‘Gen-Y is an attitude not an age-bracket’ was one of the key take-homes from our latest HR Conference held in Central, Hong Kong at the end of October. Over 200 HR professionals gathered to share ideas on what exactly ‘Gen-Y’ means, what makes them tick and, most importantly, how to attract, retain and engage them at in the workplace. We share practical advice from the nine keynotes of the day.
Mukta Arya,
Head—People and Talent Development,
Societe Generale Corporate & Investment Banking (Asia-Pacific)
Topic: Retaining Gen-Y.
Gen-Y account for more than 40% of SG’s workforce in the Asia Pacific region. Arya described them as often being a bundle of contradictions; tech savvy yet creative, team players with a ‘me element’ and advocates of the easy life whilst hard-working when put to the test. Bearing those dichotomies in mind, she felt it necessary to look at what makes them tick. Of much greater concern than salary was career tracking, which is offered as far as possible through identification of potential avenues and the provision of a company talent pool. Opportunity for mobility is expected by Gen-Y across both function and location and is actively encouraged by the company. Yet in keeping with their contradictory nature, Gen-Y feel entitled to reject opportunities should they perceive they will unduly affect their quality of life. They also desire recognition and SG offers a number of workplace award systems.
Arya asserted, “The biggest hurdle to attraction and retention of Gen-Y is ensuring their attention.” SG consequently boost their presence in social media sites and the current YouTube advertisements are a conscious engagement strategy. The company has found Gen-Y to respond better to e-learning than traditional training programmes and ultimately will provide training through a mobile platform.
Gen-Y desire a matching of values without compromise and SG are working towards Ambition 2015 a common culture initiative that sees manager as ‘coach’. Company branding is therefore as important within the organisation as outside, and it is little surprise that 70% of participants in CSR activities are Gen-Y. Arya’s final point was that personable co-workers were high in the priorities of Gen-Y staff, many of whom have left employment simply because of a disassociation with their immediate manager. She concluded that Gen-Y, with all their idiosyncrasies, are to be embraced within the workforce of today.
Bruce Stinson,
Chairman,
the alphaeight Institute
Topic: The Gen-Y brain. Scientific insight into how the brain map of Gen-Y is different to that of other generations and what this means for HR.
A qualified pharmacist with extensive leadership experience, Stinson explained some fundamental physical differences in the Gen-Y brain. Throughout a human being’s early development the brain creates thousands of new connections, then at approximately fifteen years old it prunes any such connections found to be excessive. The last part of the brain to develop is the pre-frontal cortex; its delayed development may be one of the reasons teenagers often take irresponsible risks. From here on in the brain develops as it is used. Societal factors in the digital age mean that Gen-Y have a smaller area devoted to reflection prior to making decisions.
The rapid acceleration of technological advancement at a critical period of Gen-Y development has equipped them with a natural ability to shift attention at a phenomenally rapid rate. Gen-Y cannot be changed to Gen-X and Baby Boomer norms. It is necessary for other generations to consider them as they do themselves: technology savvy not obsessive, open rather than lacking in moral code, capable of making informed decisions as distinct from overly questioning and knowing their own worth verses feeling entitled. Equipped with insight into their cerebral environment we can tailor training to company objectives. Stinson makes the point that in the same way that out-dated technology would not be appropriate in today’s environment, neither would old style training programs be suitable for Gen-Y employees.
He asserts that neuroscience also provides the key to motivating Gen-Y. Recognition of effort in the form of praise will produce dopamine, the chemical responsible for pleasurable emotions associated with reward. Dopamine is highly addictive—such that Gen-Y, once hit, will actively seek out other ways to receive their fix. Higher levels of dopamine are associated with increased clarity and improved performance overall. HR must learn to adapt its policies according to Gen-Y chemistry.
Emma Reynolds,
CEO,
e3 Reloaded
Topic: Employer branding, thinking of staff as customers to be serviced.
Co-founder of ‘Ask Gen-Y’ research consultancy, Reynolds is a leading speaker on today’s social and business revolution. With attrition rates as one of the biggest problems facing organisations in Asia today Emma enlightened the audience on her findings. She encouraged HR to consider the way they interact globally and, not only in terms of huge
technological advances over the last decade or so, but also as the pace of change has escalated citing, for example, the unprecedented Groupon revolution. Furthermore, she asserted that in relation to social media sites such as Foursquare and Facebook, “Self-expression, once private has become ubiquitous...and power now literally rests in the palm of our hands.” Pointing to the ‘Arab Spring’ of early 2011, she successfully presented her case. All this took place in the formative years of Gen-Y, such that Gen-Y can be considered ‘native’ and older generations ‘immigrants’ to this new age. She thereby defined the ‘4C DNA’ of Gen-Y: collaboration, co-creation, connection and control. Emma concluded that it is of little wonder there is such huge disengagement and offered five key considerations for HR:
- Employees and candidates are thinking like customers: Gen-Y believes they are special with a vast number of choices available.
- User-centric design needs to be brought from marketplace into the workplace: Most organisations to which Gen-Y have been exposed are fantastic at customer engagement.
