Category : Financial and Statistics
Archive   : PROSPANS.ZIP
Filename : SPANDEMO.HLP

 
Output of file : SPANDEMO.HLP contained in archive : PROSPANS.ZIP
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D E M O S
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FUNCTION:
The DEMOS option is presented here so that one of the appropriate
demos may be selected.

Demos may be viewed only.

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B U Y E R / S E L L E R
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FUNCTION:
Enter `B' if YOU are a Buyer or `S' if YOU are a Seller for
this issue.

(This determination is very important as it will affect the
calculated EXPECTED NET and ACTUAL NET for both You and the
Other Party.)

RESULTS:
Either the word BUY or SELL, in regards to YOU, will be displayed.

RESTRICTIONS:
þ The Buyer/Seller field cannot be entered until the Issue Number is
entered for that issue.

þ No other issue field can be entered until both Issue Number and
Buyer/Seller are entered for that issue.



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I S S U E C O N C E N T R A T I O N
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FUNCTION: Pre-planning the level of concentration to give to each issue
can be a very important factor in determining your degree
of success. This is especially true when the amount of
total time available to complete the negotiation is
limited. Ranking of the concentration level to apply to an
issue is often largely based on the Value, Importance and
Power rankings assigned to that issue, the complexity of
the issue and the total time available.

CONCENTRATION RANKING SCALE:

80 - 100 = VERY HIGH
60 - 79 = HIGH
40 - 59 = MEDIUM
20 - 39 = LOW
1 - 19 = VERY LOW


KEY POINTS:

þ While it may be highly desirable to avoid certain issues it is
often not possible to do so. Therefore, the preparation to
negotiate `issues to avoid' must be especially thorough.

þ During the negotiation, you should usually avoid early
emphasis on issues with a concentration ranking above 60.
Such early emphasis is likely to identify the issues most
critical to you, thereby weakening your position.



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I S S U E D E S C R I P T I O N
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FUNCTION: To identify and briefly describe each Issue, i.e.,
the smallest significant portion of a project that can
be separately negotiated.

Identify every potentially relative issue - for both You and the
Other Party. Do not judge the merit of these issues at this point.
Include issues that you may want to avoid.

Eliminate any issue which is clearly NOT significant to either
You or the Other Party.

Create a unique description to each Issue.

KEY POINTS:

þ THERE'S POWER IN NUMBERS. Successful negotiators identify and
prepare as many issues as possible, this is also known as
Itemization. Increasing the number of issues increases your
bargaining power, flexibility and control.

þ KEEP SEPARATE ISSUES SEPARATE. Avoid combining significant
issues into one large issue. This will limit your flexibility
and decrease your bargaining power. This is different than
'packaging' a number of separate issues to be negotiated
together.

þ IF YOU DON'T ASK FOR IT -- YOU WON'T GET IT! By identifying and
asking for more, you will usually get more (provided you don't
lose credibility by asking for too much).

þ AVOID SURPRISE ISSUES. Issues for which a negotiator has
neglected to identify and prepare are often negotiated
unsuccessfully. Avoid surprise issues by brainstorming and
roleplaying in order to anticipate all interests to both You and
the Other Party.

þ SILENCE CAN BE GOLDEN. Avoid disclosing information that is
significant or that is potentially damaging to a successful
negotiated settlement or its implementation.

RESULTS:
Accurate, clear definitive descriptions will help you
to efficiently locate, understand and articulate the
issue to any team members and to the Other Party.


EXAMPLE:
Ship units by Air Eagle, overnight mail.

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E X P E C T E D N E T
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FUNCTION: The Expected Net per Issue is automatically calculated
as shown below:

For a Buyer: Authority Limit - the Expected Settlement.
For a Seller: Expected Settlement - the Authority Limit.

KEY POINTS:

þ For the expected net financial calculations to yield a
meaningful number, all financially oriented entries in the
Issue Expected Net column (Column 'i' ) on the PRO:SPANS
Workform must be stated in the same financial unit of
measurement, e.g., Present Value, price per pound, etc.
Therefore, all financial values for a given project entered
as Authority Limits and Expected Settlements must also be in
the identical financial unit of measurement.

þ For some issues the Authority Limit and the Expected Settlement
may be stated in non-financial units of measurement, e.g., in
terms of quality, size, color, days delivery, etc. Such issues
should be kept to a minimum since they cannot be included in the
calculation of the Total Financial Expected Net.

RESULTS:

þ All positive values are beneficial.

þ All negative values are detrimental.

RESTRICTIONS:
Expected Net will only be calculated if

þ Authority Limit is entered and numeric (monetary).

þ Expected Settlement is entered and numeric (monetary).


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E X P E C T E D S E T T L E M E N T
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FUNCTION: The Issue Expected Settlement is the objective that you estimate
to be realistically attainable for that issue (rather than 'target'
objectives that you only hope to obtain). The rankings assigned to
the issue items of Power and Concentration are often significant
indicators of the Expected Settlement that can reasonably be
specified.

KEY POINTS:

þ CONSISTENT UNIT OF FINANCIAL MEASUREMENT:
The issue's Expected Settlement item versus that issue's
Authority Limit item equals the Expected Net for that issue.
Therefore, the financial unit of measurement used in these two
issue items must be identical.

þ ESTABLISH SINGULAR OBJECTIVES:
Any given issue must have (with possible rare exceptions) one
and only one significant objective. If an issue has more than
one significant objective it virtually always can and should be
divided into two or more separate issues.

þ ESTABLISH REALISTIC OBJECTIVES:
Expected Settlement objectives should be set high, however,
they must also be reasonable. Unreasonable objectives often
weaken credibility and result in stalemated negotiations.
Logically, the Expected Settlement must be equal to or greater
than the Authority Limit. If it is concluded that the Expected
Settlement is less than the Authority limit then the
anticipated problem should be resolved (including changing
the Authority Limit) rather than establishing an unrealistic
objective.

þ ESTABLISH PRECISE OBJECTIVES:
If the objective for the issue is in question, it is difficult
for the negotiator to know if and when the issue objective has
been achieved. Therefore, the objective should be stated such
that the understanding of its intent is not only understandable
but also difficult to misunderstand!

þ FOCUS ON THE OBJECTIVE:
Unskilled negotiators often allow themselves to be distracted
by discussions on minor aspects of the issue, rather than
focusing on obtaining their issue objectives. This problem can
be overcome by defining and concentrating on singular,
realistic, precise issue objectives having a consistent unit of
measurement.

