Ladies & Dudes...

WeIcome to
Understanding and working with
Gen X & Gen Y...and the rest!
n today's age-diverse workplace, one management style
does not work for all. Attracting and retaining talented people
of all ages requires a new skill set in order to stay competitive
s it really that hard?
Steve Mitchinson
Managing Partner
TeamRed Solutions
July 2009
ackground
Research suggests quite clearly that engaging and
retaining staff is taking on much greater significance
A study by the University of Western Australia estimated
that absenteeism costs a whopping $5 biIIion in the
pubIic sector aIone every year.
Absenteeism is a sign of a much bigger problem
Could it be that enterprises are using generational change
as an excuse
%he Generations...
Veterans Boomers Gen X Gen Y
Where are the reaI gaps?
Why do we caII the Iast one generation Y?
s this the origin of Gen Y
II generations have vitaI instincts
The differences are
their:
Motivations
Expectations
Communication
The Hermann group 2007
t is how they dispIay the instincts that is different
Why be aware of generationaI differences?
Key Facts
For the first time in our history, four generations are
now working side by side
For the next several decades, for every two employees
who are eligible to retire we have less than one
employee to take their place!
Research by Harvard University suggests that
Between 1977 and 2007, employment of workers 65
and over increased 101%.
Considerations for Recruitment and Retention
Need to understand key generational differences in
order to both attract and keep good employees
What employees want from a job and their boss
What they will do if their organization or their boss
does not deliver
What does this mean to empIoyers?
Employees have become more sophisticated consumers of employment
opportunities
A new employer/employee dynamic has emerged
Things that attract people to a company (pay and benefits) are not the same things
that keep them or engage them
They are now less tangible - work-life balance, career development, performance
management, respect
You can rent their presence but you cannot buy their passion

mpIications for recruitment

Veterans oomers Gen X Gen Y
orn 1922 - 1943 1944 - 1960 1961 - 1980 1981 - 2000
mpIication for Expect: Expect: Expect: Expect:
recruiting 8especL 1o be ln charge" llexlblllLy ln work lasL declslon maklng
AccommodaLlon Lo Clve and Lake ln arrangemenLs work Work lLself Lo be
work schedullng problem solvlng and llfe balance" sLlmulaLlng
needs declslon maklng 8eady access Lo ConLlnuous feedback
ClarlLy and CompeLlLlon wlLh lnLeresLlng and lrequenL pralse
conslsLency wlLh oLher lndlvlduals for meanlngful work Work ln Leams
respecL Lo roles
responslblllLles
performance
sLandards declslon
maklng processes
varylng levels of
compeLence ln use
of Lechnology
Lhe mosL lnLeresLlng cholces and Lo 8ellance on lnLernal
work and Lhe besL slgnlflcanL opporLunlLles and exLernal supporL
rewards for developmenL (wlll neLworks
Challenglng work change [obs lf necessary ConLlnuous learnlng
Lo geL Lhese) change
Plghly self sufflclenL ln
use of Lechnology
$ource: Workforce Engagement and Retention in the United $tates by John Furcon of Buck Consultants Dec 2008
%he EmpIoyment DeaI...
