SCHOOL

Recruitment & Selection

Doyle’s Deal Making Dilemma

Negotiating The Job Search
Presenter: Aqeel
BBA – 8th
 Case overview

• Business Graduate student Doyle Williams searches for his

ideal job in a private equity group

• Uses his negotiation skills to try to attain the best possible

compensation package

 Career Advancement

 Compensation

 Employment Interviews

 Negotiation

 Decision Making
 characters

Atlas Investment Bank

Clark, David Senior Partners, AIB, New York

Wong, Herbert Executive Director, AIB Private Equity Group, Hong Kong

Thaler, Mike Co-Head, AIB Private equity Group, Hong Kong

Chang, Eric Co-Head, AIB Private equity Group, Hong Kong

White, Albert Vice-President, AIB private equity group, hong kong

 characters

Bcb partners
Simmons, ed Partner, bcb partners, san francisco

Baker, george Founder, bcb partners, san francisco

Thomas, brian Vice-president, bcb partners, san francisco

other
Cutting, chris Associate, Pacific investment bank, hong kong

Hwang, peter Hbs classmate & hunt capital pertners

 Chronological summary

November 11 First Round Interview with AIB Private Equity Group, Boston
December 16 Second Round Interview with AIB Private Equity Group,
New York
December 21 Thaler invites Williams to visit AIB’s office in Hong Kong
December 22 Third Round Interview with BCB Partners, San Francisco
December 31 Celebrates New Year in Tokyo
January 4 Hunt Capital Partners presentations in Tokyo with Peter Hwang
January 5 Final-Round Interviews with AIB Private Equity Group, Hong
Kong
January 8 At Home in San Diego
January 11 Return to the Harvard Business School
January 13 Albert White of AIB describes an offer. Williams calls BSB
Partners & St. James Capital & asks them to respond.
 Chronological summary (Cont.)

January 19 Tentative Offer from George Baker, founder of BCB Partners.

January 23 Meeting with Mike Thaler at VCPI Conference. Thaler says
“no” to request to be given second-year associate position
January 25 George Baker at BCB Partners asks Williams to forward his
references
January 28 First Round Interview with Oak Capital, Boston. Files to Hong
Kong to meet with AIB Private Equity Group.
January 31 Williams decides to join AIB and try to improve his terms
 Introduction

 At the age of 19 Doyle Williams finished his Undergraduate Program

(Business Administration)

 Started working with a leading investment banking firm in

Los Angeles

 He joined Greenman Droer a private equity group in San Diego

 Leaving his six-figure job he came at HBS

(Harvard Business School)

 First Round Interview With
(AIB Private Equity Group, Boston)
November 11

 During his first year at HBS: -

 Williams conducted a comprehensive job search and contacted 60 leading

investment banks and private equity groups

 Earlier he already completed a 50-page self assessment exercise including

an analysis of his “Ideal Organization”

 On Nov 11 he had his first interview with AIB (Atlas Investment Bank)
Private Equity Group
 First Round Interview With
(AIB Private Equity Group, Boston)
November 11

 Decided to apply to the Hong Kong Office rather than New York
Headquarters

 Williams talked about final course project

 Post Interview Assessment by Williams

 Second Interview with (aib private equity
group, new york)
December 21

 Night Before New York Interview

 Interview Preparation Memo (Major Points)

• Why AIB?
• Why Private Equity?
• Why HBS?
• Why not Greenman Droer?

