www.mercer.com
Working with Millennials
What will the workplace look like in 2020?
Julie van Waveren, Mexico City Javier Goldsman, Buenos Aires
1 2011 Latin America and Caribbean HR Forum
Javier Goldsman
Buenos Aires, Argentina +54 11 4000 0957
[email protected] Today’s speakers
Julie van Waveren
Mexico DF, Mexico +52 55 5999 2221
3 2011 Latin America and Caribbean HR Forum
Working with Millennials Today’s agenda
Tomorrow’s leaders: Millennials 20/20: Why now?
Workforce 2020: What will it look like?
HR’s agenda for 2020: What should we be working on?
Why 2020?
The workplace of tomorrow is being shaped today
We believe the workplace of tomorrow is being shaped today, driven primarily by:
– Increased globalization
– Introduction of new ways of working
– Usage of emerging technologies
– Shifting demographics of the workforce
A number of forward thinking companies are preparing for the future workplace, defining their vision for 2015 or 2020.
This 2020 workplace will:
– be led by Millennials and will be intensely personal
– provide for the latest tools and technologies to attract, develop
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Tomorrow's leaders: Millennials What will it be in 2020?
In 2020 Millennials will:
Be around 35 years old
Will this make any difference to their values, concerns, interests?
Represent 40% of the workforce
This makes them the dominant generation within the workplace.
Be well into leadership roles
They will be managing younger employees but also Gen X-ers and even Boomers!
The organizational mix What defines a generation?
Same age range and series of consecutive years of birth … … makes them share same timeframe in history, meaning that …
… they have lived common experiences, and …
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The organizational mix
Different generations … different ways of looking at the world
Source: US Bureau of Labor Statistics and US Census Data.
“I y’am what I y’am!” “If you don’t have anything nice to
say, don’t say anything at all.”
“Don’t have a cow, man!”
“I just can’t wait to be King!”
The organizational mix
Generations: Shared experiences
Traditionalists Baby Boomers Generation X Millennials
Age today 62 to 81 43 to 61 27 to 42 Up to 26
Famous person Martin Luther King, Mao Tse Tung
Fidel Castro, Kennedy, Marilyn Monroe Barack Obama, Princess Diana, Shakira Mark Zuckerberg
Famous football players Di Stéfano, Didi, Charla Reyes
Pelé, Borja, Menotti Maradona,
Balderrama, Hugo Sánchez, Zico, Enzo Francescolli
Chicharito, Messi, Ronaldo, Forlán
Social and political events Cold War,
Eisenhower doctrine, Peronismo, Trujillo, Arbenz. Cuban revolution, JFK’s assassination, Vietnam War Pinochet in Chile, Malvinas’ War, fall of the Berlin Wall
9/11, Afghanistan and Iraq Wars. Bowling for columbine. End of military regimes. Brazil in the BRIC.
Music and films Frank Sinatra, Paul Anka
Elvis Presley, The Beatles, Simon and Garfunkel, Cantinflas, La isla de la fantasía
Michael Jackson, U2, Madonna, El chavo del 8, Star Wars, Back to the Future
Coldplay, Robbie Williams, Smashing Pumpkins, dance and chill out music.
Communication and technology events
IBM introduces its first computer
Texas Instruments invents the microchip
Introduction of the mobile telephone Internet appears (e-mail and Web)
The era of Amazon, Google, eBay, Yahoo; appearance of social networks on the internet.
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Millennials
What do they value?
20,000 + employees in Latin America that participate in Mercer´s Employee Engagement responded to “Work Values preferences” (choose 7 out of 21).
Challenging job Direct supervisor Stability Work-life balance Minimal stress Working premises Freedom to decide Learning opportunities Opportunity to grow Valuable job Clear expectations Short commute
Relevant for the company Relevant for the community
Cooperative people Income Participate in decisions Employability Leaving a footprint Creative work Prestigious company
Millennials
What do they value?
OPPORTUNITY TO GROW INCOME STABILITY COOPERATIVE PEOPLE VALUABLE JOB DIRECT SUPERVISOR CHALLENGING JOB LEARNING OPPORTUNITIES
RELEVANT FOR THE COMPANY
WORKING PREMISES LEAVING A FOOTPRINT AGE < 25 26–35 36–45 > 45 1 1 1 1 2 2 2 2 3 3 3 3 4 4 4 4 5 5 5 5 7 7 7 7 8 8 8 8 9 9 9 9 6 6 6 6 10 10 10 10 11 11 11 11
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Millennials
What do they look like?
Young … very young (26 or less)! They're optimistic.
They think globally. They're always busy.
They're friends with their parents.
They have difficulty focusing on “non-stimulating” things. Group oriented, they love to collaborate and work in teams. They're ambitious, although they might seem “without a cause”.
They have an entrepreneurial mind; they’re more loyal to their skills and careers than to an organization.
As employees they value: flexibility, personalization, integrity, technology, speed and innovation.
Workplace 2020
What will it look like?
15´
The world in 2020 Demographics
Dependency thresholds and life expectancy 1950–2050
World population 1950–2050
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The world in 2020 Economic trends
Source: Euromonitor International from IMF.
Economic shift toward emerging economies.
Foreign investment will continue flowing into emerging countries.
Investors will still face heavy regulations and corruption.
Opportunities in emerging markets will include luxury goods as more people will be able to afford them.
Younger consumers to become more relevant.
Despite population ageing in advanced economies, the population in emerging markets is generally younger.
The world in 2020 Sustainability
Water will become a more valuable commodity.
More of the population will be concentrated in cities.
Cities will encourage a high level of environmental investment, with waste and water recycling becoming a way of life for both industry and consumers.
Electric vehicles will dominate the fleet in megacities, reflecting governments’ will to support the technology by building charging infrastructure.
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The world in 2020 Technology
A future of ubiquitous computing is one where computers are unnoticed.
Rather than allowing technology to control the urban environment, the environment will shape the technology.
Technologies will sense our emotional state.
The notion of "work" will change because of digital technology. In 2020 it will no longer be “technology” – it will just be how we get things done.
The world in 2020 Communication
More and more, communication within the family is likely to be
mediated by technology – the internet, e-mail and the mobile phone. The written press will nearly disappear. Mainstream and grassroots will cohabit as information channels.
24 hour, non-stop communication and information. Information will move incredibly fast.
Millennials will continue to be ambient broadcasters who disclose a great deal of personal information to stay connected.
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The world in 2020 Architecture: Offices
Offices will be “plug and play” and for "face time" only. Everything that can be done from home, will be.
Technology may not mean we work fewer hours. We will stay more connected – 24/7.
With eco-awareness and 2/3 of the population
living in cities, commuting will turn costly (time and resources).
Companies will have to adopt a more relaxed attitude to time.
The future office will comprise “core teams”, working around the globe.
Older people will be more prevalent in the
workplace, with the retirement age by 2020 likely to be 70.
Workplace 2020
Share in groups: If you are now in 2020, what would your
HR agenda look like?
20´
A Mercer consultant will be facilitating the discussion in each team. Conclusions from each team will be presented in flipchart.
Team 1: The Working Experience
Training & Development Performance Management
Team 2: The Working Experience
Culture & Working Environment Leadership
Team 3: Rewards & Recognition
Compensation Benefits
Recognition
Key takeaways
Smart networking, data transparency and bottom-up management will create more open and decentralized decision-making processes.
Open, distributed leadership will blur organizational boundaries.
Interpersonal skills, adapting to quick changes and an entrepreneurial mind will be key capabilities.
Talent will be global. Employee mobility will increase. Cultural differences awareness and integration will be crucial.
