Earlier negotiation processes involved multiple disciplines including game theory, psychology, communications, law and what not. But as times have changed and everything has shifted towards the digital world - e - negotiations have completely dominated and ruling over the domain . It comes with several benefits including goal outcome which is the main advantage that it offers. E-negotiations carried out on the e-auction Portal can help one to capture the negotiation process and behavior in a better way. This helps to analyze and evaluate techniques which may be impossible to do when face-to-face negotiations are done. But that's not it.
Vendors rely on e-auction software procurement for multiple reasons which you would get to know about later in the article.
What is eNegotiation?
Before you opt for e-auction software procurement, it is important that you understand what E-Negotiation is all about.
Well, basically it can be understood as a form of automated negotiation which is ideal for deals where a simple transactional settlement may have the potential to end in a dispute.
Parties desirous of participating in the e-negotiation, after having accepted the terms and conditions of the prospective contract, quote their ideal prices at the beginning of the process. The e-negotiation process results in the lowest price thro’ an automated auction amongst the competing bidders.
At the conclusion of the auction the customer chooses the winner to enter into a legally enforceable agreement.
In case the automated result is not acceptable for any reason, customers may call for a fresh round of bidding from the same suppliers or an enlarged base of suppliers.
However, if you are ready for e-negotiation, then count on platforms like ProcurEngine which is a leading e-auction software for procurement.
Reasons why vendors have switched to e-Negotiation platforms!!
Here is the list of reasons that will help you to discover why vendors have switched to e-negotiation on e-auction portals.
- Redlining virtually
- Digital collaboration that works
- Activity feed
- No geographic limitations
- Multiple ways to negotiate
Traditionally, redlining was done with the help of a red pen on the hard copy of the agreement. Both parties had to send the agreement back and forth on a regular basis until they both reached a mutual agreement.
But with the presence of an e-auction portal, the contract administration has become very simple. From editing the documents to tracking the changes and conducting RFQ analysis - everything is done in a blink of an eye.
Stakeholders present have access to the same document and the platform enables each one to record the revision in real-time. But there's more !
The contract documents are safely stored in one location and the possibility of the versions getting mixed is eliminated. This on the other hand makes it possible for the stakeholders redlining various versions of the agreement.
Talking about traditional negotiations , it comes with multiple terms and there is always a chance to miss important information. A small mistake can destroy everything long before any member realizes it. But using e-auction portals from software providers like ProcurEngine, both sellers and buyers get a chance to eliminate the likelihood of miscommunication.
In order to close a deal that fits the demand and the purpose of the organization, it is important for different divisions to frequently collaborate.
So, e-Negotiation software encourages this through active participation which allows the team to work more effectively.
Every member in the value chain gets a chance to interact effectively and see the interactions of the other members.
Alongside they get a chance to witness the actions which are performed by other stakeholders and also comment on the documents utilizing their capabilities. This keeps everyone informed. There is a sense of transparency and no room for delays of any kind.
With the traditional negotiation process, there are always chances to miss out on important information and changes.
But when it comes to e-auction software for procurement from providers like Procurengine, vendors get a chance to see the activities including modifications, reviews, comments and approvals.
This somehow leads one to understand the organization's contract procedure alongside assisting the team to expedite the negotiations.
From highlighting the bottlenecks to discovering opportunities for improvement, the technology-based platforms help to shorten contract life cycles.
Another amazing reason why vendors have shifted their focus on negotiated trade reporting platform from renowned providers like Procurengine is that they have the ability to transact beyond geographical boundaries.
The suppliers have the possibility to reach out to millions of buyers all across the globe who might be interested in the product.
On the other hand, it benefits the buyer as well as they have the opportunity to buy anything using their best skills in a relaxed environment at their preferred location.
The need to physically attend an auction is eliminated by using the e-negotiation platforms.
Traditional negotiating involved making face to face conversations by attending the negotiation meetings physically. But with the availability of e-auction software for procurement, things have changed completely.
The traditional electronic platforms brought new ways to negotiate with the vendor and choose any option that works best for the organization. This included both video calling and emailing. Vendors can send as many emails as possible to the client until they reach a particular agreement. Whereas through video calling, vendors can add cues back to the equation whenever needed. Now there is no more need to schedule an appointment, wait in the queue or travel miles to make negotiations. It can be easily and remotely done by choosing an e-auction Portal from service providers like Procurengine.
Time to catch up with the fast-paced market!!
If you are still relying on offline negotiations and expecting to reach your goal, then know that the results might not be most efficient. This is simply because everything is shifting on digital platforms and so is the procurement.
Thus, if you want to keep up with the fast paced market, then you are suggested to check out leading e-auction software for procurement developers namely Procurengine. They offer the best procurement solutions and bring innovative technologies to the table which can assist you to quickly develop digital bargaining skills.