CEB - The Millennial Myth

The Millennial Myth

Three Strategies for Effectively Managing Millennials in the Workforce

A Framework for Member Conversations

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© 2014 CEB. All rights reserved. CLC0698814SYN

0%

30%

60%

0%

30%

60%

37%29%

34%

WAR FOR MILLENNIAL TALENT

Attracting the Best of a Large Cohort: Millennials Represent the Largest Generation Since Baby BoomersPercentage of Workforce in 2013, by Generation

Developing New Leadership Talent: Oldest Millennials Are Becoming Leaders

Making the Most of Their Skills: Millennials Are the Best Educated Generation Percentage of Employees with at Least an Undergraduate Degree, by Generation

Retaining the Best Millennials: Millennials Are More Likely to Leave Their Current Organizations Percentage of Employees Who Will Look for a Job at Another Organization in the Next Year, by Generation

As millennials become more prevalent in the workplace, organizations are increasingly concerned about how to manage them.

■ Organizations want toattract the best of the largestgenerational cohort since thebaby boomers.

■ Millennials are highly educatedand organizations are eagerto put their unique skills andknowledge to work.

■ As the oldest millennialsbecome leaders, organizationsare concerned aboutpassing down organizationalknowledge.

■ Because millennials have lowerintent to stay, organizationsare worried about retaining thebest millennials.

Generations Defined

Millennials (also known as Generation Y): Born between 1980 and 2000

Generation X: Born between 1965 to 1979

Baby Boomers: Born between 1946 and 1964

Source: Bureau of Labor Statistics. Source: ILOSTAT, International Labour Organization, 2012, http://www.ilo.org/ilostat/faces/home/statisticaldata/bulk-download?_adf.ctrl-state=4rz6ddict_499&clean=true&_afrLoop=2868342542738339.

n = 10,531.Source: CEB 2014 Enterprise Contribution Survey.

Millennials Millennials

Millennials

Generation X Generation X

Generation X

Baby Boomers

Baby Boomers

Baby Boomers

0%

30%

60%

0%

30%

60%51%

37%

18%

“By 2020, millennials will fill half of our leadership positions. This is not long-term investing; it’s investing in the near-term.”

Head of HR, Professional Services

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Catalog # CLC9197714PRO

Title BRF: Millennials

0%

30%

60%

0%

30%

60%

39%34%

28%

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MIXED MESSAGES ABOUT MANAGING MILLENNIALS

Magazine and Newspaper Headlines About Managing Millennials

With conflicting advice and opinions about millennials, organizations are left confused about how to manage this cohort.

Two Key Member Questions

What critical myths about millennials do we need to better manage?

2What common assumptions about millennials are true?

1

“ The Me Me Me Generation: Millennials are Lazy, Entitled Narcissists Who Still Live with Their Parents—Why They’ll Save Us All.”

Source: Stein, Joel. ““The Me Me Me Generation: Millennials are Lazy, Entitled Narcissists Who Still Live with Their Parents—Why They’ll Save Us All.” Time Magazine, May 2013.

“ The Dumbest Generation: How the Digital Age Stupefies Young Americans and Jeopardizes Our Future.”

Source: Baurelein, Mark, The Dumbest Generation The Dumbest Generation: How the Digital Age Stupefies Young Americans and Jeopardizes Our Future(Or, Don’t Trust Anyone Under 30). New York: Tarcher, 2009.

“ Generation Y’s Goal? Wealth and Fame.”

Source: Sharon Jayson, USA Today January 10, 2007.

“ Generation Y—They’re Probably No Worse Than Baby-Boomers.”

Source: The Guardian, March 16, 2014

“ Today’s Young People Aren’t Ambitious, Care Less About Their Jobs, And Want More Vacation.”

Source: Saranya Kapur, Business Insider, September 25, 2013.

“ Millennials Tech-Dependent, But Not Necessarily Tech-Savvy.”

Source: Millennial Marketing,

“ Corporate Social Responsibility is Millennials’ New Religion.”

Source: Andrew Swinand, ChicagoBusiness.com, March 25, 2014.

“ Job Hopping Is the ‘New Normal’ for Millennials: Three Ways to Prevent a Human Resource Nightmare.”

Source: Jeanne Meister, Forbes, August 14, 2012.

“ Job Hopping Millennials No Different Than Their Parents.”

Source: Annalyn Kurtz, CNN Money, April 9, 2013.

