TEPM 049: Powerful Project Management Negotiation Techniques to Secure Project Wins

In this episode, I talk with Rick Czaplewski, speaker, executive trainer, and founder of No One Walks Alone, about powerful negotiation techniques designed to transform you into the most effective project manager in any room. ***The video version of this episode can be viewed here.*** Engineering Quotes: Here Are Some of the Questions I Ask Rick: Why are negotiation techniques crucial for project managers, and how can they influence the success of a project? What fundamental negotiation principles should every technical project manager understand and have? What are some negotiation signals that engineers might overlook, and how can we become more aware of them and address potential issues? How do you handle saying no to certain things, and what strategies can you share to make it easier? How can project managers explain to upper-level management why certain charges and approaches are necessary when they only see the numbers and results? How can we prevent miscommunication between clients and their management about project details, and can open discussion help? How can project managers effectively document back charges, project issues, and change orders to ensure they are properly managed? What key financial skills should technical project managers develop to better manage data and avoid cost overruns? How does knowing project details and costs help prevent budget overruns? How can technical project managers leverage their time, schedule, scope, and finances to improve their negotiations techniques? How do you ensure effective collaboration among finance, marketing, project management, and surveying teams during negotiations? What final advice would you give to someone looking to improve their negotiation techniques and advance their project management career? Here Are Some Key Points Discussed in This Episode About Powerful Project Management Negotiation Techniques to Secure Project Wins: Negotiation skills are crucial for project managers to manage trade-offs in scope, finances, and schedules, impacting project success and financial outcomes. Poor negotiation can lead to project underperformance. Technical project managers should understand that effective negotiation starts with awareness of the commercial and legal impacts of decisions. Strong project management skills, including communication, organization, and proactive action, are essential for successful negotiations and building good customer relationships. Engineers might overlook signals like requests for additional scope or repeated small changes, which can add up over time. Being aware of these red flags and thoroughly documenting the impacts of technical changes can help address potential issues and avoid unintended costs. When saying no, handle it by explaining the consequences of their requests, mirroring their concerns to de-escalate tension, or shifting the research and problem-solving back to them. These strategies help make saying no easier and more effective. Project managers should provide a detailed explanation of why certain charges and approaches are necessary, clarifying the reasons behind them to upper-level management, who may only see the numbers and results. This helps bridge the communication gap and ensures understanding. To prevent miscommunication between clients and their management about project details, project managers should hold regular reviews and provide clear updates. Open discussion, including addressing scope changes and associated costs, helps ensure everyone is aligned and reduces misunderstandings. Project managers can effectively document back charges, project issues, and change orders by keeping detailed records of milestones, using tracking tools,