NEGOTIATION: WHAT ELSE IS ON THE TABLE? Laura Francisco, VP/Strategist The Singer Group American Library Association June 27, 2011.

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Presentation transcript:

NEGOTIATION: WHAT ELSE IS ON THE TABLE? Laura Francisco, VP/Strategist The Singer Group American Library Association June 27, 2011

What well cover Whats on the table? Negotiations – yes you can – The Basics – Styles – When to ask – Dos and Donts – Resources Wrap up 2

Lets play….. Family Feud! Q: What is on the table? Answers – Base compensation – Bonus – Incentives – Insurance premiums – Additional paid time off – Working conditions – Telecommuting – Retirement – Special projects – Flexible hours – Car – Education reimbursement – Job development/training opportunities – Laptop – Cell phone/ smartphone – Membership dues – Time off for volunteer work 3

C OMPENSATION B ENEFITS W ORK E NVIRONMENT 4

What is negotiation? Negotiate: To arrange for or bring about through conference, discussion and compromise To persuade another to come around to your way of thinking 5

Negotiation is Human interaction Adapting to a situation Art & science PROCESS not an event Ron Shapiro, The Power of Nice 6

The mindset 7

I cant do that….. Can I? Yes you can! Even in this economy 8

Running for the exits You have some leverage! – Many employers concerned about top talent leaving – 31% willing to negotiate with current employees – Half plan to leave room to negotiate with new employees – Renewed focus on retention AND performance 9 CareerBuilder Survey; 9/10

Women CAN Ask Were all engaged in negotiation Women negotiate well for others Men negotiate well for themselves (and do it 4x more often!) Sarah Laschever, 3/10/10, presentation to ALA-APA. 10

How come he (or she) got more than me? Why didnt I get a raise? You didnt ask!! 11

Women & Men 12

The Nice factor Perception: women who ask for more are less nice. – Men ask: proactive – Women ask: pushy 13

B-E A-G-G-R-E-S-S-I-V-E! or not Some strategies to avoid the backlash – Justify the request – my team leader or immediate supervisor told me I should ask – My negotiating skills are an asset to the library – Conforms to feminine stereotype but – it works 14 from Harvard and Carnegie Mellon research

78¢ to the dollar 15

Leaving money on the table…. Beginning of career? Between $1 - $1.5m over a lifetime Changing jobs? Employer asks for previous salary 16

Five minutes can cost you… Thousands and thousands 40-yr old accepting $70,000 instead of $77,000 – $381,000 less in 25 years *invested at 3% interest 17

Five minutes can cost you… Job offered at $40,000 Counter with $43,000 Manager: Thats only $57 more/week You: EXACTLY. 18

H ERE S H OW 19

The basics Knowledge is power Have something youre willing to give up Out of the box 20

Do your homework Pre-negotiations: – Understand the other side – Understand the big picture: whats the end result you are trying to achieve? – Identify gaps – Quantify Find the boundaries – low and high – Re-prioritize 21

Start with Style: What is yours? Accommodating Collaborating AvoidingCompeting Compromising 22 Concern for the relationship (relational outcome) Concern for self-interest (substantive outcome) Roger J. Volkema, The Negotiation Toolkit.

Negotiations Prepare: Prepare: research, study, stockpile knowledge Probe: Probe: Ask questions, youll get answers Propose: Propose: try to not go first. When you do, make a strong, reasonable offer. Be prepared to change it. Listen: Listen: Nature has given men one tongue but two ears, that we may hears from others twice as much as we speak. Epictetus Shapiro 23

Techniques: Preparation P.A.I.D.S. P recedents A lternatives Interests D eadlines S trengths & Weaknesses ____ Highest goal/Walk away Strategy, team 24

Techniques: Probing What is important to them? What else? Hypothesize Answer questions with questions Tell me more 25

Techniques: Propose Try not to make the first offer Never immediately accept the first offer Set your aspirations high Defer to their expertise Turn discussions into offers Force a counteroffer 26

Focus Specific accomplishments and results Salary range and justification Understanding of whats important to the library Come prepared Have other options in mind 27

Salary Data ALA-APA Library Salary Database - $50 one- month subscription – Key library positions and descriptions – Geographic data cuts – Library type/size – Range of salary data PLA-PLDS Statistical Report - $250 annually – Entry librarian and Director – Budget, number of employees, population area 28

Salary Data Other library surveys (Allen Co., IN) Bureau of Labor Statistics – updated periodically by geographic area – and free! – Just released: May 2010 Occupational Employment and Wages report focused on Librarians (other positions included as well)May 2010 Occupational Employment and Wages report focused on Librarians Non-profit or governmental surveys prepared locally – usually very low cost Beware salary.com, payscale.com, etc., and hearsay (My friend at the University said…..) 29

Silence is Golden Ask an opening, open-ended question – How do you feel about my proposal? Then, be quiet! Discomfort makes us chatty Chatty sometimes ends up being the kiss of death in negotiations as you may give away any foothold you had 30

Relax Anxiety makes it WAY worse Average of 7.5% lower for initial offers Can the drama Find a cure for apologitis: Im sorry to ask this right now but… I feel bad coming to you with this but….. These equate to saying: Dont give me what Im asking for. 31 Brooks and Schweitzer, Wharton School

Encountering difficulty? Dont take it personally. Dont get personal Be prepared; have a strategy Take a time-out. Slow down, cool off. Learn to tack – dont sail into the wind! – Understand their pressures – Acknowledge their concerns – Could they reconsider in 6 months? – Let them save face 32