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THE MILLENNIAL MYTH: THREE STRATEGIES FOR EFFECTIVELY MANAGING MILLENNIALS IN THE WORKFORCE

Managing Three Critical

Millennial Myths

Common Assumptions

About Millennials That Are True

Appendix

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0%

50%

100%

0%

50%

100%

68%

53%

89%

77%

MILLENNIALS HAVE HIGH EXPECTATIONS

Millennials Expect to Be Paid Morea

Average Expected Merit Increase in Current Position

Millennials Expect to Be Promoted Fastera

Expectation for Promotion

Millennials expect more compensation and faster promotion than other generations.

2 Years or Less 5 Years or Less

Millennials Other Generations

n = 89,872.Source: 2013-2014 Global Labor Market Survey.a Additional age cuts in appendix.

n = 89,872.Source: 2013-2014 Global Labor Market Survey.a Additional age cuts in appendix.

0%

3%

6%

0%

3%

6%6%

3%

”The young people we hire don’t just want that job. They aren’t going to

be happy in one position for long. They come in looking at where they can go next.”

Shelley SullivanDirector of HR at the American

Association of Blood Banks


COMMON ASSUMPTIONS ABOUT MILLENNIALS THAT ARE TRUE

MANAGING THREE CRITICAL MILLENNIAL MYTHS APPENDIX

Implications1. Provide Accurate, Ongoing Feedback on Performance and Potential: Managers should provide candid, continuous

feedback on millennials’ performance and promotion potential to help set realistic expectations for their trajectory at the organization.

2. Demonstrate Realistic Career Paths: Organizations should set expectations for realistic, not idealized, career paths with Chubb’s Realizable Career Paths.

3. Provide Transparent Information on Pay Practices: Provide straightforward, regularly updated information about pay practices and guidelines. Use our pay communications guidebook to address millennials’ pay expectations. (CEB Compensation membership required)

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https://clc.executiveboard.com/Members/ResearchAndTools/Abstract.aspx?cid=100238273&fs=1&q=realizable+career+paths&program=&ds=1

https://www.cr.executiveboard.com/Members/ResearchAndTools/Abstract.aspx?cid=100103907

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0%

30%

60%

46%

33%

52%

23%20%

10%

Although millennials are more likely to use technology at work than other generations, they are not more likely to adopt new technology earlier.

n = 983.Source: CEB 2012 Technology-Enabled Employee Productivity Survey.

n = 1,029.Source: Cornerstone OnDemand and Kelton, The State of Workplace Productivity

Report, 2013. http://www.cornerstoneondemand.com/sites/default/files/research/csod-rs-state-of-workplace-productivity-report.pdf

MILLENNIALS USE TECHNOLOGY AT WORK MORE, BUT NO MORE LIKELY TO BE EARLY ADOPTERS OF NEW TECHNOLOGY

Millennials Use Technology at Work More Than Other GenerationsPercentage of Employees Who Use Technology Devices for Work Purposes, by Generation

But Are Not More Likely to Be Early AdoptersPercentage of Employees Who Are Technology Adopters, by Age

Millennials

Generation X

Baby Boomers


Laptops Smartphones Tablets 0% 20% 40%

33%

35%

30%



Implications1. Use Millennials to Provide Feedback on Technology Platforms: Because millennials have grown up with technology,

many will have a keen sense of which aspects of a technology platform work and which do not.

2. Reverse Mentoring: Take advantage of millennials’ propensity to use technology at work by establishing a reverse mentoring program where millennials teach other generations how technology can help increase efficiency at work.

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MILLENNIALS ARE MORE LIKELY TO LEAVE FOR (ALMOST) ANY REASON

Likelihood of Accepting a New Job Based on Different FactorsPercentage of Employees Selecting “Likely”

Millennials are more likely to accept a new job than other generations for almost any reason.

■ The most frequent reasons for leaving that millennials cite are compensation, better work-life balance, and more valuable development opportunities.

A 15% Increase in Total Compensation Package

A More Rapid Career Advancement

A Better Work-Life Balance

A More Valuable Professional Development Opportunity

More Comprehensive Benefits

A More Senior Position Within The Organization

More Engaging Day-To-Day Work

A Friendlier Work Environment

Greater Respect from Others

A Highly Skilled Direct Manager

A Higher Quality Product Than Your Current Organization Offers

Higher Level of Social Responsibility

More Talented Colleagues

n = 89,872.Source: CEB 2013–2014 Global Labor Market Survey.

Millennials

Generation X

Baby Boomers



Implications1. Assess Reasons for Leaving: Survey or interview departing employees to better understand their reasons for leaving the

organization.2. Hold Frequent Career Discussions: Managers should discuss their employees’ career aspirations early and help them find

internal opportunities to reach their goals.