Veterans oomers Gen X Gen Y
orn 1922 1943 1944 1960 1961 1980 1981 2000
Pow Lhey vlew LoyalLy Lo Lhe LoyalLy Lo one's SelecLlve loyalLy alanced loyalLy
Lhe work organlsaLlon career
relaLlonshlp
ALLlLudes abouL Pard work ls good MeeL or surpass one's Work ls consldered self Wok synonymous wlLh
work pay ln lLself own expecLaLlons of fulfllmenL conLlnuous learnlng
success and change
CeneraLlonal 1ransporLaLlon lnformaLlon Age 1echnologlcal Age lnLegraLlon of
deflnlng skllls LelecommunlcaLlon lnformaLlon Age 1ech
s Age Age whlle mulLlskllllng
vlew of change CeL lL over wlLh CreaLe lL Make lL work for you lnevlLable and
lncreaslng ln pace
WhaL Lhey wanL lalr Wage CompeLlLlve wage WealLh WealLh accumulaLlon
SLable LmploymenL SLable employmenL ln Work llfe balance opporLunlLles
Secure reLlremenL meanlngful work Larly reLlremenL lndulge lnLeresLs and
ComforLable and curloslLles
lnLeresLlng LxpecL Lo work ln
reLlremenL reLlremenL
$ource: Workforce Engagement and Retention in the United $tates by John Furcon of Buck Consultants Dec 2008
GoaIs of Gen X and Gen Y
Drivers of EmpIoyee Commitment
The Watson Wyatt drivers of employee
commitment (and the percentage of
the impact of each) are:
1. Trust in senior leadership: 14%
2. Chance to use skills: 14%
3. Competitiveness of rewards: 11%
4. Job security: 11%
5. Quality of company`s products and
services: 10%
6. Absence of work-related stress: 7%
7. Honesty and Integrity of company`s
business conduct: 7%
8. All other factors: 26%
Towers Perrin found 10 drivers of
commitment- n order they are:
1. Senior management`s interest in
employees` well-being
2. Challenging work
3. Decision-making authority
4. Evidence that the company is
focused on customers
5. Career advancement opportunities
6. The company`s reputation as a good
employer
7. A collaborative work environment
where people work well in teams
8. Resources to get the job done
9. Input on decision making
10.A clear vision from senior
management about future success
EmpIoyee Rank of Retention Factors - %op %en
1 Quality of relationship with supervisor or manager (Motivational Fit)
2 Ability to balance work and home life (Home Life)
3 Amount of meaningful work-the feeling of making a difference
(Motivational Fit)
4 Level of cooperation with co-workers (Cooperation and Trust)
5 Level of trust in the workplace (Cooperation and Trust)
6 Quality of compensation package (External Rewards)
7 Opportunities for growth and advancement (External Rewards)
8 Clear understanding of work objectives (Motivational Fit)
9 Link between pay and individual contributions (External Rewards)
10 Other (Undefined)
%he %op Five Factors
Employees top five factors for leaving:
The percentage of employees is shown along with the classification of
the factor.
1. Quality of relationship with supervisor or manager (78%,
Motivational Fit)
2. Ability to balance work and home life (78%, Home Life)
3. Amount of meaningful work-the feeling of making a difference
(76%, Motivational Fit)
4. Level of cooperation with co-workers (74%, Cooperation and Trust)
5. Level of trust in the workplace (71%, Cooperation and Trust)
%he "Veterans" (now 60+)
What do they vaIue?
- Loyalty - Nostalgia
- Dependability
- Persistence
- Hard Working and Self Sacrifice
- Authoritarian - Traditional
- Wisdom and experience over technical knowledge
- Black and white world view
Source: Dr. Linda Duxbury, Professor, Sprott School of Business, Carleton University,
Ottawa
%he aby oomers (now 40 to 60)
What do they vaIue?
- Workaholics - Accept stress
- Self-fulfillment
- Importance of title/status symbols
- Entitlement
- Demanding of respect and sacrifice from
subordinates
- Optimistic
- Non-conformist - experimental
- Objective sense of right and wrong
Source: Dr. Linda Duxbury, Professor, Sprott School of Business,
Carleton University, Ottawa
bout oomers and beyond
Effects of longevity
-Encore careers work in education, health care, government,
non-profit organizations and for-profits that serve the public
good - we need to embrace the opportunity..
Outdated corporate policies mandating traditional work
schedules
Generation X (now 34 to 45)
What do they vaIue?
- Dedicated to goal achievement - desire to
be recognized
- Confident and self reliant but also can be
insecure and dependent on close
supervision
- Pragmatic
- Adaptive to change
- Non-traditional but work within the system
- Sacrifice personal life for advancement - to
a point - desire for job security
- Accept diversity
Source: Dr. Linda Duxbury, Professor, Sprott School of Business,
Carleton University, Ottawa
Generation Y (now 16 to 34)
What do they vaIue?
