In evaluating the
various tactics used for negotiation and deal making I conducted an interview
with renowned illustrator and digital artist Cris De Lara, in order to gain further
insight regarding how a true professional interacts with clients to reach a
mutually beneficial agreement.
Hailing from Brazil,
Brazil, Cris moved to Canada to work as a Fine Art teacher at Niagara College in
2008 (De Lara, 2008). In the same year,
Cris decided to take the leap into entrepreneurship by founding her own illustration
studio, Cris De Lara Studios, which focuses on digital illustration and fine
art. To date, many of Cris’ works have
been used throughout the entertainment industry, particularly her pinup depictions
of recognizable characters from various television shows, movies, video games, and
comic books. The artistic creativity and
signature style of Cris’ work has allowed her to acquire commissions for
projects across the globe as well as establishing her within the industry as a
subject matter expert.
During my interview
with Cris, I focused primarily on the negotiation areas of positional
bargaining, establishing and obtaining a mutual benefit, and the impact of defined
positions on the underlying interests of all parties involved in the
negotiation process.
Chaz
Trammell: How do you separate the people from the problem
when you are negotiating? What tips do you have for new negotiators who are
trying to do this?
Cris De Lara: Each party in the negotiation process is
trying to resolve a "problem" and will use their individual positions
in order to manipulate any agreement to suit their underlying interests. Additionally, individuals may present their
positions in a manner that attempts to redefine the other party’s positions
during the negotiation. In this manner,
the negotiation is more similar to a “battle of wills”; in which each party is
attempting to gain the best negotiated agreement for them as an individual. By using this sort of tactic, each party
looses a little bargaining power as any agreement reached is solely
position based.
Do not get me wrong, in any negotiation each
party is seeking the best outcome for themselves and to believe otherwise would
be unwise. This type of positioning may
be done unconsciously or even intentionally as everyone wants to get some kind
of advantage in a deal making situation.
I personally believe that this is one of the main reasons why people
burn bridges unintentionally during the initial phases of the negotiation
process.
When you negotiate, you need to remember that
the concept of a deal implies that the result should be good for both parties,
which means that each party will need to be flexible in their positions in
order to achieve an agreement. In the
event that your partner in the negotiation simply wants to get everything, it may
be time to reconsider or even cancel the negotiation as you may end up spoiling
your resources or getting in serious financial problems due to the lack of a
mutually beneficial agreement.
My advice for new
negotiators would be to view every negotiation as a process that is focused, organic,
and natural. As an example, imagine for a
moment you are negotiating a deal with the company for which one of your best
friends or sibling works. Additionally, assume that your friend or
sibling is the individual representing the company in the deal making process.
I use this example to illustrate the
importance of approaching every deal in a strictly professional manner with the
focus on the business aspect of the process.
It is important to remember that you are there just for business, no
hard feelings. You need to focus on the end
result at all times, and "forget" the human factor in this
case. Lastly, I would emphasize that new negotiators gain some basic
knowledge of emotional intelligence.
When emotions become involved in the deal making process a new level of
complexity is introduced. Sometimes it
will not be possible to define the impact that emotions have on a deal as they
can affect several factors of the negotiated terms such as cost, intrinsic
value, and compensation.
The most important part of any negotiation is
also to conduct your research prior to engaging in the deal making process,
especially for new negotiators. You need to have as much relevant information
on the specifics of the deal, the people you will be negotiating with, and the
limits to the flexibility of your positions in order to establish your
positional bargaining in a manner that supports your personal interests. Ultimately,
you need to establish how much you can lose to gain something; with any terms
that surpass those limits being a good deal rather than just a deal.
Chaz
Trammell: How do you
handle positional bargaining tactics?
Cris
De Lara: Wow…., let's see, I
remember a time when I was at the university….. LOL.
From my perspective, the correct approach to negotiation
is that you need to be flexible because every negotiation has its details and
its uniqueness, and we need to pay attention to them, which becomes difficult
when you are focused only on “your” position during the negotiation. You have to come up with a strategy to show
to the person you are dealing with that there are some positions that are
non-negotiable, but in a manner that still provides an opportunity to achieve a
deal. Additionally, I would never
recommend that you start any conversation with a client by defining these
non-negotiable positions.
