Corporate Training

Case Study: How to Teach Employees Negotiation Skills Using Online Tournaments

Case Study: How to Teach Employees Negotiation Skills Using Online Tournaments

Negotiation skills are one of the most popular areas of corporate training. This is because successful deal terms are the key to business success. Negotiation skills are necessary not only for sales and procurement managers, but also for all specialists whose work is related to stressful communication. Lawyers, accountants, and those handling document management with counterparties must also possess these skills to effectively interact and achieve positive results. Developing negotiation skills improves communication within the company and increases the likelihood of successful transactions. Negotiation training in the corporate environment is typically conducted through workshops. However, one of the main problems with such events is the low motivation of participants. Employees often participate in trainings without enthusiasm or interest, which leads to ineffective training. This negatively impacts the results and reduces the value of the knowledge gained. To achieve the maximum effect from negotiation training, it is necessary to create conditions that promote participant engagement and interest, which will significantly improve the quality of training and its practical application. In 2020, the Pobeda confectionery factory introduced a new format – a corporate tournament. This decision was largely prompted by the need to adapt to the pandemic, which forced the transition of training to an online format. This approach not only fostered team building but also allowed employees to develop skills in a new environment. Corporate tournaments have become an excellent opportunity to boost motivation and improve team spirit within the company.

Why an online tournament?

Leila Babaeva, HR Director at Pobeda Airlines, shares her experience in the training, development, and assessment department. The team's main task was to select a format that would meet the key requirements for effective employee training.

  • improved and maintained employees' negotiation skills;
  • supported team spirit while working remotely;
  • facilitated communication between negotiators from different departments;
  • developed the practice of sharing experience within the company;
  • easily engaged people in the educational process;
  • was well suited for the online environment.

The project team determined that a corporate online tournament was an excellent solution for achieving the stated goals. Top managers also expressed their support for this initiative.

The company owners made changes to the training, recognizing the need to compensate for the lack of communication and create a motivating atmosphere within the team. They emphasized maintaining a mentoring culture, identifying leaders in negotiations who will share their experience with newcomers. The realization that we'll be working online for a long time was the basis for combining all these aspects into one project, as Leila notes.

The main advantage of online tournaments is their gamified format. This approach makes participation more engaging and interesting for players. Gamification incorporates game elements such as levels, achievements, and rewards, which encourages active participation and increases engagement. Online tournaments allow players to compete not only on skill level but also in an atmosphere of friendly competition, which attracts more participants. Thanks to the gamified format, online tournaments become more accessible and attractive, contributing to the growth of the audience and popularity of esports.

  • People feel less challenged when learning materials if they are engaged in the gameplay;
  • The competitive atmosphere and fellow fans maintain a state of drive;
  • Participants receive universal recognition if they earn a high rating in the game and grow in their own eyes ("Hurray, I'm doing great!"). This is a great motivator.

The tournament also includes awards for the winners, which provides additional motivation for participants. Rewards do not necessarily have to be monetary. In this tournament, it was decided that the winners would receive days off. The maximum number of days off for prize winners is five.

How employees were prepared for the tournament

A total of 108 employees with negotiation skills took part in the online tournaments. Among them were branch directors, key account managers, lawyers, procurement managers, and other specialists. All participants were located in different cities and even in five countries, which emphasizes the diversity and international scale of the event.

Before the tournament, the organizers recognized the need to improve their skills and master online tools. Preparations began three months before the event. During this time, the project team:

  • formulated a set of rules to be followed during negotiations;
  • held a webinar, "Negotiations Without Defeats," where business coaches shared the basic principles of successfully reaching agreements;
  • created a "Negotiation Club" chat on WhatsApp, where business coaches provided consultations to participants on all matters;
  • organized individual training sessions with a business coach for each future tournament participant.

The coaches assessed the participants' negotiation skills.

For the assessment, special checklists were created with criteria determining the success of reaching agreements. One of these criteria is "The appropriate use of bargaining: moving on to bargaining if the opponent is not satisfied with the offer." The business coach assessed the participants on each of these parameters, which allows for a more accurate determination of their skills and level of preparation. This approach helps increase the effectiveness of the negotiation process and improve the results of interactions.

To rank employees based on their negotiation skills and effectively distribute participants into balanced teams, the necessary event was held. As a result, the employees were divided into 36 teams of three people each.

How the tournament itself was organized

The online tournament lasted two months and included many intellectual challenges. Two days before each event, each team was sent an assignment in the form of a case that had to be solved jointly before the start of the competition. Leila emphasizes that the project team carefully selected the cases to ensure maximum involvement and interest of the participants. This helped create an atmosphere of competitiveness and stimulate creative thinking among the teams.

Participants were provided with real commercial cases from the company's practice. Competing teams negotiated with each other, receiving unique conditions based on which they had to conduct their discussions. Opponents were unaware of each other's terms and conditions, creating a realistic atmosphere for negotiations. This simulated a real-life situation where it is impossible to predict a client's proposals in advance. Business coaches acted as independent experts, evaluating the games using pre-developed checklists. The evaluation was based on a scoring system, with participants receiving points for various aspects, such as task performance, teamwork, and problem-solving effectiveness. The use of checklists ensured objectivity in the evaluation and identified the participants' strengths and weaknesses. This facilitated a deeper understanding of their skills and capabilities and provided valuable recommendations for further development.

  • Team preparation. Each team submitted a negotiation preparation sheet an hour before the game. It included goals (what the team hopes to achieve as a result of the negotiations), what the group was willing to sacrifice during the negotiations, a description of strengths—their own and those of the "counterparty," and so on.
  • Compliance with role specialization. Each participant received points for performing the functions stipulated by their role in the business game.
  • Compliance with negotiation techniques. Here, points were awarded for the precise execution of techniques: preamble, bargaining, closing, and so on.
  • Achieving a result without defeats. The team's financial result must be better than the starting conditions.

The calculation of all points determined the team's performance at each stage of the tournament. The winning team continued its participation, while the losers were eliminated from the competition. This process ensures a fair distribution of places and helps identify the best participants throughout the tournament.

During the tournament, a closed Instagram account was created, where news from each round was published: information about the winners, details of the stages, and the most memorable moments. This social network also became an additional source of learning for participants, providing valuable materials and advice.

We analyzed the participants' appearance during negotiations and concluded that guidelines for adhering to a business dress code were needed. This is critical for successful deals and is part of social norms. We began tracking those who adhered to the dress code and sharing their photos on Instagram as an example for others.

At the end of October, the finals were held, in which the four strongest teams met. As a result, 12 of the best negotiators were selected, who became mentors and experts in the "Negotiation Club." This chat continues to function after the tournament, providing an opportunity for employees participating in work negotiations to ask questions and receive advice from mentors. During the negotiation period, when contracts are being renewed for a new term, chat activity increases significantly.

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