þ FLEXIBLE OBJECTIVES:
An Issue Expected Settlement objective, as new or better
information becomes available, may be revised throughout
the planning, role playing and negotiation phases. (Authority
Limits should seldom be changed and then only with approval.)


RESULTS:
Modifying Expected Settlement will recalculate the Expected Net.


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I S S U E E V A L U A T I O N
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FUNCTION: Completion of this column, in terms of both You and the Other Party,
by the negotiator(s) and/or his/her managers, is optional but
advisable. Comments on the issue evaluation given, should be
included in the Issue Notes section of the Pro:SPANS Workform.
Significantly high or low issue performance ratings may indicate
negotiation strategies that were particularly effective or
ineffective. Such review and consideration may be very useful when
selecting which strategies or tactics to use or avoid in future
negotiations, especially when the same negotiators are
involved.

EVALUATION RANKING SCALE:

100 = EXCELLENT
80 - 99 = VERY HIGH
40 - 79 = SATISFACTORY
20 - 39 = POOR
1 - 19 = UNSATISFACTORY

KEY POINTS:
Evaluation may be based on any rationale judged appropriate, however,
when determining the Evaluation you may wish to take each of the
following issue items into account for the following reasons:

þ VALUE:
Value, although reflected in Importance, is essential to
consider since it indicates the objective value of the issue.

þ IMPORTANCE:
Importance provides both the objective and subjective need
for the issue.

þ POWER:
Power a measure of your objective and subjective
positions and an indicator of ability to successfully
settle on the issue.

þ AUTHORITY LIMIT:
This field is probably the most important item aside from the
Actual Settlement itself. Authority Limit can determine the
extent of your flexibility and thus your creativity.
Ultimately it can be used to help gauge the success of your
negotiated settlement.

þ EXPECTED SETTLEMENT:
The Expected Settlement indicates where the settlement was
anticipated to occur.

þ EXPECTED NET:
Expected Net reflects the monetary amount over (or under) the
Authority Limit. Positive values indicate beneficial
settlements, while negative values indicate detrimental
settlements.

In the context of Composite Authority Limits (available by
pressing 'F4') the Evaluation of a particular issue should
be weighted with your Strategy & Tactics and any other
relative information for that issue.

þ INITIAL POSITION:
The settlement may reflect directly or indirectly on how
Initial Position was set.

þ ACTUAL SETTLEMENT:
Possibly the most important issue item in determining the
Evaluation entry. Unlike any of the other fields, Actual
Settlement is not an estimate nor is it calculated from an
estimate. Thus, it becomes the 'control' against which all of
the other fields can be measured.

þ ACTUAL NET:
This can be a very useful tool in determining what monetary
gains or losses resulted from the settlement. Again, when
using the Composite Authority Limits the evaluation should be
weighted with your Strategy & Tactic for that issue.

Effective, skilled negotiation does not mean that the Expected Net
or any other objective of an issue must be met or exceeded. Only those
issues having an authority limit based on an absolute 'must have'
importance rating have an inflexible 'bottom line'.

Therefore, issue performance evaluation must include more than the
consideration of simply whether the original issue Expected Net was
met or exceeded, i.e., the rating must also consider whether
justification existed to settle an issue for less than its Expected
Net or other designated objective.

In the final analysis, what is usually most important is the overall
outcome of all the issues, the negotiation of the entire project. To
help in that evaluation, Pro:SPANS provides the Totals Window which
summarizes some of the key fields for any and all of the appropriate
issues.


RESULTS:
It is Pro:SPANS intent that the evaluation be used to indicate
strengths to build on and weaknesses that can be improved in order to
improve your negotiation methods.

It should also reveal the Other Party's weaknesses which then become
opportunities and their strengths which you may need help to overcome.


REMARKS:
Explanations and comments for the evaluation should be included in the
Issue Notes or in a separate Pro:Text document.


EXAMPLE:
Of Weighted Evaluation using a Composite Authority Limit:

Ordinarily a negative Actual Net would be poor or unsatisfactory.

Suppose however, that the issue belongs to a Composite Authority Limit
and that the issue (relatively unimportant and insignificant in value to
You) is traded for a greater issue (of high importance and of great
value to You). This would result in a negative Actual Net.

The negative Actual Net results from it being sacrificed for the greater
good of the project rather than because it was poorly negotiated. It
should therefore receive a satisfactory or better evaluation.



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C O P Y I S S U E H E L P
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After exiting this help window:

1) Press .

2) Enter the Old and New Issue Numbers as requested.

(The Issue will be copied to the first blank Issue Position.
Move Issue command may then be used to relocate copied issue.)

: Exit

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D E L E T E I S S U E
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1) Press .

2) Enter the Issue Number to delete.

Pro:SPANS will identify the issue by causing it to blink and
will then ask:

"Delete Blinking Issue (Y/N): "

If the response is Y, the Issue will be erased from the project and the
remaining issues will be realigned to compensate for the deleted issue.


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G O T O I S S U E
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Pro:SPANS will prompt you to enter the Issue Number to go to:

"Go to Issue Number: "

Issue Numbers must be entered as they appear in the Issue Number field.
If the Issue Number is not found Pro:SPANS will beep and discontinue the
`Go to' command.

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M O V E I S S U E H E L P
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After exiting this help window:

1) Place the cursor on the Issue No. to be moved and press .

2) Place the cursor on the Issue No. of the desired location
and press .

: Exit


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I S S U E I M P O R T A N C E
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FUNCTION: To Rank the relative importance of each issue for You and the
Other Party.

FIELD APPLICATION:
Ranking Issues by importance, in combination with Value, Power, etc.,
often identifies issues that can advantageously be negotiated. It also
provides valuable information to determining your Strategy & Tactics.

It is important not to confuse Value, which indicates a specific or
ranked monetary value, with Importance which ranks the issue's
objective and/or subjective priorities.

IMPORTANCE RANKING SCALE:

100 = MUST HAVE
80 - 99 = VERY HIGH
60 - 79 = HIGH
40 - 59 = MEDIUM
20 - 39 = LOW
1 - 19 = VERY LOW
-1,-2,-3 = AVOID

ISSUE TYPES:

MUST HAVE ISSUES:
The Must Have (100) designation indicates that no settlement is
possible unless all Must Have issues are settled.

Be careful not to over use the 100 ('must have') importance
ranking. Negotiations which are 'top-heavy' are less
flexible, and often result in a marginally successful agreement
or no agreement at all.

