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PPT 13: Salary Negotiations MGT 4384 Conflict Management & Negotiation. Unique Features of Salary Negotiations Recognizing the importance of the relationship and the long-term consequences of the salary negotiation process and outcome The role of intangible factors in the process

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PPT 13: Salary Negotiations MGT 4384 Conflict Management & Negotiation


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    1. PPT 13: Salary Negotiations MGT 4384 Conflict Management & Negotiation • Unique Features of Salary Negotiations • Recognizing the importance of the relationship and the long-term consequences of the salary negotiation process and outcome • The role of intangible factors in the process • The fact that many people (superiors and subordinates) find salary negotiations stressful, and the effects of this on the process • That salary reviews vary a great deal, and can cover many issues in a broad discussion or be very narrow in focus

    2. Three General Themes in Analyzing Completed Salary Negotiations • Theme 1: Objectives and satisfaction • What were the objectives sought? • By employee • By employer • What were the reasons why outcomes were perceived as satisfactory? • Is what ways may one person consider an outcome to be satisfactory but someone else may consider it not necessarily satisfactory?

    3. Three General Themes in Salary Negotiations Cont. • Theme 2: Lack of agreement or mutually satisfactory outcomes • Why do some pairs not reach agreement or arrive at outcomes not satisfactory to both parties. • Why is this true even though the instructions to both parties give matching bargaining ranges and a strong preference for a positive settlement?

    4. Three General Themes in Salary Negotiations Cont. • Theme 3: Learning Curve • It is reasonable to expect that some form of a "learning curve" will occur • However, this may only occur in multiple negotiations with the same counterpart • Prior research on an unknown counterpart and planning carefully with multiple scenarios may create an a prior learning curve, even without direct experience. • One should be careful to probe for the effects of intangible factors too.