Monday, November 3, 2008

Training Intended For The Intelligence Community Improves Business Negotiations

Writen by George Dennis

How can sales people get into the heads of customers or prospects with especially difficult personalities? Is a prospect always stalling when they say, "I'd like to think about it"? Wouldn't sales be much easier if one knew how the prospect makes a decision? When it comes to understanding the psyche of people you must negotiate with, and you only have one or two meetings to get it accomplished, nothing beats skills well known to government intelligence officers; how to tease the personal motivations from unwitting or unwilling subjects in a simple and casual conversation.

There are two skills involved: conversational tactics called "elicitation," and psychological profiling using the Myers-Briggs Type Indicator (MBTI.) Elicitation is the practice of using applied psychology in casual conversation to root out information about people's lives and work. Information they would not usually express if asked as a direct question. Instead of the service ceiling of a proposed jet fighter, however, in the business world the golden nuggets are usually, what is the budget, who really makes the decision, when is your deadline, what color is your new product and so forth.

The MBTI was originated in World War II as a way of assigning people with the most appropriate personality traits to the most appropriate factory jobs. Since the 1940's over 40 million MBTI interviews have been conducted around the world resulting in the quickest and most accurate indicator of personality preferences available to a non-psychologist. The twist is that instead of a company's future plans, the combination of elicitation and MBTI preferences results in immediate indicators of how the subject prefers to take in information, and how they organize their lives and how they make decisions.

Does it take three months at CIA's Virginia "farm" to learn enough to apply these principals? For business use, two days in a classroom, with some field practice normally does it.

First come the principles and dynamics of a conversation, then the elicitation. It goes something like this: Every person has some kind of "push to talk" button, a stimulus that gets them to offer additional information about themselves or their work. For example, (and you will notice this in your next conversation) some people instinctively correct others on every little fact. Some others are driven by the need to teach, and continue offering more information until they're sure you understand and appreciate their favorite subject. The sooner an elicitor can detect one of the seven or eight "talk buttons," the quicker they can use elicitation to exploit it. The other party becomes much more relaxed as the conversation goes on, rather than feeling they must put up defenses.

Next is the MBTI. It uses four "continuums" to scale whether a person is, for example, an Introvert or an Extrovert, and how intensely they feel these preferences. It is important to note that in Myers-Briggs terms Introvert and Extrovert mean how a person re-energizes and rejuvenates themselves mentally. Do they find a quiet corner with a book, or relax at a busy bar surrounded by chattering people? Each preference has massive influence on decision making or acceptance of advice and suggestions.

Given some clues as to what to look for and how to get people to give you those clues, the class then goes out for an evening exercise to engage a total stranger in a conversation and report back the next day with details of the person they met, and what the subject's MBTI preferences might be. Such sessions are best led by a psychologist who specializes in remote profiling- understanding the psyche of people you wouldn't ask to fill out a questionnaire. The real life examples open discussion of the sales group's most difficult customers or coworkers, and better ways of negotiating with them.

It is about now the bulb lights up. Most sales people can remember being taught to "trial close" the prospect several times during their presentation. Unfortunately, many executive prospects are Myers-Briggs "Introverts" for whom decision making is a very private affair. Being pushed for a decision or even a hint of a decision, will make the executive feel more and more uncomfortable, regardless of how the positively the proposed deal strikes him. While Introverts are in the minority of the general population, they occur in a disproportionately high number of high ranking executives.

Thus, the sales person who can't distinguish "I'd like to think about it" as a stall, or a genuine plea for time to come around to their way of thinking, is going to drive away perhaps a quarter of their highest ranking prospects. Worse yet, not knowing their own preferences make sales people easy information targets, ripe for exploitation.

This article is abstracted from training materials developed by George Dennis Associates, a competitive intelligence training, consulting and services firm. The company provides corporate clients on four continents with training and services for trade shows, customer and opposition executive profiling, competitive analysis and targeted competitor research projects.

Contact:
George Dennis, principal
George Dennis Associates
http://www.geodennisassociates.com
303-679-6515

Sunday, November 2, 2008

Secrets To Powerful Negotiations

Writen by John Mehrmann

We negotiate every day. There are negotiations in sales, customer service, interviewing for a position, and relationships between vendors and suppliers. The most powerful tool in negotiations is not what we say, it is what we hear. Make a checklist of these five items and apply it to your next negotiations.

Active Listening

If in person, use body language to demonstrate your attentiveness. Make eye contact, respond to to statements with visible recognition, and do not allow yourself to be distracted by other activities or people. In not in person, be direct in questions and patient when receiving responses. Use "Active Listening Techniques" to get the most out of the communication. Listen for the Values implied as well as the ones stated.

Ask Questions

Even when you think that you may know the answers, prompt the other person to explain the situation or opportunity from their perspective. Listen closely to the perspectives and emotions that are implied, as well as the ones that are stated.

