Question
Alex has been with Company A, a ten-year-old company, for almost two years, and Alex has received reasonable to good performance reviews.Alex likes working for
Alex has been with Company A, a ten-year-old company, for almost two years, and Alex has received reasonable to good performance reviews.Alex likes working for Company A, and Alex has just completed a 10 month project implementing a new system that will save the Company A between $80,000 and $120,000 a year.The project cost $410,000 to implement, only $20,000 over budget, and it completed was on time.Company A will start a similar project for one of its clients in three months. Alex wants to be and will likely be selected to lead this project, and the client-facing experience would be a new and valuable addition to Alex's resume as a project manager. On being hired, Alex's salary was $62,000, but Alex has received a $3,000 raise last year and a $7,000 bonus for completing the project on time.The average salary for someone doing Alex's job is between $55,000 and $75,000 per year.Alex believes that someone with Alex's experience should be in the top half of that range, and a recent unsolicited job offer from Company B with a salary of $70,000 per year supports that belief.However, Alex does not really need more money, and would be interested in other forms of compensation like additional vacation time, stock options or tuition coverage. Also, Company B does not pay bonuses, and there are rumors that it might be in financial difficulty.
(a)Identify Alex's best alternative to a negotiated agreement (BATNA).
(b)Identify Alex's interests.
(c)Identify potential options from Alex's perspective.
(d)Prepare a negotiation plan for Alex (i.e. identify the approach(es) to negotiation to be used and explains when and why each approach is being used)
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