Art of obtaining commitments
By Dr. Chester L. Karrass -- Purchasing, 4/8/1999 2:00:00 AM
When negotiating a deal, it's always important to get as many commitments as possible from salespeople and their organizations. Commitments give you added bargaining leverage, making it more difficult for a seller to raise prices later.
These types of commitments will make your job of fighting future price increases easier:
* Detailed and written estimates of future price trends.
* Documented proof of the seller's intentions.
* Statements committing the seller to price, quality, or service levels.
* Engineering, production, and quality-control commitments to cost reduction redesign.
* Multiyear forecasts for specific goods or services.
In whatever form, obtain commitments from the other party. They are an important source of bargaining power.
The Karrass Organization presents over 500 Effective Negotiating customized in-plant seminars yearly. Karrass consultants tailor the seminar to meet specific purchasing or sales needs. KARRASS EFFECTIVE NEGOTIATING Seminars are presented regularly in over 65 North American cities, including Canada and Mexico plus another 25 cities worldwide. Also available: Fundamentals of Effective Purchasing, a program presented at public and in-plant sessions nationally. For more information on Karrass books and seminars call 213-951-7500 or visit us at www.karrass.com, or mail us at 8370 Wilshire Blvd., Beverly Hills, CA 90211-2333.
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