 |
Show Me the Moulah!
by Susan Zitron Woods
Zitron Career Services
Why go out on a limb? Because that's where the fruit is.
-Will Rogers
Your Self-Worth and the Negotiation
During negotiation, there is a critical psychological factor at play. The company must recognize your belief
in your self worth in order to maintain their positive image of you. As a group, people tend to place more value on those goals that took effort to achieve, rather than the ones easily handed them. Companies are made up of people who are gratified by these same motivations. Therefore, if the package or the position is not a fit with your non-negotiable career criteria, you must negotiate. If they are too far off base, you must also be willing to give it up.
Can You Really Have It All?
Don, a 48-year-old senior manager, had interviewed with many companies during his four-month search. He had completed both a corporate career plan and an entrepreneur/consultant career plan, and was armed and ready for all types of opportunities. When he interviewed with an emerging re-engineering firm, ready to develop a new business unit to support their methodology software, Don was very excited. The position appeared to be a perfect fit with not one, but both of his career plans. Four weeks after his initial interview, the company offered Don a senior sales position with a base salary of $100,000 plus a bonus on all business sold. At a minimum, this deal would have generated Don $120,000 in his first year. Unfortunately, Don was mortified. Not only was the compensation package 20% below his non-negotiable minimum, the position itself was not the management slot he was seeking. He had not discussed compensation throughout the interview process, and realized that, clearly, this offer would not work.
With a daughter about to enter college, and another in a private school for mentally challenged children, a big monthly mortgage and only thirty days left in the savings account, Don was under tremendous pressure. Don knew he would sabotage his success if he accepted the offer as stated. As much as he needed the money and liked the company, he knew what he had to do.
When he next met with the hiring authority, the man was astounded that Don turned his offer down. After explaining exactly what his criteria were, and how neither the position nor the compensation fit with them, the hiring authority got the picture. Instead of accepting his rejection as Don had expected, to his amazement this savvy hiring authority asked Don to give them two weeks before accepting any other offers. In his words, he said, "I think we've made an error in our strategic plan for this business unit, Don. We need to go back and rethink it in closer terms with your requirements. "Happily, Don agreed. The negotiation had begun!
Two weeks later the hiring authority counter-offered his original proposal with this one: Don would not be just a salesman for the new business unit, he was being given responsibility for leading the entire development of it. His base salary was increased to $140,000, with a bonus of another $20,000 based on realistic sales goals. Not only did Don negotiate his dream job, he received a 40% increase in his overall compensation. Don and the company negotiated a win/win deal. Yes, he accepted their offer!
Take a Stand for Your Success
Do you think Don was amazed at the turn of events? You bet he was! He had so much at risk when he turned down this company. But he held to his belief that he deserved to have satisfying work, and to achieve this, he could not sell out on his non-negotiable values. Although scary, taking a stand and believing in his self-worth inspired the company to do the same. It is one of the greatest thrills of Don's career. And you can achieve this when you commit by taking a stand for your career.
Words of Wisdom
A client shared this quote from one of her Stanford MBA program professors; it is apropos to maintaining your high self-image throughout the entire interview process:
|
Always go to work for somebody who thinks you are a star, because they will help you be a star. You can make a lot of mistakes before they will change their opinion of you. In contrast, if you come in having to prove your worth, you'll never do enough to offset a negative impression.
|
There is No Such Thing as Win/Lose
The truth is that unless a deal is a win/win, it will ultimately become a lose/lose. One side cannot win if the other loses. If you are not happy with your earnings and settle for less than you really want, this sense of dis-ease will affect the quality of your work. It may not show up at first, but it certainly will down the road.
Not knowing how to negotiate well is a choice, not an excuse. Knowing how to negotiate is a skill that you can learn, and be as proficient at as your job. You can reduce your apprehensions and improve your negotiating success with a little education and preparedness. To do this, you must understand what is involved in successful negotiations.
What Exactly Is Negotiating?
According to Webster's II New Riverside Dictionary, negotiating is ...
|
1. To meet and discuss with another in order to reach an agreement. 2. To settle by meeting and discussing. 3. To transfer title to, or ownership of ... in exchange for equivalent value. 4. To accomplish or cope with successfully.
|
Negotiating, by definition, is neither an overt or covert attempt to create a problem. It is an opportunity to "accomplish or cope with successfully" and can, and should result in a positive result for all parties concerned. Positive results come in many forms of yes, or in a singular no. You must be able to trust that if the results you achieve are not a fit for your career plan, then the most successful result you can accomplish is a no deal.
Why You Should Always Negotiate
You can trust the fact that if you're happy about joining a company, and they've checked your references, it's a good bet the company is happy to have you too. Let's look at the situation from their side. If the job is currently vacant, then someone in another position is covering it. That person is most likely overwhelmed with two jobs! If no one is covering the position, problems are occurring that make it difficult for the company to maintain their objectives. If someone who is incompetent currently fills the job, they want that person out of there fast. Lastly, if the person you are replacing has been promoted, or is leaving the company, there's a deadline and the company needs to meet it before problems arise. The company has got a lot at stake! Perfect, because this is precisely the environment that makes possible your ability to negotiate a darn good package.
Understanding the Goals of the Negotiator
Did you know that most employers expect you to negotiate with them? This is why they work with a salary range with a low, mid and high end. Their goal is to try and buy your talents for as low on that scale as they can, and a range serves them in several ways. First, they will try to hire you for a lower starting salary, so if you don't work out, they won't be out as much. Second, if you do work out, which they truly hope you will, when it comes time for a raise, they have some budget for an increase. It will be easier for you to negotiate your compensation and position if you remember that these are the goals of the negotiator. This is their job, so to speak. Respect their effort to carry out their objective by trying to put yourself in their shoes.
Surprise: Employers Expect You to Negotiate
All good negotiators expect you to negotiate with them, too. They expect you to be savvy in all areas of business, not just your job. Because they have a range, they go into the negotiation assuming you do also. Therefore, if you don't negotiate for a better package than what's written in the offer, you could be leaving money on the table and missing out on a much better deal.
After The Negotiations, There are No Guarantees
Keep in mind, it is much more difficult to negotiate for more of anything after you have joined the company. You may not have a review for six months to a year after you start. With no guarantees that the person who hired you, or the circumstances under which you were hired, will be present for consideration at your review, you could get stuck at your starting salary for a long time. However, you can count on this: if you negotiate for a little more every time you are made an offer, your boss will expect that he or she will have to stretch to make you happy. They will most often admire you for it, and if they don't, no doubt their self esteem is low, and you will be passing them by on the ladder of success. Go for it!
|