- Independence and autonomy
- Optimistic, Diverse, Globally Connected
- Variety seeking, adaptive to change, challenge seeking
- Entrepreneurial, networking
- Distrust of hierarchy and authority, -StreetSmart
- Continuous development of skills
- Lack of loyalty/unwillingness to commit
- Work-life balance
- Fun and communal workplace
- New technology
Source: Dr. Linda Duxbury, Professor, Sprott School of Business,
Carleton University, Ottawa
anaging the Diverse Generations
Veterans
- Use them as mentors, coaches, trainers
- Recognize:
their reward and recognition comes from the
satisfaction of a job well done
-no news is good news is their preferred form of
feedback
they feel that changing jobs carries a stigma
- Help them get ready for retirement
Phased retirement, value their contributions, help them
shift the balance
- If there is high turnover in this group, who tend to be the
most loyal, there may be real problems
$ource: Lancaster and $tillman, When Generations Collide
anaging the Diverse Generations
oomers
- Help them to understand the value of their work, lend an
ear, listen to them, give them projects that allow them to
showcase their skills and knowledge
- Recognize:
their reward and recognition comes from money, title
and the -corner office
that feedback once a year - with lots of supporting
documents is enough
they feel that changing jobs puts you behind in career
- Help them balance work and home life
- Look at chances for development, advancement and
mentoring of high profile boomers
$ource: Lancaster and $tillman, When Generations Collide
anaging the Diverse Generations
Gen X
- Invest in them, give them career development, they are
resume builders
- Recognize:
their reward and recognition comes from freedom and
security
that they want immediate feedback - now!
they feel that changing jobs is necessary - it happens
- Give them balance now! Have policies and practices that
focus on lifestyle
- Communicate to these employees
$ource: Lancaster and $tillman, When Generations Collide
Why do Gen Y seem different
Not afraid to challenge the status quo
Seek to pursue creativity and independent thinking
Very independent and tech savvy.
Have financial smarts
- 37% of Gen Y expect to start saving for retirement before they reach 25
49% say retirement benefits are a very important factor in their job choices.
70% of the Gen Y respondents make voluntary contributions. (survey by Purchase, N.Y.-based
Diversified nvestment Advisors.)
Work-life balance isn't just a buzz word
Want change, and they want it now
It is still about Wants & Needs - sometimes theirs are different
This compares with Gen X - known for its independent thinking, addiction to change
and emphasis on family - but on a new level
anaging the Diverse Generations
Gen Y
- Allow them to multi-task, multi-skill
- Recognize:
idea of boomerang employee
their reward and recognition comes from work that has
meaning for them
that they want immediate feedback - yesterday!
that work isn`t everything; it is just one of the activities
they spend their time on; they need flexibility to
balance their activities
they feel that changing jobs is routine - it is what they
expect to do - many times
- Look at the work - is it stimulating? is there a chance to
learn?
$ource: Lancaster and $tillman, When Generations Collide
re we being fair to Gen Y ?
The older generations tend to brand Gen Y as being distinguished for their sense
of entitlement, outspokenness, inability to take criticism, and technological
sophistication. s that justified or whose fault is it?
Fortune deemed Generation Y the most high-maintenance, yet potentially most
high-performing generation in history. Maybe that explains it ?
Time described members of Generation Y as wanting real life balance - they don't
want to be slaves to their jobs the way their Baby Boomer parents are. Are they
just continuing what Gen X started?
http://www.cio.com/article/149053/Management_Techniques_for_Bringing_Out_the_Best_in_Generation_Y
%hey're Iike Generation X on steroids.
