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, and maintaining regular communication with clients. This documentation helps manage and resolve issues and provides evidence to address claims or disputes.
- Technical project managers should develop the skill of detailed cost analysis to verify and challenge financial claims. By thoroughly reviewing and questioning each component of back charges, they can avoid unnecessary cost overruns and ensure accurate financial management.
- Understanding project details and costs helps prevent budget overruns by allowing project managers to make informed decisions and manage resources efficiently, just like a CEO would handle their own company’s finances. This approach ensures that every decision is carefully considered, reducing the risk of unexpected costs and budget issues.
- Project managers can enhance negotiations by using payment schedules and project deadlines strategically. Ensuring timely payments for completed milestones and using time constraints to manage disputes helps maintain leverage and prevent scope creep.
- To ensure effective collaboration among finance, marketing, project management, and surveying teams during negotiations, it’s crucial to align everyone with clear, agreed-upon success criteria for the project. This unified approach helps balance diverse interests and facilitates smoother decision-making.
- To improve negotiation skills and advance in project management, actively seek opportunities to practice negotiations on smaller issues and learn from each experience. Building confidence through these smaller wins prepares one for more complex negotiations and enhances overall project management effectiveness.
More Details in This Episode…
About Rick Czaplewski
Rick Czaplewski is a seasoned project management leader and team developer with extensive experience in both strategic and tactical program management. As the founder of No One Walks Alone, Rick is a distinguished speaker and executive trainer, known for his expertise in business strategy, team building, and coaching. With a robust background in supply chain and R&D environments, he excels in budget, schedule, and resource management across cross-functional teams including finance, marketing, engineering, and legal.
Rick’s impressive career is backed by his educational credentials, holding an MBA in Supply Chain Management from the Wisconsin School of Business and a BBA in Accounting from the University of Wisconsin-EAU Claire. His CPA-level financial expertise enhances his capabilities in negotiating, budgeting, and financial analysis. Additionally, Rick holds a Project Management Professional (PMP) certification from the Project Management Institute (PMI).
A veteran international business traveler, Rick has a proven track record in managing contract manufacturers, particularly in the electronics sector, and is well-versed in wastewater treatment. His excellent presentation skills make him a valuable asset for senior management and strategic partners.
About the Host: Matthew Douglas
Matthew currently serves as a content creator and host of The Engineering Project Management Podcast. As a civil engineer by trade, Matthew has developed a passion for construction and stormwater management by way of maintenance and rehabilitation services. Matthew has also had experience working under private consulting firms and public agencies, and has even held a role of an educator. As such, he loves to lead, build, mentor, and help those in need.
Most recently, during his time working for the public sector, he has taken the role of Public Works Operations Manager. He has led quite a few public infrastructure rehabilitation projects and implemented new asset management technologies at a very young age. It is here that the passion for “fixing what’s broken” has developed.
Sources/References:
The Rick Czaplewski Website
No One Walks Alone
Trello
SAP
Dale Carnegie
GEMBA
Microsoft Project
Home Depot
Connect with Rick Czaplewski on LinkedIn
We would love to hear any questions you might have or stories you can share on the project management negotiation techniques you use to secure project wins.
Please leave your comments, feedback, or questions in the section below.
