Negotiating Salary and managing expectations

That's right we're talking about $ money $.

Money buys us stuff that we need and stuff that we want. It's a sensitive topic when you're negotiating a salary because both sides have opposite goals in mind. One side wants to pay as little as possible and the other wants to get as much as possible.

The bottom line is everyone wants more of it. We all know that going into the conversation. The thing is, how much are you worth to the company? The easiest analogy is to use professional athletes and how they get paid such exorbitant amounts. True, a $20 mil deal to play a ball game sounds unreasonable when there are people working 12-15 hour days sometimes at two jobs who barely eek out the basic needs of life. However, do you think that such an athlete would be paid such a high dollar figure if he didn't produce? That name fills stadium seats and commercials. Stadium seats cost money. Commercials sell shoes. Concession food is $$$ and people at ball games buy food, drinks and wear sneakers. You can afford to pay someone $20 million if he brings in 100, 200, 500, 10,000 times what you pay him.

When doing the initial talks about wages, it's important to give the topic some parameters and keep an open mind. Try to see the other side but fight for what's right.

1. Economy - Take into consideration how the rest of the world, country, state, city, business community, industry, and company is doing. Be realistic with your expectations. Also, keep in mind that salary increase is not on some linear time table that the whole world follows. You are responsible for your income based upon overall value. Just because you made $85k last year and you have 10 years of experience, it doesn't automatically mean that you deserve $90k or $95k this year --- That's exactly not the case. Think about it. If that notion were true at the end of a 20 year career in fast food, a minimum wage MC'ds employee should be paid the high six figures because he's the best burger flipper in town. That simply doesn't make sense does it?

2. Scarcity - How difficult is it to find someone to fill this specific open position? If you ask for too much, it might just be easier to go find someone else. How current and rare are your skills? More importantly, how well do your skills match with company needs? This is really the key. It's less that you are highly skilled and more to the point that your specific skills with all the intricate exposure to business processes, industry, and like environments that are crucial to the company.

3. Goals - What are the business short-term and long term objectives? What paradigm view on talent acquisition? Some companies like to get into bidding wars, especially during booming economies when money is spent like water and everyone is scrambling for the few talent that is out there. Others, don't let money be the major attraction to their company. They emphasize culture and growth potential.

5. Value - What is the ROI? If you're asking for a salary at the top 5% of the field but delivery what most others do with no or little added value, what reason do companies have of paying you so much more? Just because you've been doing it for so long? Touching back on earlier points, although hard to swallow at times, number of years does not necessarily translate to better skills. When was the last time you learned something new, added value, went beyond your "job description" to save the company money or seek out more money making opportunity? Are you satisfied just showing up to work on time and leaving on time and doing an adequate job? If so, how does that alone translate to overall increase for you? If you have a case, make one for yourself but be prepared for the harsh reality that it may not be enough or that the manager may not see things your way. It can also simply be a lack of budget during tough times.

I've talked to and met with exceptional young talent with 2 years of experience who are far better than those who have been doing it 20 years who are still mediocre.



The bottom line is this. Money is a touchy subject but a critical part of the decision making process for a new job or a raise for an existing one. Look, if you can't negotiate money, perhaps you can talk about vacation time, flex hours, or a promotion. If your company does annual reviews you might ask for a 6 month one where you might qualify for a smaller raise or bonus. Get creative. Just handle it like any business proposal with costs and benefits, market research, poise, rational thinking, and you'll be fine.

Series of decisions

How many of us when we look back don't wish we had made a different choice now and again? Perhaps 12 years ago you got called by Google to join a great Internet start up but you turned it down for a cushy mortgage bank gig. Maybe you've always wanted to pursue a music career but felt that a stable life as an accountant would be more realistic in paying your bills. Maybe you've always wanted to go to culinary school but you decided to stay at your company hoping for that promotion that never happened. Whatever the decision, we have to live with them.


The truth of the matter is where you are today in life is the result of a series of decisions or indecision, which ever the case may be, that we've made. Either way you either purposely chose to be where you are one step at a time or ended up where you are due to lack of decision.


If you are dissatisfied with your career like 70% or so of the population, according to many statistics, then perhaps today is the day to do something about it. But then again that leads to another question. How satisfied are you "supposed" to be at your job? Since when did we decided, as a society, that we are owed job satisfaction? That somehow we are "entitled" to be happy with our jobs? Then who defined what happiness with our jobs meant?

All things to consider. Two generations ago, there was no such concept. Today, that's the primary concept. People are more dissatisfied today, probably because they feel that work should be as fun as going to Disneyland with someone paying their bills.

Dress Code

What's in a dress code?

This is a topic that nobody really gives much thought about except for the practical benefits of comfort in the work place. Aren't you glad the days of suites and fedora hats are long gone? How about for women who were expected to wear dresses?

