You have an offer on the table. It’s almost exactly what you want. Key word: almost.
Is it better to just accept the offer? Or should you start the dialogue for a negotiation?
“Executives have mastered the art of business deals, but some don’t bargain well for themselves” especially when it comes to salary negotiations. (Wall Street Journal). Salary negotiation is a crucial skill for everyone, including executives. However, a surprising number of people stumble in negotiating job offers. Despite their significant levels of career success, some feel uncomfortable advocating for themselves, while others simply don’t understand the best ways to reach an agreement. Below is a list of the four most important mistakes to avoid when you’re in the negotiating phase.
Forgetting to do your research
Making a plea without the research to back it up can ruin your chances. What would you think of a candidate who showed up to an interview unprepared? You’d probably quickly eliminate him/her from the candidate pool. The same is true for executives who are interviewing for a position with a new company. Before going into an interview, learn as much as you can about the company’s history and performance, the employees who work there, and so on.
Making aggressive demands too early in the process
Executives vying for higher-level positions frequently exaggerate their earnings and begin salary negotiations too soon. Before you start making demands or discussing salary, make sure the employer knows you’re qualified for the position and that you fit well with the company culture.
Giving your bottom line salary
If you’ve already talked about salary expectations, the last thing you want to do is to give them your bottom dollar. If you give your minimum salary requirement, many hotel organizations will use that as the ceiling rather than the basement.
Forgetting to consider non-salary items during your negotiation
For many organizations, compensation will not be a barrier to hiring the right person, but there are other benefits packages to negotiate besides monetary compensation. You should have a good idea of what is and isn’t negotiable by the time you receive an offer.
There are many important tips to know when negotiating your executive salary, as well as many things to avoid. The simplest way to avoid the most common salary negotiation mistakes is to imagine how you would approach the salary negotiation process with a candidate, or how you would negotiate business with a potential client in your industry.