Encountering Difficulty? Negotiators are people first – Emotions, values, different background – Put yourself in their shoes; understand their point of view – Dont deduce their intentions from your fears – Dont blame them for the problems – Get them involved in the process – Face saving: make your proposals consistent with their values 33

Practice Practice with peers/colleagues – practice different styles Practice in real life – retail, hotel/airline upgrades Start `em young: the Girl Scouts now have the Win-Win badge! 34

Talking points Shouldnt have to choose between paying fair salaries and buying books Starting salaries for X (position) are x% higher than librarians who also have bachelors degrees Who will take the place of retiring librarians? Cant live on love alone! Libraries work because library workers make them work! Todays librarian is a tech savvy, info expert who can enrich the learning process of any library user – from pre- school to grad student to retiree! From Advocating for Better Salaries and Pay Equity Toolkit ala-apa.org 35

I T S ALL IN THE TIMING … 36

Timing is Everything Assume its ALL negotiable Ask for enough – women typically ask for 30% less than men! When are you asking? Whats going on around you? Promotion or performance review? 37

Negotiations – the Dance Taking a new job: – Research/prep Dont give a range - $45,000 - $50,000 – they know youll take the $45,000 – Once job is offered, evaluate the whole package Base and alternative compensation Benefits/Perks – Counter offer – Is there any flexibility? Practice Be confident and succinct Know your value and worth 38

Negotiations – the Dance Asking for a Pay Raise: – Doing a great job does not mean an automatic raise – Understand your worth/value and build a case – But I dont like to talk about money….. 39

What about this economy? Libraries are: – Restructuring and reorganizing – Cutting positions and hours – Freezing or cutting pay – Focusing on retention of key talent Even so: – Crucial to look after your career during these times – Still, make sure timing is right (context) – Have a plan, be specific and clear – Make it about you, not anyone else – Be prepared to wait – Stay positive: evaluate next move 40

Negotiations still work Even in this economy…. Sample of newly hired employees in various industries Those who chose to negotiate increased starting salaries by $5,000 on average Creative ideas: – Develop cross-training programs – Mentoring programs – Skills-for-pay – May put off raise but will build justification 41

Prepare yourself with a positive outlook Counteroffer, if necessary Be confident! Make it about YOU. Come at negotiations with a hot shot attitude Damage relationships for short term gains Be submissive Ask for more just because someone else gets more. 42

43 Additional Singer Group Resources

Other Resources – data, information and reports to help negotiate your best offer The Power of Nice, Ronald Shapiro The Negotiation Took Kit, Roger Volkema Women Dont Ask: Negotiation and the Gender Divide, Sarah Laschever, presentation to Womens Center at Northwestern University. Alison Wood Brooks, Maurice Schweitzer (2011), Can Nervous Nelly negotiate? How anxiety causes negotiators to make low first offers, exit early, and earn less profit, Organizational Behavior and Human Decision Processes, 115, 43-54Maurice SchweitzerCan Nervous Nelly negotiate? How anxiety causes negotiators to make low first offers, exit early, and earn less profit 44

The Singer Group, Inc. No matter what the next level is for your organization, The Singer Group can help you reach it – with more ease and momentum and faster results. As HR & OD consultants committed to innovation in the field, we work with organizations in the public, social and private sectors to bridge the gaps between where they are now and where they want to be. We develop forward-thinking strategies that optimize every aspect of human resources and organizational development. Simply put, we reach deep to access your organizations hidden potential and help you develop the ways and means to realize it. This presentation was conducted by Laura Francisco, VP/Strategist. For more information about The Singer Group please visit our website at

The Singer Group, Inc. Managing Change: Improving your organizations flexibility in adapting to a changing business environment Creating an Effective Organization: Developing and operating the most effective organization to achieve your mission and objectives Developing People and Performance: Giving employees the opportunity and support they need to perform at optimal levels Designing Compensation Systems: Assuring that pay attracts, motivates and retains the best people for your organization 46

Library Client List Akron-Summit County Public Library, OH Anne Arundel Public Library, MD Baltimore County Public Library, MD Carnegie Library of Pittsburgh, PA Caroline County Public Library, MD Carroll County Public Library, MD Cecil County Public Library, MD Columbus Metropolitan Library, OH Charles County Public Library, MD District of Columbia Public Library, DC Durham Public Library, NC Eastern Shore Regional Library Assoc., MD Ruth Enlow Library of Garrett County, MD Gwinnett County Public Library, GA Harford County Public Library, MD Indianapolis-Marion County Public Library Infopeople, CA Iowa Library Association Johnson County Library, KS Kent County Public Library, MD Laramie County Library System, WY Loyola/Notre Dame Library System, MD Metropolitan NY Council of Libraries, NY Mishawaka-Penn-Harris Public Library, IN 47 Missouri Library Association Monroe County Public Library, IN North Carolina Library Association Northwest Library District, OH Oklahoma Department of Libraries Pennsylvania Commonwealth of Libraries Peoria Public Librar, IL Pioneer Library System (OK) Public Library Association (PLA) Queensborough Public Library, NY Rochester Hills County Public Library, MI Sacramento Public Library, CA Sno-Isle Regional Library System, WA Somerset County Public Library, MD Southern Maryland Regional Library Association St. Marys County Public Library Talbot County Public Library, MD Tippecanoe County Public Library, IN Tulsa City-County Public Library, OK Upper Hudson Library System, NY Yolo County Library, CA Washington County Free Library, MD Whatcom County Library System, WA Wicomico County Public Library, MD