Negotiation Tactics and Strategies for the International Oil and Gas Industry (VIRTUAL) - NTSOG

Negotiation Tactics and Strategies for the International Oil and Gas Industry (VIRTUAL) - NTSOG

Course Summary

The International Oil and Gas business is defined by a number of key variables along its value chain. Upstream the E&P segment is a high risk, high investment endeavor, subject to great uncertainty and long time periods relative to fiscal reward. Midstream storage and transportation is subject to high investment and operating costs, whilst the downstream sector often requires colossal investment in terms of establishment of infrastructure and the ability to meet daily operating costs. The industry attracts close scrutiny from the global media, and is subject to the involvement of multiple governments and their laws and regulations, not only from a financial perspective such as taxation, but also from other critical issues such as the cost of environmental compliance and health and safety.

It is against this background of high stakes with significant consequences for both success and failure, that the importance of being highly efficient within commercial negotiations becomes of critical value. This program has been specifically developed to provide the delegate with the tools; tactics and strategies to be successful when negotiating, either alone or as part of a team. This online program is divided into sessions that will give the delegate an entirely new perspective of how to approach the negotiation process and be successful, utilizing a powerful array of little, (if known) techniques and proprietary templates. The course is an immersive experience combining open dialogue and problem solving throughout. A key element of this course is an ongoing team based exercise allowing the delegates to practice in real time the different components of the course material. The exercise is progressive and participants will have to think on their feet and will be challenged to find the most efficient settlement.

What Will You Learn?

• Be able to evaluate how to approach the negotiation
• Will understand the importance of due diligence prior to commencement
• Know how to 'scope' a negotiation'
• Be able to evaluate and plan for negotiating in different environments
• Be able to utilize a structured approach to planning and preparation for a negotiation
• Understand the cultural interface and the critical importance of culture to commercial negotiations
• Gain an enhanced understanding of stress and what it means within the negotiation context
• Be able to manage conflict efficiently
• Understand the dynamics of team based/multiple party negotiations and why they are different from 'one-on-one' scenarios.
• Become effective in stakeholder management and have increased awareness of the vital importance of understanding stakeholder expectations and eliminating 'value-gaps'

Course Content

Day: 1

Topic 1: Styles of negotiation

• The critical choice "“ cooperation or competition?
• Key determining factors
• Class exercise: The Ultimatum Game
• Template: formulating negotiation choice
• The problem with self interest
• The problem with resource scarcity
• Trade off decision making
• Template: Evaluating critical factors for choice of negotiation
• Template: 3 key rules for effective negotiation
• Advantages and disadvantages of the differing styles of negotiation
• Team exercise: Part 1

Topic 2: Planning to negotiate

• Achieving clarity in your goals and outcomes
• Technique: The due diligence process
• Refining the DD process "“ SMART information
• The value of information
• Information and decision making

Topic 3: Preparing to negotiate

• Template: Setting mission objectives
• Template: The 7 key steps to developing a negotiation plan
• The benefits of planning
• The significance of culture to commercial negotiation
• Technique: The negotiation decision making model
• Team exercise: Part 2

Day 2:

Topic 1: Managing conflict and stress

• The "˜fire' principle
• The cost of conflict in negotiations
• Template: Conflict resolution
• Miscommunication
• The importance of "˜emotional equilibrium'

Topic 2: Negotiation as a tool for dispute resolution

• Formal and informal negotiations
• Mediation
• Med-Arb
• Arb-Med
• The importance of the Arbitral Clause
• Multi-tiered or "˜escalation' arbitral clauses explained

Topic 3: Power and negotiation

• Overview
• Examination of types of power and what they mean to commercial negotiation

Day 3:

• Topic 1: Establishing and maintain control
• Model: The cycle of emotive handling
• The critical importance of emotional control
• Technique: The Art of Questioning
• The different purposes of questions
• The structured agenda
• The concept of trust
• Team exercise: Part 3

Topic 2: Strategies and tactics of negotiation:

• Dealing with uncertainty
• Making the disclosure choice
• Template: Establishing a Trade-off Process
• Some different tactics to use
• Team exercise: Part 4 - conclusion

Topic 3: Team negotiations

• Model: Tuckman's Team Formation
• Advantages of team negotiations
• Disadvantages of team negotiations
• Template: Keys to effective team based negotiations
• Issues of remote or virtual teams
• Advantages of remote or virtual teams
• Disadvantages of remote or virtual teams
• Summing up and class discussion

Day 4:

Topic 1: Subtle factors of influence within the negotiation environment

• Template: Evaluating the negotiation environment
• Key factors of consideration
• Preparing a negotiation environment and "˜tailoring' it to influence outcomes
• Tricks and traps to watch out for
• Class Exercise

Topic 2: Deception; lying and half-truths

• Class discussion "“ does anyone tell the "˜whole truth' during a negotiation?
• Class Exercise "“ "˜3 things about me'
• Examining the Art of Deception "“ Why do it? Why is it done? What are the moral choices and consequences?
• Examining why people tell lies
• The "˜3 P's' Model

Topic 3: The "˜Great 8' communication strategies

• The "˜DEAD READ' Model
• Class Exercise

Topic 4: Decision Making and Problem Solving

• Overview
• Advantages and disadvantages of unilateral decision making
• Advantages and disadvantages of group decision making
• The nature of the decision- making environment
• Template- solving the problem
• Individual vs. collective problem solving
• Decisiveness "“ Class discussion
• Personality and attitude to risk
• Influencing others "“ good or bad?
• The PAST Model "“ Class discussion

Topic 5: Stakeholder Management

• Overview
• Class exercise
• Stakeholder operational considerations
• Stakeholder analysis
• The stakeholder management process
• Class exercise
• 3 key strategies for stakeholder engagement
• Best practices in stakeholder management