gen up how four generations work

8/9/2019 Gen Up How Four Generations Work

1/36

JointSurveyReportSeptember2008

GenUpHowthefourgenerationswork


2/36

ContentsIntroduction 4

1 WhydoesGenerationalDiversitymatter? 5Whatisdifferentaboutthisreport? 5Whatresearchhavewedone? 5

2 Whoarethefourgenerationsintheworkforce? 63 Attractingandengagingthedifferentgenerations 10

Whatisimportantingenericvalueproposition? 10Areorganisationsgettingthegenericvaluepropositionright? 11WhoisgettingitrightinEurope? 13Generationaldifferencesinthevalueproposition 15Veteranpreferences 17BabyBoomerspreferences 18GenerationXpreferences 19GenerationYpreferences 20Creatingfairrecruitmentpractices 22

4 Whydogenerationsmisunderstandeachother? 24Retentionandloyalty 24Drivingcustomerservice 27Performancemanagement 27Mobileandflexibleworking 29Internalcommunication 29Leadershipandmanagement 32Careerdevelopment 32

5 Creatingawinningstrategy 35TopTenTips 36

6 Acknowledgements 37Researchteam 37Participants 37Furtherreading 38


3/36

IntroductionPennaandtheCIPDsrespectiveclientsandmembersarestartingtocometotermswiththerealityandimpactofgenerationaldiversity,andarelookingforwaystobenefitfromtheskillsandmotivationsofdifferentgenerations.Wedecidedtohelpthembygaininganin-depthunderstandingofwhatindividualsintheworkplacewantfromtheircareersandwhatemployersaredoingtorespond.Thebusinesscaseformanaginggenerationaldiversityeffectivelyisclear:BroadertalentpoolsfromwhichtorecruitCreativityandinnovationfosteredfromgenerationalinteractionTheriskofnotmanagingthisdiversitycanbemisunderstandingbetweenmembersoftheworkforce,

leadingtoconflictanddisengagement.Totakeadvantageoftheopportunities,employersmustembracegenerationaldiversityandensuretheyhavemeaningfulpeoplestrategiesandpracticesinplace.Ourstudyaimstoaddtotheexistingknowledge,helporganisationstogainagreaterunderstandingoftheirworkforceandultimatelytoimprovebusinessperformance.Weareverygratefultoalltheindividualsandorganisationswhohavecontributedtothisproject.

GaryBrowning,CEOPennaDianahWorman,OBE,CIPDAdviser,Diversity

4


4/36

WhydoesGenerationalDiversitymatter? 15Thespeedofcommunications,thepaceofchangetomeetmassmarkets,economicmigrationandmorerigorousPublicsectoraccountability,makethisauniquetimeintheworkplace.Thesehaveallplacedgreateremphasisthaneverbeforeontheneedfororganisationstobeagileandharnessdifferentcapabilities.Skillsindigitaltechnology,informationmanagementandentrepreneurialismaremixedwithlong-standingwisdom,changemanagementandcustomerserviceethos.Thefourgenerationsintheworkplacearebringingdivergentskills,learningstylesandexpectationsaroundreward.Thereareclearopportunitiestoharnesstheengagementandperformanceofeachgeneration.Yetitseemsfeworganisationsarerespondingtothediversityofattitudesandneeds.Sowhatarethosedifferencesandsimilarities?Whichsectorsaremostaffected?Aboveall,howcanorganisationsharmonisethegenerationstobringaboutsustainablehighperformance?Whatisdifferentaboutthisreport?Weaddressthelackofcurrentresearchthatconsidersthestrategicimplicationsofthefourgenerationsworkingtogether.PennaandtheCIPDhavecollaboratedtoconductacomprehensive,independentinvestigation.Ourresearchhasinvolvedbothindividualemployeesandorganisations,coveringeachofthefourgenerations.Weexplorethepracticalimplicationsforattracting,retainingandmanagingeachgeneration.Weexplorethefactorsthatdriverecruitmentdecisionsforeachgenerationwhatissimilaraswellaswhatisdifferentintheirchoices.Weexplorewhatdrivestheirengagementandperformance.Wehighlighthowwellemployersindifferentindustrysectors

are

being

rated

by

their

employees.

We

exploresomecasestudiesoforganisationsdoingitwell.Wethenconsiderwhatimplicationsthereareforleadership,managementandHRstrategy.

ThisresearchexplorestheUKworkforcecontextthroughcomparisonwithotherWesternEuropeannations.ThevastmajorityofpreviousgenerationalresearchhasbeenUS-centric,however,theirdemographicmakeupisdifferenttotheUKswherethebabyboomhappenedaroundtenyearslaterthanintheUS.Giventhisdifference,therehasbeenascarcityofempiricalresearchtovalidategenerationaldifferencesintheEuropeancontext.Wehaveuncoveredseveralmisconceptionsaboutgenerationalexpectations,andthesearehighlightedinourreport.Whatresearchhavewedone?Researchhasbeenconductedwithbothemployersandemployees.Penna,inpartnershipwiththeCIPDandPeopleMetrics, hasconductedanonlinesurveyinfivelanguagesacrosssixWesternEuropeancountriesFrance,Germany,Ireland,Spain,Sweden,andtheUK.Over5,500employeesweresurveyedfromacrossindustrysectors,organisationalsizes,generations,managementgradesandpaygradesaspartofthisstudy.WealsoconductedfocusgroupsandinterviewswithseniorHRmanagersfromvarious

organisations

throughout

the

UK

to

explore

theirchallengesasemployers,aswellasthepracticalactionstheyhavetakentoaddressgenerationaldifferences.TheresearchwasconductedfromMaytoJuly2008.ThiswasduringatimeofgrowinguncertaintyintheUKandECeconomies.IntheUK,FinancialServicesorganisationswerestartingtoshedjobsinordertorespondtotheglobalcreditcrunch.Therewasalsouncertaintyinthewidereconomyashousepricesstartedtodrop.


5/36

Whoarethefourgenerationsintheworkforce? 2 6Previousresearchhasdemonstratedthateachgenerationhasdifferentattitudestowardstheirworkandtheworkplace.Eachgenerationdiffersinviewofwhomtheyareloyaltoandhowtheyviewtheircareerprogression.Theirviewsaredefinedbytheirformativeyearsandthenatureoftheeconomywhentheyjoinedtheworkforce.TherearefourkeygenerationalgroupscurrentlyintheworkforceVeterans,BabyBoomers,GenerationXandGenerationY1.Thereisalsoanewgenerationsoontoentertheworkforce.GenerationZareunder16yearsoldandarestartingtojoinRetailandHospitalityworkforces.Astheeconomymovesintoarecession,thiswillbeakeyformativedifferencebetweenthisgenerationandtheonebeforethem(GenY)whohavebeenusedtoalongperiodofeconomicgrowththroughouttheirworkinglivestodate.Assofewofthisgenerationarecurrentlyintheworkforce,theyhavenotbeenexplicitlyincludedinthisreport.Sociologicalresearchhasshownthatthegenerationshaveclearlydifferentcharacteristicswhichdonotsimplyrelatetotheirstageinlife.Forexample,ateenagerin1908mayhaveexperiencedsimilarphysicalchangesandtheirassociatedanxietiesasateenagerdoesnowin2008.Yetitisclearthatateenin1908wouldhaveexperiencedfewerhealthcare,technology,educationandemploymentopportunities.Eachgenerationcreatesitsowntraditionsandculturethroughsharedattitudes,preferencesanddispositions.Suchdifferencescanbelifelongandareinfluencedbyacombinationof:societaltrendsaroundraisingand

educatingchildren;

traumatic

social

events;

asignificantchangeintheeconomiccycle;theinfluenceofsignificantleadersand

entrepreneursoradramaticdemographicshiftwhichinfluencesthe

distributionofresourcesinasociety2.

Webelievethateffectivediversitymanagementcanbeachievedbycreatingchoiceforpeople.Thefindingsinthisresearchcanbeusedtoensureinclusivenessratherthanexclusionthroughthepoliciesandpracticesinplace.Thisapproachcanbeextendedtomanagingacrossdifferentcultures,gendersandotherdemographicdifferences.Inourresearchwehaveprimarilyexploredage-relateddifferences,however,wehavefoundthattherearealsofurtherdifferencesbetweengendersandcultureswithineachgeneration.

Aquickcaution:Thereisadangerwithareportongenerationstoreducethefindingstotime-honouredattitudes.GeorgeBernardShawoncesaid,Youthiswastedontheyoungandtheseingrainedgenerationaldifferenceswillalwaysbewithus.Technological, economicandsocialdevelopmentmeansthatanoldergenerationcanseetheyoungasprivileged,withtheyoungergenerationviewingtheireldersasoutmoded.Wewouldnotrecommendthatanorganisationtakestheevidencefromourresearchtothenlabelpeopleandmakeassumptionsabouttheirattitudes.Instead,werecommendusingthefindingsfromthisreporttoappreciatethevarietyofviewsintheworkforce.Ourresearchhasfounddiversitywithineachgenerationisassignificantasacrossgenerations.Wehavealsouncoveredmisconceptionsabouteachgenerationwhichcontradictsjudgementsmadeelsewhere.

