5 Ways To Confidently Negotiate Like A Leader

Employees with negotiation skills are needed now more than ever before. These skills are not only critical for day-to-day sales; they are demanded by employers as a core part of leadership skills, which in itself, has ranked in the top five in-demand skills according to LinkedIn’s skills report in March 2023. According to Udemy’s 2022 Workplace Learning Trends report, persuasion and negotiation skills are witnessing a 78% and 67% increase in demand respectively.

This is because, as a leader, you’ll be negotiating for various aspects of your work, such as with internal stakeholders to come to an agreement, external strategic partnerships and arrangements, enterprise client agreements, and even negotiating the fine details of an offer that you’re extending to a potential hire—or the salary for your own job offer.

Being able to lead with persuasion and negotiate effectively while maintaining a positive working relationship with the party at the other end is critical to your success or failure as a leader. Before you negotiate in any situation, it’s essential to conduct thorough research, and to understand and recognize the value you offer and what you are bringing to the table. This is called “bargaining power” and will help you negotiate more confidently.

For example, in today’s job market, the bargaining power lies with candidates more than employers. Job-seekers are stepping into the driver’s seat and are equipped more than ever before to take control of their careers, with options such as remote-friendly competitors or the option to take their skills and start a business or side hustle. This, combined with the skills and talent gap, empowers candidates to negotiate what they desire in terms of salary and benefits from a job.

Here are five specific ways to develop your negotiation and persuasion skills at work:

1. Aim For A Win/Win

A win/win situation is where both parties come to an agreement that is mutually beneficial and works in the interest of both sides. This entails being ethical and fair with what you request and not taking advantage of the other’s ignorance or misfortune to gain the upper hand. A win/win is best achieved when there is clear and frequent communication from both parties, so that all needs are considered and addressed with empathy and understanding.

2. Active Listening

Active listening is an essential aspect of effective communication in negotiation. When you actively listen, you are better able to understand the others’ viewpoint and the reasoning underpinning it, which can help you make a better decision in the interests of all.

The difference between active listening and regular listening is that while you may hear what someone says and understand it on a superficial level through regular listening, active listening takes it a step further and listens without judgment, criticism, or seeking to voice your own opinion. It listens to understand the other person’s perspective, and takes into consideration factors such as body language, to listen “between the lines” what is not being said verbally. When the other has finished speaking, you should repeat back what they have said to ensure you have understood them clearly and to rectify any misunderstandings on the spot.

3. Ask More Than You Really Want

When negotiating, whether it’s a salary for a job offer you’ve been head-hunted for, or a fee for subcontracting services, don’t be afraid to ask for a little more than you’re willing to accept, to allow for wiggle room to negotiate down to your original sum. This is a smart way to achieve a mutually beneficial outcome.

4. Establish Rapport From The Beginning

Rapport-building is critical for building and maintaining postive work relationships, and ensures that both sides have friendly communications instead of hostility, because the relationship is built on trust. Think creatively of ways that you can establish rapport with the other party. For example, you could attend informal networking events with them or informal knowledge-sharing meetings. Establishing key areas where both of your interests are aligned personally and professionally, is a great way to build rapport.

5. Honor Your Commitments

One of the deal breakers of any negotiation situation is lack of transparency, which can significantly reduce trust levels and muddy up a situation, making it more difficult to come to a resolution. Be open and honest with the other party and expect them to honor the same commitment.

Ensure you deliver on whatever you have promised as part of your side of the deal, and don’t try to back your way out of it. To cement your relationship further, seek to deliver added value by going above what you’ve promised, which fosters more trust in you from the other party’s side.

Through applying these principles you can ensure better communication, understanding, and a smoother working relationship moving ahead, to achieve mutually beneficial outcomes in line with your values. Additionally, your career stands to benefit from making negotiation one of your strengths. There are many opportunities that are only waiting to be discovered, which will be unlocked when you negotiate effectively.