GIVE ISSUES:
You may want to consider some issues (usually ranked from 1 through
39) as Give issues. These issues require no immediate or
direct compensation in return and are usually bestowed early
in the negotiation. Such issues are given to create goodwill and
trust, thereby increasing the likelihood that the Other Party
will be influenced toward being more open, more flexible, etc.,
on issues of greater importance to you.

Prior to giving away a Give issue, use questioning and probing
techniques to establish and emphasize that issue's value to the
Other Party.

SWEETENER:
A Sweetener issue is a special type of Give issue. It is usually
held in reserve to give as an incentive to the Other Party to
achieve favorable settlement on an issue or issue(s). It may
also be offered as an incentive to promote efficient implementation.

TRADE ISSUES:
Issues (usually ranked between 1.0 and 3.9) which are designated
to potentially trade for issues of greater importance and/or
to achieve a greater net income. The more Trade issues you have,
relative to higher ranked issues the greater your flexibility, thus
allowing the negotiator to be more creative and effective.

REMARKS:
Proper Importance ranking will help you determine the Issue's Power,
Concentration, Authority Limit, Settlement and Strategy & Tactics.


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I N I T I A L P O S I T I O N
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FUNCTION:
Normally, in order to allow flexibility for possible 'bargaining'
concessions, the Initial Position should be set at a point
significantly more advantageous than would be yielded by the Expected
Settlement (i.e., significantly higher than the Expected Settlement
for a Seller and significantly lower than the Expected Settlement
for a Seller).

Initial Positions should not be set so high or low that credibility
is lost. Example: The 'retail' value is often used as a somewhat
'credible' initial position that is significantly higher than the
Seller expects to receive.

REMARKS:
Consult the information from the Posture (Value, Importance, Power and
Concentration) and the other Case entries (Authority Limit, Expected
Settlement and Expected Net) to determine the Initial Position.

EXAMPLE:
As a Seller, to obtain an Expected Settlement of $ 5,000 where your
Authority Limit is to not sell below $ 4,700, you might set your Initial
asking price at $ 5,250.
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R E N U M B E R I S S U E H E L P
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After exiting this help window:

1) Press and enter the Issue No. to be renumbered.

2) Enter the new Issue No.

3) If the Issue No. to be renumbered does not exist or the new Issue
No. exists, Pro:SPANS will beep and no changes will be made.

(The new Issue Number is displayed and the issue and its documents are
re-referenced.)
: Exit
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I S S U E
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FUNCTION:
The ISSUE option is presented here so that one of the appropriate
Issue options may be selected. These are:

OPTION KEYS
ÄÄÄÄÄÄ ÄÄÄÄÄÄÄÄÄÄÄÄ
GoTo
Move
Copy
Renumber
Delete

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I S S U E A U T H O R I T Y L I M I T
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FUNCTION:
Authority Limit provides guidelines for an issue below which a Seller, or
above which a Buyer, can not or will not normally settle. Initial approval
and modifications of the Issue Authority Limit by others in the
negotiator's organization is usually required.

TWO TYPES OF ISSUE AUTHORITY LIMITS:

1) Authority Limits involving mandatory issue requirements: For such
issues, the mandatory requirement must be specifically described
as part of the Issue Description or in the Issue Notes. In
addition, the Importance Ranking previously selected would be 100
("must have"), indicating that there is a mandatory requirement
associated with that issue (Therefore, an issue must have only
one significant objective.) Mandatory Authority Limits must not
be violated* without a great deal of consideration, plus the
explicit approval of any other members of the negotiator's
organization that may be involved.

2) Authority Limits involving non-mandatory issue requirements: Such
issues do not have absolute mandatory requirements. In this case,
the Authority Limit serves only as an important guideline which
will not be violated* unless the violation is required in order
to achieve an advantageous concession by the other party.

* whereby the actual issue settlement is inferior to that of
the issue's Authority Limit.

KEY POINTS:

þ Whenever possible, always establish an issues Authority Limit in
terms of the standard unit of monetary measurement for the
project, e.g., price per pound, Present Value, etc.

þ Authority limits should seldom be changed after face-to-face
negotiation begins and only with the consent of others who have
been involved in establishing the Authority Limit.


AUTHORITY LIMITS BASED ON A COMPOSITE PROJECT CRITERIA:
To increase negotiating flexibility, a total composite project
Authority Limit should often be considered and authorized, e.g.,

"Any negotiated settlement of this project will be
considered successful, provided that the objectives
of all issues having an importance ranking of ____
or higher are achieved and that the project yields
a total net financial advantage of $____ or higher."


PV COMPOSITE AUTHORITY LIMIT:
When the inflow or outflow of money occurs at different periods
in time, it is often important that a discounted financial
criterion, e.g., Total Present Value (PV) Cost, be used to
establish a composite Authority Limit.


EXAMPLE: Demonstrating a flexible PV Composite Authority Limit.

Assume that you, a Buyer, have been assigned to negotiate a
contract with another party to solve a certain problem. Your
composite Authority Limit is "Don't settle for a Total NPV Cost
(based on a 20% hurdle rate) of more than $8,000."

You have found an ideal solution to the problem, however the
purchase price is $10,000, which significantly exceeds your
Authority Limit. The Other Party refuses to lower its price,
therefore settlement seems impossible.

However, now assume that you negotiate an agreement that the
$10,000 price will be paid to the Other Party via equal payments,
including 10% interest, at the end of each of the next 5 years.

The payments would be: A = P10,000 (A/P, 10,5) = $2,638

Alt. 'B' is now acceptable, since your Total PV Cost would be:

P = A2638 ( P/A,20,5) = $7,890

Note: The successful negotiation described in the above example
was made possible by establishing a composite Authority
Limit in terms of a Total NPV Cost at the firm's 20% hurdle
rate.

RESULTS:
Expected Net, Actual Net and Total Net will (press `F4') be recalculated
if Issue Authority Limit is modified.

REMARKS:
When possible use a total composite project Authority Limit to increase
flexibility, potential creativity and ultimately probability for
successful settlement.

RESTRICTIONS:

þ The entry, if Numeric (monetary) must be between 0 and 9999999 inclusive.

þ If The entry is to be alphanumeric (non-monetary), the first character
must be a 'V'.

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A C T U A L N E T
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FUNCTION: The Actual Financial Net per Issue is automatically calculated:

For a Buyer: Authority Limit - the Actual Settlement.
For a Seller: Actual Settlement - the Authority Limit.


KEY POINTS:

þ For the financial calculations to yield a meaningful result,
Authority Limit and Actual Settlement must be stated in the
same financial unit of measurement, e.g., Present Value,
price/pound, etc.