Bruce Tulgan, a founder of New Haven, Conn.-based RainmakerThinking
10 Key Differences between Gen X & Gen Y
1. Preferred styIe of Ieadership
X - only competent leaders will do
Y - collaboration with management is expected
2. VaIue of Experience
X - don't tell me where you have been, show me what you know
Y - experience is irrelevant, as the world is changing so fast
3. utonomy
X - give them direction, and then leave them to it
Y - questions, questions, questions
4. Feedback
X - expect regular feedback
Y - need constant and immediate feedback
5. Rewards
X - freedom is the ultimate reward
Y - money talks
$ource: Krista Third of Tamm Communications
%he 10 Differences between Gen X & Gen Y
6. %raining
X - want to continually learn, if they don't they will leave
Y - still in an exam driven mentality
7. Work Hours
X - do their work and go home
Y - will work as long as needed ...or until they get bored
8. Work Life aIance
X - they want to enjoy life to the full, while they are young enough to do so
Y - their lives are busy - they need a lot of 'me' time
9. LoyaIty
X - they are committed as everyone else working there
Y - already working out their exit strategy
10. eaning of oney
X - it gives freedom and independence
Y - just something that allows them to maintain their lifestyle
$ource: Krista Third of Tamm Communications
nteresting fact?
Workers who use the web for entertainment
while at work whether they're tweeting,
watching YouTube videos, shopping, or
catching up with the news are 9% more
productive than those who don't, according to
a recent study by Professor Brent Coker at the
University of Melbourne
Exercise - Why do we think staff Ieave
Reasons peopIe Ieave their empIoyers
1 very lmporLanL 3noL lmporLanL 1 2 3 4 3
1
2
3
4
3
6
7
8
9
10
$ome est Practices
Identification of key personnel
Identification of key positions
Corporate key competencies
Frequent performance reviews
Competitive remuneration
Individualized T&D plans
A continuous process
Ensure Developmental Opportunities
Create transitional positions
Encourage staff with potential to take on new assignments
/upgrade their skills
Consider job exchanges/sharing/ shadowing
Fill temporary vacancies strategically
Accessible management
s your engagement strategy a bit Iike this?
Understanding what drives empIoyee engagement
What employees seek indeed, what we all seek in our work experience
is a blend of tangible and intangible elements that together create an
environment of stimulation, contribution, recognition (monetary and
otherwise), development, learning and support (from day-to-day
management and senior leadership)
Towers Perrin : Working today: Understanding what drives employee engagement
%he Drivers of Engagement
otivationaI Fit: challenge, meaning, autonomy, organizational fit,
manager relationship, job clarity
ExternaI Rewards: recognition, growth/advancement, compensation,
pay vs. contributions, organisation responsiveness
Cooperation and %rust: cooperation with co-workers, level of trust in
workplace
rganisationaI Direction: clear vision and strategy, appropriate
selection practices
Work/Life aIance: Surprise, surprise...
WorkpIace Harmony: internal politics, stress, workplace volatility
10C's of EmpIoyee Engagement
Communicate: clearly indicate expectations of the employee. Provide regular
(balanced)feedback to employees regarding their work and performance.
Career: provide meaningful work along with career growth opportunities.
Confidence: Provide effective feedback to induce and boost confidence in an
employee.
ControI: Empower employees with the control they need on their job and career.
CIarity: Provide a clear vision of what job is to be done and how it is to be done.
CoIIaborate: Good coordination and relationships require leadership to cultivate
trust amongst the team, and to motivate their employees to work in and as a
team.
CompIiment: Give recognition to the employee for the job well done.
Connect: Make employees feel valuable and important. Show that you care.
Contribute: Give opportunities to employees to contribute in the management
decision making process. Seek suggestions, new ideas, and ways of
improvement.
CredibiIity: Managers must lead by example by demonstrating ethical standards
and practices. They are the custodians of the company`s reputation.
%he 8 Enemies of Engaging Gen Y
Uniformity
The colour Grey
Rules driven behaviour
Isolation
Lack of recognition
Dropped in the deep end
Lack of career opportunities
Boredom or tedium
Based on the work of Kevin Panozza - former MD $alesforce
odeI for Engagement
%he %raits of the disengaged
Don`t express any desire to know the expectations
for their job roles.
Not curious about their company and their place in
it.
Perform inconsistently or at consistently low levels.
Waste their potential, do not work with passion and
are disconnected from their companies.
Do not drive innovation or move their organizations
forward.