Watching the show "Mad Men", which takes place in the sexy Advertising industry in New York during the 60's, is a cultural education that I appreciate very much. The martini lunches, the way men and women interacted in the work place, and all the great perks of being a big city exec. were a pretty cool thing of the past. Woah...wait a minute. How about luxury jets, lavish get-aways, and huge 7 figure bonuses on walstreet? Ok, things have not changed much at all except to get increasingly excessive.

Most of us work in business casual environments. For most companies, this means Khakis and a collared golf shirt is acceptable while jeans and tennis shoes are reserved for Fridays. A growing tech population driven by young hot-shots and inventive ways to looking at the world don't have much of a dress code at all except to merely reflect the popular culture of the surrounding area. This means that torn and faded jeans, embroidered designer T's and sweatshirts with spiky hair are all acceptable. Tattoos are cool and piercings are no big deal just as long as you're a hot shot programmer.

There is still a bunch of people in a more traditional environment that wear suits all day and every day. Attorneys of course and in some cases sales positions as well as those walstreet brokers still "dress" for work. No wonder they get those big bonuses, they have to fill their closets with two thousand dollar suites and matching shoes.

What's in the clothes?

All I know, is that the suites make all the money. Sure there's the exception of Microsoft and Google and other "tech" oriented companies, but if you look at the top 10%, they are still the suit wearers of the world.

I guess if that's the case, I'll be showing up to the office in my Hugo Boss soon enough.

Arrogance

There is no place for arrogance in the interview process or anywhere for that matter. Go to the 20th floor of any building with a view of the street below. Spend 10 minutes just gazing out at the hundreds of people and cars getting to where they're going. Some of them are janitors, teachers, Doctors, Lawyers, CEOs of major companies, tax accountants and so on. Just take a look. Look how many people there are and from the 20th floor they are nothing but a tiny spec. Take a look at the horizon and the beauty of the blue sky then the vastness of the ocean (if you're in California and near the beach). Then take a look down at the street again.

How do you compare in significance to all the beauty even within just that little piece of this tiny planet that's visible from the 20th floor?

It's important to know your place.

Grocery clerk programmer

So I was recruiting for a software developer recently. I think it was the front-end / UX developer role for a small but innovative interactive company and this guy emails me his resume. I take a look and it looks decent so I give him a call.

Anyway, long story short:

Me - "So what's your salary requirement?"

- "What does this position pay?"

Me - "Well, there's a range... depends on your skills and fit. How about a ball park?"

- "I have 3 years of experience and am a perfect fit...I have all the skills you've mentioned to me"

Me - "That's interesting. So how about we don't play games and just get to it. I don't want to waste your time or mine. Just give me a ball park and I'll let you know if we're close."

-"$100k"

Me - "I don't think the position is going to pay that high....doesn't look like a good fit"

-"What is it paying?"

Me - "Well, I think they wanted to pay in the $60-70k range for the right person"

-"I'll take $70k"

---We talk some more and eventually I end the conversation by telling him he's probably not the right fit. Also, in the conversation I learn that he's been a grocery clerk for the past 3 years. I didn't realize his resume was depicting part-time work and in fact he didn't really even have as much experience as he had advertised himself to have. Needless to say we didn't move forwward.

A fresh start - 2010

I forgot all about this blog and recently thought it might be good to start inputting into it again. So what's new people? One thing's for sure, the economy could be better but that's a whole other can of worms not worth going into right now. Just a note. National unemployment is just under 10% according to Labor statistics. California unemployment is just under 12% I think.

So the last couple of years, I've been doing some interactive recruiting. It's been fun for the most part. I work with cool technology, it's a very casual atmosphere, flex hours, and people are generally energetic, young and cool.

This is a unique recruit. These are smart people looking for really smart people. Funny to put it that way but it's true. Technology is really where it's at and when you begin to really hone in on top talent you realize how in a particular field (programmers for instance) those who merely just skate by and those who excel really stand out.

So far so good.... now only if the CEO would pay me more.... ;)

The best and the worste of us

Einstein got rejected from many universities and failed entrance exams, Bill Gates and many other famous people known or their success in various fields have dropped out of college and even high school and still gone on with their lives with great achievements. http://www.collegedropoutshalloffame.com/index.htm Is a website that celebrates these individuals.


I start this post with the above examples to prove to myself that even the greatest most brilliant people in human history have some "failures". The important thing seems to be that we move on determined to make good with the rest of our lives. So my hope for myself and for others is that don't worry about the mistakes of yesterday, instead do the best today so that the future is better than where you are now.


I have to admit that I've made some tragic mistakes in my life but as the old saying goes, who hasn't right? Maybe you can relate to some of this. I've sometimes had issues with boredom at work. Sometimes this is an onset of not enough "stuff" to do and at other times, I have plenty of "stuff" but nothing stimulating or interesting. After all, variety is the spice of life isn't it? I've had some superb coworkers whom I've admired. I've worked with people who were very talented and seemed to accomplish tasks and achieve success with great ease. I've worked with those who seemed endlessly enthusiastic about their jobs even when things weren't going so well. I've worked with those who were dedicated and regularly burned the midnight oil.

