Prepare | Negotiations start now - DentalProductsReport.com

Your bottom line

In salary negotiations, “because I said so,” isn’t going to work. Here are some tips to make the cash-flow conversation instructive and productive. by George Goldie, MBA

You’ve heard it before. The boss says, “Everybody’s getting a 3% cost of living raise this year. The increase will be on your next check.” End of discussion. But you’ve worked hard and feel you deserve more. How do you proceed?

You make your plea, saying, “But doctor, I just bought a new house, I need more money.” Or, “But doctor, I’ve been here 10 years.” Do any of these requests for more money make financial or practical sense for the practice?

Just as impractical are comments from the employer, like, “We’ve had a bad year.” Or, “I don’t want to play favorites by giving some more than others.”

So you have choices. You can hang in there another year and hope for the best, you can get a new job that hopefully will pay more and be just as close to home or you can negotiate for a raise.

WHAT ARE YOU WORTH?

Plan B
Ready, set, no?
You ask for a raise. The boss says “no.” If you choose to stay in your current office, then the next step is to prepare for later rounds of negotiation. Here are six items on which you and your employer must agree.
1 The job description. Compare your thoughts to your employer’s thoughts regarding what the job entails. Understand any discrepancies between his or her ideas and your own. Work with him or her to understand the reasoning and resolve the differences.
2 Your current proficiency and performance level. Proficiency and performance are not the same. You may or may not become proficient over time, and you may or may not acquire or develop new skills. Your level of performance is how well you do the overall job. You may be very good technically, however your attitude and interpersonal skills may need lots of improvement, or vice versa.
3 The local market value of the job. Your employer attends the local dental society meetings and study clubs. He or she knows what their peers pay and they usually want to be comparable. If you’ve done your homework, it shouldn’t be difficult to determine and agree upon what the high and low local market value is.
4 Where you fall on the scale. When you’ve agreed on points one, two and three, you’re ready to discuss your current value to the practice. If you fall in the middle, you should expect to be paid the median salary.
5 What you need to do to get a future raise. Discuss in detail and write down exactly what you and your employer agree needs to be improved, and to what extent, to get a future raise. Nail down what the performance criteria will be and how it will be measured.
6 A date for the next salary review. The date should be no more than one year from the current date. If you can negotiate for a shorter period of time, which will give you enough latitude for improvement, do so. But give yourself enough time to prove your value.

Before you begin your negotiation, you need to do some homework. You need to know what you’re worth before you ask for more. What is the market value for your job? Look in the local paper, go online, attend dental hygiene component meetings and ask your peers so you can determine the going rate in your area. Next, see what’s available in the area within the distance you’re willing to travel. What is the local demand for dental hygienists? In large cities there are never enough. In small towns there are often too many. If your job is not in demand, you may not be either.

Next, determine whether you deserve a raise. Neither your long-term loyalty nor your personal needs are reasons for an increase in salary. Analyze your contribution to the practice. What is your daily production? Could it be higher? Is it at least $1,250 per day? Are you making money for the practice, or are your services a loss leader?

Next, observe your attitude. Do you do more than you are asked without complaint? Do you help out in other areas of the office? Do you garner praise from staff members and patients? What would they say about you if asked to comment on your behavior in the practice? Do you prepare patients to accept the doctor’s diagnosis? Do you take the lead at morning meetings, bringing staff up to date on your patients’ needs?

TRACK RECORD

If you have a “feeling” that you do all of these things, but can’t remember, how do you expect your employer to remember? One way to track your contributions is to keep a job diary. Every day or so, write down what you did to help meet the practice goals. Things like willingness to put in extra effort, quality of work and helping in a crunch are essential to that list. Keep track of kudos from patients and staff. Be sure to include a few good stories to illustrate these contributions.

Make it easy for your employer to say yes. It’s not uncommon for a doctor to adjust a salary considerably when presented with accurate information about the market and details about outstanding performance that has gone unnoticed or unrewarded.

BENEFIT BACK-UP

Lastly, if you are aware that money is tight for the practice, think about alternatives to a raise. Other options may include additional vacation days, paid membership dues, parking or mileage costs, child care, better medical benefits or a production commission.

Avoid threats, demands, greed, lack of preparation, and no evidence of measurable results.

George Goldie, MBA, has been a dental and medical practice management consultant for 22 years.

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