No strong relationship or engagement with their
managers or fellow employees.
Show up for work on time, put in a day`s work, but
not connected to their jobs.
Exhibit a general negativity
ecoming an empIoyer of choice
rganizationaI PoIicies
$upport the technoIogy they use in their personaI Iives.
Commit to sociaIIy responsibIe causes.
%raining nitiatives
- Communication Skills
- Collaborative problem solving skills
Management $tructures
- Mentors are needed to show GenY`s the ropes.
- New hire orientations.
- Frequent check-in meetings with managers.
%he mportance of %ransparency
Facilitates accountability, trust, communication, responsibility,
pride
Encourages communications and information exchange
Invites responsibility and accountability
Builds trust and pride.
Discourages work-politics
A sense of achievement and belongingness is derived from a
healthy work environment
Employees are more likely to display their full potential
Less likely to leave because of stress and frustration.
$taff Retention $trategies
DeveIop a PIan & $trategy to DepIoy it - and remember to communicate it
loudly
Gathering nformation -The first step in improving engagement, absenteeism
and retention is to understand the causes.
Communication - Organizations need to talk to employees and measure their
opinions to see why turnover is happening. In addition, talking to other
organizations and benchmarking their practices can provide direction for creating
a strategy.
EmpIoyee DeveIopment -In response to employees` desire for growth and
advancement opportunities, organizations can introduce enhanced/flexible
training and development programs, succession management systems, and other
approaches for investing in their employees.
Recruitment - an often overlooked aspect is the actual recruitment process. What
research has been undertaken to link staff absenteeism and turnover with
recruitment strategies and profiles?
$taff Retention $trategies
Work Environment/ Nature of Work
Several aspects of the work environment are directly linked to employees`
satisfaction. These would include:
Empowerment
Enhancing open lines of communication between managers and employees
improve the overall quality of working relationships.
Interventions designed to make the workplace more hospitable will lead to
improved retention. These could include:
- Introduction of relaxed dress codes
- Telecommuting options
- Flexible work schedules
$ystems
The ease with which IT systems can be used to assist an employee in their job
are a major driver of satisfaction
The level of access to external sites is becoming a key point for debate
$taff Retention $trategies
%raining & DeveIopment
Individual Career Progression Plans
Individual Training & Development Plans
Setting Known Criteria for Career Progression
Formal Performance Appraisals - perform and act!
360 Degree Feedback Mechanisms
Rewards and Recognition
Organizations could consider improving the quality of compensation, benefits,
and special perks as a means for improving retention. Employees want
recognition for a job well done. Whilst understanding public sector limitations
may apply in some instances, these can come in several forms:
Special bonuses or rewards can help employees feel proud of their work and let
them know that their efforts are acknowledged.
Pay and recognition linked in some way to performance because employees
know there are consequences for their actions.
s it your Ieadership styIe?
Cultural fit
- The personality, leadership characteristics of the candidate should be in
sync with the culture of the hiring organization.
- The personality, leadership characteristics of the manager should be in sync
with the culture of the hiring organization.
Challenge:
Put yourself in your staffs shoes
Think back to the best boss you have had.
What was it about them that made them so great?
How well would you stack up ?
%op 10 Leadership QuaIities
%he %op %en QuaIities of a Great Leader :
1. They showed genuine interest in me as a person.
2. They were always approachable.
3. They made time to really listen to me.
4. They asked for my ideas, opinions and input.
5. They were firm but fair with everyone.
6. They did not have an ego problem, power or control issues - they put the
organisation and the team before themselves.
7. They were open and honest; if the answer to a request or idea was no they
explained why.
8. They showed respect, both for themselves and everyone else. They treated
everyone equally - regardless of _status` or role.
9. They coached me through questioning, not _telling`.
10.They were sociable but always ultimately professional.
How do your rate?
%op 10 QuaIities of neffective Leaders
Lack Energy & Enthusiasm
ccept their own mediocre performance
Lack cIear vision & direction
Have poor judgement
Don't coIIaborate
Don't waIk taIk
Resist new ideas
Don't Iearn from mistakes
Lack interpersonaI skiIIs
FaiI to deveIop others
Your challenge is...to make yourself redundant
$ource - HBR June 2009
How do we get Gen Y to stay?
