Task 1 – Infrastructure Negotiation Your organisation is planning to negotiate on a project comprising remediating footpaths, car parks and line marking around RAAF Base Point Cook and RAAF...

Contains three different parts need to be done individually. Thank you


Task 1 – Infrastructure Negotiation Your organisation is planning to negotiate on a project comprising remediating footpaths, car parks and line marking around RAAF Base Point Cook and RAAF Williams Laverton. The scope also includes remediating the rainwater drainage on a building and the stormwater drain on the airfield at RAAF Base Point Cook. You are required to complete the attached negotiation plan for the project negotiation. Your Assessor will represent the client and for the purposes of this assessment task, will represent the client in a role play, where you must negotiate an approach to the project. Throughout the negotiation, you are required to: • initiate decision making actions • establish the rules of procedure • identify the information needs of participants • actively encourage the free exchange of information • encourage decisions which are realistic for the situation All decisions throughout the negotiation processes must be in line with: • legislative, organisation and site requirements and procedures • manufacturer's guidelines and specifications • Australian standards • Employment and workplace relations legislation • Equal Employment Opportunity and Disability Discrimination legislation Ensure that you adequately minute the negotiation and develop correspondence to relevant stakeholders to advise them of the outcomes. Stakeholders for this project could include: • relevant regulatory authorities • tenders • project managers • contractors • employees • community • customers • suppliers Negotiation Plan Contract: [Number] – [Name] Document number: [TRIM Record Number] Date: Contact details Name: Position: Business Unit: Division: Phone: Email: 1. Introduction The following Negotiation Plan is will assist Procurement staff when preparing for negotiations. It has been designed as a simple tool to help staff analyse issues and prepare successful negotiation strategies. The guide will prompt staff to think through the government’s requirements and objectives prior to undertaking important negotiations as well as consideration of both sides’ needs, strengths and weaknesses in order to understand the overall context of the negotiation, leading towards an improved position. Good preparation and planning are crucial to the achievement of successful negotiation outcomes. Note that this document is intended to be used as a guide to the creation of a negotiation plan and that as such some of the requirements listed may not be applicable for every scenario. Possible scenarios where this Negotiation Plan may be useful include but are not restricted to: • RFx finalisation negotiations • contract renewal negotiations • contract variation negotiations • contract management negotiations • sole supplier situations (where appropriate). 2. Negotiation plan 2.1 Contract information and parties RFx/Contract Number RFx/Contract Name Organisations planned to take part in the negotiations 2.2 Participants and authority 2.2.1 Procurement Name Title Role Name Job Title, Organisation Chief Negotiator Name Job Title, Organisation Secretariat Name Job Title, Organisation Observer Note: A minimum of two Procurement participants are required in all negotiations 2.2.2 Supplier Name Title Role (if known) Name Job Title, Organisation Chief Negotiator Name Job Title, Organisation Secretariat Name Job Title, Organisation Observer Are you satisfied that the negotiators from the other side have sufficient authority to bring negotiations to a successful conclusion? ☐ Yes ☐ No 2.3 Location and expected duration Ensure the location is suitable and conducive to a positive outcome. Locations should be convenient, comfortable, allow for uninterrupted negotiations and have the capacity for teams to break out to confer and strategise. Location of negotiations Planned negotiation start date Planned negotiation end date Expected number of meetings 2.4 Reason for negotiations Why are negotiations required? (provide supporting information) Who has approved the decision to negotiate? (provide details of briefing note if appropriate) Was the need for negotiations anticipated in the procurement strategy and were respondents advised of this in the RFx documentation? If not, seek legal advice before proceeding. 3. Probity information 3.1 Probity Are there any probity concerns with the proposed negotiation? ☐ Yes ☐ No If so please outline the issues and comment on how they are being addressed. Concerns Mitigations Have probity requirements been discussed with the negotiation team? ☐ Yes ☐ No 3.2 Procurement conduct plan The Procurement Conduct Plan must be provided to all Procurement participants involved in negotiations and a signed Code of Conduct, Probity and Confidentiality Agreement included on the file. Has each member of the negotiation team signed the Code of Conduct, Probity and Confidentiality Agreement? ☐ Yes ☐ No TRIM Document Number/s Are there any unresolved Conflicts of Interests for participants involved in the negotiation? ☐ Yes ☐ No 3.3 Probity advisor Is a probity advisor required? ☐ Yes ☐ No If yes, please outline why a probity advisor is required. 