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Industrial and Commercial Training

Engagement and talent management of Gen Y


Anita Weyland
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Anita Weyland, (2011),"Engagement and talent management of Gen Y", Industrial and Commercial Training, Vol. 43 Iss 7 pp. 439 - 445
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Engagement and talent management
of Gen Y
Anita Weyland

Anita Weyland is a Partner Abstract


at Andrum Consulting, Purpose – This article aims to underline that Generation Y have specific traits, needs and expectations
London, UK. and that it is vital that organizations understand these when looking to engage and support them and
support in their development.
Design/methodology/approach – The article deals with defining who Generation Y are – how they
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behave and what motivates them. Based on these insights, it then explores what this means for an
organization’s culture, its working environment, the learning and development methods it deploys plus
its overall management and especially its leadership.
Findings – The paper explains how understanding what motivates Generation Y and accommodating
this does not require huge amounts of extra effort, just a different way of thinking and will increase their
performance within companies and ultimately corporate success.
Originality/value – Engaging and developing Generation Y employees may seem like an onerous task.
The paper shows that it is not about pandering to them but about eliminating blocks so that they can
deliver the business of the future.
Keywords Gen Y, Engagement, Talent management, Culture, Learning and development, Leadership,
Recruitment
Paper type General review

h why generation Y?!’’ I hear some employers moan, whilst others are embracing

‘‘O the dynamics and challenges of the latest generation of workers. People seem to
be polarized – denial versus acceptance, excitement versus dread, opportunity
versus threat. Which are you? One thing is for sure, ignore them at your peril! I predict that it
is this group that will transform the way business is carried out for many generations to come.
Generation Y are complex people with many contradictions. They are technologically savvy
but highly creative. They are environmentally conscious yet highly mobile. They expect
instant rewards but also demand development for the long term. They think like
entrepreneurs but tend to value relationships over money. This conundrum is challenging
for employers, but we cannot overlook them just because it is difficult. Fortune[1] magazine
claims that they are destined to be the most high-performing generation in history. The key is
to find out how to unlock their potential and develop them in to the managers and leaders of
the future. In order to do that we need to firstly understand who they are.

Who
Those who were born in the 1980s and 1990s are the latest age group to enter the business
community. They are the children of the baby boomers who have been highly attentive,
child-centered and competitive parents. They have grown up in a rapidly advancing
technical world where change happens at a speed well beyond the pattern history predicts.

DOI 10.1108/00197851111171863 VOL. 43 NO. 7 2011, pp. 439-445, Q Emerald Group Publishing Limited, ISSN 0019-7858 j INDUSTRIAL AND COMMERCIAL TRAINING j PAGE 439
‘‘ A strong entrepreneurial spirit (as a result of their parents
effusive encouragement) and an inquisitive mind means that
they seek constant stimulation. ’’

Add to that the modern economy, social issues and environmental concerns, and one can
begin to understand who this new generation of workers might be.
Their technology centered world has strongly influenced how they communicate. They like
technology that that they can control and which can be accessed when it suits them. An
example of this is the use of texts. According to Cellsigns the number of texts sent in the
US in 2008 (latest figures available) was an average of 75 billion a month and growing at a
rate of 37 percent every six months. Texts are used not only for social contact but now at
work for such things as to distribute information, arrange meetings and gain consensus on
decisions.
This speed of communication has resulted in this generation being able to process
information at a very fast pace. So fast in fact that they are easily bored; they are information
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obsessed. This combined with a strong entrepreneurial spirit (as a result of their parents
effusive encouragement) and an inquisitive mind means that they seek constant stimulation.
It also means that they do not suffer fools gladly and will consciously avoid people they do
not rate or respect. Generation Y set out their stall and only want to deal with like-minded
people. That does not mean that they do not want to be challenged, on the contrary they
seek stimulation. What they are looking for is similar mindsets, values and energy from their
colleagues and friends.
Generation Y are attracted to strong brands. They notice much more than just the product
itself; what it stands for (values, ethics), how the brand connects with people (via social
media and altruism), how the company respects and leads its staff. They are master
networkers who can spread the word, whether that is positive or negative, at a speed faster
than most of us can imagine. So a brand can be supported or rejected very quickly indeed.
Some observers believe Generation Y are lazy and that they just want to socialize or play
on their technical gadgets. Of course every generation has some idol participants,
however I do not agree with that view as a generalization. When Generation Y are
passionate about what they are doing there is little differentiation between personal life and
work and they can be very hard working indeed. If they are excited by a task, a job, a
cause, they will spend as much time as necessary on it regardless of which category of life
it falls in to. They are happy to work around the clock if they are given responsibility, they
can see the value of the task and they believe in what they are doing. But the freedom to
make the choice about when and where to work is high up on their list of requirements.
They will not do it if they are just told to.
Having said this however, many Generation Y are not driven by getting their manager’s job.
Yes they work hard, but many feel that the benefit of any incremental money does not
outweigh the additional pressure. They have seen their parents chained to their desks and
become stressed, all for money. Salary and status are not high on the priority list, according
to the study by Talentsmoothie, a firm that consults companies in banking, professional
services and the law on the changing workforce. Generation Y’s main concern is to do
meaningful work in an environment that gives them stimulation, responsibility, fun and
flexibility. After all, they have their parents financial support to keep them afloat. However it
does not mean that you can take advantage of this and get away with paying below the
market. Generation Y want to be respected and underpaying them is a fast track way to
alienating them.

