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Check – Overview

Recall that the “Do” step in PDCA encourages testing on a small scale before continuing. The “Check” step is to study the result or re-evaluate. Depending on the scope of the negotiations, the re-evaluation might happen during a break, or a caucus when using a team. If the negotiations are more complex, and multiple sessions are planned, the “Check” phase will happen in between negotiation events. Regardless of the size of the negotiations, the buyer is recommended to review the progress before advancing to the final step of “Action”.

Considerations in this “Check” phase include:

  • Review if the purpose and priority, or the reason for negotiations, is still intact.
  • Any new information about product, service, company or industry that might impact negotiations should be documented and studied as it pertains to obtaining a mutual agreement.
  • Analyze any counteroffers presented or may be presented and determine appropriate response. Examples of counteroffers may be as straightforward as changing payment terms.
  • Both organizations should be aware of potential threats that should have been at least initially identified during the SWOT analysis. Business continuity is most likely addressed in the boilerplate terms and conditions to minimize risk from a legal perspective. Depending on the complexity and time frame of the anticipated agreement, it may be a good idea to discuss from a business perspective as well. If a potential supplier is at high risk, it may impact the decision to move forward with negotiations.
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