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Negotiating a Job Offer

 

negosiasiA successful negotiator must have some degree of “leverage”. Leverage can situationally mean: uninterrupted track record of work attendance, experience using a particular piece of equipment, or a unique track record of success. Leverage is exceptional value that you bring to an employer.

 

In successful negotiations, both sides feel good about the outcome. It’s not a win-lose outcome; but rather a win-win outcome.

 

Take lesson from the Boy Scouts, “Be prepared.” Do your homework and know the value of the things you are going to negotiate. (e.g. What’s the cost of health care benefits on an annual basis, the value of a week’s gained or forfeited vacation.)

 

When to negotiate and preparing

  • Negotiation begins AFTER the job offer. At that point, the company wants to hire you and you now have leverage. Don’t try to negotiate prematurely. Be patient and wait for specifics. To start the negotiations prematurely may send the wrong signals to the potential employer. (e.g. excessively focused on benefits vs. the job). Attempting to negotiate after you have accepted the position is difficult because you have given up leverage.

  • Critical- Try not to accept the job offer on the spot if you don’t know all of the job offer elements. Make a business decision; not an emotional decision.

  • Develop a strategy and a logical plan for what you want to negotiate and how you are going to approach the discussion.

  • If the Salary portion of the job offer is deficient, always start there first. Results in this area may influence how adamant or flexible you may choose to be on other points.

  • Homework is essential. Knowing as much as the you can capture about the pay range for the position as a result of research and conversations during networking, as well as the general market conditions for the your skill offerings is important. Knowledge is Power. You should know the cost/value of your health benefits, etc.

 

Who can negotiate?

 

Anyone can negotiate! You just need to be prepared.

 

What can you negotiate?

 

Anything!   Here are just a few things that you can negotiate:

 


  • Salary

  • Benefits

  • Vacation

  • Flextime

  • Education/recertification allowance

  • Equipment: laptop/PDA/cellphone/auto

  • Travel

  • Association fees/subscriptions

  • Start Date

  • Reporting relationships

  • Job Title

  • Level of authority

  • Budget, access to resources

  • Bonus (starting or incentive)

  • Airline miles

  • Severance


 Tips and Techniques

 

  • List the basics. Know what your minimal needs are before you can even consider accepting employment. There is a big difference between what you want and what you need.

  • Consider your needs and current situation. Depending on your individual situation, whether or not you are currently employed or how badly you need employment will impact your bottom line.

  • Evaluate the options to make sure the entire package is best for you.

  • Always be positive! Your behavior is a predictor of your behavior as an employee.

  • Consider the BIG picture.

  • Negotiate salary first, and then consider other benefits and perks.

  • You can negotiate for the present and the future.

  • Build on the “art of compromise” nature of negotiating. A “no” to a question asked one way does not mean you cannot continue to pursue desired concessions.

  • Negotiating is best done in-person. If done sitting across from the decision maker, you may benefit from being able to observe verbal and non-verbal reactions cues of the hiring manager.

  • The hiring manager’s facial expressions may provide insight into whether your requests are more routine and normal, or out of reason. Body language can also play a part. Are the body -messages positive, negative, suggesting irritation, or indicating you are being reasonable. Negotiating over the phone may be required; but it limits all information exchange to take place through the earpiece of the phone.

  • It is essential that you Be Professional throughout the process. Just as you are watching for cues from the hiring manager; they are looking for cues from you.

 

Developing a Go/No Go line

 

  • Determine beforehand your deal breakers. Establish a go/no go line and how important each item is as well as the total end package.

  • When determining how you rank with other applicants consider the following:

    • What level position are you applying for? (entry level, etc.)

    • What value, unique skills, and experience do you bring to the employer?

    • What is the market like in your area for similar positions?

    • What is your risk level? How comfortable are you in attempting to negotiate? How willing are you to walk away if your negotiation points are not met? How will you feel if the company declined to compromise or withdraws the offer?

 

After Negotiations are Complete

 

When you have completed negotiations and met your go/no go criteria, ask for the changes to be put in writing or offer to write them up and submit a copy.

 

Final Thought: If you don’t ask, the answer will always be NO.

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