Formium Development

Category: Future of Work

  • 4 approaches to prepare for the challenges of a multigenerational workforce

    4 approaches to prepare for the challenges of a multigenerational workforce

    One of the big challenges of the future workplace will be the widening age range of the workforce.

    Either from desire (supported by longer life expectancy and better health), necessity (the increasing retirement age), or demand (the skills shortage) people will be working longer. In a reversal of recent trends, increasing university costs may lead to some young people exploring alternatives such as apprenticeships or entering the labour force earlier.

    This multigenerational trend has been developing over recent years, and is set to continue into the future.

    By 2031, a quarter of the workforce in the G7 states will be aged 55 or older

    And that 25% figure is up nearly 10 percentage points from 2011 (1).

    This brings a range of challenges that most leaders are unprepared for:

    Only 6% of respondents strongly agree their leaders are equipped to lead a multi-generational workforce effectively. (2)
    Only around 10% of companies include multigenerational workforce challenges in their leadership development. (3)

    So what are the challenges for a leader?

    The key issues break into two categories:

    • Friction. Exacerbated by perceptions and stereotypes between people of different ages,
    • Responsiveness. Does the leader and the organisation provide the opportunities and support that people need.
    1. Friction in how we work

    Much has been written about the differences between the four generations (Boomers, Generation X, Millennials, Gen-Z) – the majority of which is stereotypical and not backed up by research.

    But there are likely to be some broad age-based differences, based on the technology, work practices and life events that people will have experienced, and the probable pressures of their stage of life and career. And these generate the potential for friction.

    For example, the tendency of older workers to prefer to converse by speaking, whereas younger people are more likely to opt for text-based communication. There may be a contrast between younger people’s desire to innovate and change as opposed to older workers’ preference for status quo.

    While the ‘snowflake vs. boomer’ stereotypes are questionable from an academic perspective, they are important: because people may perceive them to be true, this influences them to interpret any differences as rooted in generation or age, and not a result of individual, personal characteristics.

    2. Different priorities according to stage of life and career

    Attitudes to work will be shaped by external life events and factors such as childcare, caring for relatives, personal health – and by internal factors such as ambition and desire for advancement.

    These issues complicate resource planning by impacting on staff retention, on levels of discretionary effort, and satisfaction with the Employee Value Proposition.

    It is reasonable to assume that there will be age-based difference in how people respond to financial incentives, and what they value from an organisation in terms of bonuses, rewards, pensions, leave arrangements. This will require a more thoughtful and dynamic offering, otherwise you may not get the performance or retention results that you think you are incentivising.

    3. Friction in social relations

    As a general rule, younger people tend to be more radical in their politics and social attitudes. This has led to today’s stereotype of ‘woke social justice warriors’ at odds with older colleagues fearful of using the wrong terminology or not keeping up with current expectations.

    And at the same time, workforces are becoming more atomised – teams that include hybrid working or are spread throughout different offices have reduced opportunities for social bonding. A recent news story about the death of the ‘after work pint’ identifies this atomisation, coupled with the trend of lower alcohol use among younger people.

    Within a team with lower social bonds, it is more likely that people will form in-groups, and age is often a significant feature in how these are formed.

    4. Friction in promotion and development

    There are two common perceptions that can arise:

    • Older workers prevent younger workers from taking on more advanced roles.
    • Development opportunities are geared towards younger people.

    The rise of the older workforce does pose challenges for Learning and Development teams:

    A 2020 global survey found that fewer than 4% of organisations had integrated older workers into their talent systems. (4)

    In both perceptions – of ‘blocking promotion’ and ‘not upskilling older staff’ – there are common problematic outcomes: individual frustration, unfulfilled potential (both personal and corporate) and reduced staff retention.

    5. risk of discrimination

    As age is a protected characteristic under the Equality Act, leaders and managers need to be conscious of how they are considering the age of their team members, and ensuring they do not inadvertently discriminate.

    Approaches for leading a multigenerational workforce


    Many – but not all – of these challenges can be addressed through good management practices:

    1. Think of people as individuals

    We are more than just our age – influences on our behaviour and attitudes are many and varied, including our socio-economic background, our personal values and beliefs, our specific life events and work history.

    The important step is to avoid assumptions and explore people’s preferences through empathetic questions.

    It may also help to consider that the language that was stereotypically used to describe the Millennial generation (entitled, poor communicators, difficult to work with) was also used to describe Generation Xers and Baby Boomers when they entered the work force (5) – indeed it has also been used to describe Gen Z.