1Thereisvariationbetweencommentatorsonwhichyearsdefinethegenerations.Webelievethattheseagegroupingsarelooselydefinedandshouldbetreatedasgeneralguidance.

2Wyatt(1993)


6/36


7/36

Attractingandengagingthedifferentgenerations310Byunderstandingwhatmotivatesitsemployees,anorganisationcandevelopacompellingvaluepropositiontoengageandrewardthem.Thevaluepropositiontakesintoaccountdifferentaspectsofthejobitself,thebenefits,careeropportunities,theworkingenvironmentandtheorganisationasapotentialemployer.Anydifferencesingenerationalmotivationsandattitudeswillinfluencethevaluepropositionthatpeopleseek.Ourresearchhasthereforeexploredwhethergenerationaldifferencesresultindifferentengagementdriversandattitudestoreward.Wheretherearegenerationaldifferences,thenaneffectivevaluepropositionwilladdressanydifferentneedsaswellasthesimilaronesofeachemployeegroup.Anorganisationmayhaveavaluepropositionthatmeetstheneedsforoneortwogenerations,butthismayresultindifficultiesretainingotheremployees.Wefoundnumerousemployerswhohavereportedthattheyarestrugglingtoattractandretaincertaingenerationalgroupswhileturnoverwasverylowinothergroups.Inthischapter,westartbyexplainingthesimilaritiesbetweengenerations.Thisinformationcaninformthegenericvaluepropositionthatorganisationsneedtogetrighttobeagoodemployerforallgenerations.Wethenexplorethedifferencesbetweengenerations.Thesefindingscanhelpinformtheactionthatorganisationscouldtakeiftheyhaveproblemsattractingorretainingaspecificgeneration.Whatisimportantinthegenericvalueproposition?Coretothegenericvaluepropositionistheneedtoofferacompetitivedealandjobsecurity.Only4%ofpeoplefeltthatnoneofthesefactorswereapartof

their

decision-making

about

apotential

employer.

Theseexpectationsareconsistentacrossdifferentindustrysectors3.SomeemployershaveobservedVeteransandBabyBoomersbeinginterestedinlong-termrewardpackages,whiletherehasbeena

shiftforGenXandYtofocusingonshortertermpay/benefitsdeals.Thismaybearesponsetothelossoffinalsalarypensionschemes.Employersareofferingpensions,childcarevouchersandbuying/sellingholidaystomeettheneedsofthedifferentlife-stagesoftheiremployees.Havingagoodreputationasanemployerattractsandengages4employeesfromallgenerations.Agoodemployerwillofferjobswithasenseofpurposeandchallenge.Theyarealsoconsideredtotreatpeoplewithrespectandofferemployeesrecognitionandcreditfortheirachievements.Manyemployeesexpectanorganisationtoofferpersonaldevelopmentopportunitiesaspartofthevalueproposition.Withoutsuchopportunities,onlyVeteranswouldnotfeelinclinedtoleave.Thenatureofdevelopmentpreferencesvariesbetweengenerations.Forexample,BabyBoomersandGenXconsidertheseopportunitiestoincludeinternaljobmoveswithintheirorganisation.GenYismoreinterestedinbeinggivenspecialistskillstrainingandampleopportunitiestogrowonthejob.Thisislikelyareflectionofthegrowingemphasisonemployabilitymaximisingtheirvalueintheemploymentmarket.ThoseinthePublicandTMTsectorsweremoreconcernedaboutspecialistskillsdevelopmentthanthoseintheServicesector.

3 Industrysectorshavebeengroupedasfollowsinthisreport: PublicsectorincludingCentralandLocalGovernment,

Education,Health,andEmergency/Uniformsectors TMTTelecoms,MediaandTechnologysectors ServicesLeisure,Retail,Hospitality,Sales,CallCentres

andPersonalCaresectors ProfessionalProfessionalServices,Bankingand

FinancialServices,Pharmaceutical IndustrialEnergy,Utilities,Manufacturing,TransportandConstruction4 Employeeengagementhasbeenmeasuredusingfour

indicators:intentiontostay,discretionaryeffort,recommendationtoothersandemotionalattachment.


8/36

11Themajorityofpeopleineachgenerationarelikelytoseekdevelopmentintheirspecialistareaofexpertise.Thereisalsosignificantdemandacrossgenerationsfor:peoplemanagementskills,differentusesoftechnology,leadershipdevelopmentandknowledgeabouttheirorganisationswiderbusiness.Areorganisationsgettingthisgenericvalue

proposition

right?

Organisationshavealongwaytogotomeettheexpectationsofdifferentgenerationsasonly24%ofemployeesintheUKworkforcefeelsfullyengagedwiththeirorganisation.Howwellorganisationsareperceivedtomeetthesecoreexpectationsvariesbygeneration.Overall,PublicsectorVeteransandProfessionalsectorGenYsaremostpositiveaboutthevaluepropositionofferedbytheirorganisation.ForVeteransandBoomers,payisseentobemostcompetitiveinthePublicsector.ForGenXandGenY,thoseintheProfessionalsectorarethemostpositive

about

receiving

competitive

pay

from

their

employer.WorkersintheServicesectoraregenerallylesspositivethanothersabouttheirdealmeetingtheirneeds.Althoughmanyseekjobsecurityfromanemployer,GenYismoreoptimisticthantheothergenerations.SixintenofbothPublicandFinancialsectorworkersfeeltheirjobissecure.ThisisexpectedfortheFinancialsector,giventhecurrentandeconomicsituation.However,thisisperhapsasurprisingfindinggiventhegeneralperceptionthatthePublicsectorofferssignificantjobsecurity.ThosefeelingalackofjobsecurityareactuallymorelikelytobeintheTMTsectorandPharmaceuticalsub-sector.

Professionalsectorworkersaregenerallythemostpositiveabouttheirorganisationsreputationasaplacetowork.GenXintheServicesectorarealsolikelytofeelthattheirorganisationhasagoodreputation.Conversely,BabyBoomersarelesslikelytofeelthattheirorganisationhasagoodreputation,particularlyiftheyarebasedinthePublicsector.Theyarealsolessinclinedtofeelthatpeopleintheirorganisationaretreatedwithrespect.Aroundsevenintenworkersacrosseachgenerationfeelasenseofpurposeintheirwork.Employers

in

the

Public

sector

seem

to

be

doing

bestwhenitcomestopersonaldevelopmentforallgenerations.PerhapsofconcernfortheProfessionalsectoristhatwhilsttheneedsofGenYseemtobemet,BabyBoomersareamongsttheleasthappyintheUKworkforceintermsofpersonaldevelopmentopportunities.


9/36

12Figure1Averageratingsofthecorevaluepropositionbygeneration

Imfairlypaidformycontributiontomyorganisationssuccess39%40%41%35%44%Igetbackfromtheorganisationafairreturn(financialrewards,etc.)forwhatIgive(effort,performance)32%32%34%29%41%ImpaidfairlyfortheworkIdorelativetopeopleinsimilarpositionsinsimilarorganisations38%40%39%36%41%Ifeelsecureinmyjob56%60%56%53%55%SeniorManagementconsidersemployeeinputwhenmakingdecisionsthatimpactmyorganisation28%34%28%25%31%Mycontributiontomyorganisationssuccessisrecognisedbymymanager45%48%45%43%50%Myorganisationhasareputationasagoodplacetoworkintheindustry42%48%45%36%38%Ifeelabletousemykeyskills/expertiseinmyrole66%65%66%67%67%

OverallIget

asense

of

purpose

from

my

work

GenY69% GenX65%69% BabyBoomer72%72% Veteran


10/36

WhoisgettingitrightinEurope?OrganisationsinSwedenarethemostpositivelyratedemployers.Inparticulartheyarewellratedfortheirworkingenvironmentwherepeoplefeelpartofateam,feeltheyaretreatedwithrespect,arepersonallyvaluedbythosearoundthemandtheycanhavefun.Theyalsofeelthattheirorganisationdemonstratessocialresponsibilityandarepositiveaboutcommunicationwithintheorganisation.JobswithinSwedenarealsobetterratedforofferingasenseofchallengeandgivingpeopletheopportunitytostretchtheirskills.Peoplealsofeelencouragedbytheorganisationtofocusondeliveringcustomerservice.OrganisationsinFrancearebestratedforbeinggoodemployers.Peoplefeelenabledtogetthingsdoneandthattheyareworkinginateam-basedenvironment.FrenchworkersarealsothemostoptimisticinWesternEuropeabouthavingaccesstojobopportunitieswiththeircurrentemployer.InIreland,employeesarethemostpositiveinWesternEuropeaboutthecompetitivenessoftheirdeal.Theyalsofeelagoodsenseofjobsecurityandthattheycanachievegoodlife/workbalance.Theyarealsomoreinclinedtofeelthatgoodcustomerserviceisrecognisedbytheiremployer.

