Saturday, June 26, 2010

Salary Negotiation: Five Ways to Get What You Want - WSJ.com

Repost of a Wall Street Journal article on salary negotiation. Looking back at my experience, some of these tips are quite effective.




A tight job market might have taken away some jobseekers' leverage in a salary negotiation, but that doesn't mean they should roll over and accept the first offer, says New York-based executive coach Rabia de Lande Long. To get the top compensation possible—without putting a sour taste in your potential employer's mouth—take these steps.
1. Do your research.
It used to be hard to find out what your coworkers and other professionals in your industry get paid. But now, several resources have attempted to opened that black box, says Ms. de Lande Long. Salary.com and Payscale.com give salary ranges to expect based on a job seeker's position, location, and experience. Employees at the actual company you're applying to might have also posted their salaries at GlassDoor.com.
2. Don't give out the first number.
You'll be pressured to do this through the application process. "What's your salary requirement?" "What salary range are you looking for?" "What do you get paid now?"
Getty Images
Getting the salary you want requires smart negotiation.
Whatever you do, never give out the first number, says Ms. de Lande Long. If your answer is too high, you might not make it to the next stage. Too low, and an employer will either think you're not qualified or desperate. So, if possible, write "NA" on applications.
If you're pressured to say how much you make during the interview process, try giving your "total compensation," which many large employers will break out for you on the company's internal human resources website. If your current employer doesn't do that, just spell out your salary, benefits, bonuses, and anything else your current employer offers, says Decatur, Ga. career coach Walter Akana. If the new company doesn't offer some of similar benefits, the HR manager will know that your new salary would have to be bumped up to reflect that, he says.
If the interviewer still presses for a required salary, try giving a range of $15,000 rather than a specific number, Mr. Akana says.The low amount should be the minimum you'd be happy with and the high amount should be what would make you happy.
3. Don't lie.
"It's so easy to get someone in HR to verify a salary, even if they're not supposed to," says Ms. de Lande Long. Even if you make it to a job offer, the false salary could come out during a background check, which could result in an outright retraction of the offer or at least upset an employee's new boss. "And from that point onward, you might face trouble in negotiations not just with your new employer, but with everyone in your industry who has heard. Word gets around," says Ms. de Lande Long.
4. Don't take the first offer.
Most employers expect candidates to try to negotiate. So they leave room in the first offer for a raise, says Mr. Akana. If possible, try to arrange a face-to-face meeting with the hiring manager rather than someone in human resources. The hiring manager is more likely to be flexible, says Mr. Akana. "
Say that you're flattered to have an offer and really want to join the team, but that there are a couple specific items that you're sure you could resolve if you put your heads together," says Mr. Akana. Despite the pressure on salaries during the downturn, a good rule of thumb is to ask for a 10% higher salary, says Ms. de Lande Long.
If the hiring manager says budget restrictions keep him from going as high as you'd like, it might be that the position is "graded" to be within a certain salary band by HR, says Mr. Akana. It's worth asking if the boss can ask the appropriate person for the job to be re-graded. The worst he can say is no.
5. Once that's locked in, go for other benefits.
Despite what you might have heard, many benefit packages aren't flexible, says Ms. de Lande Long. So, while it's worth asking, it might be difficult to modify the health plan. Your success in getting more vacation days depends on the employer, says Ms. de Lande Long.
Your potential boss might be hesitant to give you more days if it will make other employees think they're being treated unfairly. Instead, focus on things that are easy for the employer to provide, such as a work-from-home arrangement for one day a week, if the employer has made such arrangements in the past, says Mr. Akana.
If you still feel your package is too low, ask if it can be reviewed again in six months. "That way, you can show them that you're worth the money," he says.

Friday, June 25, 2010

Taking advice from bartenders

I am all for telling stories and leading others towards shared vision with tidbits of personal experience. However, this particular example somehow does not resonate in my mind. What do you think?


Alex, Newark, NJ
Jimmy The Bartender® answers
My uncle had a little yapper dog. Always put its damn wet nose in my face. When it died, I was relieved. Their next dog greeted us when we first came in, and then shut up. I pet it all the time. See, let them come to you, my man. You're so busy making an impression that you neglect the work that actually does impress. Put your nose down, do your best, and you'll be noticed for what you produce, not what you say.



Thursday, June 24, 2010

Women: Know Your Limits!

It all started when my friend Jessica shared this video with me. I barely managed to scrape myself off the floor, wipe off the shed tears as I was laughing uncontrollably and brought myself to typing this post...





Apart from brilliant stinging dry sharp ingenious British humor, this video got me thinking. In the past two days I observed a number of situations when comments were made in a business school environment about females sort of "not making it". I intervened in one instance and tried to soften the edges, the other case was relayed to me post factum, but is there a trend? Or, which is more concerning, is there a prejudice? Still? In the edification of diversity and open-mindedness?


It is a fact, for instance, that in my MBA section there are 22% females against 78% males. How this facts relates to cognitive abilities of either sex is open for scrutiny.


I came across an article about the debate whether the US academic institutions should go back to same-sex classes:
With male academic achievement declining by almost every measure, and their scores possibly dragging down national averages, administrators [in the American education system] are taking a fresh look at same-sex classrooms and the concept that boys and girls might do better when they’re apart. 