þ For some issues the Authority Limit and the Settlement may be
stated in nonfinancial units of measurement, e.g., in terms of
quality, size, color, days delivery, etc. Such issues should be
kept to a minimum since they cannot be used in the calculation of
the Actual Net.


RESULTS:

þ All positive values are beneficial.

þ All negative values are detrimental.


RESTRICTIONS:
Actual Net will only be calculated if

þ Authority Limit is entered and numeric (monetary).

þ Actual Settlement is entered and numeric (monetary).


ÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍ
I S S U E N U M B E R
ÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍ

FUNCTION: To numerically identify an issue.

An Issue is the smallest significant portion of a negotiation project
that can be separately negotiated.

Identify every potentially relative issue - for both You and the
Other Party. Do not initially judge the merit of issues.
Include issues that you may want to avoid.

Eliminate any issue which is clearly NOT significant to either You or
the Other Party.

KEY POINTS:

þ THERE'S POWER IN NUMBERS. Successful negotiators identify and
prepare as many issues as possible, this is also known as
Itemization. Increasing the number of issues increases your
bargaining power, flexibility and control.

þ KEEP SEPARATE ISSUES SEPARATE. Avoid combining significant
issues into one large issue. This will limit your flexibility
and decrease your bargaining power. This is different than
'packaging' a number of separate issues to be negotiated
together.

þ IF YOU DON'T ASK FOR IT -- YOU WON'T GET IT! By identifying and
asking for more, you will usually get more (provided you don't
lose credibility by asking for too much.)

þ AVOID SURPRISE ISSUES. Issues for which a negotiator has
neglected to identify and prepare are often negotiated
unsuccessfully. Avoid surprise issues by brainstorming and
roleplaying in order to anticipate all interests to both You and
the Other Party.

þ SILENCE CAN BE GOLDEN. Avoid disclosing information that is not
significant or that is potentially damaging to a successful
negotiated settlement or its implementation.


REMARKS:

You may desire to group related Issues using similar Issue Numbers.
(See EXAMPLE below.)

Issue Numbers need not be sequential or in numerically sorted order.


RESTRICTIONS:

þ All Issues must be numbered between 0.1 and 99.9

EXAMPLE: ( of creating a "group" of related issues via sub-issue numbers).

Issue Number Issue Description
ÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍ
12.0 Shipping Costs
12.1 Packing Materials
12.2 Shipper
12.3 Shipping Method
12.4 Shipping Insurance




ÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍ
I S S U E P O W E R
ÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍ


FUNCTION: The power rating is based on an estimate of your perceived ability
to achieve an advantageous settlement of a given issue versus that
of the Other Party.

POWER RANKING SCALE:

80 - 100 = VERY HIGH
60 - 79 = HIGH
40 - 59 = MEDIUM
20 - 39 = LOW
1 - 19 = VERY LOW

KEY POINTS:

þ Logically, the power rankings of You and the Other Party should
offset, e.g., if You have High Power (60-79), then the Other Party
would have Low Power (20-39).

However, in practice, due to the different perceptions of the two
parties, any combination of the power scale is possible, e.g.,
You might rank your own power as Very High (78), while estimating
that the Other Party perceives their power as High (60).

þ Often you will have more power than is obviously present. Creative
thinking and a perception or mannerism that portrays or assumes
power will usually increase the effective power available to you.
Therefore, power rankings in the VERY LOW to LOW power
ranges should seldom be initially assumed.


POWER GUIDE:
Importance and Value are two major issue items which should be
considered when determining relative power rankings for an issue.


OTHER SOURCES AND CONSIDERATIONS WHEN RANKING POWER:

1) Information: Information, both verbally and non-verbally derived,
will often influence the ranking of power. Example: Assume you
have uncovered the fact that the Other Party has a critical time
constraint. With this knowledge, you may gain power by scheduling
such issues near the end of the time available.

2) Preparation: Thorough preparation is often the key to creating
power and an advantageous agreement. Using an organized system,
such as that provided by the Pro:SPANS system, will normally
greatly enhance your power.

3) Attitude: The Other Party will often attribute more power to you
if your attitude conveys a high level of preparation, dedication
and knowledge.

4) Staging: In some instances it may be possible to create power by
altering the expectations of the Other Party. Certain events, set
in motion prior to or in the early stages of negotiation, may
favorably influence your negotiating power. Generating the image
of power, via dress, location, mannerisms, etc., will also assist
in setting a stage that creates power.

5) Personal Needs and Interests of the Other Party: The individual
negotiator(s) of the Other Party usually has specific personal
needs and interests, e.g.: recognition for a successful
settlement, possible raise or promotion, time constraints,
reduced workload, etc. Often such information provides a means of
increasing power.


ÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍ
S O R T I S S U E B Y A C T U A L N E T
ÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍ

FUNCTION:
Allows you to sort all of the issues existing in the current project by
their Actual Net.


ENTRY:
Pro:SPANS will prompt you for the party to be sorted for:

"Sort Actual Net for 'D'ifference, or 'Y'ou, or 'O'ther Party: "

Appropriate entries are 'D', 'Y' and 'O'. Pro:SPANS then prompts you
for the order to be sorted, i.e., if you selected 'D':

"Sort Actual Net for Difference in 'A'scending or 'D'escending Order: "

Appropriate entries are 'A' or 'D'.

ÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍ
S O R T I S S U E B Y A C T U A L S E T T L E M E N T
ÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍ

FUNCTION:
Allows you to sort all of the issues existing in the current project by
their Actual Settlement amount.

ENTRY:
Pro:SPANS will prompt you for the party to be sorted for:

"Sort Actual Settlement for 'D'ifference, or 'Y'ou, or 'O'ther Party: "

Appropriate entries are 'D', 'Y' and 'O'. Pro:SPANS then prompts you
for the order to be sorted, i.e., if you selected 'D':

"Sort Actual Settlement for Difference in 'A'scending or 'D'escending Order: "

Appropriate entries are 'A' or 'D'.






ÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍ
I S S U E S T R A T E G Y & T A C T I C S
ÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍ


FUNCTION: Strategy (plan) and tactics (methods of achieving the plan) are
important negotiating skills which, if correctly selected and
executed, will greatly increase the potential for an advantageous
settlement.

The previous Preparation Flow Diagram Steps, and a comparative
analysis of the issue rankings or value assigned to each issue
item for You and the Other Party are major factors in identifying
the most appropriate strategy and tactics, including:

þ INDIVIDUAL versus TEAM NEGOTIATIONS:
Some strategies and tactics are more suitable for team
negotiations, while others lend themselves to the individual
approach.