0% 30% 60%

57%52%44%

48%43%36%

48%43%36%

47%22%

20%46%

51%48%44%

24%25%42%

9% 12%40%

13%16%37%

23%24%

35%38%41%

33%7% 12%

28%45%26%

26%9% 15%

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MILLENNIALS WANT CAREER AND DEVELOPMENT OPPORTUNITIES MORE THAN OTHER GENERATIONS

Few Differences in Attributes That Attract GenerationsPercentage of Employees Selecting Each Attribute as the Top 5 Most Important When Considering Employmenta

The greatest generational differences in attraction drivers are in future career and development opportunities.

■ These attributes are more likely to attract millennials than other generations.

■ A need for work-life balance is commonly attributed to millennials, but it is important to all generations.

■ All generations view compensation as the most important driver of attraction to a potential employer.

Millennials

Generation X

Baby Boomers

Implications1. On-the-Job Learning: Managers should help identify opportunities for millennials to learn critical skills on-the-job.

2. Provide Stretch Opportunities: Managers should help their millennial employees find opportunities test out new skills or pursue diverse career interests across the organization.

Compensation

Work-Life Balance

Future Career Opportunity

Stability

Respect

Location

Development Opportunity

Recognition

Health Benefits

Vacation

n = 89,872.Source: CEB 2013–2014 Global Labor Market Survey.a Please see the appendix for the full list of attraction drivers.

0% 25% 50%

44%48%

44%39%

41%38%

33%25%

14%32%

36%35%

31%31%

37%27%

30%35%

23%18%

12%18%

19%19%

17%18%

21%17%

16%14%

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Millennial Myths

Common Assumptions


Appendix

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THREE MYTHS OF MILLENNIAL MANAGEMENT

Identifying the Three Myths

1. Which myths, if believed, would significantly detract from an organization’s ability to attract, retain, and engage millennials?

2. Which myths were most commonly held by organizations?

COMPETITION CONNECTIVITY COMMITMENT

Myth Millennials Are More Collaborative Than Competitive

Millennials Rely on Their Peers to Get Work Done

Millennials Want to Organization Hop

Reality Millennials are more competitive than other generations. They are more driven by relative performance than absolute performance.

Millennials are more connected, but they underleverage peers at work. They have the connections, but don’t trust peers’ input.

Millennials want to experience hop, not organization hop.

Strategy Provide comparison opportunities by increasing visibility of millennials’ impact.

Increase trust through greater understanding of the value of peer input.

Help millennials identify the benefits of diverse career moves within their organizations.

Best Practice “Gamified” Failure Sharing Platform Network Performance Points Career Maps



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MOST VIEW MILLENNIALS AS COLLABORATIVE, BUT THEY ACTUALLY WANT TO COMPETE

Other Generations Think About Millennials Primarily as Collaborative

Millennials Have a Strong Competitive Nature Percentile Rankings of Respondents Who Say That Competition Is What Gets Them up in the Morning, by Generation

Many view millennials as primarily collaborative, but millennials are motivated by the desire to stand out from their peers and be competitive.

Millennials are all about

teamwork, they prefer a collaborative work environments rather than a competitive

one.

Work spaces that

promote collaborative work are going to become the norm as the share of

millennials rises in the workforce.

From their early

socialization in kindergarten, millennials

were educated in groups—collaboration is their

baseline behavior.

Baby Boomers

Generation X

Millennials

Competition Percentage

30 50 54 59 70

Source: SHL The 2012 Talent Report.

Source: CEB analysis.



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MILLENNIALS MORE DRIVEN BY RELATIVE PERFORMANCE THAN ABSOLUTE PERFORMANCE

Millennials More Likely to Be Competitive About Their Performance Relative to Others’ PerformancePercentage of Employees Who Agree That They Compare Their Individual Performance with the Performance of Their Peers, by Generation

Millennials Less Likely to Be Driven by Absolute Performance StandardsPercentage of Employees Who Agree That Doing Their Job Adequately Is Not Enough, by Generation

Millennials are more competitive when it comes to their performance relative to others rather than achieving a personal standard of performance.

■ Millennials are 10% more likelythan other generations tocompare their performance totheir peer’ performance.

■ Millennials are 16% less likelythan other generations to becompetitive with themselves.

■ Motivate millennials byproviding opportunitiesfor them to compare theirperformance to others’.

ImplicationMillennials are more motivated by comparing their performance to others. Provide comparison opportunities by increasing visibility of millennials’ contributions.

Millennials Other Generations0%

30%

60%

24%

45%

Millennials Other Generations0%

30%

60% 58%

48%

n = 10,531.Source: CEB 2014 Enterprise Contribution Workforce Survey.




