ROI Results – Summary Highlights
2017 Negotiate Smart™ Workshops
- Being confident in my BAM has enabled me to negotiate contracts with more assertiveness and suppliers take you more serious after research and confidence in numbers is shown. I have saved over $500,000 in contract spend using this.
- Instead of asking for a best price, I used the BAM methodology to ask for a price and reason as to why I felt it was an appropriate ask. The result was that my BAM was not met, but the supplier improved their offer by $97,000.
- I was able to negotiate for more testing vehicles of choice with higher test priority by identifying the issues and opening at BAM. This saved me about $600,000 in testing.
- Whenever I see an opportunity I engage my buyers with probing questions and understand why they made a particular decision.
- I’ve been able to garner support from Engineering on purchasing initiatives by considering the engineers as stakeholders and thinking about what it is that they want out of our interactions. I then was able to use that knowledge to foster quicker, more effective communication with Engineering and other functional groups.
- I started identifying all the issues and true interest of the customer. . . “Yes, if…” With the Negotiate Smart training, we settled the RMI settlement issue with Renault and closed the deadlock issue with the gain to company worth $38,461.
- By adopting Ruth’s strategies, I saved $18950 for three projects in total. (Project 1 – $2150, Project 2 – $3800, Project 3 – $13000)
- Probing into the matter, I realized their true interest was to reduce their excess thread. Expected incremental sale would be an additional $25k – $30k per month.
- We asked for the quote and we received 4.6M . . . we finalized at 3.2M. Both parties are agreed on the total agenda as well.
- Began with an attractive opening offer (BAM) and offer is 10% more. . . made trades, that will save $25,000.
- I have been using the learning in day-to-day dealings with my staff, cross-functional discussions, and outside parties.
- When I got a target price from customer, I found margin and payback was not good at target. I asked a probing question and found out they gave a better price to a company with volume for another region, they gave all regions volume to us at the meeting target price.
- I request to get scenario quotation when do a second source, also the additional productivity. It got savings compared with current supplier, also get additional $80,000/year.
- By using counter-by-half, I probably did $1/pcs better, which is about $100k better for the whole project life.
- In the negotiation with Di motor supplier of 3,500 pcs motor sample, I’ve built a trust relationship with the supplier, and deeply probed the production arrangement, finally convinced supplier to reduce the sale price from 6x to 2x serial production price, thus saving us $60,000.
- I started the price negotiation with the customer and used the tactics and skills I learned in the training for background check to find the true information.
- Before final nomination, agreed supplier to adjust the packaging price based on actual crazy market price, but request payment term extension and discount for copy tooling cost.