Wharton Career Advisor
 Pigeonholed by Success

A leader of an insurance agency subsidiary of a national bank wrote for advice on being pigeonholed by past success. The executive, already has responsibility over 100 registered representatives in 14 states and 25 years of experience in the life insurance industry, with positions in underwriting, customer service, and actuarial services. But success in "compliance" has limited growth prospects. As the executive wrote:

At my current company, I am thought of as wearing the "compliance hat," despite the varied experiences my career has provided. This suits me well in some respects as high ethical expectations are critical to my comfort level. However, I am not considered when higher positions become available because of the pigeonhole affect. Recently, I have suggested a new product and have been taking the lead to bring that product to market. This is completely outside my current role and, if the product is successful, will create a high-level director position that I would like to be considered for. The position would warrant a salary double my current salary, but I have all the necessary qualifications.

How do I convince management to let go of "The best compliance officer they've ever worked with," so that I can step into this new role? How do I convince them I should be paid what I'm worth in that role despite it being a 100% pay increase? I am well aware of what others in similar roles are paid. I've worked very successfully at the desired level before; however, it was with a much smaller company.

Peter Cappelli
George W. Taylor Professor of Management
Director, Center for Human Resources

The problem of employees who have outgrown their current position is one of the more common reasons that companies lose good employees. It is clearly in your interest to develop this new product and take it all the way you can. It's a terrific opportunity to build your own skills and create a credential that is marketable elsewhere. My guess is that if you do a good job developing the product and the new role is more important overall for the company than your compliance role, you'll have a very good case for persuading your employer to let you move into the new position. The hard part will be to persuade the employer to pay you the market wage associated with that new role rather than the wage you were paid as a compliance officer. In their mind, you are still the same person you were before, so, the argument goes, why should they pay you more now? The answer, of course, is that you have demonstrated new skills and abilities that either weren't recognized before or weren't used.

Exactly how much more those skills are worth may not be so clear-cut, however. It may be helpful to encourage the employer to do a little outside search so that you and they can see what the outside market is like — just don't let them hire anyone else! You may want to do a little searching yourself to see how much your new skills are worth. And it may turn out that they are not worth what you think, at least not initially: Someone who has just managed their first new product may not be ready to move into major product development roles elsewhere. It may make sense to stay a year or so in the new job, even if you don't get the big pay raise, simply to establish your credentials in this new role before evaluating your options. Your employer may then give you another big opportunity. But if not and if you don't get the money, then it may be time to look elsewhere.

Monica McGrath
Executive Coach and Wharton Adjunct Associate Professor of Management
Faculty Associate, Center for Leadership and Change Management

Organizations find it difficult to take a risk on even the most talented employees. It is easy to lose sight of how much it cost the bottom line to lose a trusted expert. Your willingness to take on a new assignment could be a win for the organization but, as you can see, convincing others might be difficult. You think you're ready, but the management team might have some legitimate, but unspoken, concerns. Imagine yourself as a member of the management team: Wouldn't you want to see just how moving "the best compliance officer we ever had" will serve the company? And, what about your current position, don't you think the senior team might be concerned about the impact of your move if there is no obvious successor in place?

Address concerns first. Do you have someone in mind to fill your role? Have you been developing someone? Managers rarely take the time to develop others; your own situation is an example of this. So, if you do have someone ready for your position, you'll want to bring them to the attention of management. Present their strengths and results to the senior team and how you have developed them to fill the position. If you have not groomed someone to take your place, you might know a good external candidate. Your human resource executives will be of help here, but do give it some thought before you take the plunge. And, you should be prepared to help with the transition so management can see how you could teach others to become an equally important voice for compliance issues.

Another issue could be concern about whether you have the skills needed for the new position. You seem to think you have all the necessary qualifications to fill the role, but you will need more than your own opinion to convince the senior team to take a chance on you. A skills analysis might provide you with specific business examples to cite as you advocate for this new job. Use your knowledge of the new product and position to match business goals with the skills needed in an "ideal" candidate. You will then be able to make a strong case, reducing the uncertainty management might have about you in the new role.

You will also want to find a trusted mentor or advisor to discuss your idea with once you have done some thinking about it. Test your assumptions with someone who supports you, will be honest with you, and is interested in your learning and development. With this input, you can better prepare to address issues that might surface when you meet with the decision makers.

Prepare to make a business case for yourself; and once you have a compelling case, your salary negotiations will be more informed. It appears you have the credibility and the skills to make this new position work well for you and for the company, but you have a bit of work to do first. Start by addressing business concerns, bring strong examples to the table when you negotiate compensation, and build the internal support and coaching so you are assured you can learn from this experience and set in place the safety net for landing if things don't turn out quite the way you expect.

Charles Kalmbach
President and CEO
DMB (strategic human resources)

Many executives find themselves in the position to do their job exceptionally well. So much so, they need the challenge of a broader role or a new functional role all together. In this case, you need to prove your capabilities in a broader function while remaining valuable in your current position. There are four steps you should consider in order to convince your superiors your worth in both areas:

  1. Perform a self-assessment: Consider your current role and identify your strengths and weaknesses with respect to the new role you'd like to take on. Once you've identified the gaps, outline a plan to speak to and fill those gaps prior to asking for the position and subsequent raise.

  2. Involve yourself in broader company projects: Perhaps you've been pigeonholed because you haven't been taking advantage of additional responsibilities within your own company. Consider volunteering for larger project work beyond your current role. This is a great opportunity to show you're not only able to do the job, but you're also willing to work in a team atmosphere.

  3. Join industry associations or consider certification classes: Networking in broader associations within your proposed area of expertise can expose you to decision makers that may have a role in either helping you secure the job in your current organization or with future opportunities. Both associations and certification classes will update you on new methods or technology in the area you're looking to move into. Make sure your superiors are aware of your involvements outside of work.

  4. Develop a business case for your promotion, including comprehensive research of the salary, scope of responsibilities, and your background/track record in the specific area you're looking to move into.

If you're not happy with the outcome of this particular initiative, the proactive steps you've taken will help you in securing your next opportunity, if that's the direction you decide to pursue.

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