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ALLOW MILLENNIALS TO COMPARE THEMSELVES TO OTHERS WITH GAMIFICATION

DIRECTV’s Gamified Failure Sharing Platform Designed Around Four Key Concepts

Integrate gamification into work to increase the visibility of millennials performance allow opportunities for comparison.

■ DIRECTV developed a platform that encourages employees to share their own failures and learn from others failures. They used gamification principles to encourage participation.

■ Employees receive rewards for accomplishing tasks in the form of badges and points that are available for everyone to see, giving millennials the opportunity to compare their standing with others.

For more information see DIRECTV’s “Gamified” Failure-Sharing case profile.

2. Publicize rewards: DIRECTV makes the reward for accomplishing tasks visible to all players through the leader board, which pits frontline employees against senior executives.

1. Offer challenges and rewards: Employees compete in “missions” for badges and points by viewing videos, completing quizzes, or uploading their own submissions, to qualify for prizes or gain vacation time to dedicate to working on innovative ideas.



3. Provide Immediate feedback: Games provide ongoing feedback to employees through changes in score, progress toward the next level, and performance compared to other players. Employees can also view how peers rate their contributions such as videos or blog postings.

4. Align design with the objective and target population: DIRECTV built a visually engaging experience that is aimed at the learning style of its IT employees and that “hard” message it is trying to make them comfortable with. They also actively manages the content and rewards structure over time.

Source: DirectTV; CEB analysis.

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FIVE CONSIDERATIONS FOR THE CHRO

A workforce that is more competitive, and specifically likes to compete with others, has several implications for the CHRO. In particular, CHROs should consider the following:

■ Is my performance management system providing adequate differentiation without causing destructive competition?

■ Is my recognition program visible enough to be meaningful and motivating?

■ Do my recognition programs provide the opportunity for millennials to compare their performance to others?

■ Do millennials have high-profile opportunities to compete with others?

■ Do millennials have the opportunity to contribute work outside of their immediate teams?

A workforce driven by relative performance has several implications for performance management, recognition programs, and other talent management practices.



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MILLENNIALS WELL-CONNECTED INSIDE AND OUTSIDE OF WORKMillennials More Connected to Peers Outside of WorkPercentage of Respondents Who Use Social Networking, by Generation

Millennials’ Internal Networks Similar in Size to Other Generations’Number of People Each Generation Interacts with to Complete Work Each Week

Millennials Just as Likely to Have Friends at Work as Other GenerationsPercentage Agreeing They Have Close Personal Relationships with Coworkers, by Generation

Millennials are well connected.

■ Millennials’ internal networks are slightly smaller than other generations’.

■ Millennials are just as likely to have close relationships with coworkers as other generations.

0%

40%

80%

0%

40%

80%

78%

34%


0

10

20

0

10

20

1417


0%

20%

40%

0%

20%

40%

36% 36%


n = 23,339.Source: CEB 2012 High Performance Survey.

n = 1,188.Source: Lee Rainie, “Baby Boomers and Technology,” Pew Research Center,

2012, http://www.pewinternet.org/2012/03/28/baby-boomers-and-technology/.

n = 23,339.Source: CEB 2012 High Performance Survey.

34%

14

1778%

80%

40%

20

40%

20%

10

0%

0%

0

36%36%

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BUT MILLENNIALS DO NOT TRUST PEER INPUT AT WORK

Millennials Do Not Trust Peers’ Input at WorkPercentage of Employees Who Only Trust Themselves to Accurately Complete a Work Assignment, by Generation

Trust More Important Than Connections at WorkMaximum Impact on Enterprise Contributiona

However, millennials do not trust their peers’ input at work.

■ When employees have peers they can trust and rely on, it drives enterprise contribution more than simply having connections at work.


Having Close Connections at Work

Trusting Your Coworkers


0%

20%

40% 37%

26%

0%

2%

4%

1%

4%

<1%

ImplicationIncrease millennials’ trust in peers through greater understanding of the value of peer input.

“Millennials don’t trust people at work inherently, we are taught

to be skeptical from a young age.1”

Assistant Brand ManagerPepsiCo



n = 23,339.Source: CEB 2012 High Performance Survey.a An employee’s enterprise contribution consists of his/her individual task

performance (effectiveness at achieving individual tasks) and network performance (effectiveness at improving the performance of peers as well as using contributions from peers to improve his/her own performance).

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ENABLE EMPLOYEES TO RECOGNIZE IMPACT OF COLLABORATION TO INCREASE TRUST

Elements of HSF’s “Contribution to the Success of Others” Measurement Process

HSF used the performance review process to signal the benefits of collaborative behaviors to their employees’ success.