þ ANALYSIS of the OTHER PARTY:
Your knowledge of the experience, negotiating skills,
negotiating style, etc., of the Other Party is often a primary
factor in selecting the most effective strategy and tactics.

þ POWER:
Excessive or blatant usage of power often prevents an
advantageous negotiated settlement plus damage or preclude
implementation and long-term relationships. Conversely, you
often have more power than you think. Creative thinking and an
image of self-confidence (but not overbearing), plus an
appropriate selection of strategy and tactics will usually
greatly increase your power.

þ OBJECTIVES:
A strategy / tactic should be chosen which concentrates on and
best increases your potential to equal or exceed the Expected
Settlement of your most important issues.

þ IMPORTANCE:
The comparative rankings of Importance, especially when the
rankings are significantly different for you and the Other
Party, is a very important factor in identifying effective
strategy and tactics.

KEY POINTS:

þ AVOID BECOMING UNKNOWINGLY PREDICTABLE:
Successful employment of specific strategies / tactics may
result in their over application and habitual use by the
negotiator. The Other Party, upon noting such habitual use,
can anticipate and take appropriate measures to counter or
take advantage of same.

The use of untried strategies and tactics serves to broaden a
negotiator's skills. Also, the element of unpredictability may
more than compensate for any loss of effectiveness due to
using new negotiation methods.

þ IDENTIFY PATTERNS USED BY THE OTHER PARTY:
The ability to negotiate a successful settlement is often
greatly enhanced by learning the habit patterns, both verbal
and non-verbal, of the Other Party.

When team negotiations are involved consider designating one
team member to analyze the habits of the Other Party.


RESTRICTIONS:
The S&T field is limited to 70 characters of any type. If additional
description of the S&T field is required, the description can be
continued in the Issue Notes using Pro:TEXT.

EXAMPLE:

TRADE ISSUES:
Issues ranked in the importance range of 1 to approximately 50
should be regarded as potential issues to be traded with the Other
Party in order to achieve an advantageous net outcome. The more "Trade"
issues you have, relative to higher ranked issues, the more flexible
and effective you can be. Therefore, it is usually better not assign
an importance range of 60 or higher to an issue unless
doing so is well justified.

GIVE ISSUES:
Consider designating some issues, ranked in your importance range of
1 to approximately 39, versus a higher ranking for the Other Party,
as potential 'give' issues. 'Give' issues, require no immediate or
direct compensation in return and are granted to create goodwill
and trust, thereby increasing the likelihood that the Other Party will
be influenced toward being more open, flexible and accommodating.

SWEETENER ISSUES:
A "Sweetener" issue is a special 'Give' issue which is often held in
reserve to give as an incentive to the Other Party to agree on a
settlement of the project in your favor. If the Sweetener is not
required to reach agreement it may then be offered to promote good long
term relations or held in reserve for use in the future.


ÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍ
S O R T B Y B U Y / S E L L
ÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍ

FUNCTION:
Allows you to sort all of the issues existing in the current project by
their Buyer or Seller designation..


ENTRY:
Pro:SPANS prompts the user for the order to be sorted:

"Sort Buy/Sell in 'B'uy or 'S'ell order: "

Appropriate entries are 'B', or 'S'.


RESULTS:
All issues will be sorted by Buyer or Seller designation in
the order indicated. The cursor will locate at the Issue
Number of Line 1.





ÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍ
S O R T I S S U E B Y C O N C E N T R A T I O N
ÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍ

FUNCTION:
Allows you to sort all of the issues existing in the current project by
their Concentration.

ENTRY:
Pro:SPANS will prompt you for the party to be sorted for:

"Sort Concentration for 'D'ifference, or 'Y'ou, or 'O'ther Party: "

Appropriate entries are 'D', 'Y' and 'O'. Pro:SPANS then prompts you
for the order to be sorted, i.e., if you selected 'D':

"Sort Concentration for Difference in 'A'scending or 'D'escending Order: "

Appropriate entries are 'A' or 'D'.


REMARKS:

þ Issues which have no Issue Number (a blank issue) will be placed after
those which have an Issue Number.

þ Issues with insufficient data to calculate an Actual Net will
be sorted separately.



ÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍ
S O R T I S S U E B Y E X P E C T E D N E T
ÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍ

FUNCTION:
Allows you to sort all of the issues existing in the current project by
their Expected Net amount.

ENTRY:

"Sort Expected Net for 'D'ifference, or 'Y'ou, or 'O'ther Party: "

Appropriate entries are 'D', 'Y' and 'O'. Pro:SPANS then prompts you
for the order to be sorted, i.e., if you selected 'D':

"Sort Expected Net for Difference in 'A'scending or 'D'escending Order: "

Appropriate entries are 'A' or 'D'.

 ÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍ
S O R T I S S U E B Y E X P E C T E D S E T T L E M E N T
ÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍ

FUNCTION:
Allows you to sort all of the issues existing in the current project by
their Expected Settlement amount.

ENTRY:

"Sort Expected Settlement for 'D'ifference, or 'Y'ou, or 'O'ther Party: "

Appropriate entries are 'D', 'Y' and 'O'. Pro:SPANS then prompts you
for the order to be sorted, i.e., if you selected 'D':

"Sort Expected Settlement for Difference in
'A'scending or 'D'escending Order: "

Appropriate entries are 'A' or 'D'.





ÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍ
A C T U A L S E T T L E M E N T
ÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍ


FUNCTION:
The Actual Settlement is the agreement, if any, between You
and the Other Party for that issue. In some cases a numeric
(monetary) entry may be insufficient, in this instance, you may wish
to use the field alphanumerically. It is suggested, due to limited
space in the actual field itself, that you place reference characters
in the field to Issue Notes or document(s) in Pro:TEXT. Using the
alphanumeric method prevents the calculation of Actual Net for that
issue.

KEY POINTS:

þ CONSISTENT UNIT OF FINANCIAL MEASUREMENT:
The Actual Settlement versus the Authority Limit equals the
Actual Net for that issue. Therefore, the financial unit of
measurement used in these two issue items must be identical.

þ SINGULAR SETTLEMENT:
Any given issue must have (with possible rare
exceptions) one and only one significant detail of
settlement. If an issue has more than one significant
detail of settlement it virtually always can and should
be divided into two or more separate issues.

þ LIMITING SETTLEMENTS:
Logically, the Actual Settlement for an issue will be
equal to or better than the Authority Limit. Authority
Limit. In which case it is the sum of the Actual
Settlements which must be equal to or better than the
Composite Authority Limit.

