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PRAM Mannequin Definition

What Is the PRAM Mannequin?

The PRAM mannequin is a four-step mannequin for negotiation that’s supposed to lead to a win-win state of affairs for each events. PRAM is an acronym for the phrases “Plans, Relationships, Settlement, and Upkeep.”

Key Takeaways

  • The PRAM mannequin makes an attempt to supply a negotiation path during which each events profit, versus one benefiting at a price to the opposite.
  • The 4 sequential steps within the PRAM mannequin are enough planning, constructing relationships, reaching agreements, and sustaining these relationships.
  • The PRAM mannequin was developed by creator and speaker Ross Reck. 

How the PRAM Mannequin Works

The PRAM mannequin was developed to assist events take care of your complete negotiation course of from starting to finish. The method was developed by creator and speaker Ross Reck. 

The PRAM mannequin permits each events in a negotiation the chance to learn and fulfill their aims. In different phrases, the PRAM mannequin doesn’t deal with negotiations as a zero-sum game the place one occasion advantages on the expense of the opposite.

The mannequin depends on relationship management, since an initial-mutually helpful settlement helps lay the groundwork for extra fruitful negotiations and agreements sooner or later.

Kinds of the PRAM Mannequin

The 4 sequential steps within the PRAM mannequin are enough planning, constructing relationships, reaching agreements, and sustaining these relationships.

Ample Planning

That is the primary stage within the course of. At this level, the events concerned will attempt to determine what they can provide to one another by means of mutual motivation. The plans stage is the start of the connection between each events and is just like a 100-100 proposition, slightly than a 50-50 cut up. In a 50-50 cut up, an settlement is considered as a give-and-take state of affairs, whereas in a 100-100 proposition every occasion has an equal footing as a result of every occasion is collaborating within the giving and taking. That is what leads to mutual advantages. 

Constructing Relationships

As soon as the plan has been developed, each events can now begin to develop their relationship with one another. It is a very essential section, and it takes an excessive amount of time as a result of it depends on every occasion being upfront and sincere with the opposite. 

Right here, each events can set up belief and start to guarantee one another that they may be capable to fulfill the duties, duties, and guarantees outlined to 1 one other. 

Reaching Agreements

Now that the connection has been established, the 2 sides can decide what kind of settlement they may settle for. If the primary two phases have been performed accurately and with nice care, this a part of the mannequin ought to be fast and straightforward. Working by means of this level ought to simply imply that the 2 events are dealing with the small print. 

Sustaining Relationships

That is the ultimate stage of the method. After the settlement has been reached, the 2 sides can now decide to every part that they’ve outlined within the earlier phases. To ensure that the mannequin to achieve success, every occasion has to take care of every part that got here earlier than: the plans, the connection, and the agreements. 

Instance of the PRAM Mannequin

Joint ventures are a fantastic instance of utilizing the PRAM mannequin in actual life. For instance, suppose there’s a junior mining company that has undertaken an exploration challenge for a gold enterprise. It could begin growing a plan with a extra established firm. They’ll decide who will take every function, what every will deliver to the desk, and the way every will profit from the partnership.

Maybe the senior firm will deliver gear and native data of the legal guidelines, whereas additionally offering marketing for the challenge. The junior firm undertakes the geological exploration and evaluation by its engineering group. 

The 2 firms will construct a relationship, doubtlessly by describing how they may fulfill their roles in a manner that can profit each events.

Subsequent, the 2 firms will provide you with a contract. Within the settlement stage, the 2 companions will finalize their agreements—every part that was promised to one another within the earlier phases.

Lastly, the 2 firms will keep their challenge and maybe deliver extra folks into the fold. They proceed to ship on their guarantees. They might even resolve to tackle one other challenge collectively. 



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