االسنوي لمؤتمرالمشروعات وإدارة للتخطيط–السادس2019
االنشائية وعات رالمش عقود(والتحديات الفرص)
Construction Contracts “Challenges & Opportunities”
01
02
03
04
05
06
Communication Types and Methods
Organizational
Communication
Negotiation Elements
Negotiation Game
Negotiation Tips and tactics
Negotiation Approached
Power and Legitimacy
Negotiation Timing
Negotiation Barriers
Message Transmission
Ethics and Professional Conduct
Problem Solving
ةرالمحاضمحتوي
3حياة دورة خالل المختلفة التفاوض مراحل إدارةالعقدم/محمدماجد
االسنوي لمؤتمرالمشروعات وإدارة للتخطيط–السادس2019
االنشائية وعات رالمش عقود(والتحديات الفرص)
Construction Contracts “Challenges & Opportunities”
4حياة دورة خالل المختلفة التفاوض مراحل إدارةالعقدم/محمدماجد
Where does the Communication lie?
االسنوي لمؤتمرالمشروعات وإدارة للتخطيط–السادس2019
االنشائية وعات رالمش عقود(والتحديات الفرص)
Construction Contracts “Challenges & Opportunities”
5حياة دورة خالل المختلفة التفاوض مراحل إدارةالعقدم/محمدماجد
Communication Model
Communication
Technology. Specific
tools, systems,
computer programs,
etc., used to transfer
information.
Meetings. Most project
meetings are more
formal with a
prearranged time, place,
and agenda.
Methods
Push – pull -
interactive
Visual aids
Paralingual
Technology
Active listening
االسنوي لمؤتمرالمشروعات وإدارة للتخطيط–السادس2019
االنشائية وعات رالمش عقود(والتحديات الفرص)
Construction Contracts “Challenges & Opportunities”
6حياة دورة خالل المختلفة التفاوض مراحل إدارةالعقدم/محمدماجد
Negotiation Game
What’s negotiation? Formal discussion
between people (2 or more) has Initial
positions, goals, interests, offering
proposals, counter proposals and trying to
reach an agreement.
االسنوي لمؤتمرالمشروعات وإدارة للتخطيط–السادس2019
االنشائية وعات رالمش عقود(والتحديات الفرص)
Construction Contracts “Challenges & Opportunities”
7حياة دورة خالل المختلفة التفاوض مراحل إدارةالعقدم/محمدماجد
Negotiation Elements
Pre-Negotiation: - Parties Interests - Alternatives - Options -
Legitimacy - Commitment - Relationship - Communication
Items - Goals
and Sub-goals
Negotiation
Team
Negotiation
Plan
General/
Ground Rules
االسنوي لمؤتمرالمشروعات وإدارة للتخطيط–السادس2019
االنشائية وعات رالمش عقود(والتحديات الفرص)
Construction Contracts “Challenges & Opportunities”
8حياة دورة خالل المختلفة التفاوض مراحل إدارةالعقدم/محمدماجد
Parties Position and Interest
A negotiating strategy in which both sides
start with declarations of their interests
instead of putting forward proposals, and
work to develop agreements that satisfy
common interests and balance opposing
interests. Interest-based bargaining is
also called integrative or win-win
bargaining.
االسنوي لمؤتمرالمشروعات وإدارة للتخطيط–السادس2019
االنشائية وعات رالمش عقود(والتحديات الفرص)
Construction Contracts “Challenges & Opportunities”
9حياة دورة خالل المختلفة التفاوض مراحل إدارةالعقدم/محمدماجد
Relationship
The importance of relationships
At the end of the day, you know, we are human beings. So a business relationship is about
dealing with others. And it's very important to understand each other. Not only the intention &
expectation management in the forming, but also in the managing of the business relationship.
Sometimes we spend too much time in the forming of the relationship, which is a very
transactional-based activity. You understand each other, you write it down, you negotiate. You
end up with a piece of paper that people signed and that's it. But the most important is also the
managing of the relationship through the life cycle of that contract or that tradition. That could
be six months, two years, 10 years, 20 years, whatever.
So what is very important is to balance both, it’s not only the time you spend in forming, but
also the time and the appropriate skills you need to put in the management and the managing
of the relationship.
االسنوي لمؤتمرالمشروعات وإدارة للتخطيط–السادس2019
االنشائية وعات رالمش عقود(والتحديات الفرص)
Construction Contracts “Challenges & Opportunities”
10حياة دورة خالل المختلفة التفاوض مراحل إدارةالعقدم/محمدماجد
Team-building. As an ongoing
process (The Tuckman Model:
Forming. Independent.
