During any job change, especially at senior levels, leaders many a times find themselves dealing with multiple job offers, each offering an unique and attractive advantage. While this is certainly a nice problem to have, it can be at times confusing and stressful. Nevertheless, one has to evaluate the offers and needs to arrive at a decision that is best aligned with the career aspirations.
One of the cornerstones of a meaningful negotiation is trust. If you are talking to multiple organisations, then you must take the organisation or the executive search firm to confidence and let them know, either directly or directly, that you are considering other options. Make your expectations clear and talk to them about the parameters that you are weighing on.
Arriving at the compensation
Compensation is one of the biggest considerations in the negotiation process. A leader seeking a change will likely have certain expected salary in mind based on the perceived market value. This number is not set in stone since it depends on several parameters.
For example, if you are seeking an opportunity with a smaller organisation, there is possibly a certain risk due to perceived instability or uncertainty, limited resources, higher responsibilities, lesser market value and lesser opportunities for career advancement compared to large organizations. So, one typically demands a premium in lieu of these risks and limitations. Similarly, if you are trying to make a lateral move from a smaller to a larger organisation then notionally, it can be considered a vertical move, which means that you can command a higher compensation. In all cases, the candidates must know the range that they can expect.
On the organisation’s part too, it is important to set expectations right at the beginning so that the candidate is aware of the salary band that the role offers. Instead, if the salary discussion comes into play only after multiple rounds of interaction, only to reveal a deep mismatch in the expectations, then it amounts to wastage of time on both sides. The executive search firm can play a pivotal role in ensuring this by sounding out both sides on the expectations and acting as a bridge.
Of course, it is important for anyone seeking a job change to look out for his/her own best interests and negotiate for the best offer. However, they must be reasonable and weigh the overall picture and all aspects of the role rather than being fixated on the compensation alone.
Looking at the big picture
What kind of growth prospects does the role offer? For example, does it create a path towards a CEO role within the organisation? What is the designation/title that is being offered? What is the nomenclature of the role? What are the roles and responsibilities and how the role makes a difference to the organization? Are there location constraints that could force you to upend your entire family’s life? While the compensation band may be more or less fixed, there could be some wiggle room in these areas.
The final decision will depend on your comfort level with the offer at hand as well as the company’s willingness to accommodate your requirements to the best of its ability. However, awareness, trust, and a balanced view of things are crucial in making the right decisions.
