Ajanta case outcome

Negotiation Outcomes template

Case Title – Ajanta Group 4

Name - Please enter your name and the role you played

Richard Medina my roles were the VP/Director and I also took on the role of the Finance Manager

Describe your Pre-Negotiation strategy and parameters (BATNA, ZOPA, AP, RP)

I was a bit confused on the pre-negotiation strategy. Did not fully understand the first negotiation with my group team members. Due to this lack of knowledge on my part, I did not have a formalized BATNA. I had an idea of what I wanted to gain from the negotiation. As the director and reading the case my goal was drive higher profit margin, better payment terms and possibly a change to the delivery of the order.

Was an Agreement Achieved?

We were able as group to reach an agreement that would allow us to meet the terms that would satisfy all members roles within this exercise.

Describe the Negotiation Outcome:

As the Director/VP, I lead the negotiation and allowed everyone to discuss their goals with this negotiation. Everyone stated their position and looked at aspiration and reservation points for everyone’s roles. We listed what was most important to least and what areas could be adjusted to close the deal. I believe we made great concessions as a group to protect our interest and put our best plan in action.

How does the achieved agreement compare with your Pre-Negotiation strategy and parameters (BATNA, ZOPA, AP, RP)? – Please explain.

As I mentioned earlier did not have a clear understanding of the BATNA. We now have a BATNA which is (If we do not reach an agreement on payment for open receivables of no greater than 45 days we will walk away from this order and any future orders from SF Foods. We will then look to recoup this business from further expanding our business with our higher profit margin customers.) Our group has 3 points of action for the negotiation and have A,B, and C targets which reservations points of 45 days payment on open receivables, expanded with for delivery on said order, and gaining higher profit margins on all orders moving forward. Our goal is to achieve wins in all parts but are flexible on B and C. We also have some concessions in place to show value and commitment from Ajanta to SF Foods.