Human Resources Management II Jan/22th/2020

The individual work relationship: Creating ties Christian Iñiguez Carbó

1. How did you prepare for the exercise?

First of all, I took into account that the company was a startup, being a startup in the first stage can
be allowed to change a lot of things like structure, stock´s proportions and how are being delivered,
budgets and in some cases locations.

I realized that the background of the founders was marketing and consulting, so the other missing
piece of the team to be completed was the technician one, the technician part that Eric had.

Also, Eric was well knowing inside Silicon Valley, also known as a person that deliver the projects
according to the expectations and in the time the project needed

The headhunter looks for Eric.

I prepared myself being on Eric Shoes and took this bullet points to be consider:

 Eric conceived Colorado as the family’s home, he doesn’t want to move to another place,
He even had the chance to move with the company and don´t loss their job, but he didn’t
because of his family. Eric wanted to live in Colorado with his wife and children.
 Eric can develop application software programs for real solutions.
 Eric had been always working and developing software solutions.
 He is capable to manage a team and know how to work on inside several kind of companies,
with different structures between them, so he is actually a person that can deliver the job
and know how to do it thru a team.

I considered different capabilities Eric´s had and the work he can deliver:

 The Hollen brothers had a big idea, they are convinced about it, they can create a really
good profitability around it but they need to create it, that is where Eric get into the
ecuacion and their previous experience talk by themselves.
 The company needs a leader, a manager with the qualities to manage a team and Eric
already did it on a great way.
 Results, which are reflected on the 60 million anual revenues he and his team achieved for
the products related to SunOs.

What to ask in this last interview:

 An increase of 30% for this new position.

 Having 30% share of the company.
 A car from the company.
 Health and life insurance for him and his family.
 Pay for Eric´s studies.
 2. How did you developed the activity?

First of all, we begin talking about my previous work, what did I achieved, which was my previous
responsibilities, why do I consider to get into this new adventure inside the startup and why I didn’t
take the job with my previous company.

I answered all the questions and then begin to ask about the company, about the dream they want
to achieve, about the scalability of the project and the path they want to follow as a company, their
values, the strategy, their KPI´s and after all the questions I asked about my path, how they want to
see my position in 6 months and 1,2,5 years later.

I asked:

E: how convinced are the Hollen brothers about this project?

HR: They answered, they are totally convinced about the success of it.

E: How does they calculate the success?

HR: Thru the indicators, the deadline´s deliver and thru revenues, and believe me, they are going to
achieved it.

E: So, they understand that this is an investment?

HR: For sure, an investment that is going to be profitable.

E: So they know about me, about how I deliver my work, how well known I am around the Silicon
Valley tech community, what do you want me to do and what are you offering.

HR: $7,000. - base salary and benefits.

E: No way, what you are telling me Is that they are not truly convinced about the success of the
company and the profitability of it? They don’t want to incur in fixed salary. I can deliver that dream,
I really want to be part of it, but to do it I have to think about my family, about the kind of life that
they are used too, I can´t be over my latest salary, I have some offers, but the thing is that I don’t
want to move from this place that now I call home, but if the proposition is not what I need, so I n
would have to consider other paths, even if I don’t want to. Right now I’m in love of what they are
want to achieve but my family is first.

E: What I want is at least a 35% salary increase, to feel part of this team I want 30% equity Home
office, car, insurance for me and my family and to pay my master.

HR: Impossible

E: Look at this point of view, you are investing in this project, this little amount of money is peanuts
compare to what this project is going to achieve, when I compromise to something I achieve it and
I deliver it, and about the shares, consider it that at this moment is 30% of nothing.

HR: Agree, but an increase of salary of 15% and 25% equity and all the benefits.

E: 15% increase of salary and the other 15% according to the deliveries.
HR: Deal

3. Reflections on the process considering what was discussed in class.

Was a really good negotiation, I identified the main drivers of the company, made them feel them
with the need to invest in me, because I’m going to be part of the creation, even in this first part.
According to my drivers I was not willing to negotiate something that could affect my family and my
interest. Tell them and show them how excited I was about the idea of being part of this project.