they expect to bring better positive results. Negotiation process in the context of a
business organisation might also occur internally within the organisation. Significant reasons
why negotiation process occurs between business organisations are being explained as follows:
Avoiding business conflicts: Negotiation aims to mitigating the negative impacts of an
ongoing business conflict or an issue and arrive at an agreement which brings positive results for
the parties involved in the process of negotiation. When there exists a conflict between business
organisations which operate under a similar dimension, negotiation deals are considered the best
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