25/08/2026
Negotiation Lessons I’ve Learned in Procurement
Over the years, both as a procurement professional and as someone who has had the opportunity to lecture procurement across different universities, I have come to one important conclusion:
A good negotiation is not simply about getting the lowest price. It is about creating value while protecting the organisation.
One mistake I have personally experienced and also observed professionally is entering negotiations with too much focus on price and not enough attention to the total contract value including terms and conditions, risks, delivery requirements, payment terms, service levels and supplier obligations.
A small concession made during negotiation can become a significant problem once it is incorporated into a contract.
For students and aspiring procurement practitioners, my advice is simple:
Prepare before you negotiate. Know your requirements, understand the market, establish your BATNA, identify the key cost drivers, understand your budget and most importantly, know the procurement policies and procedures that govern the process.
Never negotiate outside the rules. A deal is not a successful procurement outcome if it violates procurement procedures, compromises fairness or creates unnecessary governance and compliance risks.
And remember, the best negotiation is not necessarily one where procurement “wins” and the supplier “loses.” A strong negotiation is one where both parties reach a commercially sound agreement that delivers value for money, manages risk, supports supplier performance and protects the interests of the organisation.
From my experience, the strongest procurement negotiators are not necessarily the loudest people in the room. They are the best prepared.
That is where meaningful savings, stronger supplier relationships and sustainable procurement value begin.