My personal method for establishing my bargaining
position can be viewed in the following example:
A client requests a quote for a project from my company.
After establishing the scope and budget (if possible) of the project, I
will provide the client with the quote.
Finally, if the client and I are unable to come to terms after the
quote has been submitted, I provide the client with alternative solutions to achieve
their desired goals such as only offering to produce certain elements for the
project at a more affordable rate or the flexibility to pay for my services in
installments.
This last step could be
considered a counter measure, but if it works, we can say we achieved a win-win
result. Conversely, let us imagine that a client requests
a quote and I start by saying: "my price is $100.00 and I cannot render
any services for less than that."
In this example, I would kill any chance of getting the job.
My approach is to first listen to the client
in order to establish their needs and gain as much information as possible regarding
the details of the project. When I am
confident that I have obtained enough information regarding the job, I confer
with my clients to establish an initial agreement regarding the specifications
of the project. Additionally, I inform
my clients on the resources needed to achieve the desired results and how they
will affect the overall timeline for project completion. By doing like this I "prepare" and
also "advise" my clients regarding the production phase of the
project and provide them with an opportunity to craft the project in a manner
that will best achieve the desired results.
After the terms and scope of the project have
been established, I will consult with my clients once more to address and
resolve any concerns they may have regarding the project….. (At this point I
have a pretty good idea of what I can do and even how much I could charge for
completing the project). Finally, I
"make my move" by asking the client if a budget has been allocated
for the project or if they would be open to paying an upfront deposit for the
services rendered. In the event that
capital is an issue, I always allow myself the option of offering any potential
clients a discount, especially if the project is one in which I hold an intense
interest. (Everybody loves a discount).
This is an example of a script that I would
use in a negotiation. This strategy does not always work, to be
honest. After all, we are humans and sometimes our mood and other things
affect the negotiation, which means we may need to improvise or deviate from
the script at some point. In essence positional bargaining, for me, translates
into having the flexibility to alter your stated positions in a manner that
does not make the negotiation a "battle"; in my experience, any
actions to the contrary have never produced a mutually beneficial outcome.
Chaz
Trammell: Can you give
me an example of how you worked toward mutual benefit when you were negotiating
a deal?
Cris
De Lara: Two weeks ago I posted
an advertisement in the local newspaper, with the expectation of generating
client traffic to my studio. As a result, I received a call from someone
who claimed to be interested in my services.
When I met with the individual, I realized that the person was actually
attempting to sell me advertising services on a different media. The "product" sounded nice so I
invited the individual to come by and talk. Long story short, the
conditions of the services offered to me were extremely beneficial to my
business, even though I knew that adding additional expenses to my budget were
not in my best interest. Instead of
focusing on the cons of this situation, I chose this opportunity to present the
individual with the option of purchasing my services. I also provided the individual with the
option to solicit my services to her client base when needed in order to foster
a mutual benefit for her and myself.
In this example, I chose to utilize the
individuals advertising services, with the intention of promoting my business
via her existing client network. This
arrangement was mutually beneficial for both of us. There are several ways in
which you can obtain a mutually beneficial agreement when negotiating with someone. The rewards may not always come in the form
of financial compensation or immediate exposure for your business. Sometimes a benefit could be something as
simple as someone who will "owe" you a favor. The point is that you need to be flexible, if
not; you can lose a good opportunity.
Furthermore, approaching the deal making arena in a positive manner is
essential. By portraying a positive
attitude throughout the negotiations you establish goodwill with your counter
party with little effort. This does not
mean you are being fake; people will notice when you are faking. By simply being polite and professional, you
will create a reputation that speaks for itself.
For further information
regarding this interview or to obtain the services of Cris De Lara Studios, please
reference the contact information below.
(289) 690-2357
References
De Lara, C. (2008).
Biography. [Web log biography]. Retrieved June 15, 2015 from http://crisdelara.com/bio/
De Lara, C. (2008). [Image file]. Retrieved June
15, 2015 from http://crisdelara.com/bio/