Storming. Norming. Trust each
other. Performing. Well-
organized unit. Adjourning.
The team completes the work
and released / moves on from
the project).
The Process of Relationships
االسنوي لمؤتمرالمشروعات وإدارة للتخطيط–السادس2019
االنشائية وعات رالمش عقود(والتحديات الفرص)
Construction Contracts “Challenges & Opportunities”
11حياة دورة خالل المختلفة التفاوض مراحل إدارةالعقدم/محمدماجد
Build and improve relationships to drive up
performance and optimize outcomes.
Relationship Barometer: Joint Risk Management,
Joint Improvement Plans, Joint Training &
Development Encourage Innovation Problem
Resolution, Escalation Dispute Management &
Resolution.
Also: Joint Teambuilding, Stakeholder
Engagement, Strategic Vision Review & 360
Degree Feedback.
RELATIONSHIP MANAGEMENT
االسنوي لمؤتمرالمشروعات وإدارة للتخطيط–السادس2019
االنشائية وعات رالمش عقود(والتحديات الفرص)
Construction Contracts “Challenges & Opportunities”
12حياة دورة خالل المختلفة التفاوض مراحل إدارةالعقدم/محمدماجد
Negotiation Approaches
Two main ways are: Distributive (win/ lose) & Integrative (win/ win).
Distributive: Individual game, pie is limited (fixed resource), avoid sharing information,
and other party is an enemy to be defeated.
Integrative: Joint game to expand the pie, there is more…for every one, share
information openly, and other party is a partner (extended relationship).
-A Non-Zero Sum game describes a situation where both sides win something of value to them even if
they do not achieve a fully optimum result in the short term.
-There is skill, as well as tactics and game playing, in some of these situations but the argument is that
for your critical business to business contracts it is better to look for a collaborative solution and a Win-
Win outcome.
-ZOPA (Zone of Possible Agreement): is the range in which the agreement is possible without causing
loss to any of the parties in the negotiation. It is the “bargaining range” within which an agreement can be
reached.
االسنوي لمؤتمرالمشروعات وإدارة للتخطيط–السادس2019
االنشائية وعات رالمش عقود(والتحديات الفرص)
Construction Contracts “Challenges & Opportunities”
13حياة دورة خالل المختلفة التفاوض مراحل إدارةالعقدم/محمدماجد
Negotiation Strategy
Establish your Least Acceptable Offer (LAO), Best Possible Outcome
(BPO), and your Best Alternative To A Negotiated Agreement (BATNA or
Plan B)
االسنوي لمؤتمرالمشروعات وإدارة للتخطيط–السادس2019
االنشائية وعات رالمش عقود(والتحديات الفرص)
Construction Contracts “Challenges & Opportunities”
14حياة دورة خالل المختلفة التفاوض مراحل إدارةالعقدم/محمدماجد
Negotiations Tactics
You may refer to any of these tactics:
• Fait Accompli - Standard contract terms that are nonnegotiable. (In reality, anything in the contract is negotiable although
your adversary will never admit it).
• Deadline - Make it clear that this is the time by which they must do. As the deadline approaches, increase the emotional
pressure, talking more about what will happen if the deadline is missed.
• Good guy /bad guy - One person acts in an aggressive and pushy way, making unreasonable demands and requiring
compliance. The other person acts in kind and friendly, asking nicely - and getting compliance.
• Missing man - The person who can actually make the decision is missing from the negotiation. The negotiator can then
negotiate for a lower price or more favorable terms which they claim they can agree to.
• Limited authority - Refusing to give in on items because you have not been given authority to do what is being requested.
• Fair and reasonable - You can engage the other person by asking them 'what is fair'. You can also bring something into
the negotiation that is, by definition, fair. You can also reject criteria from the adversary on the grounds that it is not fair.
• Unreasonable - Stating that the other side is making unreasonable demands of you in the negotiation.
• Delay - Stretching out the negotiation, especially at critical moments.
• Attack - A direct attack on your integrity, trustworthiness, competence, or other such bullying bombast designed to force
compliance out of you.
االسنوي لمؤتمرالمشروعات وإدارة للتخطيط–السادس2019
االنشائية وعات رالمش عقود(والتحديات الفرص)
Construction Contracts “Challenges & Opportunities”
15حياة دورة خالل المختلفة التفاوض مراحل إدارةالعقدم/محمدماجد
Negotiation Tips
-Separate the people from the problem
(even if they are the reason, and no
stereotyping).
