It goes without saying that negotiation is key to ensuring successful engineering project outcomes and meeting strategic goals. The stakes are high and the competition is fierce. It’s tempting to focus all our team’s efforts on winning work, but winning isn’t enough. To ensure success, we must adopt negotiation strategies that not only drive results but also foster collaboration and long-term partnerships.
CrossGroup’s gold-standard strategy is the Mutual Gains Model (MGM) of negotiation. Negotiators who go all-in on this approach are skilled at discovering real win-win solutions, not compromises. They create outcomes that benefit all parties involved. By incorporating this approach into your practice, you can navigate complex stakeholder relationships, resolve conflicts, add significant value to your projects, and strengthen your reputation as a trusted advisor and proactive problem-solver.
Understanding the Mutual Gains Model
The Mutual Gains Model is built on the principle that negotiation doesn’t have to be a zero-sum game, where one party’s gain is another’s loss. Instead, it focuses on identifying shared interests and exploring options that maximize value for everyone at the table. This method contrasts with traditional, more adversarial approaches, where parties often focus on positions and competition. Instead, MGM encourages participants to collaborate, ensuring that everyone walks away feeling like they’ve achieved their goals.
Why Engineers Need the Mutual Gains Model
Engineering projects involve a wide range of stakeholders, including contractors, clients, local communities, regulatory bodies, and more. Balancing these diverse interests can be a challenge, but it’s where the Mutual Gains Model can shine. Here’s how applying this model can help your team:
1. Collaborate to Solve Problems
Engineering projects are often complex, with multiple moving parts. Negotiations typically arise when there are conflicting objectives, whether it’s about cost, timeline, safety, community impact, or environmental concerns. The Mutual Gains Model helps frame negotiations in a way that fosters collaboration. Instead of focusing on competing interests, you and your stakeholders can work together to identify creative solutions that address everyone’s needs, whether it’s adjusting a timeline, altering designs, or finding more cost-effective methods.
2. Build Stronger Relationships
Investment in long-term partnerships pays dividends. MGM focuses on mutual respect and shared interests, which naturally builds trust. For engineers, being seen as someone who works towards mutually beneficial solutions rather than taking a hardline stance can help you gain respect from both clients and colleagues. By consistently applying this model, you not only reach better agreements but also foster enduring relationships that can be pivotal for future projects.
3. Negotiate based on Interests, Not Positions
One of the core principles of the Mutual Gains Model is separating people from the problem and focusing on interests rather than positions. For engineers, this means understanding the underlying goals of stakeholders and thinking holistically about what they’re trying to accomplish. By uncovering these interests, you can explore various solutions that satisfy multiple needs, rather than negotiating from fixed positions.
4. Resolve Conflicts With Stakeholders
Disputes are inevitable in any project. Whether it’s over delays, cost overruns, or regulatory hurdles, tensions can run high. MGM equips you with the tools to approach these disputes constructively. Instead of seeing the situation as a battleground, you can reframe it as an opportunity to find innovative, win-win solutions. This approach not only resolves conflicts but often results in better long-term outcomes.
Applying the Mutual Gains Model
To apply the Mutual Gains Model in your negotiations, start by preparing thoroughly. Identify the key interests of all parties involved and look for areas of common ground. Focus on building rapport, listening actively, and asking open-ended questions. When crafting solutions, aim for options that address shared interests while also leaving room for flexibility and creativity. Ask, “How can we maximize value not only for ourselves, but also for the client and other stakeholders?” When an agreement has been reached, ensure that the points are clear to all parties and establish protocols for follow-up, which is crucial for maintaining momentum and trust.
Conclusion
Imagine equipping your team with a powerful framework not only for winning work, but also for resolving conflicts, building partnerships, and driving successful project outcomes. That’s the Mutual Gains Model. By shifting the focus from competitive bargaining to collaborative problem-solving, you can create solutions that satisfy all stakeholders, strengthen your relationships, and elevate your reputation in the industry. Embracing this approach will not only improve your immediate negotiations but also place your organization on a path to long-term success.
Resources:
[1] Getting to Yes: Negotiating Agreement Without Giving In (Penguin, 3rd edition, 2011) by Roger Fisher, William Ury and Bruce Patton