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PAGE 440 INDUSTRIAL AND COMMERCIAL TRAINING VOL. 43 NO. 7 2011
Considering all the above it is no surprise to learn that Generation Y are very vocal. Since
they want to tell you what they are thinking and they are undeterred by traditional hierarchy,
they will not hesitate to let you know what is going on for them. I have come across many
examples of when CEOs have been told in no uncertain terms if a Generation Y believes they
have done something wrong. And remember, they may send that message via text!

Engagement and development


So now we understand more about what makes Generation Y tick we can consider how an
employing company can engage them and support them in their development.
Firstly I would like to consider approach. You could pay lip service to Generation Y but you
would be highly unlikely to get the most out of them. It may be that you are wondering why
bother at all if they are such a handful. If your commitment to them is half hearted they will
sense it immediately and move on. Ultimately, as Penny de Valk, CEO of the UK Institute of
Leadership and Management said:
You will only keep them for as long as you can keep their learning curve really high.

If you adapt and truly support them in their work you could be tapping in to a dynamic group
of people. I believe there are many things a company can learn from this generation which
could provide competitive advantage and growth. So this constructive approach to
Generation Y should underpin all aspects of interaction with these workers. Remember they
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are looking for genuine relationships that are mutually beneficial and respectful.

Culture
Matching the Generation Y employee and employer is fundamental to the long-term
success of the relationship (Figure 1). Culture can be described as the values, beliefs and

Figure 1 Generation Y

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VOL. 43 NO. 7 2011 INDUSTRIAL AND COMMERCIAL TRAINING PAGE 441
behaviors of the organization. This is more than simply an intellectual exercise; it is how
things are actually done in the company. Does the culture promote competition or
cooperation, are people defensive or trusting, is innovation encouraged or should people
stick to the rules?
Generation Y are particularly attracted to companies with strong values, social ethics,
distinctive brands and non-hierarchical environments. They will know, through their social
media network, what the reputation of the company is.
Culture checklist:
B Be clear on the values and behaviors of the company. Ensure job advertising reflects this
and that it is clearly defined during interview. Boden, for example, has a film on its website
where employees talk about what it is like working for the company, the philosophy and its
informal almost ‘‘family’’ style. The website is also clear about what matters to its people
and what it does and does not stand for. If you do not get this right when you are hiring
Generation Y then you are unlikely to get off the starting block with them.
B Make your brand attractive to employees as well as customers and clients. Generation Y
are passionate about products and services and if they have an affinity with it and what it
stands for they are much more likely to stay committed to the company as time passes.
They are also likely to be strong advocates for the company in their social media network
that can only be a good thing for the business.
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B Ensure your corporate social responsibility policy is up to date. It should reflect the values
and ethics of the company. Do give time off to be actively involved in something they find
engaging, either on a regular basis or say a sabbatical to carry out a project. An altruistic
approach will go a long way to keeping Generation Y engaged. Additionally an
eco-friendly environment will appeal.
B Create an exciting and fun atmosphere in which to work. Generation Y want to enjoy
themselves as well as be stimulated, so make the environment up beat. Yahoo is an
example of a company that encourages individualism and enjoyment by suggesting
employees decorate their workstations in their own style. Everything from a comic fanatic
to a sports enthusiast is reflected in this way. Another option is to be light hearted about
everyday things such as naming the boardroom ‘‘The Bored Room’’ which Innocent
Drinks have done, or inviting employees to come up with themes for the meeting rooms.
Social activities are vital to support their need to be connected to people. And, of course,
we know that positive relationships at work help facilitate effective communication and,
ultimately, an efficient working environment.