    2. Flexible working for all

    Flexibility around hours worked, where possible, ensures that whatever their age, your people are able to work in a way that suits them – whether they are caring for a child, partner or parent, have healthcare needs, are studying part-time or have side projects and outside interests.

    3. Focus on similarities

    Rather than differences, bear in mind the similarities that cut across age profiles:

    • We all want to be respected.
    • We want leaders who are credible and trustworthy
    • We all find change can be challenging. (6)

    Adopting a person-centred, adaptive leadership approach is key to meeting these universal needs.

    4. Make this part of your future planning

    A multigenerational workforce is going to become ever more prevalent in the future, and leaders can take action now by adding this into their planning for the future.

    Numerous pressure groups have identified specific attitudes and structures that need to be challenged for organisations to support their older workers – these reports can inform your planning. Try start with these questions:

    • Imagine a scenario where 25% of your team are over 50. What will you need to do to ensure performance, productivity and professionalism across your team?
    • What will you do to make sure that no workers are left behind by the future?

    Make sure you are ready for the future workplace

    It’s not just the multigenerational workforce that is coming. Leaders will have to face the challenges of new technology, disruptive change, and new ways of working.

    Don’t get left behind by the future – explore our guide to take action now

    Get the guide

    References

    Photo: Andrea Piacquadio on Pexels
    (1) Bain and company (undated) Better with age
    (2) Deloitte (2020) Global Human Capital Trends
    (3) Lowe, Joshua & Barry, Erin & Grunberg, Neil. (2020). Improving Leader Effectiveness Across Multi-Generational Workforces. Journal of Leadership Studies.
    (3) Deal, J. J., Altman, D. G., & Rogelberg, S. G. (2010). Millennials at work: What we know and what we need to do (if anything). Journal of Business and Psychology,
    (4) World Economic Forum (2023) 3 ways organizations can empower older workers amid an ageing global workforce
    (5) Deal, J. J., Altman, D. G., & Rogelberg, S. G. (2010). Millennials at work: What we know and what we need to do (if anything). Journal of Business and Psychology.
    (6) Deal, J. J. (2007). Generational differences. Leadership Excellence

  • Embed generative AI in your organisation: 7 helpful tips

    Embed generative AI in your organisation: 7 helpful tips

    I recently attended the fascinating CIPD Festival of Work, and I’d like to share with you my summary and insights of the “AI is transforming work – how do we support people and enhance work?” panel event. I’ll be synthesising the ideas and experience of: Andy Headworth of HMRC (the UK’s tax body), DN Prashad from Govtech Singapore, and Jenny Kalenderidis from Microsoft.

    AI means a new way of working. You can’t fight it, you need to get onboard with it and make it work for you. 

    Here are seven practical approaches to introducing generative AI into your team or organisation.

    1. Create space and structure for your people to play 

    You can tackle initial hesitance to use generative AI by demystifying it, making it fun and empowering people to try it. Andy Headworth provided the example of a weekly lunchhour drop-in to try out the tools – with fun competitions to get people used to writing prompts creatively. You can move from light-hearted picture challenges (of increasing complexity) through to more serious work-related scenarios and formal ‘promptathons’.

    The skill to prompt is a key skill, but years of using search engines need to be undone, and replaced with the natural speech of AI. After all, the computer now speaks our language, we don’t need to code or use search parameters in the same way. Getting people to experiment in a safe space is the best way to do this.

    2. Promote sharing of ideas and prompts 

    Create opportunities for people to share their experiences using generative AI. Some organisations set up WhatsApp groups to share prompts, or establish a prompt hub for people to post their ideas and problems. Crowdsourcing ideas and feedback in this way helps people learn and improve, but it also enables people to spot good ideas and adopt or adapt them for their own specific use.

    3. Look for opportunities for AI to perform more complex tasks 

    Many people are using generative AI for lower-level work such as summarising meetings and proposing minutes or creating document outlines.

    But there is real value in looking for a deeper use. Andy Headworth explained their process of working together to analyse the recruitment process, then break it into constituent tasks and examine if AI could help them create efficiency.

    4. Make sure you have guardrails in place 

    For experimentation to be safe, there needs to be clear guidance from the top of the organisation. Focus on your organisation’s principles and values, and ensure the AI policy reflects these. AI has the potential to change all ways of working, so you need to build in safety and standards.