13


11/36

14Figure2Averageratingsofthecorevaluepropositionbycountry

Imfairlypaidformycontributiontomyorganisationssuccess28%38%50%29%29%42%Igetbackfromtheorganisationafairreturn(financialrewards,etc.)forwhatIgive(effort,performance)23%35%40%23%22%34%ImpaidfairlyfortheworkIdorelativetopeopleinsimilarpositionsinsimilarorganisations26%35%46%36%27%41%Ifeelsecureinmyjob53%62%65%61%58%53%SeniorManagementconsidersemployeeinputwhenmakingdecisionsthatimpactmyorganisation15%40%34%25%26%28%Mycontributiontomyorganisationssuccessisrecognisedbymymanager37%45%48%41%39%47%Myorganisationhasareputationasagoodplacetoworkintheindustry61%48%49%51%47%37%Ifeelabletousemykeyskills/expertiseinmyrole64%69%61%67%68%67%

FranceIgetasenseofpurposefrommywork Germany78% Ireland66%66% Spain89% Sweden68%67% UK


12/36

15GenerationaldifferencesinthevaluepropositionSomeaspectsofthevaluepropositiondifferintheirimpactonengagementandintermsoftherelativeimportancethateachgenerationplacesonthem.Thesefactorsincludecertainaspectsofthejobrole,theworkingenvironmentandpersonaldevelopmentpreferences.Forexample,theemphasisoncustomerservice,work/lifebalanceandthedesireforteamworking.Inthissection,weoutlinethepreferencesofeachgeneration.Suchdifferencesinwhatgenerationsseekmeansthatcertainmessagesmaybemoreorlessattractivetocertaingroups.Someofthesepreferencesmayrelatetothecurrentlifestageofthegeneration.However,thefactthatorganisationsarefindinganeedtovarytheirpracticestoattractandretainyoungergenerations,indicatesthatthechangesaregenerationalandnotsimplyafactoroflifestage.Theemphasisonthevaluepropositioncriteriavariesbyindustrysector.IntheServicesector,recruitment

messagesaroundteamworkingaremorelikelytoattractGenY,whiletheopportunitytobeofservicetocustomersmayworkbetterforBoomers.InthePublicsector,oldergenerationswillrespondbettertomessagesaroundautonomywhiletheyoungergenerationsrespondbettertomessagesaroundspecialistskillsdevelopment.IntheProfessionalsector,work/lifebalanceismoreimportantforGenXworkers.Theiryoungercolleaguesmayrespondtomessages

around

rapid

job

promotion,

while

older

colleaguesrespondtobeingabletoservecustomers.Inthenextsectionsofthischapter,weexplorethepreferencesinthevaluepropositionthatwouldattractaparticulargeneration.AtBNPParibasScottishoffice,thereisasmallpooloffinancialservicesskillsintheemploymentmarket.Theyhavethereforesoughttoattractpeoplefromeachgenerationtoanewtrainingprogrammetoensurethattheyhavethecapabilitythattheyneed.


13/36

16 CaseStudy

Multi-generationalAcceleratedGrowthProgrammeBusinesscase:BNPParibasaregrowingsignificantlyinScotland,wherethereisarelativelysmallfinancialservicesmarket.DuetocompetitionforasmallpoolofskilledFinancialServicesemployees,theyarefindingitdifficulttofindnewtalentinordertodevelopapipelineforfutureleaders.Whattheyaredoing:TheyhavelaunchedanewAcceleratedGrowthProgramme,whichwillbea2-yeardevelopmentprogrammefor15people.Thisisaimedatattractingpeoplefromaswideapoolaspossible-fromschoolleaversanduniversityleavers,toparentsreturningtoworkandolderworkerschangingcareer.Theschemeisgenuinelyabouttalent,withbehavioursandattitudesasimportant,ormoreimportant,thanqualifications.TheschemewillbepilotedinScotlandandthenrolledouttoothercountriesinEurope.Peoplewillstarton6thOctober.EveryoneontheschemewilltakeanIAQqualification,willhaveaseniormentorandwillundertake4x6monthplacementsindifferentpartsofthebusiness.Therewillbearangeofdifferentlearningmethodstoappealtodifferentgroups.Thisincludes:areadingandvideoclub;regulargettogetherstodiscusslearningsandpracticalapplications;developmentdayandtheopportunitytogetinvolvedinprojectworktogivethemahelicopterviewofthebusiness.Therewillbetheopportunitytoadapttheprogrammetodifferentpeople,tomakesurethatGenXgetassignmentsandGenYaregivenautonomyandplentyoffeedback.Impact:Consultationwithinthebusinessandseniorlevelsponsorshipoftheschemehasbeenverypositive.ToosoonforresultsasitonlylaunchedinJulybuttheyanticipateabroadgenerationaldiversityofparticipantsonthescheme.


14/36

17VeteranpreferencesVeteransplaceparticularemphasisonfeelingvaluedbythosearoundthem.Theyfeelmoreengagedifpeopletakenoteoftheiropinionsandideas.Theyalsodesiretoworkinorganisationswheretheycanserveotherpeople.Theirviewofwork/lifebalancevariesfromothergenerationsaswell.Veteransaretheonlygenerationwhoseretentionisnotsignificantlyinfluencedbytheirjobrole.Theywouldconsiderworkingbeyondretirementiftheycouldchoosethehourstheywork.Thereisclearlyanopportunityinofferingthesesoon-to-retireesalternativeflexiblecontractstoretaintheirwisdomwithintheorganisation.Atthesametime,fourintenVeteransareseekingtrainingtocoach,adviseandsupportothers.Tappingintothissegmentoftheworkforceoffersarealopportunity,especiallygiventhesmallerworkforceofthefutureandtheimpendingretirementofboomers.Currently,Veteransaremorelikelytodisplaydiscretionaryeffortthananyothergeneration.FemaleVeteransinparticulararealsomorelikelytorecommend

the

organisation

and

feel

passionate

aboutwhattheydothananyothergroupintheworkforce.ThePublicsectorseemstoofferthebestoverallvaluepropositionforthisgeneration.

TheVeteranvaluepropositionVeteransseekjobsthatinvolvehavingauthoritytomakedecisions.Theyareusedtoclaritywithregardtotheirroles,responsibilities andhierarchies.Mostcurrentlyfeeltheyhaveauthoritytomakedecisions.Sixintenfeelabletogetthingsdoneandhaveaclearlydefinedroleorsetofresponsibilities.Veteranswanttobeofservicetotheircustomers.However,overhalfcurrentlyfeeltheirorganisationisnotfocusedongoodcustomerservice.ThoseinthePublicsectoraregenerallymorepositive.Theywanttofeelpersonallyvaluedbythosearoundthem.Theyexpectorganisationsandpeopletoreciprocatetheirloyaltyandrecognisetheirexperience.Theytendtobemoreengagedifpeopletakenoteoftheiropinionsandideas.Currently,nearlysixintenfeelthatthishappens.ThisishigherinthePublic

sector.

Theyseekpersonaldevelopmentopportunitiesaround:coachingandmentoringothersprojectmanagement.

Veterans

Retire?Me?Notlikely.


15/36

18BabyBoomerpreferencesTraditionallyseenasthepresenteeismgenerationthatworkslongofficehours,BabyBoomersnowdesirework/lifebalanceasmuchasanyothergeneration.AthirdofBoomersinthePublicsectorwouldonlyjoinanorganisationifitofferedflexibleworking.However,halfofBoomersinanysectorfeelthattheycanstrikethisbalancecurrently,somethingthatthoseintheProfessionalsectorfindespeciallydifficult.FewerBoomersthanVeteranswouldconsiderworkingbeyondretirementage.BabyBoomersarethegenerationleastinclinedtodesireteamworking.Infact,onlyhalfofBoomersfeelthatsuccessismoreeasilyachievedthroughteamsthanindividually.ThisiscontrarytotheexpectationinwhichGenXareseentobetheindividualisticgeneration.Notably,moreBabyBoomersthanyoungercolleaguesconsiderthedemonstrationofsocialresponsibilityasanimportantfactorintheirengagementwiththeorganisation.AnorganisationthatdemonstratessocialresponsibilityislikelytoattractandengagemoreBabyBoomersthananyother

generation.

Again,

this

is

different

to

common

beliefthatGenYvaluesocialresponsibilitymorethanothergenerations.Althoughmanyofthatgenerationdovaluesocialresponsibility,theirchoicesandbehaviourarenotdrivenbythis.BabyBoomersaremorelikelytostaywiththeircurrentemployerthananyothergenerationbut,atthesametime,arelessinclinedtorecommendtheemployertoothersorfeelmotivatedtodisplaydiscretionaryeffort.MaleBoomersarelesspositivethantheirfemalecolleagues.ForBabyBoomers,thePublicsectoroffersthebestoverallvalueproposition.Theyaremorepositiveabouttheaspectsofthepositionthattheirgenerationseeksfromanemployer.BabyBoomersintheTMTsectorarealsomorepositiveaboutthevaluepropositiontheiremployeroffers.

