What is negotiated in the sixth stage regarding payment and incentives?

In the context of the sixth stage of negotiation, focusing on payment and incentives, the addition of services for extra payments is particularly relevant. This stage often involves discussing how both parties can benefit from additional offerings beyond the original agreement, encouraging enhanced performance or broader service levels that can lead to increased costs.

When additional services are included in a contract for extra payment, it not only aligns the supplier's capabilities with the buying organization's evolving requirements but may also incentivize the supplier to deliver higher quality or more timely services. This method can foster a mutually beneficial relationship where the supplier is motivated to go above and beyond, knowing that they will be compensated for the additional effort.

In contrast, while payment adjustments based on market rates, supplier performance reviews, and risk-sharing agreements are important components of negotiations, they primarily focus on different aspects of the agreement rather than the direct relationship of adding services tied to financial incentives. The addition of services directly addresses how the agreement can be enhanced through additional cost, linking directly to the negotiations at this stage.