The pharmaceutical industry is changing at a hurried pace,
thanks to the growth of information technology, greater
competition, globalization, and an increasing number of mergers
and acquisitions. Product managers who have learned the necessary skills to
become adept at negotiating with their clients will have the
advantage in the new workplace; those who do not possess
negotiating skills may find themselves unable to make much
progress in as dynamic a playing field as pharmaceuticals.
Product managers must be able to negotiate effectively and
efficiently with people of diverse backgrounds.
After all, they spend the major portion of their workday in
discussions with sales personnel, advertising agencies, PR
agencies, product developers, and financial analysts. The successful integration of ideas and decisions
necessitates good negotiating skills on the part of the effective
product manager.
Product management requires the
ability to be comfortable with the negotiating process and the
resulting decisions. Furthermore,
the ability to recognize opportunities and to assemble deals that
do not waste resources and leave potential gains unexplored (a
phenomenon known as “leaving money on the table”) are
essential to building solid relationships in the field.
Successful negotiating skills, then, are a core management
competency for product managers in the pharmaceutical industry.
This
article provides product managers with tools to improve their
negotiating skills, using a systematic approach.
First, the variety of reasons why negotiations are a
challenging prospect for most people are examined within the
context of four myths and four sins of negotiations. Second, strategies and methods that can aid the product
manager in improving negotiating skills are identified.