 Thaler Invited Williams to Hong Kong for meeting with senior

executives

 Third Round Interview with BCB partners

 Negotiation Strategy

Williams identified four interlinked objectives to guide his negotiation

strategy

 To secure a permanent position in a firm offering long-term

professional development with first class people

 To make better informed decisions, he needed more time to collect

information, explore and enhance his no-deal alternatives relative to AIB

 He wanted to preserve his reputation and relationships with other

firms

 He wanted to get the largest possible short-term compensation

package and future financial prospects
First Asian trip (celebrates new year in Tokyo,
Dec 31)
Visited a few tourist sites

 Williams and his HBS class mate finalized presentation for

Hwang’s proposed private equity group

 On Jan 4, Williams and Hwang met with the head of a

restructuring group at a major Japanese bank

 Prior to his meeting with AIB Private Equity Group in Hong

Kong Williams analyzed his negotiation perspective
 Final Round interviews with (aib private
equity group hong kong)
January 5

 Williams spent five hours with the AIB executives in Hong

Kong

 In the afternoon Williams had a long and enjoyable meeting

with Eric Chang, Co-Head of the private equity group
 Initial offer (san diego)
January 8

 Williams hesitantly called Simmons at BCB Partners

 On Wed, Jan 13 Thaler left a message for Williams requesting

him to call back

 Call from Albert White, an AIB Vice President in Hong Kong

(Made Offer): -
• Basic Salary HK 385,000
• Year End bonus for first four months of $ 25,000

 In preparation of for a critical negotiation, Williams drew up a

memo to guide his conversation, proposals & responses
 Initial negotiation

 January 19 Williams told Thaler how excited he was about the

offer

 Thaler confirmed that the private equity associates were paid

“top of the class”

 He also informed of normal promotion tenure to vice president

is four years

 Williams raised some questions related to compensation

 Thaler explained that Williams terms will be improved in his

second year

 They agreed to meet at the upcoming VCPI Conference for

discussion
 Initial Negotiation (Cont)

 Williams received a call from George Baker, the founder of

BCB partners

 Baker made an offer including: -

• Basic Salary $ 115,000 with a $55,000 bonus
• Moving Expenses and Standard Medical Package
• Associates are expected to become vice presidents in two to
three years, with “ $7 Million” in equity
• Two years after that vice presidents became partners with
equity positions worth “ $10 Million”
 Meeting with mike thaler at vcpi
conference
January 23

 Williams fired off questions about the restructuring of AIB,

asked: -
• Personnel
• Promotion prospects
• Language Requirements
• Management of senior decision making processes between
Hong Kong & New York

 Thaler provided with a confidential and brief assessment of the

main players
 Decision (january 31)
 Sitting in café Williams reviewed his decision tree and
reassessed the AIB private equity group

 Becoming part of AIB team seemed less risky of conflicting his

personal values and fundamental interests

 As per Williams desire the AIB position offered him an

opportunity to experience and explore Asia

 AIB was a large organization with bureaucratic rules

 Decided to join AIB Private Equity Group

 Discussion

1) How do you analyze and evaluate Williams decision to

join AIB Group? Was it a right or wrong decision?

2) What are the pros and cons of joining the AIB group and
BCB Partners?

3) What risks were involved in postponing his acceptance

call to Thaler?
 Suggested answers

1) Williams decision to join AIB group can be evaluated on

the basis of the following points: -

• He didn’t wanted to work with US based AIB executives,

because he had already been warned about long working
hours, killer competitiveness and formidable egos of the US
based AIB executives
• He was interested to join a firm with a good personal fit offering
high earnings potential in the future
• He wanted to get experience of Asian market adding a major
international name to the resume
• He wanted to have largest possible short-term compensation
package

• Based on the above priority list Williams made a right

decision
 suggested answers
1) Pros and Cons of joining AIB Private Equity Group

• Working with AIB group will yield his resume international

experience along with the potential relationships with other
firms
• Firm offering permanent position with future financial prospects
• Even-though largest possible compensation package but
short-term
• Tough working atmosphere
• It will take 4 years to become vice-president with equity
participation

2) Pros and Cons of joining BCB partners

• Compensation and Employee benefits were very much

appealing
• Working here will not provide international exposure and
experience of the Asian market
• Associates are expected to become vice presidents within 2 to
3 years, along with equity worth $7 Million
 Suggested answers

What risks were involved in postponing his acceptance call to

Thaler?

• Further postponing Thalers call will jeopardize future working

relationship

• Williams will miss the confidential details of fund structure and

other information about the equity group critically required to
make an accurate decision