Negotiating Executive Incentive Compensation Packages
Any successful organization will have already reviewed what type of compensation packages they can give out and have a deep knowledge of executive compensation from sources such as Effective Executive Compensation: Creating a Total Rewards Strategy for Executives
An executive position is a high profile position within a company and most businesses will go above and beyond to bring in successful talent to increase the businesses profit or decrease it’s bottom line.
When negotiating executive incentive compensation packages it’s important to align your needs and desires with what the company can afford.
Some of the more common compensation packages are incentive based. These incentives can be from any sort of goals that you and the company put together.
The reason that an incentive compensation package is important to an executive is because he will get what they put in. If the company takes off and has record profits, that executive will get his share of the revenue generated. On the other hand, if things don’t turn out the way they were meant to, the company will not have to shell out tons of money for goals that weren’t reached.
When the offer comes to the table, you may or may not be pleased with what is offered. Even if you are happy with the package, it may not be laid out how you’d like it. Whatever the case, you may have room to negotiate different terms or add perks that weren’t in the original package.
Just like any other negotiation, it may end at any moment. So try to get the items you want in your package, but know what you can let go of or leave off the table altogether.
Take Responsibility for Your Own Career and Development
With downsizing and layoffs, it’s important in today’s workplace to make sure you’re managing your career and your career development. Too many people depend on their managers or leaders within an organization to set their career path for them.
If you’re one of these people, you’ll probably be one of the first people to get cut. Even if you aren’t, your manager or supervisor may be. If they’re gone, what would you do?
Taking personal responsibility will empower you in your career, job search, or your own personal endeavor.
If you don’t know where you’re going, how can you expect anyone else to know where you want to go? This is a time that you have to do a deep dive into your own personal desires and decide what type of career development tools you need. Do you need to take some advanced classes? Do you need to work on some projects to develop new skills?
Your manager can help you, but you have to decide for yourself where you want to go. Once you do this, you can help guide your career to places you want to go and enjoy.