- Visibility no longer equals productivity: Gen-Y are not required to be at their desks as in an outdated production line workplace. This formula no longer stands in a knowledge-based economy.
- Transfer of control: Reynolds cited an IBM case study where 140,000 people produced 37,000 innovation ideas, adding GBP 500 million to the bottom line.
- Gen-Y is an attitude not an age group: HR must re-design the workplace to enable collaboration, co-creation, connection and control.
Gary Luk,
Director of Human Resources Services,
SAP ERP Human Capital Management
Topic: Technological approach to Gen-Y management
Luk began with four home truths:
- Baby boomers will retire and leave a resulting gap in the labour market
- Diversity is demanded and celebrated by Gen-Y in terms of hours and variety
- Competition is ripe for Gen-Y
- Retention is difficult because Gen-Y are used to choice and variety so employers can be faced with high turnover.
Luk asserted that we need to consider employees as talent. SAP proposes an integrated Talent Management system. Within a single platform lie the tools to understand the talent pool, identify skills gaps, provide training and development as well as performance, compensation and succession strategies to deliver corporate objectives.
Talent can be classified in terms of individual employee profile comprising educational background and skill set. Training needs analysis can be performed and appropriate e-learning can take place. In terms of retention Gen-Y care considerably about work- life balance. As joint stakeholders in Human Capital Management, HR and frontline managers can work together through a single hub to identify, measure and provide appropriate compensation strategies whilst maximising productivity. Luk cited a government organisation deliveringa round-the-clock service. They can analyse talent per working shift, see what training needs are required and when is best to carry this out.
Out-dated HR systems hold a lot of disparate data. SAP’s Talent Management system will eliminate redundant processes, and allows data to be uploaded and successfully integrated. Not only does SAP provide a core HR solution but a built-in appraisal system, which is transparent and bidirectional to employee and management. Employees may prefer to communicate from a single secure channel with their peers or their supervisor. SAP’s solution is global and incorporates best practices from large multinationals to SMEs, ensuring proof of concept and significant return on investment.
Albert Wong,
General Manager Personnel,
Cathay Pacific Airways
Topic: Gen-Y management advice from Cathay Pacific
Gen-Y dominate Cathay Pacific’s front-line positions so Wong was perfectly placed to offer his expertise in terms of their behavior and its implications for organisations today. Wong expressed that understanding Gen-Y’s upbringing is essential. Gen-Y spring from an era in which both parents usually went to work and the parameters held tightly in place by earlier generations—restrictions on whereabouts and curfews simply did not exist. 30 years ago if we were to ask our mother for something, she would have replied with, “Go away or I’ll beat you up,” quipped Wong adding, “But now what Gen-Y want—they get.” Hierarchical ideologies that breed control-loving organisations do not sit well with those who have grown-up to become fiercely independent. Earning their respect is a difficult task because they are technology savvy and leave employers out in the cold in terms of communications.
Wong continued, “Gen-Y hate high power distance as they do not want a manager but a mentor.” Ten years ago Cathay Pacific shifted their training focus to one of ‘learning.’ Those companies who do not grasp this fundamental difference encourage the trend of Gen-Y ‘company hopping’ in search of a lifestyle to which they feel entitled.
Capt. Vikas Grewal,
Marine Manager–Business Division,
Fleet Management Limited
Topic: Gen-Y management strategies in Fleet Management Limited
Almost half of the 8,000 seafarers within Fleet Management Limited (FM) are Gen-Y. It fell upon FM to develop transparent advertising, cutting-edge training and trust-based performance systems in order to deal with such a large percentage of alternative-minded employees. FM advertises clear career paths, openly displaying the salary awarded to each given rank. Capt. Grewal explained that FM allows an initial one year window for new recruits to reconsider their chosen career in shipping.
Approximately 10% decide to leave after the first year but ‘mid-way casualties’ are thereby minimised. Training is needs-based and is available on demand through simulators in order that staff can, ‘feel the sea before they take the jump’. Training On Land And Sea (TOLAS) is now considered an industry best practice, that allows recruits to log onto the company’s training manuals which systematically cover all aspects of shipboard operations. Recruits can self-assess what they already know and decide upon what they need the most.
The Planning and Reporting Infrastructure (PARIS) is a virtual office suite, allowing employees to gain complete insight into the ship’s controls. Grewel explained how FM’s SafeR+ behavioural change programme gives employees the chance to observe and assess one another.
Rather than being pushed by management, employees are driven to think about what can be changed to make the ship a safer working environment. They are issued with safety cards with points rewarded or deducted, and money acting as incentive.
Capt. Grewal concluded that as important as these strategies are, the social aspects of employees’ lives are not to be overlooked. FM holds four seminars each year with its employees and their families to address any personal issues.
