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Management article
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Reference no. U0807C
Published by: Harvard Business Publishing
Published in: "Harvard Management Update", 2008
Length: 4 pages

Abstract

In this interview, Mark Gordon, Director and Co-founder of the Boston-based negotiation consultancy Vantage Partners and senior adviser to the Harvard Negotiation Project, offers practical strategies for negotiating a starting salary or raise. Gordon has suggestions for making these negotiations win-win; for instance, by introducing the idea of incentive compensation as part of your salary package or being willing to accept noncash benefits or deferred compensation if your company has put a freeze on raises. Gordon also explains the importance of the BATNA, or best alternative to a negotiated agreement. Simply put, the BATNA is what determines how much leverage each party in a negotiation has. If your employer can easily replace you or assign your duties to others, you haven''t got much leverage in your negotiation for a raise. Conversely, if you have attractive job opportunities elsewhere or can afford a period of unemployment, you''ve got lots of leverage. Either way, your chances for a positive outcome increase substantially if you think through your strategy before you negotiate.

About

Abstract

In this interview, Mark Gordon, Director and Co-founder of the Boston-based negotiation consultancy Vantage Partners and senior adviser to the Harvard Negotiation Project, offers practical strategies for negotiating a starting salary or raise. Gordon has suggestions for making these negotiations win-win; for instance, by introducing the idea of incentive compensation as part of your salary package or being willing to accept noncash benefits or deferred compensation if your company has put a freeze on raises. Gordon also explains the importance of the BATNA, or best alternative to a negotiated agreement. Simply put, the BATNA is what determines how much leverage each party in a negotiation has. If your employer can easily replace you or assign your duties to others, you haven''t got much leverage in your negotiation for a raise. Conversely, if you have attractive job opportunities elsewhere or can afford a period of unemployment, you''ve got lots of leverage. Either way, your chances for a positive outcome increase substantially if you think through your strategy before you negotiate.

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