Environment
By this I mean the conditions of the working environment. In addition to the work itself, and
we will come to that in future sections, Generation Y perform best when the atmosphere and
support systems match their needs. These include:
B We know they have grown up experiencing significant technical advances at a fast pace.
Generation Y expects instant results and get frustrated with old technology and slow
communication/information flow. To fully engage them make sure your technology is truly
up to date and that systems are working effectively.
B Support flexible working hours such as part time work and recognize that it is not about
the length of time spent at a desk but about the output of work. Additionally through using
the technology there is no reason why someone cannot work effectively from home some
of the time. If you trust the individual and show flexibility you will likely be rewarded with
some excellent work.
B Taking flexibility one-step further, offering sabbaticals will keep the Generation Y
enthusiastic. Procter & Gamble, the international fast moving consumer goods company,
now offers a year of ‘‘family leave’’ to look after children or elderly parents, and the
promise of regular three-month sabbaticals. Similar approaches are being adopted by

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PAGE 442 INDUSTRIAL AND COMMERCIAL TRAINING VOL. 43 NO. 7 2011
companies in the UK. Of course there is the opportunity for the company to require that
the sabbatical is spent doing something meaningful, e.g. charity work. This approach
would tend to work well by appealing to the need to connect with people and carry out
meaningful work.
B To stimulate and to satisfy their wish for variety, provide a mixture of environments that can
suit any occasion. Breakout areas, creative rooms, even sleep rooms have been known.
At Innocent Drinks staff can choose to work from a picnic table, beanbag or hanging chair
depending on their mood. Although this may sound uncomfortable to, say, baby boomers
as they have worked in formal environments most of their lives, it is this level of flexibility
and individuality that helps to engage Generation Y.

Learning and development


As we have already explored, Generation Y are hungry for stimulation and they like to be
challenged. Their own development is very important to them and, in fact, they expect
significant contribution from their employer in this area. Structuring their learning and
development by using approaches that will support their individualism, provide variety and
be meaningful will likely have the best results. They are bright people who have a great deal
to offer providing they are stimulated, so there is a significant up-side for a company if they
can tap in to Generation Y effectively. Apart from the obvious training courses and
workshops, below are some suggestions to support their progression:
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B New experiences will keep the attention of Generation Y. Officials in the USA have
estimated that a typical member of Generation Y will have 10 jobs by the age of 38. There
may be a temptation to keep them in a job they do well, however if they feel they have
mastered it then they will want to quickly move on. Considering the philosophy of ‘‘job for
life’’ no longer exists, Generation Y will leave an organization at the drop of a hat if they feel
they are becoming stagnant. Career paths are unlikely to reflect the traditional
approaches we are used to. Of course some people will want to take a classic function
route, however an enlightened employer will facilitate unique progression which may
involve changing functions, industries and sectors. Establish new career path
opportunities so that Generation Y know what their options are and do not hesitate to
move them to new roles as soon as they are ready to do so.
B Generation Y like to work on their own but not all of the time. Team working provides the
connection with people and stimulation that they seek, whilst the company can benefit
from cross-functional projects, clear accountability for the delivery of tasks and the long
term development of their people.
B Offering global assignments or working abroad would develop an individual as well as
meet their desire for travel and to network with new people/cultures. Naturally not every
company can offer this, so if your company is too small then project work with a diverse
group of people would be an alternative.
B Of course the sabbatical comes under this area too if it is not simply time off from work but
carrying out a work oriented project which can develop new skills and knowledge.
Sabbaticals with leadership development as a core goal and which develops creativity
will appeal to Generation Y. These employees are likely to return to the company
rejuvenated and will, in turn, perform to a higher standard. John Lewis Partnership has
one of the longest running sabbatical programs (30 years) where employees with 25 years

