Hi Reader,

We're back with Part 3 of our conversation with Arben Malaj, one of the most renowned economists in Albanian history (and Gerta’s father!). If you missed Part 1 and Part 2, Arben walked us through what it was like to serve as Albania's Minister of Finance in the late 1990s, during one of the worst financial collapses in modern economic history. 60% of Albania's population lost their savings overnight in a wave of Ponzi schemes. Arben was 36, barely in politics, and somehow became the person the country's government assigned to clean it up.

This episode picks up there. We cover how he actually navigated that role, what he did to build trust with his team, the negotiations he ran with the IMF, and what he'd tell someone today who's hesitant to step into a bigger position than they feel ready for.

Below are a few key takeaways from our conversation, and full episode here: YouTube | Spotify | Apple​
​

Quick note: this is a sponsored newsletter, and we're excited to share this one because we actually use Lovable ourselves. We built our own website with it, and it's genuinely one of the easiest and most important tools we use for our business. If you check them out below, it means a lot to us and helps keep our newsletter going.

1. Future regret as a tool for decision making

Arben told us something we didn't expect. He was asked by the outgoing Socialist Party leader, Fatos Nano, former Prime Minister of Albania, Arben’s former professor and a man he deeply respected, to become head of the party after they lost the election. Arben declined.

We asked Arben directly: does he regret it?

He said he does.

His reasons for saying no made sense at the time: the party was heading into a weaker position of opposition, internal factions were fighting, and there was no clear succession plan. He didn't want to be the person trying to hold something together that hadn't been set up for success.

But he still regrets it even though the decision was wrong on the merits back then, because Albania's political situation today makes him wonder whether a different choice could have mattered.

Which brings us to a decision making framework we often use ourselves: how will you think and feel about your decision in 10 weeks, 10 months, and 10 years?

2. How you dress and present yourself is part of your power

We opened the conversation a little off-script, talking about how Arben is famously well-dressed no matter the occasion.

He said the way you present yourself shows you respect the people you serve. First impressions shape how someone perceives you, and that first perception becomes the starting point for any negotiation or relationship.

Gerta challenged Arben, asking “so then you’re promoting the idea of judging a book by its cover?” Arben said, “be a good book and also have a good cover.”

3. Career isn't an elevator

In light of Arben’s lightning-speed rise in his career, and us having helped numerous clients get promoted (including a client who got promoted not one, but two levels up in a single negotiation), Gerta asked him what advice he'd give someone who's being considered for a role that feels like a bigger jump than they're ready for. His answer was, as often, a quote: "The elevator for career doesn't work. Take the stairs one by one."

Arben explained that confidence to take a bigger role comes from having proven yourself at each step before it. Arben had 11 years of visible, high-stakes experience before becoming minister: bank branch director, EU project manager, economic consultant, part-time professor. When the moment to step up arrived, it wasn't actually as large a jump as it looked from the outside.

Arben also noted that the people who struggle in high-visibility roles often have strengths in one area but not others. Some are strong academically, but may not be able to manage in a crisis. Some can communicate, but don't have the knowledge gained from experience. The ones who are ready usually have both, i.e. you need a well-rounded experience, not just being a subject matter expert in a single domain, to achieve and sustain a quick jump in your career.

This reminded Alex of how the Air Force runs its officer promotion system. To be considered for higher rank, officers are expected to occasionally rotate through assignments outside of their designated career fields. Pilots do teaching stints as instructor pilots, engineers from research settings lead airmen on the front line, and acquisition officers get embedded directly inside defense contractors so they learn government contracting from the industry side. Breadth of experience is seen as key for an officer to lead larger and more complex organizations as they promote to senior ranks.

4. Care and community-building are instrumental in winning in negotiations

On his first day as minister, Arben sent an email to his entire staff. He thanked them, told them they'd be credited with his success, and promised to support them in their professional goals.

He noticed early on that one of his team members had a health issue that required travel abroad. At the time, getting a visa required a minister to vouch for you directly. He did it every time and for everyone who needed his support.

Arben also had an open-door policy for anyone who wanted to pursue graduate programs abroad. He guaranteed their job would be there when they returned and told them to bypass department heads if those heads were being obstructionist. Some people don't want their best people to leave. Arben's view was the opposite - you show care for your team, and they'll return in kind with their dedication and best work.

The way people perceive your intentions shapes what they're willing to bring to the table.

5. Negotiate from integrity, not from position

Arben was asked to become minister a second time. Then a third. He kept saying no, and he kept getting pulled back in. At one point, he was ready to leave for a fellowship at Georgetown University, and the call came again.

He wasn't using leverage in the traditional sense. He was clear about what he could and couldn't commit to, and he made that clear upfront. When international financial institutions pushed the Prime Minister to bring Arben back as Minister of Finance, Arben agreed, but on one condition: if the party didn't win a third mandate, he was out.

In describing his reputation with the IMF: "It's not easy to negotiate with Arben, but if he agrees to something, you’re guaranteed that he’ll do it."

Arben went into every negotiation knowing exactly what his non-negotiables were, and garnered a reputation for being difficult to move, but reliable once committed.

Now for a fun fact

Arben didn't want to become Minister of Finance. He said no multiple times. He had his own consulting practice and a part-time teaching post. What changed his mind was a phone call from his college roommate's mother, crying, asking him to protect her son. That roommate, Bashkim Fino, was about to become Prime Minister, working under a very tough President. Fino made it a precondition to accepting his party's nomination to become Prime Minister if Arben would become Minister of Finance.

This is Part 3 of our conversation with Arben, listen here: YouTube | Spotify | Apple​

See you next week with the fourth and final installment of our conversation with Arben.

Warmly,

Gerta & Alex​
​Founders, YourNegotiations.com

P.S. Are you job searching or have upcoming negotiations?

Book a free call with us, where we’ll learn more about your situation, offer some free tips, and explore if we’re a good fit to work together: https://calendly.com/alexhapki/call​

P.P.S. Know someone interested in negotiations?

Send them our way and we’ll thank you with $250 for each person who becomes a client. No cap.

A quick intro or an email to alex@yournegotiations.com works.