-Invent options for mutual gain (more
than one solution for any given scenario).
-Use objective criteria (measure of success).
-Remain open and flexible for unpredictable and nonlinear nature of
negotiation (alternatives/ changes of people or relations of individuals or
organizations).
Principled negotiation:
االسنوي لمؤتمرالمشروعات وإدارة للتخطيط–السادس2019
االنشائية وعات رالمش عقود(والتحديات الفرص)
Construction Contracts “Challenges & Opportunities”
16حياة دورة خالل المختلفة التفاوض مراحل إدارةالعقدم/محمدماجد
BARGAINING
• Distributive and integrative bargaining
There are two tools you will need from your negotiator's toolbox in the Bargaining Stage,
the Probe and Creativity.
Like all interpersonal relations, emotions can help or hinder progress. Specific negotiator's tools
and behavioral skills matter greatly here. Finely tuned communication skills are critical at this
juncture as you explore options to create value and execute trades to capture value. You will be
most successful when solutions satisfy everyone's needs.
Creativity is about alternatives that may at first
seem unreal from your perspective and from
theirs. Reaching for the limits often results in a
solution both parties find feasible. It is a critical
factor in both the Exchange and Bargain
Stages to discover value and to create value.
Well-framed Probe:
•Show sincere interest in understanding the other side’s
needs. Assume the other side has good reasons and
consult them. Say no to them without saying no (framing).
•Call for reflection by the other side so that they can
question their own interests and position.
االسنوي لمؤتمرالمشروعات وإدارة للتخطيط–السادس2019
االنشائية وعات رالمش عقود(والتحديات الفرص)
Construction Contracts “Challenges & Opportunities”
17حياة دورة خالل المختلفة التفاوض مراحل إدارةالعقدم/محمدماجد
Four Drivers
• Four drivers of subjective value:
- Process
- Self
- Instrumental
- Relationship
االسنوي لمؤتمرالمشروعات وإدارة للتخطيط–السادس2019
االنشائية وعات رالمش عقود(والتحديات الفرص)
Construction Contracts “Challenges & Opportunities”
18حياة دورة خالل المختلفة التفاوض مراحل إدارةالعقدم/محمدماجد
Information and
Alternatives Management
Time and Priorities
management
The negotiation process can
essentially be understood as
a four-stage process. The four
stages of the negotiation
process are preparation,
opening, bargaining and closure.
Four Critical Assessments are made in
the Exchange Stage:
1.Trustworthiness – Are they honest and
dependable?
2.Competency – Are they credible and
able?
3.Likeability – Can you work well
together?
4.Alignment of Interests – Are your
interests aligned with theirs?
االسنوي لمؤتمرالمشروعات وإدارة للتخطيط–السادس2019
االنشائية وعات رالمش عقود(والتحديات الفرص)
Construction Contracts “Challenges & Opportunities”
19حياة دورة خالل المختلفة التفاوض مراحل إدارةالعقدم/محمدماجد
Procurement Negotiations.
Pre-contract: clarify the structure, requirements, and other terms of the
purchases so that mutual agreement can be reached prior to signing the
contract. Final contract language reflects all agreements reached (in
order: performance, scope, schedule, price).
Post contract: the final equitable settlement of all outstanding issues,
claims, and disputes by negotiation is preferred. Otherwise some form of
alternative dispute resolution (ADR) including mediation or arbitration
may be explored. When all else fails, litigation in courts is the least
desirable option.
Negotiation Timing
االسنوي لمؤتمرالمشروعات وإدارة للتخطيط–السادس2019
االنشائية وعات رالمش عقود(والتحديات الفرص)
Construction Contracts “Challenges & Opportunities”
20حياة دورة خالل المختلفة التفاوض مراحل إدارةالعقدم/محمدماجد
When to Proceed
We negotiate all the time: Negotiations
are to a great extent about preparation and
controlled interaction, as well as managed
process during the negotiation.
When do we proceed to negotiate:
If it’s Ethical, Legal, has Value, Trust, and
enough Time (Risk analysis).
Key Takeaways
االسنوي لمؤتمرالمشروعات وإدارة للتخطيط–السادس2019
االنشائية وعات رالمش عقود(والتحديات الفرص)
Construction Contracts “Challenges & Opportunities”
22حياة دورة خالل المختلفة التفاوض مراحل إدارةالعقدم/محمدماجد
What is power - relative thing might be double edged? Power can be described as one party
having the ability to force another party to do something that they would not choose to do if left
on their own.
In commercial relationships this can often happen when the other party has no choice but to agree.
