Avoiding Contract Termination: Perspectives on Essential Skills in Road Project Negotiations

Abstract

Naturally, negotiations can settle any issue between contractual parties, such as one party seeking to terminate a relationship. This study acquires perspectives on the critical components of construction negotiations and effective negotiation skills using a qualitative approach derived from evaluating case study project documents and key informant interviews, covering various perspectives on negotiation skills needed in the Malaysian context. The findings established preparation as a critical component. Negotiation is not necessarily time consuming, but negotiation preparation requires careful attention. A negotiation map was created to demonstrate the perspectives on key negotiation skills and strategies. Construction negotiation is primarily driven by constant soft skills: communication, leadership, and problem solving to deal with the subject of negotiations that are identified as contractual issues, technical issues, design-related issues, and obstacles on the site. Technical competencies are typically teachable, whereas soft skills, such as effective communication, are valuable and should be strengthened. These skills are the foundation for building trust, explaining clear direction, and improving performance in a construction negotiation.