þ FOCUS ON THE OBJECTIVE:
Unskilled negotiators often allow themselves to be
distracted by discussions on minor aspects of the
issue, rather than focusing on obtaining specified issue
objectives. This problem can be overcome by defining
and concentrating on singular, realistic, precise issue
objectives having a consistent unit of measurement.

þ BALANCED SETTLEMENTS:
Actual Settlements should be monitored closely. Settling on
issues of lower importance or value early on in the
negotiation may make it difficult to be flexible to obtain
the more valuable, higher importance issues. On the other
hand, concentrating on the higher importance, more valuable
issues too heavily up front may leave little time to discuss
the other issues at hand.

RESULTS:
Entering or modifying the actual settlement will cause the Actual
and Composite Net to be recalculated.



ÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍ
S O R T I S S U E B Y E V A L U A T I O N
ÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍ

FUNCTION:
Allows sorting all of the issues existing in the current project by
their Evaluation rating.

ENTRY:
Pro:SPANS will prompt you for the party to be sorted for:

"Sort Evaluation for 'D'ifference, or 'Y'ou, or 'O'ther Party: "


Appropriate entries are 'D', 'Y' and 'O'. Pro:SPANS then prompts you
for the order to be sorted, i.e., if you selected 'D':

"Sort Evaluation for Difference in 'A'scending or 'D'escending Order: "

Appropriate entries are 'A' or 'D'.





ÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍ
S O R T I S S U E B Y I M P O R T A N C E
ÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍ

FUNCTION:
Allows you to sort all of the issues existing in the current project by
their Importance ranking.

ENTRY:

"Sort Importance for 'D'ifference, or 'Y'ou, or 'O'ther Party: "

Appropriate entries are 'D', 'Y' and 'O'. Pro:SPANS then prompts you
for the order to be sorted, i.e., if you selected 'D':

"Sort Importance for Difference in 'A'scending or 'D'escending Order: "

Appropriate entries are 'A' or 'D'.



ÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍ
S O R T I S S U E B Y I N I T I A L O F F E R
ÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍ

FUNCTION:
Allows you to sort all of the issues existing in the current project by
their Initial Offer amount.

ENTRY:
Pro:SPANS will prompt you for the party to be sorted for:

"Sort Initial Offer for 'D'ifference, or 'Y'ou, or 'O'ther Party: "

Appropriate entries are 'D', 'Y' and 'O'. Pro:SPANS then prompts you
for the order to be sorted, i.e., if you selected 'D':

"Sort Initial Offer for Difference in 'A'scending or 'D'escending Order: "

Appropriate entries are 'A' or 'D'.





ÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍ
S O R T I S S U E B Y A U T H O R I T Y L I M I T
ÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍ

FUNCTION:
Allows you to sort all of the issues existing in the current project by
their Authority Limit amount.

ENTRY:

"Sort Authority Limit for 'D'ifference, or 'Y'ou, or 'O'ther Party: "

Appropriate entries are 'D', 'Y' and 'O'. Pro:SPANS then prompts you
for the order to be sorted, i.e., if you selected 'D':

"Sort Authority Limit for Difference
in 'A'scending or 'D'escending Order: "

Appropriate entries are 'A' or 'D'.



ÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍ
S O R T B Y I S S U E N U M B E R
ÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍ

FUNCTION:
Allows you to sort all of the issues existing in the current project by
their Issue number from greatest to least or vice-versa.


ENTRY:
Pro:SPANS prompts the user for the order to be sorted:

"Sort in Ascending or Descending order: "

Appropriate entries are 'A', or 'D'.


RESULTS:
All issues will be sorted by Issue Number in the order indicated. The
cursor will locate at the Issue Number of Line 1.





ÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍ
S O R T B Y
ÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍ

FUNCTION:
The SORT BY option is presented here so that one of the appropriate
Sort by options may be selected. These are:

OPTION KEYS OPTION KEYS
ÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄ ÄÄÄÄÄÄÄÄÄÄÄÄ ÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄ ÄÄÄÄÄÄÄÄÄÄÄÄ
Issue Number Initial Offer
Value Expected Net
Importance Actual Settlement
Power Actual Net
Concentration Evaluation
Authority Limit Buy/Sell
Expected Settlement





ÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍ
S O R T I S S U E B Y P O W E R
ÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍ

FUNCTION:
Allows you to sort all of the issues existing in the current project by
their Power ranking.

ENTRY:

"Sort Power for 'D'ifference, or 'Y'ou, or 'O'ther Party: "

Appropriate entries are 'D', 'Y' and 'O'. Pro:SPANS then prompts you
for the order to be sorted, i.e., if you selected 'D':

"Sort Power for Difference in 'A'scending or 'D'escending Order: "

Appropriate entries are 'A' or 'D'.



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S O R T I S S U E B Y V A L U E
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FUNCTION:
Allows you to sort all of the issues existing in the current project by
their Value amount or ranking.

ENTRY:

"Sort Value for 'D'ifference, or 'Y'ou, or 'O'ther Party: "

Appropriate entries are 'D', 'Y' and 'O'. Pro:SPANS then prompts you
for the order to be sorted, i.e., if you selected 'D':

"Sort Value for Difference in 'A'scending or 'D'escending Order: "

Appropriate entries are 'A' or 'D'.



ÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍ
P R O : S P A N S S Y S T E M H E L P
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FUNCTION:

Pro:SPANS is a computerized application and training system.
It is designed for Sellers, Buyers and Negotiators who are
sometimes involved (either internal or external to their own
organization) with projects having issues to be resolved with
another party, especially when the issues involve FINANCIAL
considerations.

In virtually all projects one party can be regarded as the 'Seller' and
the other party as the 'Buyer'. Skilled sellers and buyers must also be
skilled negotiators. Both increase their negotiation power and
effectiveness by thinking in terms of the needs and interests of the
Other Party.

Specifically, the term 'Negotiator' applies to anyone who interacts
with others to in an effort to bring about a mutually acceptable
resolution of the issues involved. Therefore, in this text, the term
'Negotiator', 'Seller' and 'Buyer' are used interchangeably.

Negotiation occurs for one very basic reason: The negotiators expect to
be 'better-off' versus their BATNA (Best Alternative
To a Negotiated Agreement.)

Being 'better-off' must normally be measured in quantitative
(financial) terms. Therefore, successful negotiators first closely
identify and measure the financial aspects of each issue. They then
concentrate on developing and applying the strategies and tactics that
will maximize their financial rewards.

