Thursday, April 20, 2006

10 Positive Ways To Negotiate Your Raise

So, you think you deserve a big raise. And you plan to seek a meeting with your boss. But before you walk into his office, BE PREPARED.

Are You Worth it?
Ask yourself this question. Put down in your diary the achievements over the past year. Have you fared better than expectations? How has the company benefited from your presence? What are you core skills. Have you taken the initiative, motivated, managed your team to greater heights? Any new skills acquired or newer responsibilities undertaken. Have you ironed out your communication inadequacies, learnt to appreciate others, listen to colleagues, recognize talent and developed special skills in a critical area. Above all, are you indispensable? If a thorough self-analysis gives you an 'A' grade on these counts, only then pitch in for a raise (else first work on these).

Test Your Worth In The Market
Although even friends, in similar positions, are unlikely to reveal their true packages, they could throw useful light on salaries of peers in other companies. Probe on the fringe benefits. Gain insight into current enumeration trends. Access corporate salary information from the Net, business newspapers or magazine surveys. Drop into recruitment firms and check out for further information. This will tell you how high up you can peg your raise.

Analyse industry and your company's performance and prospects
This can be discussed with your industry contacts over dinner. Speak to more than one in the same field. Get your company's annual report, study it well and look at financials, ongoing programmes and future plans. Make notes for the discussion with your boss.

Master your company's salary administration techniques
Find out if they pay in accordance with industry standards, match competitor's levels or have a proprietary method. What is the weightage given to seniority? Do performance appraisals include talks on packages. How often are these done? What is the percentage of raise for the CEO, managers and your category? Have there been exceptions to the rule. Find out the job factors that determine a performance appraisal.

Preparing for the Raise
Maintain a record of all your achievements from day one. Remember, written commendations must be sought and filed. All improvements made over the months prior to appraisal must be noted. New, perceptible skills acquired - be it technical, attitudinal or functional, must be highlighted. Your critical skills must be emphasised. Direct contribution to the revenues of the company must be pinpointed. Dates, figures and claims must be accurately substantiated. Graphics, charts and pictorial representations are welcome.

Final Preparation
Getting to know your boss is critical to winning a negotiation. His attitude, skills, accomplishments and method of handling employee appraisals. Anticipating your boss' response will give you an edge in the battle of negotiation. Learn to handle the boss' usual tactics - "The company's revenues haven't been as expected", "But you just got a raise only six months ago", "If I give in to you, I'd have to face a lot of other pitches for raises", "your promotion's coming up", or "The file is in the Chairman's office". Be prepared to answer, "Yes Sir, but......" Place your merits one by one, surely and steadily. Listen to objections. Iron them out with your strengths, contributions, accomplishments, critical skills and future plans.

Now You're Ready
Fix an appointment with your boss. Arm yourself with your personal file and surefire strategies. Stride in confidently. Make your pitch based on critical skills, accomplishments, willingness to take on additional responsibilities, outline increased benefits to company, highlight why you deserve a raise, display accurate statistics, be calm, listen don't give in easily. But, be prepared to compromise a little below your desired raise levels, but not before extracting your pound of fringe benefits - employee stock options, car allowance, personal loans, paternity leave or anything else that'll satisfy your wife.

Dress well smartie.
Mind your body language.
Listen carefully.
Take time to answer.
Don't duck or fend.
Place benefits to company on top.
Work away objections with positive factors.
Weigh each word before you say.
Don't threaten to quit.
Stay cool.
Sound confident.
Have no fear of failure.
Don't argue.
Communicate effectively.
Gesticulate, but don't become agitated.
Ask him when you'll get the written order.
Thank him. And reiterate what you'll do for him and the company.
Finally, don't brag about the raise to anyone.

1 comment:

  1. Keep up the great work on your blog. Best wishes WaltDe