Know and
agree the
empIoyee's
Expectations
'%HE DEL'
FuIfiIment of
empIoyee's
expectation
DeIivery
of the
DeaI
%RU$%
WorkpIace
gt
&
$nr gt
FRNE$$
Commitment
W Job
WEffective
W %eam
J
$%$FC%N
ntention
to
$tay
$%R% ULD RE%N
sk yourseIf ...
Who are my key people?
What makes them exceptional?
What motivates them?
How are they feeling?
Are their working environment and terms of employment (i.e. compensation)
competitive?
Do they know how much you value them?
What are their aspirations? Career goals?
Can I help them meet these goals?
ccountabiIity atrix
Value
(make the numbers)
Work
Performance
rritant
(misses the numbers)
Former Heroes (1)
Unemployed
New Heroes
Potential Heroes (2)
rritant Value
(nappropriate values) (Appropriate values)
Values
Different generations require different approaches
Remember that there are four generations to manage
Be careful not to stereotype - generation is simply one characteristic that can be
used to help us understand people
Don`t forget the basics- all generations want:
- Work-life balance
- Interesting work
- A good salary and benefits
- Flexible hours of work
Its just their definitions that are different!
High LeveI $trategies
Promoting Work/Life Effectiveness
Developing Support Services
Listening to employees and showing (genuine) interest in ideas
Providing an environment of trust and respect
edium LeveI $trategies
Appreciating and recognizing a well done job
Recognition/reward for successfully completing firm-sponsored certifications
Flexible benefits
Medical care reimbursement
Providing conveniences at workplace
Gym or Sporting club membership program
Providing training and development and personal growth opportunities
Sabbatical programs
Professional skills development
Individualized career guidance
Case $tudy - Creating a HeaIthy WorkpIace
Automation of more basic tasks which have made frontline roles more
challenging, varied and interesting;
Increasing the profile of the work areas and what they are achieving for the
enterprise
Improved physical environment
Value placed on customer service as a contributor to the strategic plan;
Emphasis on developing more effective leaders
Better recruitment, training and development programs to hire and develop the
right staff. Employee involvement in hiring
Non traditional performance measures - linked to organisational strategy
Increased focus on quality and quantity rather than just the numbers
A stronger emphasis on workforce planning and flexible working arrangements
Improved visibility and commitment to defined career paths
Creating a feeling of loyalty & pride - cultural development
Rewarding contribution - staff involvement in key business and R&R decisions
Being different e.g. massages, in house benefits, CEAD FM, Staff functions, RTO
The best thing about working here is
"LittIe of today's
technoIogy is
proprietary. %echnoIogy
is easiIy obtained and
repIicated and onIy
IeveIs the pIaying fieId.
n organization's
vaIued human assets
cannot be copied."
Bill Gates
From the beginning...
Gen X...
Lots of dysfunctional families
High divorce rate
More mothers at work
Mum`s at work
Mum and Dad both work
Two parent incomes
Time of insecurity and the recession
-the recession we had to have
Gen Y...
Pampered, nurtured and
programmed
High(er) expectations of self
High(er) expectations of employers
Ongoing learning
Immediate responsibility
Goal-oriented:
%echnoIogy & the Generations
Gen X
PC gradually took control
Walkmans were very advanced
Microwaves
They gradually become
technology literate - digital
immigrants
Gen Y
Internet, mobile phone, SMS,
instant messaging replaced
communication
Video games replaced sport
Reality TV
Emergence of virtual
communities & social networks
The most technically literate
generation yet - digital natives
%he Generations and economic times
Gen X
Recession late 80`s/early90`s
Job uncertainty
High unemployment
Seen the economic highs and the
lows
Experienced and survived by
economic turmoil
Gen Y
High employment
Strong economy
Consecutive years of growth
Never seen a tough time
Grew up in buoyant times..until
now!