‘‘ Generation Y are particularly attracted to companies with


strong values, social ethics, distinctive brands and
non-hierarchical environments. ’’

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VOL. 43 NO. 7 2011 INDUSTRIAL AND COMMERCIAL TRAINING PAGE 443
service may take up to six months fully paid leave. Although this is admirable, I do not
think that the frequency of this benefit will meet the needs of this generation. A far more
frequent opportunity to recharge the batteries and gain new experience would fit in to the
modern working environment.
B Setting up a mentoring system could be a useful way of helping the Generation Y think
beyond their immediate role as well as support them in their current activities. With baby
boomer parents, Generation Y connect very well with this age group, so if a mentor or
manager is that generation it is likely they will get on well and achieve positive results
together.
B Create a continuous learning environment where skills are developed at a steady pace.
Generation Y master skills very quickly if they are motivated to do so. In addition to
investment in courses and workshops, consider job shadowing, temporary assignments
and functional moves. And remember web based training which is now common place
would appeal too.

Management and leadership


Generation Y, like the majority of us, respond well to constructive management and
charismatic leadership. Bureaucratic organizations where decision making is slow and
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autocratic, and where seniority outweighs contribution will not wash with this generation.
They are looking for collaboration, mutual respect and to connect meaningfully with their
managers and leaders:
B Firstly ensure that the management and leadership style mentioned above is in place in
your organization. Employee surveys could be a useful method to find out which kinds of
approaches are currently being adopted and how successful they are. I suggest that
even if all the other aspects detailed in this article are in place but the management style is
bureaucratic or the leadership weak, Generation Y is highly likely to leave even if they
enjoy the job itself.
B Provide the big picture so that they can understand how their every day work contributes
to the external impact and overall success of the organization. Recognizing where they
add value will keep them focused on their role and encourages development and
progression.
B Because they are bold and speak out, expect them to challenge old models and tell you
when things are not meeting their expectations. They are undeterred by traditional
hierarchy. Do not be surprised if they want to bring in their own, more efficient, ways of
working, particularly if it involves new technology. If none of their ideas are adopted they
will get quickly disheartened.
B Importantly Generation Y employees will expect feedback. Remember that they are vocal
about what they think and how they feel, and they expect it from others in return. As a
manager do be clear what your expectations are and how the individual is performing
against them. But remember that mutual respect in a relationship is of paramount
importance to Generation Y, so any feedback needs to be given honestly and
constructively. A 360-degree feedback as part of a performance review program could
enhance the feedback loop.
B Challenge this group of people by giving them early responsibility, they will respond well
to the stimulus. But do make sure that they have a solid support structure around them.
Coaching can help in this area, either in teams or on a one to one basis.
B Considering they are not necessarily driven by money or status, coaxing a Generation Y
employee to take on a more senior role may be challenging. If all the above is in place
then they are likely to be fully engaged in their own development and feel connected
enough to the company to make that leap.

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PAGE 444 INDUSTRIAL AND COMMERCIAL TRAINING VOL. 43 NO. 7 2011
In conclusion
Engaging and developing Generation Y employees may seem like an onerous task. However
it is not about pandering to them but about eliminating blocks so that they can deliver the
business of the future. Additionally companies that are open to some of the elements that
Generation Y can teach are likely to have distinct advantage over their competitors.
Businesses are going to have to adapt to some extent if they wish to engage and grow their
talent from within – it is all about relationships.
To speak to Anita Weyland about this or other strategic people issues e-mail anita.weyland@
andrum.co.uk, call Andrum Consulting on (0) 20 7100 9776 or visit www.andrum.co.uk

Note
1. Fortune magazine article by Nadira A. Hira, 15 May 2007.

About the author


Anita Weyland is a Partner at Andrum Consulting, the management consultants for
entrepreneurial businesses. A people and organizations specialist, Anita has over 25 years
business experience, including eight years at Board level for EMI Recorded Music and
HarperCollins Publishers. Anita Weyland can be contacted at: anita.weyland@andrum.co.uk
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