Salary Negotiations
Facts
* This negotiation was an important one from a career point of view as it involves a salary negotiation for an existing job. I have never been in a situation where I have actually negotiated a salary for a person working under me, so it was a good experience for me. I was playing the role of Pat Lynch, V.P. of marketing for Rapid Leatherhead Goods Company. There are 4 main product lines which comprise the major portion of the company’s online sales. A new director for marketing was hired two years ago for mail order sales. He has done a good job with three lines, but the fourth line, which was a problem even before he joined, is still a problem and there has not been an increase in sales for that product. It is the company’s premier brand and it is important for the company’s image that the sales increase for that line. This is the time of year for salary adjustments and I feel a salary hike of $4,000 (6 2/3%) is good for his efforts. I was surprised when he asked for a 20% increase in salary as I thought that was excessive, but then he showed me the new sales figures which I did not have. We negotiated over the figures and thought of a way to negotiate the salary. He was quite forceful about taking other figures into account and to determine the salary based on all criteria. I was adamant to take Top Flite, the aforementioned fourth product line, into account as it was the main objective. I thought of ways to satisfy us both.
Tools/concepts/models
* Foundation – To begin negotiations, I was the first to speak and started with praising him for the good job he had done with the three lines. I started by sharing the figures which I had, and told him that the increase in percentages compared to last year’s sales figures were commendable. Then I told him that Top Flite was still a problem as there was not much of an increase seen in this line. I wanted to know his reaction to that and how things could work out in the company’s favor. I was quite
* This negotiation was an important one from a career point of view as it involves a salary negotiation for an existing job. I have never been in a situation where I have actually negotiated a salary for a person working under me, so it was a good experience for me. I was playing the role of Pat Lynch, V.P. of marketing for Rapid Leatherhead Goods Company. There are 4 main product lines which comprise the major portion of the company’s online sales. A new director for marketing was hired two years ago for mail order sales. He has done a good job with three lines, but the fourth line, which was a problem even before he joined, is still a problem and there has not been an increase in sales for that product. It is the company’s premier brand and it is important for the company’s image that the sales increase for that line. This is the time of year for salary adjustments and I feel a salary hike of $4,000 (6 2/3%) is good for his efforts. I was surprised when he asked for a 20% increase in salary as I thought that was excessive, but then he showed me the new sales figures which I did not have. We negotiated over the figures and thought of a way to negotiate the salary. He was quite forceful about taking other figures into account and to determine the salary based on all criteria. I was adamant to take Top Flite, the aforementioned fourth product line, into account as it was the main objective. I thought of ways to satisfy us both.
Tools/concepts/models
* Foundation – To begin negotiations, I was the first to speak and started with praising him for the good job he had done with the three lines. I started by sharing the figures which I had, and told him that the increase in percentages compared to last year’s sales figures were commendable. Then I told him that Top Flite was still a problem as there was not much of an increase seen in this line. I wanted to know his reaction to that and how things could work out in the company’s favor. I was quite