Often, the issue values involved cannot be directly compared, e.g., when
the values occur over different periods of time or when the impacts of
taxes, risk, etc., must be taken into consideration. Therefore, the
effective negotiator must understand and creatively apply valid financial
decision making criteria throughout both the pre-negotiation planning and
the 'face-to-face' negotiation processes.


THROUGH PREPARATION IS THE KEY TO FINANCIAL SUCCESS!

Proficient negotiators focus on capturing the critical advantages that
are illuminated through detailed, organized preparation and
application. They identify and analyze the mutual values, needs,
interests, concerns, etc., associated with each issue. They then
systematically plan and implement the most advantageous settlement
possible.

PRO:SPANS OVERVIEW:

The Pro:SPANS system emphasizes the preparation skills required for
successful selling, buying and negotiating as displayed in the
following diagram.

ÉÍÍÍÍÍÍÍÍÍÍÍÍÍÍ» ÉÍÍÍÍÍÍÍÍÍÍÍÍÍÍ» ÉÍÍÍÍÍÍÍÍÍÍÍÍÍÍ»
º Computerized º º Computerized º º Interactive º º
º Negotiation º º Financial º º Negotiation º
º Skills º º Systems º º Skills º
ÈÍÍÍÍÍÍÍËÍÍÍÍÍͼ ÈÍÍÍÍÍÍÍËÍÍÍÍÍͼ ÈÍÍÍÍÍÍÍËÍÍÍÍÍͼ
º º º
ÉÍÍÍÍÍÍÍÍÊÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÊÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÊÍÍÍÍÍÍÍ»
º P R O : S P A N S º
º PROfessional: Selling, Procurement And Negotiating Skills º
ÈÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍËÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍͼ
º
ÚÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÐÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄ¿
(Phase 1)
ÉÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍ» (Phase 2)
º ÌÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍ» (Phase 3)
º PREPARATION º ÌÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍ»
º º Application º Implementation º
º SKILLS º Skills º and Audit º
º º º Skills º
ÈÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÊÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍÊÍÍÍÍÍÍÍÍÍÍÍÍÍÍÍͼ



AUTOMATIC ASSIGNMENT OF DOCUMENTATION FILE NAME:

Documentation can be created, by several methods for every
PRO:SPANS Workform field entry position. A coded documentation FILE
NAME and FILE EXTENSION* will be AUTOMATICALLY assigned to each
documentation file.

* Example of the following automatically coded File Name and Extension:

021ALY02.FIN

021 = Issue No. 2.1
AL = Authority Limit field position
Y = You (other designations: O=Other Party, B=Both)
02 = The second PRO:FIN documentation for this field.
FIN = PRO:FIN program used to create the documentation



PRINTING MODES IN PRO:SPANS

Three printing modes are available and are selected from the Pro:SPANS
Main Menu:

1) Print Project Composite, which prints a summary table of the
current total project status

2) Print Project Issue, which provides the following options (with
or without the Project Composite)

þ Total printout of all Project Issues

þ Printing of selected Project Issues

3) Print Project Documentation, in which Documentation files are
printed from within and using the unique printing procedures of
the program used to create the Documentation.




EXTENT OF USING PRO:SPANS IS OPTIONAL:

All of the PRO:SPANS workform fields need not be used in every issue
or negotiation project. However, none of the fields should be
omitted without serious and careful consideration.

The process of selling, buying and negotiation is both an art and a
science. A skillful blending of both objective and subjective
reasoning is required. Therefore, many of the procedures, forms,
etc., can only be offered as organized, but flexible, model that you
can creatively apply toward your goal of gaining a more advantageous
settlement.

HELP:
Help for the current cursor position may be invoked using the
key.

System Help (currently on screen) may be invoked by using the
key.

HELP WINDOW MOVEMENT

Up Arrow Key Scroll one line up
Down Arrow Key Scroll one line Down
Page up one window height
Page down one window height
Go to the beginning of Help
Go to the end of Help
Exit Help window

HELP NOMENCLATURE

<> These enclose the name of a single keystroke
() Comments
CAPS Subject headers

KEYS:

The following commands may be invoked by pressing the keys below.

HELP Specific help for the current field

HELP System help

OPTS Main Options Menu that allows you to
sort Issues on any field, change
issues around, and get help on any
of these commands.

COMP Comparative running totals of how you
are doing in your overall negotiation

PROJECT NOTES Create, view or edit Project Notes
(The File Extension for Project
Notes is .NTS)

ALTERNATIVE NOTES Create, view or edit Issue Notes
(The File Extension for Issue Notes is
the numeric value of that issue)

DOCUMENTATION Create, view or edit Documentation for
the project (Use a descriptive name and
extension. The extension must contain
at least one alphabetic character).

DISPLAY View 1 or 3 Issues on the screen

EXIT Save and Exit Current Screen

Exit to continue, where applicable



ISSUE COMMANDS

Issue Commands may be executed by using the key to get to the
OPTS screen, choosing Issue Commands and selecting the appropriate
choice or by using the following keystrokes:

GOTO To quickly relocate to a desired issue.

MOVE This command moves the current issue
(Source) to the desired (Designated)
location.

COPY This command copies the current issue
(Source) to the desired (Designated)
location.

RENUMBER To permit modifications to the Issue
Number field. The Issue and any documents
belonging to it are referenced by the
Issue Number. Modifying the Issue Number
will also redirect its documents to the
new Issue Number.

DELETE To remove an issue from the current
project.


ISSUE SORT-BY COMMANDS

The ability to extensively sort all PRO:SPANS issue field data
provides a very valuable system feature, i.e., sorting enables the
user to identify the most advantageous Strategies and Tactics to use
in the negotiation and settlement of each issue and for the total
project.

All issue data entry fields (except Issue Description,
Strategy/Tactics and those marked with an * below) may be sorted in
terms of: YOU, the OTHER PARTY, or the DIFFERENCE between You and the
Other Party.

Sort By commands may be executed by using the key to display the
OPTS screen then selecting Sort Issues and the desired sort option
- - or by using the following keystrokes:

ISSUE NUMBER*

VALUE

IMPORTANCE

POWER

CONCENTRATION

AUTHORITY LIMIT

EXPECTED SETTLEMENT

INITIAL OFFER

EXPECTED NET

ACTUAL SETTLEMENT

ACTUAL NET

EVALUATION

BUY / SELL*


END OF PRO:SPANS SYSTEM HELP
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I S S U E V A L U E
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FUNCTION:
Issue Value may be entered in either of two ways:

VALUE:
A monetary unit amount eg.: 10 may be assumed to be $10 $10,000 or
$10,000,000.) It is important that the unit choose be the same for
all issue fields for a given project.