What's In It For Me?

Be honest and direct in sharing your objectives, and encourage the same in return. Understand the priority your own goals and communicate them clearly and concisely. Take time to discuss and document the goals, obstacles, opportunities and commitments of the other person. Let them communicate these needs and capabilities "in their own words". Find common goals and commitments.

Be a Partner, not a Judge

Focus on the facts and control emotions. If there are emotions, understand the facts and circumstances that contributed to creating the emotional response.

Write it down

Take notes during the conversation or document the highlights when the communication if done. Share the document, confirm consensus, and identify the next critical steps if continuing the negotiation, the sale, the issue resolution, or the general commitments. Conversations lead to negotiations, and these result in mutual commitments. Document the commitment to avoid confusion that can come from difference of opinion or perspective.

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Words of Wisdom

"Others can stop you temporarily - you are the only one who can do it permanently." - Zig Ziglar, founder and CEO, Ziglar Training Systems, author of "See You at the Top"

"Companies are no longer setting the agenda for what customers want. They're finding out where the agenda is being set and enhancing it. The customers decide what's important. Your job is to listen and respond." - Awram Miler, technology consultant

"Nobody wants to buy what you sell. What they want are the business results they can achieve by utilizing what you sell to pursue their own goals and objectives." - Bill Stinnett, "Think Like Your Customer"

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FREE SAMPLE Course & Companion Workbook

(Designed for trainers, this material can also be used for self-improvement study)

Active Listening Skills

Includes Course Presentation and Companion Guide Workbook Train yourself to hear and Understand Content and Feeling of the speaker's message. Important skill for leaders, managers, sales, customer service and working with colleagues. Course covers Listening Habits, Attending Skills, Reflecting Skills, and Barriers to Effective Communication. Certificate of Completion

(Cut and paste this link into your web browser: http://www.executiveblueprints.com/agenda/0306activelistening.htm)

About the Author:

John Mehrmann is a freelance writer and President of Executive Blueprints Inc., an organization devoted to improving business practices and developing human capital. http://www.ExecutiveBlueprints.com provides resource materials for trainers, sample Case Studies, educational articles and references to local affiliates for consulting and executive coaching.

http://www.InstituteforAdvancedLeadership.com provides self-paced tutorials for personal development and tools for trainers. Presentation materials, reference guides and exercises are available for continuous development.

You may distribute this article freely, print it, sell it, or include it as part of a package as long as it is intact, unchanged and delivered in the original format with acknowledgement to Executive Blueprints Inc.

Saturday, November 1, 2008

Business Negotiation Tips For Small Business

Writen by Alexander Gordon

Negotiations are things we do almost every day of our lives. However, many of these negotiations do not make much difference to us in the big picture, so we tend to take them lightly. However, when you are negotiating for the business as a small business owner, then it will be very useful if you follow the business negotiation tips for small businesses. These are very important for getting the outcome that is beneficial for everyone concerned. A successful business negotiation can make a great difference for you and your business.

Do Not Shy The very first business negotiation tip for small businesses is that you should be willing to negotiate. There is no point in avoiding talking about money. At other times, people may be right when they believe that it is demeaning and rude; but when a business negotiation is going on, you cannot afford to be unwilling to talk about money. On the contrary, it may become an expensive affair.

Do Not Show Emotions Another business negotiation tip for small businesses is that you should not involve yourself emotionally in the deal. Attaching yourself emotionally to win the deal will produce a negative impact. Emotionally involved people even start shouting, threatening and wanting to get their way by using any means necessary, resulting in a negative exposure of their image. Here, you should keep in mind that a deal can take place only when both parties believe that they are gaining something from it. On the contrary, such intense emotional behavior may force the other person to walk away from the table.

Don't Be Deceived By Rules Tricks One more business negotiation tip for small businesses is to not let the other person deceive you by showing you any type of rules. For example, if you make some changes in the contract before signing it and the other party tells you that you cannot make such changes, then you are stuck. In this situation, you must tell them categorically that since both the parties are signing the contract, it is not possible that only one party has the rights to make changes in the contract. Many experienced negotiators use these tactics because they understand that most of the people do not wish to break any rules. If it happens to you, then ask the other person to show you the proof of existence of such rules. However, if the other party has any objections, then they can be resolved by sitting together.

A very important business negotiation tip for small businesses is that you should not open your mouth first when it comes to naming the figure. For successful business negotiation, you must learn how to make the other person say the figure first. Once he speaks his mind, ask for an even better figure, even if it is above your expectations.

Alexander Gordon is a writer for www.smallbusinessconsulting.com - The Small Business Consulting Community. Sign-up for the free success steps newsletter and get our booklet valued at $24.95 for free as a special bonus. The newsletter provides daily strategies on starting and significantly growing a business.

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