Who are these people and what's their secret?

Whatever the case, a positive attitude is definitely a good thing and people are drawn to optimism. Listed below are some common "types" of people who can really ruin an otherwise good working environment. Most people don't even know that they're like this. It's about time someone told you to your face what you're doing wrong and most importantly that it's hurting people around you, your chances for promotion and that ultimately you're really the one who loses out if you don't change your ways. So don't be one of these.

1. The Gossip: You may not think you're a gossip but this is how you know if you are. In the last 7 days, how many conversations have you had about other people? This includes celebrity news. "Did you hear so and so is getting a divorce?" and people in the office "So and so came in late to work yesterday...again!... that guy never shows up before 11!". If you are constantly talking about other people you should be aware, most people don't like you, even the people you talk with. Why?

a) You are obviously not to be trusted with secrets or sensitive information. If you blab so much about others, how are they ever going to feel safe sharing anything personal with you? In this regard, sadly you're the one who loses out because nobody will ever trust you enough to become truly close to you.
b) It just doesn't make you look good when you're talking about others. Sure Fred might have cheated on his wife and he's scum for doing that but why are you getting so much joy talking about it?
c) Gossip ruins moral. If you're going to talk about someone, say it to their face, there's nothing like a good rumor to destroy the fiber of a positive work environment and break the social contract of trust.

The solution: STOP now. Whenever you get the urge, talk about something else. A hobby, something positive, music, movies, etc. It's not too late to change. It might take a little while, but you'll notice people warming up to you after a while.

2. The Jokester: You were the class clown in high school, you're still the life of the party at gatherings, and you just have a knack for cracking people up. In the right situation, you've even made a bad situation good and gotten kudos for it. Be careful. Joke too much and nobody will take you seriously, especially your boss and the executives at firm you're trying to impress. Sure they like a good laugh and they'll remember you better for it sometimes especially at larger organizations. However, be careful. Don't make the jokes the center of attention and the only thing they remember about you. When it comes time for promotion, they'll question how serious you are when it comes time for promotion. They'll wonder if you're really cut out or "mature" enough for all the "business" and "responsibility" of management. You don't want your last joke to be the only thing they remember about you. You want your work and your abilities to shine.

The solution: Don't stop completely because being well liked is a critical part in getting along with others and for influencing people. Just self edit a little. The next time you're in the presence of an executive or you're participating in an important meeting, bring up a well thought out, researched point and contribute to the "business". Act as if you already have the promotion in the sense that you're proving capable of handling the added responsibilities. That should really impress them and when it comes time for the promotion, at least you'll be a more serious candidate.

3. The Backstabber: This one's just ugly and the good ones hide behind the mask of a friendly smile. Who are these people and what motivates them? Simple, all they want to do is climb the corporate latter. That's it. Fortunately, there really aren't a lot of these people around since most people, not even bosses and executives, like people who stab partners, coworkers, and others in the back to rise to the top. They know that once you become peers with them, you'll just do it to them to get to the next level so why should they trust you?

The only sad part is if this person happens to be your boss. That means when there's a mistake he'll probably blame it on someone he has authority over and that person could be you or someone else on your team. You might end up being blamed for something you didn't do or even worse that your boss did himself which was a total disaster. Hopefully, you'll get to say your peace but sometimes you just don't get that opportunity. Over time though these people really do get what they deserve. Believe me, I've personally seen it myself. One of the blog posts on here has something to do with this very topic.

No solution. Just repent and change your ways. Refocus on being good to others. It pays higher dividends. If not, then suffer the consequences. You'll be a bitter lonely old fart some day with a tragic life of destruction instead of building relationships.

4. The Leach: Sorry the label is so harsh but it's true. This person exists in schools, work place and social groups. At school, this is the member of the study group who is always late, never prepared and always asking for your notes. At work, this person always dumps work on you, is out sick frequently, and is always asking others to do favors like email someone for additional files on the project you guys are all working on when he could just do it himself. He is nothing but a draine on people and resources. In social groups, he's the one who needs constant attention who's life is filled with perpetual drama. he always needs a shoulder to cry on or a drinking buddy because of some recent incident with a girl, money, job or all three. These people have a few things they need to get straight. First, just get your act together and be a responsible adult. Just handle it. We all have bills, families, and have stuff happen to us, take responsibility for goodness sake! In some cases just bite the bullet and suffer the consequences for your bad decision. It's like the old saying goes, "You made your bed, now sleep in it."

The Solution: Really, these people are tough to change. The advice is really for people around "The Leach". It's a good thing to try and help others, but at some point, when it interferes with your family, school or work, you have to cut ties. Try not to be mean but somehow you need to separate yourself from this person or else he'll bring you down with him.