BabyBoomersTheBabyBoomervaluepropositionBabyBoomersseekauthoritytomakedecisions.Sixintenfeeltheyareabletogetthingsdone.Iftheyhavechallengingwork,thenBoomersaremorelikelytofeelengagedwiththeirorganisation.Morethansixintenfeelsasenseofchallenge.ThoseinthePublicandTMTsectorsaremorelikelytofeelpositiveabouttheseaspectsoftheirjob.BabyBoomerswantwork/lifebalance.Halfwouldconsiderworkingbeyondtheirexpectedretirementage.Currently,halfofBoomersfeeltheirjoballowsthemtohaveanappropriatebalancebetweenworkandpersonallife.Theywanttofeelpersonallyvaluedbythosearoundthem,butcurrentlyunderhalfofthemdo.Justunderhalffeelpeopletakenoteoftheiropinionandideas.ThoseinthePublicsectorareslightlymorepositive.Boomersaremoreengagediftheirorganisationdemonstratessocial/environmentalresponsibility.Currently,fourintenfeeltheirorganisationdemonstratesthis,althoughthoseintheTMTsectorarelesspositive.Accesstopersonaldevelopmentengagesthem.Forexample,iftheyfeelabletobesuccessfulandthereareexcellentjobopportunitiesavailable.Onlyoneinfivearepositiveaboutjobopportunities,butthisishigherintheTMTsector.Thenatureofdevelopmentthattheyseekincludes:moreknowledgearoundotherpartsofthe

organisation,especiallyintheTMTsectorleadershipskills,althoughthoseinthe

Professionalsectorarelessconcernedaboutaccesstothisdevelopment

inthePublicsector,howtocoachandmentorothers

customerserviceskills- especiallyforthoseintheServiceandProfessionalsectors.

Iwanttoworkforasociallyresponsibleemployer.


16/36

19GenerationXpreferencesThisgenerationisusedtoflathierarchies,dispersedworkingenvironmentsandcomplexorblurredreportingstructuresandaccountabilities.Manycurrentlyfeelthattheyhavechallengingwork,butsomemaybefrustratedthattheydonothaveauthoritytomaketheirowndecisions.Inallindustrysectors,flexibilityisstartingtobeseenaspartofthecoredeal.GenXcommonlyseekjobsthatfitwellwiththeirlifeoutsidework.Oneinfourcitesthisasakeydecisionfactorwhenseekingapotentialemployer.Thisdemandforflexibilityshouldnotbeseenasadesiretoworkfewerhoursashalfofthemwouldwillinglyworkmorehoursifflexibilitywasoffered.ThisisespeciallysointheProfessionalsector.GenXseestheworkplaceasaplacetosocialiseaswellastoworkandtendtofeelloyaltytowardspeoplewithintheorganisationratherthantotheorganisationitself.Organisationsthatofferasenseofworkplacecommunityarethereforemorelikelytoattractandengagethisgeneration.Traditionallydescribedasindependentandnotteamplayers,Gen

X

are

actually

the

group

most

likely

to

be

engagedwiththeorganisationiftheyfeelpartofateam.Onbalance,theProfessionalsectorcurrentlyseemstoofferGenXthebestvalueproposition.Inanysector,theyarelikelytofeelasenseofteamandchallengeintheirrole.However,theymayseealackofcareerdevelopmentopportunitieswithintheorganisation.TheseopportunitiesarefelttobemoreavailabletothoseintheProfessionalsector.Conversely,onlyoneinfiveintheTMTsectortendstofeelengaged.

GenXTheGenerationXvaluepropositionGenXseeksauthoritytomakedecisionsandthrivesonfeelingchallenged.Currently,aroundhalffeeltheyhavetheauthoritytomakedecisions.Morethansixintenfeelsasenseofchallenge,althoughfewerfeelchallengedintheServiceandProfessionalsectors.Theywantwork/lifebalance.GenXhavereactedagainstthefacetimecultureandoftenlookformoreofawork/lifebalancewhichgivesthemflexibilityandfreedom.Theyaremoreconcernedwithoutcomethanprocess.Halffeeltheirjoballowsthemtohaveanappropriatebalancebetweenworkandpersonallife.Accesstowork/lifebalanceissimilaracrossallsectors.Theywanttobepersonallyvaluedbythosearoundthem,andtendtobemoreengagedifthereisasenseofteam.Sevenintenfeelpartofateam.Thislevelisconsistentacrosssectors.Currently,halffeelpeopletakenoteoftheiropinionandideasatworkandthistooissimilaracrosssectors.Theyvaluefeelingabletobesuccessfulintheirorganisation.Accesstopersonaldevelopmentopportunitiesincludeonthejobgrowthcombinedwithexcellentjobopportunitieswithintheirorganisation.However,onlyoneinfourfeelstheyhavejobopportunitieswiththeircurrentemployer.ThoseintheProfessionalsectoraremoreoptimistic.GenXseekdevelopmentthatfocuseson:moreknowledgearoundotherparts

oftheorganisationleadershipskillscustomerserviceskills,especiallyinthe

servicesectorprojectmanagementskillsintheTMTsectorhelpwithcareermanagement

(inthepublicsector).

Abitofteameffortoverme,me,meplease.


17/36

20GenerationYpreferencesAlthougheachgenerationplacesclearconsiderationonthecompetitivenessoftheirdealwhenseekinganemployer,itonlyaffectsGenYssubsequentperformance.ThiscombinedwithasenseofempowermenttogetthingsdonewillbemorelikelytoengageGenY.GenYcommonlyblursthelinesbetweensocialisingandwork.NearlysevenintenofGenYemployeesintheTMTandProfessionalsectorswouldconsiderworkinglongerhoursformorepay.GenYknowsthattheiridealistogainagreaterwork/lifebalancebutisalsokeentogainemployability.Tobalancethesepreferencesmanyactivelyseekanemployerwheretheycanbepartofateam,havefunandmakefriendswithintheworkplace.Althoughtheyseetimeforfriendsandfamilyasimportant,theytradeoffputtinginthehoursandsocialisewiththeteamofpeoplearoundthem.ThisisespeciallysoforthoseintheServiceandProfessionalsectors.GenYismorelikelytorecommendtheiremployerthananyothergeneration.Perhapsoppositetoexpectation,nearlyhalfactuallyintendtostaywiththeircurrentemployer

for

the

next

five

years.This

is

especially

the

caseinthePublicandProfessionalsectors.GoogleiswellknownamongGenYasagoodemployer.Forthisorganisation,culturefitisattheheartofitsrecruitmentandretentionpracticesasourcasestudydescribes.TheProfessionalsectorseemstohaveanedgeoverothersectorsforGenY.ThemajorityofGenYispositiveabouttheaspectsofthevaluepropositionthattheyseekfromanemployer.Forexample,theyfeelpartofateam,theirorganisationisfun,theyfeelchallengedandcangetthingsdone.However,likeGenX,theyarelesspositiveaboutjobopportunitieswiththeircurrentemployer.GenYintheServicesectortendstobetheleastpositiveaboutthevaluepropositionofferedbytheiremployer.

GenYTheGenerationYvaluepropositionGenerationYseektobepartofateam,havefunandmakenewfriends.Theyfeelmoreengagedtoperformbetterwheretheycanaccessthisteamworking.Threeinfourfeelpartofateamatworkwhilehalffeeltheirorganisationisafunplacetowork.Thisenvironmentisconsistentacrosssectors.Theyalsofeelmoreengagediftheyhavechallengingworkandtheyfeelabletogetthingsdone.Almosttwointhreefeelasenseofchallenge.ThisishigherinthePublicsector.Nearlysevenintenfeelstheyareabletogetthingsdone.ThisisslightlylowerintheServicesector.Theywantlife/workbalance.Overhalffeeltheycanachieveit.ThisishigherintheProfessionalsectorandlowerintheServicesector.Theyaremoreengagedwiththeiremployeriftheiroverallbenefitspackagemeetstheirneeds,butonlyfourintenfeeltheirneedsare

met.

This

is

much

higher

in

the

ProfessionalsectorandbelowaverageintheServicesector.Theyaremoreengagedwiththeiremployeriftheyhaveaccesstopersonaldevelopment.Forexample,beingabletobesuccessfulandhavingampleopportunitytogrow.Theseopportunitiesincludespecialistskillsdevelopment.Aroundtwointhreefeeltheycanusetheirkeyskillsintheirjobandsofeeltheyaredevelopingtheseskills.ThoseintheServicesectorarelesslikelytofeelpositive.Oneinthreefeelstheyhavejobopportunitieswithintheircurrentorganisation.ThisishigherintheProfessionalsector.GenYseeks:moreknowledgearoundotherpartsofthe

organisationleadershipskillscustomerserviceskills,especiallyinthe

Servicesectorprojectmanagementskills(intheTMTsector).

Itrustwhatthecompanysaysimplicitly.


