Effective+communications+with+business+partners.


 * Module 2 **


 * Effective communication with business partners **

Effective communication with businesses partners and counterparts is most critical aspect in building long term relationship and/or strategic alliances. It facilitates the flow of ideas, insights and makes easier to understand the standpoints of the other side and identify the common goals. It is a process that takes place in both directions and the information are alternately sent and received. By sending information one wants to familiarize, educate and persuade the other partner with their (the company's) main points of interests and perspectives. By receiving information the other partner get better understanding and learn how the value for the other side is created. Effective communication means balanced exchange. Effective communication creates synergy and add value to both sides. It should be open, transparent, regular, based on trust and integrity, fostering //joint decision making// and //conflict resolving process//.

//Negotiation// is an essential element of effective communication and a crucial factor in conflict resolving process. It evolves with the skills of the people included in and their approach to the problem.The approach could vary between bargaining and collaborative approach. Skilled negotiators who are interested in developing long term relationship with their business partners usually choose for collaborative approach. It consider the situation from broader perspective, offers win-win situation with optimized outcome for both parties, while bargaining is focused on self-interest without any concern on building mutual relationship with the other party. Nice work done in the field of negotiation intended to understand the psychology behind the negotiation is Harvard Negotiation project, a program run by Harvard School of Law. It defines the negotiation as a process where some needs are fixed and some are flexible for negotiation. The method in a nutshell is:


 * "Separate the people from the problem."
 * "Focus on interests, not positions."
 * "Invent options for mutual gain."
 * "Insist on using objective criteria."
 * "Know your BATNA (Best Alternative To Negotiated Agreement)

The link billow gives a brief description of the underlying concept of Harvard Negotiation Project http://gigaom.com/2008/05/25/harvard-negotiation-project-5-lasting-rules-for-negotiating-anything/

The members of Harvard Negotiation Project Roger Fisher and William Ury published a book on the same subjects "Getting to Yes" which very soon became a classical reading for anyone who wants to learn the skills of negotiation.