3.4 Negotiation protocol The use of a negotiation protocol should be considered where there is: • significant contract value or amounts • a considerable government commitment • sizeable liability or risk • concern over the previous conduct of the other party. Will a negotiation protocol be created and signed by both parties before the beginning of negotiations? ☐ Yes ☐ No What are the areas of particular concern that warrant a negotiation protocol? 3.5 Government Information (Public Access) Act Have the other parties been advised that files and papers pertaining to the negotiation may be subject to the Government Information (Public Access) Act 2009 and could potentially have to be disclosed? ☐ Yes ☐ No 3.6 Reporting Describe to whom as well as how and when the progress and results of negotiations will be reported. 4. Preparation 4.1 Research Is the subject matter which will form part of the negotiations fully understood by all members of the negotiation team? ☐ Yes ☐ No List key areas that will need to be addressed • Do you thoroughly understand the products/services and the supply market? ☐ Yes ☐ No Have you completed the Supply Positioning tool? ☐ Yes (include as an attachment to this plan) ☐ No List market issues that need to be taken into consideration. • Have you conducted research on the company that you are negotiating with? ☐ Yes ☐ No What have you discovered? Have you completed the Supplier Preferencing tool to better understand how they view us? ☐ Yes (include as an attachment to this plan) ☐ No Have you read their financial reports? ☐ Yes ☐ No What have you discovered? Are you aware of precedents that could assist your cause? ☐ Yes ☐ No If yes what are they? Is an expert category and/or legal expertise required assist with the negotiations? ☐ Category – Insert name if known ☐ Legal – Insert name if known ☐ No experts required 4.2 Interests Our interests Their interests 4.3 Our strengths and weaknesses Strengths Weaknesses 4.4 Their anticipated strengths and weaknesses Strengths Weaknesses 4.5 Risks Our risks Their risks 4.6 Competitive pressure What competitive pressures does the other party face? Can what is being offered be sourced elsewhere? If so, how difficult would the sourcing be? How important is this deal to them? 4.7 Alternatives to a negotiated agreement What alternatives do we have if the negotiation is lengthy and unsatisfactory or ends without agreement? What is our best alternative to a Negotiated Agreement (BATNA)? (Note: a strong BATNA position means a strong negotiation position) What could improve our BATNA? Can we remove constraints and improve our BATNA position? 4.8 Their alternatives to a negotiated agreement What alternatives do we think they have if the negotiation ends without agreement? What is their best alternative to a Negotiated Agreement (BATNA)? (Note: a strong BATNA position means a strong negotiation position) What could improve their BATNA? Can we remove constraints and improve our BATNA position? 5. Objectives and negotiation points 5.1 Our objectives List and describe our objectives in order of priority and preference. Consider if each objective is a must have or a nice to have. Objective Must Nice Objective A X Objective B X 5.2 Their objectives List and describe what you think their objectives may be, in order of priority and preference. Consider if each objective is a must have or a nice to have for them. Objective Must Nice Objective A X Objective B X 5.3 Negotiation points Negotiation Point Current Position Revised Position Must Nice 5.4 Concessions Concession List the concessions that we will be prepared to consider 6. Positions 6.1 Our position Clearly and systematically outline our starting position. [Guide Note: Consider the credibility of your targets. Are they too ambitious? Not ambitious enough? Are they realistic?] • 6.2 Their anticipated position Clearly and systematically outline what we think their starting position will be. • 6.3 Best case scenario Describe what you think our best case result would be. • 6.4 Bottom line What is our worst case acceptable negotiated position? • 7. Approvals This Negotiation Plan must be reviewed and approved by your director prior to proceeding with negotiations. Name Name Signature Date Prepared by Reviewed by Approved by Task 2- You are the Director of Tomorrowland real estate • Tomorrowland owns a 20,000 m2 property in West of Sydney • Due to financial crisis facing the company, they decided to sell the property • Tomorrowland posted an ad for selling the property • You have received interest from two potential buyers: − The Future Developers − High Sky Real Estate ❖ The Future Developers: Planning to build a residential apartments project Strong in the market Expert Negotiators Proposed Offer: • 5 million AUD • Offer expires in 5 working days • Fair offer with respect to the real estate market ❖ High Sky Real Estate: Planning to build luxury villas Fair Negotiators Proposed Offer: • Not made any offer yet • CEO will call you tomorrow for discussions Facts: 1. The property was