18/36


19/36


20/36

23CaseStudy

UsingcompetenciesforfairrecruitmentassessmentacrossgenerationsBusinesscase:Traditionally,recruitmentcriteriarequiredaspecificlengthofexperienceinthecaresector.However,Brunelcarewasfindingdifficultyrecruitingexperiencedcarepeoplewiththecompetenciesneededtotacklenewissuesfortheirbusiness.Anexamplecompetencyisininvestigativeandproblem-solvingtechniqueswhichcouldcomefromanyindustryorexperiencelevel.Previousrecruitmenttechniqueswouldhavelookedmorespecificallyatexperiencewithinthecaresector.Brunelcarewantedtoprioritiseorganisationalfitoverstrictadherencetothetraditionalcriteriaofqualificationsandsector-specificexperience.Theyalsowantedtoensurethattheirrecruitmentprocesssuitedeachgenerationequally.Approach:LinemanagersdefinethepersonspecificationandHRensuresthatessentialcriteriaincludecompetencemorethanqualificationsandexperience.Recruitmentcommunicationsarethendesignedtoofferanon-conditionalmessage.Forexample,inajobadvertthereisnomentionofarequiredamountofexperienceorofqualificationsunlessthesewouldbeessentialtotherolesuchasfornurses.ThefocusofrecruitmentcommunicationsisaroundBrunelcaresvalueshardworking,committed,keepingpromisesandbeingnice.Thesevaluesarebasedonthequalitiesthatcorrelatetopeoplethrivingintheorganisation.Criteriausedintheselectionprocessfocusesonthesevalues.Candidatesmeettheirpotentiallinemanager,areassessedusingabatteryoftestsandhaveacompetencybasedinterview.Forexample,peopleareaskedtoprovideexamplesofwhentheylasthelpedsomeoneoranexampleofwhentheylastputthemselvesoutforsomeone.Judgementisbasedonhowpeopleactuallybehaveinsituationsandnothowtheywouldhavelikedtohavebehaved.Wherepeopledonothaveappropriatetechnicalexperience,theyaregivensupportandtraining.Outcomes:Brunelcarehasseenamarkedimprovementinperformanceofemployeesandinthevarietyofbackgroundsofpeoplerecruited.Forinstance,theyarecurrentlybuildingan8millioncomplexofshelteredhousingandhaveusedthecompetency-basedprocesstohirea23year-oldProjectManagerforapostwhichcarriessignificantresponsibility.Therecruitmentprocesshadidentifiedthatthisindividualhadalloftherequiredqualitiesfortheroleandfortheorganisation.Thisindividualcontinuestobeconsideredanoutstandingperformer.WithinBrunelcare,thereisastrongbeliefthatthismethodologyhelpstoidentifyandhirepiecesofgoldthatmanyotherorganisationswouldnottakeon.


21/36

Whydogenerationsmisunderstandeachother? 424Thedifferingexpectationsandengagementdriversofthegenerationsmayleadtomisunderstandinginworkplacerelationships.Thisisespeciallysoforindividuallinemanagerswhomayhavedifferentgenerationswithintheteam.Thischaptercoversthedifferentorganisationalpracticesthatcanbeaffectedbygenerationaldifferencesinattitudestowardsworkandtheworkplace.Eachgenerationmayfindmoresourcesformisunderstandingaroundspecificorganisationalpractices.WehavefoundthatVeteransmayfindgreater

misunderstanding

around

different

attitudes

towardsretentionandcustomerservices;Boomerswithperformancemanagement;GenXwithmobileandflexibleworkingandinternalcommunicationsandGenYwithleadership,managementandcareerdevelopment.Inthenextsectionsweexploreeachofthesepracticesandunpackthedifferencesingenerationalviews.RetentionandloyaltyDifferingattitudestoretentionandloyaltyaremostlikelytofeellikeasourceofconflictforVeteranswhenworkingwithcolleagues.RetentionisalsohigheramongVeteranworkerswitharoundsixintenfeelingthatitwouldtakealotforthemtoleavetheorganisationtheyworkfor.Closetoretirementage,athirdstillexpecttobewiththeircurrentemployerinfiveyearstime.Veteransarealsomorelikelytodisplaydiscretionaryeffortthananyothergeneration.RetentionisunlikelytobeasourceofconflictbetweenVeteransandBabyBoomersasthelatteraremorelikelytostaywiththeircurrentemployerthananyothergeneration.Nearlysixintenintendtostaywiththeircurrentemployerforatleastthenextfiveyearsandfeelthatitwouldtakealotforthem

to

leave.

However,theVeteranmanagermayfindGenXandGenYslightlyparadoxicalintermsoftheirloyaltytotheorganisation.Theseareemployeeswhoarehappytoworklongerhoursbutatthesametimearedifficulttoretainbeyondtwoorthreeyearsemployment.GenYcolleaguesarealsomoreinclinedtoleaveiftheircolleaguesaremaderedundantsomethingthataVeteranwouldbemuchlesslikelytoconsider.ThisislikelyduetothebreakupofacorevaluepropositionforGenY:theirsocialnetwork.IfaVeteran

manager

is

leading

organisational

transition

ordownsizingwithintheirorganisation,thentheywillneedtoengagecolleaguesthroughthechangejourney.LiketheVeteran,theBabyBoomermayfindthattheyoungergenerationssomehowlackloyalty.Forexample,GenXandGenYmaydemandmoreflexiblehoursandarelesslikelytotakealongtermcareerviewwiththeorganisation.ItisnoteworthyfortheBoomerthereforethatnearlyhalfofGenYintendtobewiththeircurrentemployerinfiveyearstimeandoneinfourexpectstochangejobseverytwotothreeyears.So,thecommonlyheldbeliefthatGenYisagenerationeasytorecruitbuthardtoretainmaynotbestrictlythecase.ThoseinthePublicandProfessionalsectorsaremorelikelytofeelthisway.GenXmaybesurprisedatthecontinuancecommitment5 seeminglyshownbyoldergenerations.TheGenXermayfindtheVeteranpuzzlinginrelationtotheirloyalty.Veteransareseeminglynotwillingtoworkflexiblehours,yetwouldextendtheirworkinglifeintoretirement.AsmanyasoneinsixBoomersmaydisplaycontinuancecommitment.GenXandGenYmaynotunderstandwhyoldergenerations

would

stay

with

an

employer

that

theywouldnotrecommendtoothers.

5Continuancecommitmentisthetermusedtodescribeindividualswhostaywithanorganisationbecausethecost/effortofleavingisgreaterthanthatofstaying.Theseindividualsremainbutdonotfeelmotivatedtogotheextramile.


22/36

Table2:PossiblesourcesofgenerationalconflictfromaVeteransperspective25

Retention:Retentionishigheramongtheseworkers.Aroundsixintenfeelthatitwouldtakealotforthemtoleavetheorganisationtheyworkfor.Closetoretirementage,athirdstillexpecttobewiththeircurrentemployerinfiveyearstime.Morethananyothergeneration,theseworkersaremorelikelytofeelmotivatedtogobeyondwhatisexpectedandshowmorepassionandprideforwhattheydo.Morethanotheremployees,theymayconsiderworkingbeyondretirementage.Veteransaremorelikelytofeeltheygetafairdeal.Customerservice:RelativelyfewVeteransfeelthatthereisagoodlevelofinternalcustomerservicefrominternalsupportdepartmentswithintheirorganisation.ThoseinthePublicsectoraremorelikelythanothergroupstofeelthatexternalcustomerserviceispartoftheculturalnorm.

Retention:Retentionisalsocommonamongtheseworkers.Nearlysixintenintendtostaywiththeircurrentemployerforatleastthenextfiveyearsandfeelthatitwouldtakealotforthemtoleave.Halffeelproudtoworkfortheiremployerbutonlyfourintenwouldrecommendtheiremployertoothersorfeelmotivatedtodisplaydiscretionaryeffort.Customerservice:Boomersaregenerallylesspositiveaboutcustomerservicebeingreceivedinternallyorbeingrecognisedwhenitisdemonstratedexternally.

Veterans BabyBoomers

GenXRetention:GenXmayseekachangeofjobsmorefrequentlythantheVeteranwouldexpect.Lessattachedtotheircurrentemployerthanoldergenerations,overhalfstillintendtoworkfortheircurrentemployerinfiveyearstime.AswithBabyBoomers,justoverfourintenwouldrecommendtheiremployerorwouldgobeyondwhatisexpected.Paradoxically,GenXaremorelikelythantheVeterantoexpectflexibleworkingandarewillingtoworklongerhoursformorepayorflexibility.Customerservice:GenXaremorelikelytoworkflexiblysopotentiallyofferingadifferentformofcustomerservicethanthatofferedbyVeterans.OnlyoneintenGenXersareinterestedinroleswheretheycangivegood

service.

Retention:TheVeteranmayfindGenYcolleaguesdifficulttoretain.TheVeteranmaybesurprisedthattheGenYemployeeiswillingtoworklongerhoursformorepayorflexibility.TheymaybeequallysurprisedthereforethattheGenYemployeemayalsoexpect

to

change

job

every

23

years.

The

VeteranshouldnotethatGenYemployeeswillconsiderleavingiftheircolleaguesaremaderedundant.Customerservice:GenYisarethemostoptimisticaboutcustomerservicebeingrecognisedandrewardedattheirorganisation,especiallyintheServicesector.Theyarealsomorepositiveaboutinternalcustomerservice,especiallyintheProfessionalsector.16%ofGenYarenotatallinterestedincustomerservicebeingpartoftheirrole.