Kam To,
Head of Human Resources,
and
Miss Sun
Management Trainee,
Manulife (International) Limited
Topic: Integrating Gen-Y in the workplace
Miss Sun began by sharing a number of Gen-Y attributes and why they existed. Sun explained Gen-Y’s schooling had led them to believe that workplace rewards should be based on performance rather than age or seniority. Moreover, feedback is very important to them as a benchmarking tool. They are more receptive to change than their predecessors and tend to be more opportunistic. This generation have been encouraged to offer a point of view, which in the workplace, can make them appear headstrong. She argued that as a result they find rules to be stifling and prefer to find their own way to reach an objective— craving job satisfaction. Transparency and honesty were high in Miss Sun’s priorities and she found Gen-X place more emphasis on political correctness and formality.
Kam explained that Gen-Y represents 25% of Manulife’s workforce and as such are still a minority. He feels therefore no need to change policies. The Gen-Y phenomenon is not yet a generalisation and he believes the real agenda is of HR dealing effectively with diversity. Treating Gen-Y as a sub-group he offered three tips to retention:
- Address the following areas clearly as this is what Gen-Y will ask themselves:
• “Why am I here?”—Career and organisational choice
• “Why I am still here?”—Compensation and benefits
• “What’s the reason I’m doing this?”—The work task
• “In what way are my efforts being rewarded?”—Recognition - Embrace, trust and involve Gen-Y rather than `manage’ them. Manulife now offer a CEO Award for Innovation.
- Make Gen-Y responsible for their future. Management Trainees this year designed their own training under a programme entitled: Raise the Bar. Similarly in terms of career architecture the ‘My Career, My Choice’ focus group was launched within Manulife.
Kam ended the session with a pertinent tribute to Steve Jobs—as a genuine embodiment of the Gen-Y spirit.
Francis Wong,
Cluster General Manager, Human Resources,
New Territories East Cluster (NTEC) of Hospital Authority, Hong Kong
Topic: Walk the talk? Gen-Y what do you want?
The Hospital Authority employs 58,000 people, making it the second largest employer in Hong Kong. Wong has the HR of seven hospitals in his remit and asserts that there is no case for a Gen-Y. His opening slide was a scene from Woodstock in 1969; a generation labelled hippies and layabouts, now termed post-war ‘Baby Boomers’ who are considered, ironically, to hold strong moral and work ethics. The hedonistic ‘yuppies’ and ‘dinkies’ of the 1980s duly followed. He concluded that every generation is subject to environmental factors that determine behaviour at any one time.
Wong added, “The younger generation are more engaged with technology and in particular social media. They work with instantly accessible, up-to-date information.” He noted that a four-page printed circular continues to be distributed by head office but his staff ignore it—assuming its redundancy by the time it arrives. Wong termed this the ‘Apple Daily mentality’.
By way of solution he seeks to address the environment to which he caters. Each department is responsible for building their own webpage through the hospital intranet ‘i-hospital’ and can submit ideas through an ‘innovation powerhouse.’ Current topics are available to view at ‘i-novel’, and ‘i-tube’ provides information on video concerning hospital procedures. Wong sung the praises of ‘YouSay’ an in-house online platform through which employees wetre able to question management whilst remaining anonymous. Following a policy change in 2010 management was made aware of significant issues within two days. He noted that since October there had already been over 1,000 questions addressed through the platform—which also allows analysis of current work trends. In this way HR are able to address prominent issues with speed and visibility and resultant equality. Whilst senior management was initially resentful they ultimately realised these enormous benefits. Wong summarised that HR must participate, listen, respect, respond and be sincere to all employees irrespective of generation.
Bianca Wong,
MD, HR Services—NPAC,
FedEx Express
Topic: Gen-Y management advice from FedEx Express
Since FedEx’s inception twenty years ago they have held a philosophy of: people, service, profit. The belief is that engaged employees deliver an excellent customer experience that improves loyalty. Through brand alignment the value proposition is communicated from the employee to the customer and back to the employee again. It is a conviction that has helped them through two significant mergers in Asia, one of which necessitated immediate incorporation of 3,000 new employees.
Wong pointed out a very strong parallel between HR and marketing principles. She suggested that HR Departments should segment their employee base as marketing departments do their customers; actively developing Gen-Y- specific attraction and retention plans. It becomes paramount that communication is transparent and consistent. This is a challenging position for traditional management for whom confidentiality has historically been essential. Furthermore information needs to be disseminated with immediate effect so as not to become secondary to what is already out there.
Wong asserted that many consumers are looking beyond service and pricing to include company values when making their decisions. In the same way Gen-Y employees need to have a job they feel is meaningful; to live the brand. Management and employers must become brand ambassadors. FedEx is extremely active with CSR and even goes as far as publishing its green policies in the Global Citizen Report. Over 90% of employees in the APAC region say they can deliver the purple promise. ‘I will make every FedEx experience outstanding’.
When asked how FedEx weathered the financial storm of 2008 Wong commented, “We knew we had to show commitment so we made sure we gave out a consistent message that our focus was still our people.” Wong pointed out that committed employees actually began to offer some incredibly innovative ideas. Subsequently, employee satisfaction was higher than before the crisis.
This article is published in HR Magazine Winter 2011 issue.
Paul Arkwright
Publisher
