A prominent FMCG company, operating several manufacturing plants in Belgium, was facing a major restructuring that demanded flawless internal coordination for upcoming employment relations negotiation. By embracing our unique Impact Planning House methodology, the client set clear negotiation objectives and unified internal teams within just 4 weeks – securing uninterrupted operations and a 4-year collective agreement.
Client Background
Our client, a renowned international FMCG company celebrated for its strong brand portfolio, manages multiple manufacturing facilities in Belgium. Governed by various collective labor agreements, the company needed to rethink its organizational structure as part of a larger corporate transformation.
The plan to establish a shared-services center in Romania meant that several functions in Belgium would be phased out and relocated. Confronted with this challenge, the Belgian Executive team entrusted the HR department with conducting negotiations with employees and trade unions.
Their goal was to ensure smooth business continuity while respecting stringent budgetary constraints, a task that required expert strategic negotiation planning and a firm negotiation power balance.
The Challenge
The impending changes created a multifaceted negotiation scenario:
- Diverse Labor Agreements: Each manufacturing site adhered to distinct collective agreements, complicating the overall negotiation landscape.
- Organizational Restructuring: Transitioning functions from Belgium to a new shared-services center in Romania demanded a consolidated approach to prevent operational setbacks.
- Internal Misalignment Risks: Without unified negotiation objectives, differing internal agendas could conflict with the broader company mission, impeding any successful agreement.
- Budgetary and Operational Constraints: The mandate was clear – the negotiation process had to preserve daily operations and stay within a fixed budget, a considerable challenge during a complex corporate reorganization.
- Urgency in Timing: Finalizing collective agreements before the employees’ summer holidays was imperative, as was avoiding clashes with upcoming social elections.
The HR team required a systematic, well-coordinated plan to define realistic negotiation goals that resonated across all internal stakeholders while leveraging our expertise in commercial negotiation planning.
Our Strategic Approach
Impact Negotiation Group was engaged to bring structure and clarity to the negotiation process using our signature Impact Planning House methodology. Our comprehensive strategy unfolded in four key phases:
Impact Planning House Methodology
Our established methodology laid the foundation for a resilient negotiation framework:
- Objective Definition: We began by articulating precise negotiation objectives, ensuring that each goal was aligned with the company’s overall interests rather than being crafted in isolation.
- Holistic Stakeholder Involvement: Meetings with general management, production, commercial units, finance, logistics, HR, and legal were conducted to guarantee full alignment on the objectives, reinforcing our commitment to effective negotiation consulting.
- Mapping Interactions: We carefully charted potential interactions among various functions, identifying and preemptively addressing any conflict zones.
- Structured Roundtable Discussions: Through three rounds of collaborative discussions over a total of 7 hours, the team distilled a shared set of objectives that balanced operational continuity, cost control, and strategic agility.
Key Preparation Strategies
A meticulous preparation phase set the stage for successful negotiations:
- Internal Alignment Sessions: We led cross-departmental sessions to ensure that every team – from production to legal – understood and supported the negotiation objectives. This alignment was vital for consistent messaging and cohesive strategy, enhancing our corporate negotiation training approach.
- Clear Priority Setting: The Belgian Executive team made it clear from the start: the negotiation process must safeguard operations and adhere to the budget. This focus streamlined subsequent discussions.
- Conflict Identification and Resolution Planning: We identified potential friction points, such as overlapping roles and communication gaps, and tailored strategies to counteract these issues.
- Contextual Messaging: Developing the right communication for both employees and trade unions was critical to building trust and preserving sensitive details.
Tactical Implementation
Once objectives were defined and internal alignment achieved, we executed the negotiation strategy:
- Steering Committee Formation: A dedicated steering committee was set up to provide ongoing guidance and keep the negotiation process on track.
- Pre-Conditioning and Messaging: We crafted a comprehensive communication plan detailing what information would be shared, with whom, and when, ensuring consistency throughout the negotiation stages.
- Strategy and Obstacle Analysis: Detailed negotiation strategies were developed, anticipating potential challenges. This included establishing clear agendas, defining roles, and preparing key talking points – a process reflecting our proficiency in market access negotiation.
- Tailored Negotiation Tactics: Our approach was customized to meet the unique challenges of employment relations negotiation in the midst of a dynamic corporate restructuring.
Support Provided During Negotiation
Ongoing support was crucial to a smooth execution:
- Real-Time Guidance: Throughout the negotiation period, our team provided continuous coaching, addressing any issues as they arose.
- Adaptive Adjustments: As the process evolved, our experts offered immediate feedback and strategic tweaks to manage unforeseen challenges effectively.
- Post-Negotiation Integration: After the negotiations, follow-up sessions were conducted to ensure that the agreed-upon strategies were successfully integrated into the organization’s operational framework, highlighting our commitment to commercial negotiation planning.
Results and Impact
Our structured approach delivered clear, measurable benefits:
- Rapid Negotiation Process: The negotiation was completed in just 4 weeks and within 4 rounds, a testament to the efficiency of our strategic negotiation planning.
- Business Continuity Secured: The transition of functions to the new shared-services center occurred without disruption to critical operations.
- Long-Term Agreement: The unified objectives led to a collective agreement that met immediate restructuring needs and provided stability for the next 4 years.
- Avoidance of Social Conflict: A disciplined and consistent negotiation framework minimized the risk of social conflict, preserving positive relationships with employees and trade unions.
- Optimized Resource Allocation: The agreement was reached within strict budget constraints set by Global HQ, showcasing our ability to deliver cost-effective outcomes without compromising quality.
- Enhanced Internal Collaboration: Comprehensive stakeholder engagement and internal alignment fostered a culture of collaboration – key to successful negotiation strategy and maintaining a robust negotiation power balance.
Are you struggling with the challenges in your employment relations?
Impact Negotiation Group excels in transforming complex internal negotiations into structured, successful outcomes. Our proven Impact Planning House methodology can help you set clear objectives, achieve internal alignment, and execute negotiations that protect both operational continuity and your bottom line. Whether you’re looking for expertise in negotiation training or any facet of negotiation strategy, our tailored solutions have you covered.
Schedule your negotiation consultation today to explore how our strategies can empower your team and drive lasting success.
