Figure 3.2 shows how a Needs/Objectives Matrix would look if applied to the loan processing case from Chapter 2. In this example, the personal needs are very important to the success of the negotiation. To create a win-win outcome, both parties had to go beneath the surface to discover personal needs as well as business needs.
It might be useful at this point to look at the relationship between wants, needs, objectives, and positions as shown in Figure 3.3. We first focus on our wants. By exploring what getting these wants would do for us, we discover our needs. Once we have defined needs, our next step is to establish our objectives—business and personal. Only after having determined our wants, needs, and objectives are we ready to create our positions.
Using this information may help determine your position and settlement range, as we discuss next.