Examples can include a monopoly supplier raising its prices or a customer demanding a price reduction
to help their own financial situation.
Customers often think that they have power simply because they have money to spend and are making a
choice between alternative suppliers. That power is transitory however since any power the customer has
while making the choice is completely lost when they decide to award the contract to one supplier.
The supplier now has power in that they can decide whether they are going to live up to all of the
promises they made, especially if they felt they were forced into making unrealistic agreements during
the negotiations, to win the order.
In certain circumstances the power of one party to force another party to behave in ways which are
clearly unfair and possibly inhuman, needs to be controlled by legislation making such behavior illegal.
Power & Legitimacy
االسنوي لمؤتمرالمشروعات وإدارة للتخطيط–السادس2019
االنشائية وعات رالمش عقود(والتحديات الفرص)
Construction Contracts “Challenges & Opportunities”
23حياة دورة خالل المختلفة التفاوض مراحل إدارةالعقدم/محمدماجد
Negotiation is not a battel, it is a business instrument.
Value & Benefits
Anchoring is an attempt to establish
a reference point (anchor) around
which a negotiation will revolve and
will often use this reference point to
make negotiation adjustments.
Anchoring often occurs when the first
offer is presented at the beginning of
a negotiation.
االسنوي لمؤتمرالمشروعات وإدارة للتخطيط–السادس2019
االنشائية وعات رالمش عقود(والتحديات الفرص)
Construction Contracts “Challenges & Opportunities”
24حياة دورة خالل المختلفة التفاوض مراحل إدارةالعقدم/محمدماجد
Information Management Systems. Facilities, processes, and
procedures used to collect, store, and distribute information between
producers and consumers of information in physical or electronic format.
Official
Communication
Records
Trust and Commitment
Creating Trust
A high trust reputation can help establish the trust level needed.
Establish the cost of lying in a way that communicates an expectation and a value for trust.
Create an atmosphere where informal communication is expected and reinforced to
establish personal trust among team members and parties.
Allowing team members to develop a personal relationship is important to establishing the
team trust.
االسنوي لمؤتمرالمشروعات وإدارة للتخطيط–السادس2019
االنشائية وعات رالمش عقود(والتحديات الفرص)
Construction Contracts “Challenges & Opportunities”
25حياة دورة خالل المختلفة التفاوض مراحل إدارةالعقدم/محمدماجد
20.1
Contractor’s Claims
……The Contractor shall keep such contemporary records as
may be necessary to substantiate any claim, either on the Site
or at another location acceptable to the Engineer. Without
admitting the Employer’s liability, the Engineer may, after
receiving any notice under this Sub-Clause, monitor the record-
keeping and/or instruct the Contractor to keep further
contemporary records. The Contractor shall permit the
Engineer to inspect all these records, and shall (if instructed)
submit copies to the Engineer………
Record…Record…Record
االسنوي لمؤتمرالمشروعات وإدارة للتخطيط–السادس2019
االنشائية وعات رالمش عقود(والتحديات الفرص)
Construction Contracts “Challenges & Opportunities”
27حياة دورة خالل المختلفة التفاوض مراحل إدارةالعقدم/محمدماجد
Body Language
Vocal Inflection
- Talk the other’s name, use his/her
words,………..
Effective Communication
Ground Rules
- Message Transmission.(55% of the
message transmitted comes through body
language, 38% of the message transmitted
comes through vocal inflection, Only 7% of
your message consists of the actual words
that you use).
Culture
االسنوي لمؤتمرالمشروعات وإدارة للتخطيط–السادس2019
االنشائية وعات رالمش عقود(والتحديات الفرص)
Construction Contracts “Challenges & Opportunities”
28حياة دورة خالل المختلفة التفاوض مراحل إدارةالعقدم/محمدماجد
Persuasion & Convincing
Persuasion is not selling an idea or convincing opponents to see things your
way. It is a process of learning from others and negotiating a shared solution.
Below are six “weapons of influence”, as Cialdini calls them:
•Reciprocation. Everyone likes a gift? Then they’ll return the favor.
•Commitment & Consistency. As humans, we're naturally
stubborn. you’d pony up in order to live up to this person’s
expectations, and it protects us from being called inconsistent.
•Social Proof. Provide an example. We tend to be more
concerned with the way other people act than you’d think.
•Liking. Compliment honestly and create a connection.
•Authority. Sometimes, it’s amazing what a title, uniform, or badge
can do to influence someone.
•Scarcity. Offer a limited or exclusive opportunity.
