Purpose of the Negotiation

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Your company manufactures DELAMIX blenders, and you are negotiating terms with a supplier of a critical component in your manufacturing process (XYZ Plastics). The chief operating officer (COO) wants you to lead the contract negotiations with XYZ Plastics; however, your planning team has no formal training in negotiation strategy planning. To assist you, the COO provided a recommended template to guide your planning effort. He asked that you review the template and prepare a discussion or narrative for each section that will outline the key components required and guide the planning process.After reviewing the template, you decide to host a series of training sessions (one per week) designed to coach your team on the negotiation strategy planning process. Your first planning session will serve as an introduction to the planning process and outline the purpose of negotiations and the intended outcomes.Use the template provided (Negotiation Strategy Planning Template). You will write a discussion of 600–800 words on the following topics:Purpose of the Negotiation (300–400 words)Characteristics of negotiations (why negotiate)Discuss the purpose of negotiations in the supply chain.Discuss at least 2 situations where negotiation is appropriate.Discuss at least 2 common negotiation situations.Desired outcome (300–400 words)Discuss the desired outcomes of your organization.Discuss the importance of identifying the organization’s goals and objectives as a part of negotiation planning.Define and describe the term most desirable outcome (MDO).

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