RANK CODE:
A Code rank assigned to the value field which indicates that issue's
value relative to other values. When entering a value rank code you
must proceed the rank by the character 'C'. This indicates to
Pro:SPANS that the field is a rank code and not monetary.

FIELD APPLICATION:
It is important to calculate or estimate the value of each
issue in terms of both yourself and the other party. The value of an
issue is likely to have considerable bearing on such considerations as:
how important the issue is to you, etc.

Issue value mismatches between You and the Other Party often signals
mutually advantageous opportunities to trade issues.

Example: Consider the following circumstances wherein You and the Other
Party have been unable to reach agreement on Issue 3,
Issue 7 and Issue 12:

ISSUE 3 ISSUE 7 ISSUE 12
Value to You: $ 80,000 $ 20,000 $ 10,000
Value to O. P.: $ 20,000 $ 40,000 $ 20,000

Therefore, to reach an agreement it may be necessary or mutually
advantageous to trade issues, i.e., for you to obtain your objective on
Issue 3 in exchange for Issue 7 and Issue 12.


ISSUE MONEY VALUE:
In order that issues values can be directly added, subtracted,
compared, etc., it is highly desirable, to calculate or estimate as
many of the issue values in terms of their monetary value as
possible.


KEY POINTS:

þ Issue values, in order that they can be meaningfully compared,
etc., must be calculated or estimated using the same basis of
measurement, e.g., cost per 1,000 pounds, present value, before
tax, after tax, etc..

þ Often the impact of the time value of money is very significant in
calculating or estimating issue values. If so, then all issue
values must be calculated and stated using a common financial
criterion that reflects the interest rate (i) and the number of
periods (n) involved.

Usually, the financial analysis method based on the Present Value
criterion is the most suitable and convenient to use in order to
include the impact of the time value of money. Future Value and
Uniform Series calculations are also valid methods to use when
determining issue monetary values. (See the financial materials
provided with this program.)

þ The impact of taxes may also have an important effect on an issue's
value. If so, each issue value should be stated on an After-Tax
basis.


ISSUE VALUE RANKING CODES:
It is highly desirable to determine the monetary value, for both
yourself and the other party, however, in some circumstances doing
so may not be possible or practical. In such cases the relative
value of an issue may be indicated via the following issue value
ranking codes:

V 80 - V 100 = VERY HIGH
V 60 - V 79 = HIGH
V 40 - V 59 = MEDIUM
V 20 - V 39 = LOW
V 1 - V 19 = VERY LOW

REMARKS:
Sorting of Value will sort and display monetary values and the above
ranking codes separately.

RESTRICTIONS:

þ Rank Codes must be proceeded by a 'V' and be between 1.0 and
100 inclusive.

þ Monetary Codes will accept numbers between 0.0 and 9999999.


EXAMPLE: ( Of using time value of money principles to negotiate a sale.)
Assume that you are the Seller and that a potential Buyer is interested
in purchasing your computer $20,000 system. However the Buyer has
decided not to buy at this time, since he/she cannot afford an
immediate cash payment of $20,000.

Your Negotiation Strategy Proposal: (Based on your hurdle rate of 15%) You
propose that the Buyer purchase the $20,000 computer system via equal
payments of $9,494 at the end of each year for 3 years based on an
interest rate of 20%, (A = P20000 ( A/P,20,3) = $9,494) You emphasize,
based on the documented annual cost reduction, that your new proposal
provides a very advantageous alternative versus the alternative not owning
the computer, i.e.:

Buyer's Buyer's Buyer's
Year Cost Reduct Payment Net Benefit
1 $ 10,000 $ 9,494 $ 500
2 14,000 9,494 4,500
3 24,000 9,494 14,500
ÄÄÄÄÄÄÄÄ ÄÄÄÄÄÄÄ ÄÄÄÄÄÄÄ
Total: $ 48,000 $ 28,482 $ 19,518

Note: The mutual advantages of your strategy are as follows:

1. The Buyer will have benefitted: With NO net cash outflow,
received total additional benefits of $ 19,518 during the
initial three year period; then owning and receiving future
benefits from the system.

2. You, the Seller, will have benefitted by: Having avoided
losing the sale of a computer system; Earning an NPV Bonus of
$ 1,675 (Due to loaning $20,000 at 20% interest versus your
15% hurdle rate) i.e.:

A9494 (P/A, 15, 3) - A9494 (P/A, 20,3)
= $21,675 - $20,000
= $1,675

SEE ALSO:

þ DOCUMENTATION & SUPPORTING MATERIALS MANUAL:
The Pro:FIN section will provide additional information on financial
analysis (i.e.: Present Value 'PV', Future Value 'FV', Uniform Series
'US', Interest, Return on Investment 'ROI', etc...)

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PRO:SPANS LOGO MENU
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MENU:
The Menu lists the available program options for the
PRO:SPANS System.

Use the mouse, arrow keys or the highlighted characters to
move the bar cursor to a Menu option. Press the
key to select the option. The option may invoke a command
or display a submenu.

proSpans OPTION:
This option will immediately start the Pro:Spans (Professional:
Selling, Procuring And Negotiating Skills) program.

HELP OPTION:
Selecting this option brings up this help screen.

proFin OPTION:
This option will immediately start the Pro:FIN (Professional:
Financial Expenditure Justification) program.

ProBar OPTION:
Selecting this option will immediately start the Pro:BAR (Bar Graph
Analysis) program.

proText OPTION:
This option will immediately start the Pro:TEXT (INTAC, INC.'s
Word Processor) program.

proCalc OPTION:
This option will immediately start the Pro:CALC (INTAC, INC.'s
Spreadsheet) program.

Ref OPTION:
Reference files available include Glossary, License, How To Order
and Warranty.
Select the option you desire to read:

GLOSSARY Definition of financial terms used here
LICENSE INTAC System Division's License Statement
WARRANTY INTAC System Division's Warranty Statement
TO ORDER How to order INTAC System Division's Products

proInit OPTION:
This option will immediately start the Pro:INIT (Word Processor and
Spread Sheet Initialization) program. You may designate the
free INTAC provided programs, PRO:TEXT or PRO:CALC, OR any
wordprocessor or spread-sheet on your hard drive. The
designated programs are then available to document any
entry made in the PRO:SPANS system.

Quit OPTION:
Selecting this option exits the PRO:SPANS System.


  3 Responses to “Category : Financial and Statistics
Archive   : PROSPANS.ZIP
Filename : SPANDEMO.HLP

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