GenY


23/36

26 CaseStudy

CreatingagenerationallybalancedworkforceB&QwerethefirstBritishcompanytoemployolderworkersandhavebecomethecompanythatpeoplethinkofinconnectionwithgenerationalbalance.Nowin2008,26%oftheirworkforceisover50and24%areaged24andunder.Thekeyactionsanddriversbehindthisachievementhavebeenconsistentbuthavedevelopedovertheyears:openingtwostoresin1989entirelystaffedbyover50sbenchmarkingoneofthesestoresagainstfourotherSupercentresusingtheencouragingresultstodriveculturalchangeandproactiverecruitmentofolderworkersremovingtheretirementageandanauditofallotheragebarriersresearchamongallover50sstaffacrossthecountrywhichreflectedthewidersocialbenefitsaswellasthe

financialsecurityprovidingflexibleworkingforeveryone,irrespectiveofage,lengthofserviceorcaringresponsibilityregularreviewofattractionandworkforcestatisticsprocessthatdrivesrecruitmentonabilityandnotagelearninganddevelopmentframeworkofferingchoiceandflexibilityaroundhowandwhenyoulearnregularfeedbackandviewsfromtheworkforceviatheirinformationandconsultationforumandemployee

sessionswiththeCEOdiversitychampionswithinallstoresdiversitye-learningprogrammebasedontheircorevaleoftreatingpeoplewithrespect.ThebusinesscaseforB&Qremainscompelling.Theolderworkersprovetobegreatcoaches/mentorsandrolemodelstoyounger,lessexperiencedstaff.Theyhavealsofoundthatdespitecommonstereotypesaboutolderworkers,theydoinfactopenlyembracechangeandnewtechnology.


24/36

27DrivingcustomerserviceAsecondsourceofconflictforVeteransmaybearoundtheemphasisplacedoncustomerservice.Veteransaremorelikelythanothergenerationstoseekroleswheretheycanbeofservicetocustomers.Thisgenerationaldifferenceis,perhapsironically,mostsignificantintheServicesectorwherelessthanoneintenGenXorGenYemployeesseeksarolewheretheycanbeofservicetotheircustomers.Thiscompareswithoneinfouroftheoldergenerations.Itmayneedtobeofrealconcernforemployersthatfewoftheyoungergenerationsseekroleswheretheycanbeofservicetocustomers.However,manyyoungerworkersdonotfeelthatthereisrecognitionforgoodcustomerserviceandtwothirdsofallemployeesfeeltheireffortwouldnotberecognisedbytheirorganisation.ThoseinthePublicsectorareconsistentlylesspositiveaboutthisrecognition.GenYaremorepositiveaboutservicebeingrecognisedthanothergenerations.PerformancemanagementShort

term

reward

demands

may

be

akey

source

of

conflictfortheBabyBoomer,especiallywiththeyoungergenerations.Theymayfeelconflictwithshorterservicecolleaguesfromothergenerationswhodemandpayincreasesongroundsofgoodperformance.Havinggivenlongservicetotheircurrentemployer,Boomersexpectrecognitionoftheircontributiontotheorganisationslongertermsuccess.Veteransmayhavesomeempathywiththisview,butarestillmorelikelytofeelthatpayreviewsshouldbebasedonmeritratherthantimeserved.Asaconsequenceofthesedifferingviews,BabyBoomersmayfeelthattheydonothaveasgoodadealastheircolleagues.

However,eveninthePublicsector,wherelongerserviceisgenerallyrewarded,BabyBoomersdonotfeelperformanceisfinanciallyrewarded.FeedbackfromGenXandGenYemployeesinthissectoralsoindicatealackoffinancialincentiveforhigherperformance.Thisindicatesthat,overtime,highperformingemployees- GenYinparticular- mayfindpaywillbecomearetentionissue.Theirengagementisaffectedbywhetherthedealmeetstheirneedsandsotheyaremorewillingtomoveelsewheretofindthisdeal.ThereareclearimplicationsforthedesignofpaystructuresinthePublicsector.GenYsrelativelyaggressiveattitudetoperformancemanagementmaybeafurthersourceofconflictforBabyBoomers.WhileveryfewBoomersbelievethatunder-performersshouldbefired,GenYismuchlesstolerantofunder-performance.NearlyoneinfiveGenYsbelievethatthebestsolutionforunderperformanceisforsomeonetobefired.ThistoleranceisespeciallylowwithintheTMTsector.GenYmayfeelfrustratedthatlengthofserviceisrecognisedbyBoomersbutperformanceisnot.ABabyBoomermanagermaybepleasantlysurprisedthattheyoungergenerationsarewillingtoworktheextrahours.Theyshouldbeconscious,however,thatthesemembersoftheteamaregoingtobeinterestedinclawinghoursbackinflexitimeorovertimepay.Conversely,Veteranmembersoftheteamaremuchlesslikelytoevenconsiderworkingtheextrahours.


25/36


26/36

29MobileandflexibleworkingAkeysourceofpossibleconflictforGenXisintheorganisationsmanagementoflife/workbalance.Asmanagers,GenXarelikelytosupportaVeteransdesiretoworkreducedorflexiblehoursbeyondretirementandaremorelikelytounderstandthisdesirethanaBoomer.However,theGenXermayfeelsurprisedbyaVeteransseeminglackofwillingnesstobeflexiblearoundhoursworked.BabyBoomersmaydisplayasimilarlackofinterestinbeingflexibleintheirhours.Asemployees,GenXmaystillfeelthattheyaredrivingorganisationalchangesinflexibleandmobileworkingpractices.Asageneration,GenYarethefirsttotrulyadopttechnologytomanagetheirlife/workbalanceastheboundariesofofficeandpersonallifebecomeblurred.

InternalcommunicationGenXarealsomoreaffectedbythequalityofinternalcommunicationfromtheirorganisationthananyothergeneration.Theyexpecttobeabletotrusttheinformationtheyreceiveandmayleaveiftheyfeelthatcommunicationintheirorganisationispoor.BabyBoomersandGenYexpectagoodlevelofcommunicationbutarelessjudgementalofwhethertheycantrustit.Veteranattitudesarelessaffectedbycommunicationthantheirothercolleagues.Giventhattheyarethemostinformationhungrygeneration,havingjoinedtheworkforceduringthedigitalinformationage,GenYisactuallythemostpositivegenerationaboutcommunication.Theymaybeexpectedtobemoredemandingofinternalcommunicationgiventhefactthattheyareusedtoinformationattheirfingertips.Theyaremorepositivethantheothergenerationsabouthavingtheinformationtheyneedtodotheirjob,feelthatinformationisbelievableandthatworkprioritiesareclearlycommunicated.Employersarefindingthatonesizedoesnotfitallfor

communication

across

the

generations.

Where

organisationsarechangingtomoreIT-basedcommunicationssuchasintranet,telephonevideoconferencing,theyarefindingthattheyneedtocommunicatethroughmultiplechannelstoagenerationallydiverseworkforce.TheuseofnewertechnologysuchasvideosandpodcastsmayputoffVeteranandBoomerworkers.Thedemandfortraininginthedifferentusesoftechnologyisthesecondmostcommontrainingneed.


27/36

30

Internalcommunication:Sixintenfeeltheyhavetheinformationtheyneedtodotheirjob.ItisslightlylowerintheTMTsector.Halffeelthattheinformationtheyreceivefromtheirorganisationisbelievable.ItishigheramongProfessionalsectorworkersthanPublicsectorworkers.Halffeelworkprioritiesareclearlycommunicated.Athirdaresatisfiedwiththecommunicationtheyreceive.

Work/lifebalance:TheGenYemployeemaybemorewillingtoworkmorehoursforextrapaythanGenXmightexpect.Internalcommunication:Relativelyoptimisticaboutinternalcommunication,GenYismorepositiveaboutclarityofworkprioritiesthanGenX.Theirmanagerismorelikelytobeintheirsocialcontactsthananyothergeneration.Oneinfourdoesntwanttobemanagedbysomeoneyoungerthanthem.

Work/lifebalance:TheVeteranmaybeseekingtoworkbeyondretirementage.TheVeteranemployeemaynotbewillingtoworklongerhoursformorepayorflexibility-somethingthatmaysurpriseGenX.Internal

communication:

More

feel

they

havetheinformationtheyneedtodotheirjobthantheGenX.However,fewerVeteransfeelthatworkprioritiesareclearlycommunicatedandsomayrequiremoreexplicitdirectionthanGenXmightexpect,especiallythroughperiodsofchangeandtransition.Otherwise,VeteransholdsimilarratingsofinternalcommunicationtoGenX.

Work/lifebalance:TheBoomeremployeemaynotbewillingtoworkmorehoursformoreflexibility- somethingthatmightsurpriseGenX.Internalcommunication:Boomersfindinternal

communication

important

to

their

engagementyettheyarelesshappywithitthanGenX.Oneinthreeissatisfiedwiththeinternalcommunicationstheyreceivefromtheirorganisation.

