How to overcome barriers by factoring perspective into risk calculation

At the heart of any business negotiation are qualifying questions that participants ask themselves and each other about the potential risks and rewards of engagement. Understanding the real and perceived upsides and downsides of the opposite party is the first phase in reaching a balanced agreement.
Depending on who’s doing the math, the formula for risk can vary considerably. From banker to entrepreneur, buyer to supplier and employer to job-seeker, the viewpoints that contribute to individual decision-making are often diametric.
From an internal standpoint, risk-reward management is also a matter of wide-ranging opinion. If your focus is business development, your eye is on opportunity. If your role is operations, you center on production efficiency. If finance is your background, the bottom line is your top priority. And if service is your calling, happy employees and customers are your answer.
The most successful partnerships and organizational behaviors result from anticipating and being sensitive to the perspectives of everyone involved. This broadens your outlook, and improves your ability to mitigate and negotiate.
Conclusions based on facts and figures alone rule out the value of instinct, while qualitative reasoning without data doesn’t always measure up. Optimum solutions can usually be found somewhere between objective and subjective considerations.
Given the diversity of inputs and industries, there’s no equation that perfectly computes the art and science of risk, but consider these general guidelines:
Remember, it takes two. There’s no such thing as a one-way evaluation. As you ponder a new supplier, that company could be seeking an even better client. While you decide whether to give a raise, your employee may be searching for a new position.
Don’t be too quick to judge. A proposition might not seem good on paper, but that doesn’t mean it’s a bad deal. Some of the best decisions you’ll make are the ones you initially thought you shouldn’t have.
But know when to say no. Not all business matches are made in heaven. If it seems too good to be true or if a sense of doubt looms, trust your gut and pass. Make sure you say yes for the right reasons. Some of the best orders you’ll get are the ones you don’t take.
Realize when to make your move. After considering possible pluses and minuses for the other entity or person, prepare to discuss them, but be mindful of your timing. Acting first can be a disadvantage, and some things are better left unsaid. Be careful not to create concern where it doesn’t exist or give away more than necessary.
Revisit your approach. Priorities change. People change. Recognize when it’s time to reconsider the factors you’re using to assess opportunities and risks. The relative importance of these things may change eventually, too.
Fear is a roadblock to both personal and professional growth. To gain, you must venture beyond your own doubts, and address and allay the concerns of others.