Lean In to Your Career: Negotiation

Salary Negotiation Tips

from Harvard Negotiation Project & Beyond Reason

DISCLAIMER: The views and opinions expressed in this presentation are those of the author and do not necessarily represent official policy or position of HIMSS.

Conflict of Interest Laura Skaife, IT CRM, Mayo Clinic no real or apparent conflicts of interest to report.

Learning Objectives

• Using Emotions as You Negotiate: Express Appreciation, Build Affiliation, Respect Autonomy, Acknowledge Status, Choose a Fulfilling Role & Select Activities within it: from Beyond Reason, Harvard Negotiation Project – Fisher & Shapiro

• Pulling down the curtain on tribal knowledge and assumption by doing your research – 80%

• Leaning in to Negotiate with your best BATNA

“Like it or not, you are a negotiator…” Negotiation skills as core leadership competency

oKey communication & influence tool for interdependent relationships (in and outside the company)

oMost people are not very good at negotiation (e.g. over 80% of corporate executives and CEOs leave money on the table)

oOur challenge is to dramatically improve the ability to: o Create value o Claim value o Build trust

oResearch basis in economics and psychology

What does it mean to be an effective negotiator?

INDIVIDUAL LEVEL ORGANIZATION LEVEL • Getting valued resources

(money, people, projects) • Maintaining and building

relationships • Enhancing your reputation • People trust you • Enjoying peace of mind

• Profitable deal making (effective sales force)

• Getting positive (rather than negative) press

• Enhancing reputation of organization

• Building the brand

Common Negotiation Traps

Leaving money on the table

“Lose-lose” negotiation

Settling for too little

“The Winner’s

Curse”

Walking away

from the table

Settling for

worse than

BATNA

“Agreement bias”

Why people are ineffective negotiators

Egocentrism

Confirmation bias

Satisficing

Self-reinforcing incompetence

Identify your target point – ideal outcome Difficult to do, because people fall into three categories

Under-aspiring negotiator

Over-aspiring negotiator

Grass is greener negotiator

Target point is too low, resulting in winner’s curse.

Target point is too high, refuses to make concession. Reinforces egocentrism.

Don’t know what you want, but only want what the other doesn’t want to give.

Determined by objective reality

Time-sensitive (can improve or deteriorate)

Don’t let others manipulate your BATNA

Buyer’s Bargaining Range

Seller’s Bargaining Range

Gender and Negotiation: Ladies Lean In • Major source of pay differential can be attributed to not negotiating

first offer – not making counter offers

• According to research women are very good negotiators on behalf of others, not always strong negotiators on behalf of self

• When managing others think about gender and cultural differences in negotiation

• Build teams that take into account gender and cultural perspectives

Core Concerns

Appreciation

Affiliation

Autonomy

Status

Role Fisher, R & Shapiro, D. (2005) Beyond Reason, 119

What feelings were generated?

Fisher, R & Shapiro, D. (2005) Beyond Reason, 119

App

reci

atio

n • Did you feel understood?

• Heard?

• Valued?

• Other side appreciated?

Affi

liatio

n • Treated as a colleague?

• As an Adversary?

• How did the other side feel?

Aut

onom

y • Impinged upon?

• Was the other side’s respected?

Sta

tus • Respected in

areas where it was deserved?

• Did you respect theirs?

Rol

e • Satisfied by the activities performed?

• Adopt temporary roles?

• Broaden their role by asking for advice?

Fisher, R & Shapiro, D. (2005) Beyond Reason, 9

The Elements of a Negotiation • Relationship • Communication • Interests • Options • Legitimacy • BATNA (Best Alternative to a Negotiated

Agreement) • Commitments

Salary Negotiation

Key Take-Away Points

• Information is key • It is your job to collect information; it is not their job to

give it to you • Beware that “lying and deception” is rarely forgiven and

that we are guilty of “double-standard”! • Separate “positions” from “interests” (know what you

can trade…if everything is “non-negotiable” you lose power)

• Understand others’ interests – key word in your vocabulary as negotiator should by “why”

Thank You • Did you feel understood?

• Heard?

• Valued?

• Appreciated?

Lean In to Your Career: Negotiation Conflict of Interest Learning Objectives “Like it or not, you are a negotiator…”�Negotiation skills as core leadership competencyWhat does it mean to be an effective negotiator?Common Negotiation TrapsWhy people are ineffective negotiators�Identify your target point – ideal outcome�Difficult to do, because people fall into three categoriesSlide Number 9Slide Number 10Gender and Negotiation: Ladies Lean InCore ConcernsWhat feelings were generated? The Elements of a NegotiationSalary NegotiationKey Take-Away PointsThank You