Table4:PossiblesourcesofgenerationalconflictfromaGenXperspective


GenX GenY


28/36


29/36

32LeadershipandManagementGenYmayfindthatoldergenerationsdemonstratelesstrustforseniormanagement.GenYarealsomorelikelytorateseniormanagerswellincludingthefactthattheymakeworkprioritiesclear.Thisgenerationarealsomorelikelytoplacetheirmanagerintheirnetworkofsocialcontacts.Overall,perhapsGenYarethemosttrustingoftheorganisationastheyhavenotbeenexposedtosignificantdownsizingoreconomicuncertainty. Itwillbeinterestingtoseewhethertheirgeneraloptimism

about

the

workplace

remains

through

the

currenteconomiccycle.AlthoughBabyBoomersvalueexposuretotheorganisationsleaders,thisgenerationislesslikelytofeeltheyhaveaccesstotheirseniormanagersorfeellistenedtobythem.GenXexpectexposuretoseniormanagersbuthaveamorepositiveviewofthemthanBoomercolleagues.LeadersintheProfessionalandServicesectorsareratedmorepositivelythanthoseintheTMTandPublicsectors.

CareerdevelopmentGenYmayfindsomegenerationalconflictintermsofcareerdevelopment.AGenYmanagermayfeelthatVeteransandBoomersdemandthattheorganisationwilldevelopthem.Theymayfindconflictwiththeoldergenerationswhowillexpecttheirlinemanagertoprovideopportunitiesforthemtolearn.GenYmayfinddevelopmentconversationswithotherGenYmucheasiertomanage-conversationsarelikelytostretchbeyondthecurrentorganisation.TheBabyBoomermaybesurprisedattheselfsufficiencyofGenYastheyexpecttomanagetheirowncareerdevelopment.GenYaregenerallymoreoptimisticthanBoomersaroundmuchoftheworkplacebuttheyseemespeciallydifferentintheirviewofcareerdevelopment.ThedifferencesareclearinthePublicsectorwhereBabyBoomersseekcoachingandmentoringskillsandGenYseektraininginhowtomanagetheirjobprospects.IntheServicesector,manywanttolearnacompletelynewtrade.Itisnotolderworkerswhoareseekingasecondcareerattheircurrentlifestage.

Instead,

the

younger

generations

are

more

likelytowanttolearnnewtrades.However,thereisnoindicationthatGenYinthissectorwanttochangeindustry,astheyaremostlikelytowanttraininginpeoplemanagementandcustomerserviceskills.


30/36

Table5:PossiblesourcesofgenerationalconflictfromaGenYperspective

Leadership:Oneinsixdontwanttobemanagedbysomeoneyoungerthanthem.


GenX GenYLeadership:Theyaremostlikelytotrustseniormanagement.Theirmanagerismorelikelytobeintheirsocialcontactsthananyothergeneration.Oneinfourdoesntwanttobemanagedbysomeoneyoungerthanhimorher.Development:GenYaremoreinclinedtofeelthattheyhaveopportunitiesfordevelopmentthananyothergeneration.Theyaremorepositiveaboutcareerpaths,growthonthejobandthatthereisfaircompetitionforjobs.Theyarealsomostpositiveaboutusingformalperformancefeedbackprocessestoimprovetheirperformance.Theyfeeltheirmanagerprovidesopportunitiesforthemtolearnandgrow.

Leadership:TheVeteranislessinclined Leadership:TheBoomerislesslikelytotrusttotrustseniormanagers.GenYmayfeelsurprisedthatVeteransdontexpect seniormanagementthantheirGenYtheirmanagertobeamongtheirsocialcontactsnetwork. theyreceiveisnotbelievable.Boomersdo

Development:Gen

Y

may

be

surprised

at

theVeteranslackofinterestinchangingjobsfrequentlytoprogressalongthecareer Development:TheBoomerislesspositivescramblenet.Veteransarelesspositiveaboutnumerousaspectsofdevelopment thanGenYerabouttheirdevelopmentthantheirGenYcolleagues(careerpaths,opportunitytogrowandjobopportunities). opportunitytogrow,jobopportunities,andTheyarealsolesslikelytofeeltheirmanagerprovidesopportunitiesforthemtolearn. inclinedtofeeltheirmanagerprovides

colleague.Theymayalsofeeltheinformationnotexpecttheirmanagertobeintheirsocialcontactsnetwork.Oneintendontwanttobemanagedbysomeoneyoungerthanthem.

opportunitiesincludingcareerpaths,faircompetitionforjobs.Theyarealsolessopportunitiesforthemtolearnandgrow.

33


31/36

34 CaseStudy

TailoringcareerdevelopmenttomeetgenerationalneedsBusinessCase:TheGenerationYcohortmakesupalmost75%oftheMcDonaldsworkforce.TraininganddevelopmentisrecognisedasakeycareeranchorforGenYandonethat,iforganisationsgetitrightforthisgeneration,willseektoattract,engageandretainthem.Therefore,traininganddevelopmentnotonlyplaysafundamentalpartinhelpingMcDonaldstoeffectivelyattract,engageandretainsuchalargeproportionofitsworkforcebutisalsocriticalinmaintaininghighlevelsofcustomerserviceandquality.Withsuchalargepercentageofemployeesfromoneparticulargeneration,McDonaldshasdevelopedabespoketraininganddevelopmentoffering,accomodatingtheneeds,expectationsandbehavioursofGenY,ratherthanplacingthemajorityofitsworkforceintoapredefinedtraininganddevelopmentplan.Approach:KeytothesuccessofthisapproachwastherecognitionandacceptancethatGenYemployeesweredifferent.Thetraininganddevelopmenthadtobeadaptedinordertokeepthemengagedandmaximisetheirperformance.WhenMcDonaldsexploredexactlywhatthisdifferencelookedlike,theyfoundGenYtobesuperbmulti-taskers,withtheabilitytoquicklyabsorbinformationfromamyriadofchannelsthatfrequentlyofferinformationcentredaroundaudio-visualstimulation.GenYhavebuiltupanincrediblystrongsenseofloyaltytofriendsandtopeergroups.McDonaldsthereforefoundthatwithinatrainingenvironment,thepreferenceofGenYistoworkcollaboratively.Theyalsodemandimmediatefeedback.McDonaldshavethereforeredesignedtheirtrainingprogrammestakingthesedistinctbehavioursintoaccount,ensuringthatprogrammesusethelatesttechnologytoprovidetrainingwhichfacilitatesmulti-tasking,thatisfilledwithaudio-visualinformation,allowsacollaborativeapproachandprovidesopportunitiesforinstantfeedback.OneexampleofjustsuchaprogrammeisMcDonaldsServiceLeadershipcoursecreatedin2008,aone-daycourseforRestaurantShiftManagerswhichisdeliveredin-store.ThecoursefocusesupontheroleoftheShiftManagerasthatindividualmovesfromasolefocusuponkitchenprocessestomanagingtheentirerestaurantandtakingfullresponsibilityforemployeesandcustomers.KeytothiscourseisashortDVDwhichfollowsSam,aRestaurantShiftManagerasheundertakesjustsuchadevelopmentjourney.Thevideoisviewedinfiveepisode,eachuptofiveminutesinlength.Aftereachepisodeisseentheparticipantsthenhavetheopportunitytodiscussandundertakeinteractivetasks,whichputsthelearningfromtheDVDintoaction.Earlyfeedbackfromcourseparticipantsisverypositive.Outcomes:AstudyconductedbytheacademicAdrianFurnhamshowedthat90%ofMcDonaldsstaffshowedhighlevelsofemployeeengagement.ThekeycontributingfactorsinthishighlevelofengagementamongMcDonaldsemployeesweretheopportunitiesfortraininganddevelopmentofferedbytheorganisation.


32/36

CreatingawinningstrategyCurrentworkforcesalreadypresentemployerswithacomplexmixofgenerationalattitudes,motivationsandappetites.Therecanbenodoubtthatthechangingdemographiclandscapewillcontinuetopresentchallengesastheoldergenerationsretireandthenewestgeneration,Z,enterstheworkforce.Theactivemanagementofcross-generationalmisunderstandingwillincreasinglybeafactoflifeforHRpractitioners. Avoidinglabelsandassumptionsaboutpeoplesattitudesandworkappetitesiscrucial.Peoplemayhavecorevaluesthroughouttheirworkinglifebutcomplexlifeexperiencesoverlapandmeanthatpeoplewillhavedifferentworkappetitesatdifferenttimes.Employerswillneedtodevelopacompellingvaluepropositionthatmeetsthecorevaluescommontoallofthegenerationsbutalsobepreparedtodeliveronamixandmatchbasistoreflectindividual,generational,sectorandevencountrydifferences.Creatingawinningstrategyformanaginggenerationaldiversityisnotforthefainthearted.Ourresearchsuggeststhattherearesomerealchallengesandissuestobefacedinthekeyareasofattractionandengagement,recruitment,leadership,careerdevelopment,performancemanagementandcustomerservice.Proactivelymanagingtheorganisationsemployerbrandandreflectinggenerationaldifferencesinjobdesign,willbefundamentaldriversofattractionandengagement.AttractionstrategieswillneedtoreflecttheincreasingimportanceofsocialresponsibilitywiththeBabyBoomergenerationandbeinformedbyanunderstandingofthedifferentgenerationalattitudestoretentionandloyalty.Retentionandengagementstrategieswillneedtobalancethebusinessneedswithincreasingdemandsforwork/lifebalance,flexibilityandfreedomtosuittheindividual.Managingtheemergingblurredlinesbetweensocialisingandworkfortheyoungergenerationswillalsobeakeydriverofengagement.Creatingcompetency-ledrecruitment,assessmentandselectionpracticeswillremainaskeydriversofrecruitmentbestpractice.Ifwearetoavoidtheinfluenceofwhoyouknowratherthanwhatyouknow,maintainingfairnessinthefaceofincreasingfocusonpersonalnetworksisemergingasarealchallengeforrecruitmentpractitioners. Leadershipdevelopmentwillbeinfluencedbychangingleadershipmodelsasaresultofthedifferent

