OPENING THE NEGOTIATIONS

You have done all your homework. You have an understanding of the needs and vision of your community, and what you want from any company that wishes to work with you. You know what you want over the long term, and what you require in the short term in order to move towards that vision. Your team is equipped with a negotiation strategy and appropriate technical support. You are ready to open negotiations.

The opening of negotiations is devoted to establishing the topics to discuss and the order in which to discuss them (the “agenda”). It is the acid test of your understanding of the motivations and needs of the other party, whether it’s a mining company or possible Joint VentureJoint Venture: commonly, a business to which two or more parties contribute the essential land, capitalCapital: cash, property, equipment, services, and contracts or leases., and services, in return for a share in its ownership and control. (Note: the Joint Venture is very strictly defined under Canadian law.) partner. If your preparatory research, analysis, and planning are on target, the results can be powerful.

But before even the discussion of agenda commences, consider your “style and presence.”

Style & Presence at the Table

You are approaching the negotiating room. You have done hours of homework to prepare for these discussions. Make sure that you present yourself to the other party in a fashion that does all that preparation justice. As you come in the door, remember to

• demonstrate that you understand your economic and community self interests.
• be explicit and clear when you present your ideas and information.
• sell benefits, demonstrate where your interests coincide with theirs.
• behave as an equal.

Be direct and attentive. Right from the word go, let them know who you are. Show that you are meeting them because the company and your community share an interest in doing business. Indicate that you have learned about their interests and operations, that you want to learn more, and that you wish to discuss mutual benefits.

Listen to their explanation of what they are doing and what they hope to do. Ask questions to clarify anything you are wondering about. Then take the initiative, and outline the key features of the deal you would like to discuss.

Present your point of view with theirs in mind. Make it clear how the satisfaction of your interests is a way to satisfy their interests. Sell them on the benefits they themselves will capture if you are satisfied. For example, it is not to your advantage to tell them, “We want a share in ownership or access to profits.” It would be wiser to say: “We want to discuss how we can maximize our opportunities in this deal while ensuring that the mine is profitable over the long term.”

You are not looking to be “bought off.” You intend to be a participant in the mining opportunity and a key stakeholder – and you expect to be treated as equals by the company's representatives. They will respect the certainty you display about your interests and intentions, even if it takes them off guard momentarily.

Mutual trust and respect

Avoid using threats, especially when you are bargaining from a position of power. If a land claim or political action of yours has prompted the company to negotiate, treat it as a benefit to be kept under the table rather than on the table. You don't have to spell out the implications of a land claim, or how you can disrupt their development plans. The company already knows you are able to exercise influence. “Walk softly with that Big Stick.” Remember, the other party probably carries a Big Stick of its own. Once the sticks come out, they are difficult to put away. They are better suited to building a relationship based on fear, not trust.

Keep an eye on what you want from the deal, while selling benefits to the company. Try to build a bridge between your community and them so you can both share greater benefits. Industry understands the complex business of mining. Aboriginal communities need to respect that expertise. In turn, mining companies have to respect and understand Aboriginal communities and their core interests. You want mining companies to realize that you have interests that are also of interest to them.

Whether you make your pitch to the representatives of a mining company or a possible JV partner, they have to know you're serious. They have to know you can back up your word. They're going to look you in the eye and assess you. They'll ask themselves, “Do these people mean what they say? Will they tell us one thing and do another? Can they be had?” Communicate your intention to be a full and honourable participant by your body language, and by the intensity with which you bargain. It’s not a matter of getting yourself all “psyched up.” Instead, show them you're ready to sit down and work out every nook and cranny of this relationship. They'll get the message.

During negotiations there will be times when you encounter something that you don't understand. You may sometimes feel pressured or pushed up against the wall. At these points, don't be afraid to take a break. You will not lose face. Say something like, “You seem to have a good point there, but we're not sure we understand all its implications. We need to take a break and talk to our advisors.” This is fair ball. It is used in negotiations all the time.

When clear differences of opinion emerge, your belief in yourself and your understanding of your interests become key. Only people who lack self-assurance are ready to “go to the mat” and fight the moment differences emerge. They compensate for their insecurity by playing tough. Instead, remain friendly, calm, and matter of fact as you make your position plain. Say, “Well, this is the way we see it,” or “No, we don't think we can do that.”