    Interestingly, it was suggested that organisations who need an AI policy might want to start by looking at their social media policy, which will contain the core ideas of ethics and organisational acceptability.

    5. Tackle bias head on 

    Yes, AI is subject to bias, influenced by its dataset. But you can take specific steps to try and rule out bias. Whether it is writing prompts or training it to take account of bias in the dataset, it is possible to actively manage this bias.

    And it is important to remember that we already have numerous steps and activities that we have designed to try and overcome human bias – both overt and unconscious. Think about steps like anonymising recruitment applications so that there is no reference to gender or age, or putting together a diverse selection panel so differing views are heard and bias can be challenged.

    6. Focus on the people 

    Reactions to AI often involve fear of potential job losses, or discomfort using a new tool effectively.
    Employers have a role in bringing all their people along, openly challenging myths and ensuring that – like any other workplace tool – people only use AI when they are sufficiently skilled and confident.

    One of the key insights from Jenny Kalenderidis was the need for HR to be in the room from the start. This isn’t a standard IT project where the people issue is just a question of training. AI has the potential to completely disrupt our ways of working, and so there needs to be HR professionals in the room, exploring what this means for the workforce, how to manage the change, the fear an the opportunity.

    7. “Think big, start small, act fast” 

    Neatly summarising the panel was DN Prashad, who articulated the importance of small-scale tests, pilots and experimentation – in order to find out use case scenarios that actually help the organisation, to generate experience and ideas that can be shared and developed. The focus is on pushing this experimentation down to the people who do the work, not the senior managers or external consultants, as they can see where true advantage can be developed.

    Picture credit: Mart production on Pexels

  • How does an ant kill a buffalo? Leadership lessons on the future of work

    How does an ant kill a buffalo? Leadership lessons on the future of work


    Forward-thinking leaders and managers are looking for ways to prepare themselves and their organisations for the future of work. One of the biggest challenges I see for them is how to address a change that is generated by a chain reaction of interacting factors.

    In case you’re wondering about the ant and the buffalo, here’s what’s happening:

    1. An invasion of big-headed ants drives out acacia ants from their residence in whistling-thorn trees.
    2. While they had been resident there, the acacia ants’ sharp jaws had deterred elephants from damaging the trees.
    3. Having lost the acacia ants’ protection, the trees are destroyed by the elephants.
    4. So the lions can no longer use them as a hiding place from which they can attack fast-moving zebras.
    5. Instead, the lions switch to hunting more of the slower-moving buffalo.

    So, what does this have to do with future changes in the ecosystem of work?

    We can look ahead and anticipate some big changes coming, such as increasing digitisation, the growth of AI or an increasingly diverse and global workforce.

    But it’s harder to spot the big changes that occur because trends coincide, or when disparate factors reinforce each other.

    Think about the Covid pandemic – while scientists had predicted a pandemic was due for many years, did anyone expect an end result of it might be struggling dry cleaners or city centre sandwich bars? These impacts were the result of chain reactions caused by the coincidence of the pandemic with:

    • Technological change. Innovations such as video conferencing and highspeed broadband meant there was an increased ability for office workers to work from home.
    • Social change. Over time, and partly due to the internet, people’s interconnections and relationships had become less dependent on attending the workplace.
    • Infrastructure change. For many people commuting had become ever more time-consuming and expensive.

    This fuelled an enduring desire to work at home, even once the pandemic was over. Since then we’ve seen lower footfall in town centres and people no longer needing to wear office clothing that requires regular dry cleaning.

    And these chain reactions aren’t just about levels of business – the increase in working from home and adoption of hybrid working also means that managers need to learn new approaches to communication, performance management and team dynamics.

    So, like the ant and the buffalo, one change within the work ecosystem can have far-reaching and unforeseen consequences. As Professor Todd Palmer states in the article about the ants: “it’s the interactions which are the glue that holds the entire system together.”

    For leaders looking ahead to the future of work, there is one key lesson.

    It’s impossible for leaders to imagine every feedback loop and plan for every possible chain reaction that might take place in the future world of work – but it is possible to build up capacity and capability.

    You could:

    • generate a learning culture so your team members are change-ready
    • develop your interpersonal skills so you can manage and support your people through the pressures and opportunities of change
    • build an empowered team who are forward-looking and able to take initiative.

    All leaders and managers can take a range of steps now so that if unexpected change occurs, you’re in a better place to adapt.

    Just like the lion.

    Image credit: Keyur Nandaniya on Unsplash