generational

views

of

hierarchies,

reporting

structuresandteamworking.Issuesaroundtrustin

5leadersareemergingasaresultofdifferencesinexposureandaccesstoleadersandmangers.Wewillseeanincreasingneedforbespokepersonaldevelopmentopportunitiesthatsuitboththecareerdevelopmentdemandsoftheoldergenerationsandtheself-sufficiencyofGenYtomanagetheirowncareerdevelopment.Thecrossgenerationaldemandforskillsdevelopmentintheirspecialistareaandforpeoplemanagementskills,willalsoneedtobebuiltintothesebespokeopportunities.Managingtheconflictbetweentheoldergenerationsview

of

reward

linked

to

length

of

service

and

the

youngergenerationsaggressiveattitudetoperformancemanagementandrewardrelatedtomerit,willbeaparticularchallenge.ThiswillbeespeciallysignificantintheretentionofGenYwhowillmoveoniftheyseealackoffinancialincentiveforhigherperformance.Theneedtodelivercommunicationsandtrainingthroughmultiplechannelswillcontinuetoincrease.Onesizewillcertainlynotfitallasexpectationsofcommunicationsvarywithsomewantingahighlevel,somewantinggoodquality,andsomedemandingtrustworthycommunicationsfirstandforemost.Giventhefundamentalimportanceofcustomerservice,arealchallengewillbetodriveaconsistentappetiteacrossthegenerationsforcustomerservicedelivery.Thelowlevelofinterestincustomerservicerolesamongtheyoungergenerations,andthecynicismaboutrecognitionforgoodcustomerserviceamongtheoldergenerations,needtobeofrealconcerntoemployers.Whilstmostorganisationsareawareoftheirspecificchallenges(therearelessonstobelearnedfromthosealreadydoingitwell),feworganisationshavereallyconsideredthestrategicimplicationsoffourgenerationsworkingtogether.PotentiallyfivegenerationsifweassumeVeteranswillstaybeyondretirement.Evenfewerorganisationscanevidencemeasuredsuccessfulinitiativesthattheyhavedriveninresponsetotheattraction,engagementandmanagementofmulti-generationalworkforces.Nowisthetimefororganisationstofacethechallengesandcreateawinningstrategytotakeadvantageoftheopportunitiespresentedbygenerationaldiversity.Forthoseorganisationsthatrespondnowthereisthechancetoturnathreatintoanopportunity.Greaterharmonywithintheworkforcecanachievesustainablehighperformance,broadertalentattractionandhigherlevelsofcreativityandinnovation.

35


33/36

TopTenTips36OurTopTenTipstohelporganisationsstarttoreviewandimplementchangesintheirstrategyandpractices:

1 Analyseyourworkforceprofileintermsofageandanalysethefuture 6 Flexibility.Dontjustmeetlegalrequirements,considerradicalimpactofthechanging changestoflexibleworkinggenerationalmix. practices.Talktostaff.Whatwould

makeabigdifferencetothem2 Carryoutanemployeesurveyandanalysetheviewsandmotivations couldenhanceyourbusiness.

ofdifferentagegroups.Ensurethesurveycapturesviewsonrespect 7 Maximiseopportunitiestoenhancecoachingandmentoringacrossanddignityinyourworkplace. thegenerationalgroups.

UsetheexperienceofVeterans3 Audityourinternalcommunicationstoassesswhetheryour moreeffectively.

communicationschannelsandstylesaresufficientlyflexibleto 8

Re-engageBabyBoomers.LookattheimpactofdisengagedBabymeetthepreferencesofallgroups Boomersincustomerserviceor

ofemployees. otherbusinesscriticalroles.Re-engagethembyensuringthat

4 Doesyouremployerbrandreallyconveywhatiscompellingabout theyarefeelingchallengedandhavedevelopmentopportunities.yourorganisationasaplacetoworkinawaythatattractsandengagesallgenerations? 9 Re-evaluateyourCSRpoliciesandpractices.Whoaretheyaimedat

andwhoshowsthemostinterest

5 Rigorouslyanalysecareerdevelopmentopportunitiesforandengagement?

allstaffthroughstatsandcareerconversations.Areanygroups 10 Identifytheareasofcommonalityandbuildonthem.disadvantaged?


34/36

Acknowledgements 6Pennaresearchteam:KellyDreweryAnneRileyHeatherStaffCIPD:DianahWormanOBE,CIPDDiversityAdviserFredaLine,formerCIPDDiversityAdviserPeopleMetrics:hostingofonlinesurveyParticipants:Wearegratefultothefollowingfortheirparticipation,interestandhelp.CaseStudyorganisations:B&QBNPParibasBrunelcareGoogleMcDonaldsP&GFocusGroupattendeesandmembersoftheCIPDSeniorDiversityNetwork.Allon-linesurveyparticipantsinFrance,Germany,Ireland,Spain,SwedenandUK.AIFS ITVAiredale JohnsonandMattheyAon LearnDirectAtkins Learning&SkillsCouncilBabcockMarine LeedsMetropolitanUniversityBeachcroftLLP PriceWaterhouseCoopersBritishLibrary RoyalMailDickinsonDees Scottish&NewcastleEDFEnergy TescoEqualityandHumanRightsCommission TKMaxxFirstScotrail TransportforLondonHBOS UnileverUKLtdIdentityandPassportService VisitScotland

37


35/36

38FurtherreadingBrooke,L.(2002).Humanresourcecostsandbenefitsofmaintainingamature-ageworkforce.InternationalJournalofManpower,24(3).260-283.Cotton,C.Worman,D.andLine,F.(2008)Managingtheageingworkforce:theroleofTotalReward.CIPDResearchInsight.Glass,A.(2007).Understandinggenerationaldifferencesforcompetitivesuccess.IndustrialandCommercialTraining,39(2).98-103.Hansford,D.(2002).Insightsintomanaginganagediverseworkforce.Workspan,June02.48-54.Heiden,S.(2008).BuildaMulti-generationalPerformanceManagementStrategy.PerformanceManagement.Kroll,M(2003).Thechallengeoftheageandcompetencystructureinindustryforinnovationsandhumanresourcepolicy.JournalofEuropeanIndustrialTraining,27(7).Liebowitz,J.,Ayyavoo,N.,Nguyen,H.,Carran,D.&Simien,J.(2007).Cross-generationalknowledgeflowsinedgeorganisations.IndustrialManagementandDataSystems,107(8).1123-1153.McGuire,D.,Todnem,R,& Hutchings,K.(2007).Towardsamodelofhumanresourcesolutionsforachievingintergenerationalinteractioninorganisations.JournalofEuropeanIndustrialTraining,31(8).592-608.McKenzie,A.&Cannon,D.(1998).Acrosstheages:whygenerationalcommunicationmatters.IABCCommunicationWorld,15(7).21.Oshagbemi,T(2004).Ageinfluencesontheleadershipstylesandbehaviourofmanagers.EmployeeRelations,26(1).14-29.Salopek,

J.J

(2006).

Leadership

for

aNew Age. American

Society

for Training

and

Development, June

2006. 22-23.

Schuman,H.andScott,J.(1989),Generationsandcollectivememories,AmericanPsychologicalReview,vol.54,1989,pp.359-81.Sertoglu,C.&Berkowitch,A.(2002).Cultivatingex-employees.HarvardBusinessReview,June2002.20-21.Sirias,D,Karp,H.B.&Brotherton,T.(2007).Comparingthelevelsofindividualism/collectivismbetweenBabyBoomersandGenerationX:implicationsforteamwork.ManagementResearchNews,30(10).Southard,G.&Lewis,J.(2004)Buildingaworkplacethatrecognisesgenerationaldiversity.Publicmanagement,April2004.Strauss,William&Howe,Neil.Generations:TheHistoryofAmericasFuture,1584to2069.Perennial,1992Westerman,J.W.& Yamamura,J.H.(2007).Generationalpreferencesforworkenvironmentfit:effectsonemployee

outcomes.

Career

Development

International,

12(2).

150-161.

Wyatt,D(1993)OutoftheSixties:StorytellingandtheVietnamGeneration.UniversityPress,CambridgeMA.


36/36

PennaPlc2008

Chartered Institute of Personnel and Development Prin

tedb

PennaRecruitmentCommunications

02079338356

gen up how four generations work

Documents