االسنوي لمؤتمرالمشروعات وإدارة للتخطيط–السادس2019
االنشائية وعات رالمش عقود(والتحديات الفرص)
Construction Contracts “Challenges & Opportunities”
29حياة دورة خالل المختلفة التفاوض مراحل إدارةالعقدم/محمدماجد
Leadership Intelligence
and Strategic Thinking
Emotional Intelligence
Emotional intelligence is the ability to
understand and manage your own
emotions in positive ways to relieve
stress, communicate effectively,
overcome challenges and defuse
conflict.
Self Confidence
Perceived self- efficacy is people's
beliefs about their capabilities to
produce things. The experience is
the major source or tool to
develop it.
االسنوي لمؤتمرالمشروعات وإدارة للتخطيط–السادس2019
االنشائية وعات رالمش عقود(والتحديات الفرص)
Construction Contracts “Challenges & Opportunities”
30حياة دورة خالل المختلفة التفاوض مراحل إدارةالعقدم/محمدماجد
Multiphase Negotiation
Multiphase negotiation:
Each phase has different issues, agreement
reached can be implemented after each phase,
which minimize complexity, provides walk-away
or kill-points (termination) and leads to better
understanding, trust and improve relations.
االسنوي لمؤتمرالمشروعات وإدارة للتخطيط–السادس2019
االنشائية وعات رالمش عقود(والتحديات الفرص)
Construction Contracts “Challenges & Opportunities”
31حياة دورة خالل المختلفة التفاوض مراحل إدارةالعقدم/محمدماجد
Multi-Stakeholder Negotiation
A stakeholder is defined as any
individual or group which has an
interest in the actions of the party
concerned: The interest may be direct,
as in employees or only as part of a
regulatory requirement but in the
commercial world competitors are also
stakeholders since they are definitely
interested in what you are doing.
االسنوي لمؤتمرالمشروعات وإدارة للتخطيط–السادس2019
االنشائية وعات رالمش عقود(والتحديات الفرص)
Construction Contracts “Challenges & Opportunities”
32حياة دورة خالل المختلفة التفاوض مراحل إدارةالعقدم/محمدماجد
Barriers to Negotiation
Disruptive, compatible, and integrative issues
Viewing negotiations as a battle – Negotiations should be
about finding solutions and adding value for all parties, not
about winning or losing. As soon as we view the customer as
the opponent, we compromise our ability to empathize and get
into their “Odds Are” to identify mutually beneficial outcomes.
Four obstacles that stop the exploration of multiple
options:
- PREMATURE JUDGMENT.
- SEARCHING FOR THE SINGLE OUTCOME.
- THE FIXED PIE.
- SOLVING THEIR PROBLEM IS THEIR PROBLEM.
االسنوي لمؤتمرالمشروعات وإدارة للتخطيط–السادس2019
االنشائية وعات رالمش عقود(والتحديات الفرص)
Construction Contracts “Challenges & Opportunities”
33حياة دورة خالل المختلفة التفاوض مراحل إدارةالعقدم/محمدماجد
Collaborate/Problem Solve (Confronting). Incorporating multiple viewpoints and insights from differing
perspectives; requires a cooperative attitude and open dialogue that typically leads to consensus and
commitment (win / win).
Compromise/Reconcile. Searching for solutions that bring some degree of satisfaction to all parties in
order to temporarily or partially resolve the conflict (lose / lose).
Smooth/Accommodate. Emphasizing areas of agreement rather than areas of difference; conceding
one’s position to the needs of others to maintain harmony and relationships.
Force/Direct. Pushing one’s viewpoint at the expense of others; offering only win-lose solutions, usually
enforced through a power position to resolve an emergency.
Withdraw/Avoid. Retreating from an actual or potential conflict situation; postponing the issue to be
better prepared or to be resolved by others.
Conflict Management. Handling, controlling, and guiding a
conflictual situation to achieve a resolution – by team
themselves then their boss specially in the social
responsibility/ law/ ethics.
Conflict Resolution
Positive
or
Negative
االسنوي لمؤتمرالمشروعات وإدارة للتخطيط–السادس2019
االنشائية وعات رالمش عقود(والتحديات الفرص)
Construction Contracts “Challenges & Opportunities”
34حياة دورة خالل المختلفة التفاوض مراحل إدارةالعقدم/محمدماجد
Ethics and Professional Conduct
Justice, Virtue ethics
Common good for
majority
Liberty, Respect
Fairness Rights Utilitarianism Professional
RESPONSIBILITY
RESPECT HONESTY
Ethical
Decision-
Making