Take that! Conservatives should take a vacation and go to Fiji (and rather stay there!). But no - on and on and on - the struggle is ongoing. It is some sort of a vicious society and women always get the bad end of the stick. Barack Obama is criticized for not being masculine enough as if it were a vice or a crime. So being "soft" on an issue of a global importance is characteristic of women. Well, Mrs Thatcher can prove you all wrong. Obama once mentioned that whenever he talks about safety, his masculinity is questioned. Macho much? What else does BP need to do to prove that safety is key in any type of operations?


So whoever you are - know YOUR limits. You never know which one of us is more limited...





Wednesday, June 23, 2010

Change in Action

I am so excited about the upcoming Change in Action week in my MBA program at IE Business Scool. Not only because it will mark the end of my first term (and it means that the exams will be over) but also because it will be a welcome break from the regular classes into issues, which are not normally taught as part of an MBA curriculum:
Between the first and second core periods of the MBA curriculum, students explore – through a series of presentations from outside experts, online simulation, interactive workshops, group work and on‐site company visits – the challenges and opportunities of discontinuous change. Topics will vary each year to include climate change, demographic change, nanotechnology, or the rise of user‐generated media. Exercises will strengthen participants’ ability to gauge the impact of change and to identify new opportunities offered by change. The topic for 2010 is the Future Beyond Oil: Thinking Outside of the Barrel to Ensure Sustainability, as explored through the triple prism of economic change, climate change and geopolitical change.
This will be second change module in my MBA education. The first (LAUNCH) took place during the first two weeks of the program and it focused on personal change. Change in Action externalized the issues and we will be working with issues on a global level. I have taken a peek at the speakers and activities - wow! I am so there!



It came out a bit promotional, but sorry can't help it. When I am thrilled, I do not really care. For the same reason I like wearing Gucci :)

Tuesday, June 22, 2010

The Business Case for Wellbeing

Gallup in its study of wellbeing identifies 5 essential elements of wellbeing:


  • Career Wellbeing: how you occupy your time -- or simply liking what you do every day

  • Social Wellbeing: having strong relationships and love in your life

  • Financial Wellbeing: effectively managing your economic life

  • Physical Wellbeing: having good health and enough energy to get things done on a daily basis

  • Community Wellbeing: the sense of engagement you have with the area where you live




The High Cost of Low Employee Wellbeing

Managers are often so concerned about other employees that they tend to disrespect their own claims to rest and detachment from work. Hence, long hours, leave days buy-outs and heart attacks in the workplace.

This thought is particularly important now for my fellow MBA students and myself: with the exam session approaching, the valid question for everyone is: is (academic) success in the short run more important that the potential stress that you cause to your body? I know the answers that I am going to get, so the least I can do is to offer some personal advice:

  • find at least 15-20 minutes for physical exercise (a jog around the block 5 times would be great :)
  • drink water: hydrate yourself
  • eat dark chocolate: it stimulates mental activity and provides you with the necessary amount of (relatively) good sugars
  • take regular breaks and meals
  • draft a study plan
  • go out for an hour or two to take your mind off studies: information is best absorbed when activities are changing
... have I missed anything? Ah, yes: take it easy!

Monday, June 21, 2010

I love my job!

What can be done to improve employee engagement? Many pieces of advice can be given, but if we analyze the research and literature on the topic, it comes down to the following basic recommendations:

  • show employees the light at the end of the tunnel (i.e. vision and its implications on a personal level)
  • make work second home (i.e. increase "embeddedness". it's a fancy term that has become particularly fashionable lately. so it is no longer enough for the employees to be engaged, they need to be embedded as well)
  • clear up the mud (i.e. make processes and procedures transparent and understandable, improve communications and ensure employees understand company decisions. even when those decisions are hard and tough but easy for everyone to grasp, you will get much more respect and buy-in).
If you are slacking on those, you might get an employee, whose daily mantras would be something like:




Anyone who has not felt like that - raise your hands! Jokes aside, there are serious economic implications of employee disengagement. The figure below shows the correlation between the level of employee engagement and the company profitability:
CHART: The Cost of Disengagement

Sunday, June 20, 2010

Personal Brand

Jennifer Aaker started this whole hoo-haa with personal branding and nowadays you are kind of perceived as a loser if you don't talk about it, either supporting or condemning. Why is it so important to be branded? We are not cows or sheep and what are the chances of us being merged with the crowd - we are unique and brilliant each in his own way.

The experts choose to differ. Lynda Gratton in her book Glow is talking about a signature. Times of best practices is over since a best practice can be replicated, but try to counterfeit someone's signature - potentially might be a huge problem. She puts it into the context of "glowing," a term she coined to indicate someone or something radiating an enormous amount of energy, which draws people to you (together with money, love, luck and lots of greedy relatives). People who do not glow end up in the areas of permanent frost and freeze to social death.

Dave Ulrich in one of his latest books Leadership Code is exploring the concept of a Leadership Brand. The following video fully covers the basic ideas (it's 12 minutes long, but trust me - it's worth it):


When so many smart people talk about the necessity of having a personal brand in one voice and all over the place, it is worthwhile to give it some thought:

  • what sets you aside from the rest of the crowd?
  • why is it difficult for others to be what you are?
  • how do you communicate your personal brand?

In conclusion, a short Pepsi commercial edifying the idea of when a personal brand can go TERRIBLY wrong. Look out for the punchline :)


Finally, if you got really interested in the idea of personal branding, you can find a lot of resources and information on this blog: http://www.personalbrandingblog.com/. Outrageously commercialized but still serves the purpose.

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