How to get a pay increase or promotion

"What have you done to justify asking for a pay rise/promotion?"

I find myself asking this question quite regularly at the moment when helping Millennials or Graduates who are quite new to their roles and still realising expectations.

There seems to be a common trend of thought that we should be given more money just because we are doing a good job.

Now, I am not saying that this is all younger employees, and I am also not saying it's a bad thing - as their ambition is so admirable, refreshing and energising! But what I will ask them is:

"What specific, extra value are you adding to the organisation, that they would be willing to pay for?"

The specific part is key, and working it out before they do the extra work is even better.

Drawing from two sources:

Napoleon Hill in "Think & Grow Rich" stated that employees should ask for equity, not a raise - i.e. ask for more work, and only then ask for more money once said work is completed.

Lean manufacturing states that you only add value to a product when the customer is willing to pay for that alteration.

The more specific you make it, the easier it is to get the pay rise (if deserved).

And if you can't find something specific, then I guess you know to stop asking for the pay rise until you add more value.