■ A new measurement, “Contribution to the Success of Others,” was embedded in the performance review to help partners make the connection between the contributions of others and personal success.

Component 3: Reinforcement

Strengthen the connection between collaboration and performance through stories.

Component 1: Awareness

Use self-reviews to drive understanding of how others have contributed to personal success.

Component 2: Recognition

Quantify network performance to drive high-value, not just high-volume, collaboration.

“Contribution to the Success of Others” Metric

Source: Herbert Smith Freehills; CEB analysis.

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Title



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BUILD AWARENESS OF PEER CONTRIBUTIONS TO INDIVIDUAL SUCCESS

HSF’s “Contribution to the Success of Others” PlatformIllustrative

As part of the self-review section of the annual performance review, each partner recognizes the contributions other employees have made to their success through a points system.

■ Beyond simply distributing points, partners provide examples of how they have been supported by others over the past year.

■ HSF conducts this process with their partner population, but it can easily be applied to the workforce.

Diverse Forms of Collaboration

HSF recognizes that collaboration can take several forms. They were surprised to see that partners identified a wide variety of contributions from peers, from financial and talent, to emotional and psychological.

1 Situational Points Allocation 2 Limited Recognition 3 Personalized Impact

Partners are allotted points to distribute through a web portal. New partners and partners working on high-risk projects are given 20 points instead of the standard 10 because they should be receiving more help from peers.

Partners only recognize those they feel have contributed the most to their personal work, so comments are limited to those individuals.

Partners are required to provide a sentence or two about how each individual has contributed to their success and the impact. Partners are given broad guidelines about which types of contributions they can recognize.

Source: Herbert Smith Freehills; CEB analysis.

Employee Name: John D. Available Points: 10

Employee Name Points Briefly Describe How This Individual Has Contributed to Your Success

Briefly Describe the Impact of This Individuals Contribution

Mary 4 Mary introduced me to client XYZ after determining that they would be a good candidate for our environmental litigation services.

I sold the client a 36 month contract with option to extend.

Please Select

Mike GAdam NJessica KBill W

1 Mike provided encouragement during a challenging case.

I was able to maintain a positive relationship with a difficult client.

1 Alyssa frequently puts me into contact with rising talent looking for new opportunities

Alyssa connected me with our paralegal whose experience in oil directly contributed to the success of a case.

Chris 2 Chris has been a valuable resource by sharing his expertise in managing clients in China.

I have been able to successfully assume ownership of 4 new APAC clients into my portfolio.

1

2

3

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Title



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A workforce that does not leverage peer networks and does not trust peer input has several implications for the CHRO. In particular, CHROs should consider the following:

■ Do my leaders role-model trusting behavior for other employees?

■ Are millennials aware of their peers’ knowledge and expertise?

■ Do our development programs teach millennials how to seek and provide input to their peers?

■ Does our performance management system help millennials understand they are expected to leverage their peers for success?

■ Does our organization facilitate strong internal networks?

A workforce that does not trust peer input has several implications for leaders, knowledge management processes, and other talent management practices.



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MILLENNIALS: ORGANIZATION HOPPERS OR EXPERIENCE HOPPERS?

Millennials Want Opportunities to Advance Their CareersPercentage of Respondents Selecting Each Attribute as the Top Five Most Important When Considering a Potential Employer, by Generation

Millennials Just as Willing to Look Internally for Career Opportunities as Other GenerationsPercentage of Respondents Agreeing Internal Job Opportunities Are Desirable, by Generation

Millennials want opportunities to advance their careers.

■ They’re looking externally for these opportunities more so than other generations.

■ However, millennials are just as willing as other generations to look for these opportunities internally.



Organization Growth Rate



n = 3,409.Source: CEB 2013 Succession Management Survey.

0%

20%

40%

0%

20%

40%

33%

21% 23%

15%12%

7%

0%

30%

60%

0%

30%

60% 53% 52%

“We [millennials] are always looking for mentors and the opportunity to learn from others.”

Greg GoldnerCoauthor of Cultivate Critical Connections: A Guide for Creating Genuine Relationships


Millennials Looking for External OpportunitiesPercentage of Employees Who Will Look for Job at Another Organization in the Next Year, by Generation

Millennials Generation X Baby Boomers

n = 10,531.Source: CEB 2014 Enterprise Contribution Survey.

0%

30%

60%

0%

30%

60% 51%

37%

18%

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PROVIDE DIVERSE CAREER EXPERIENCES, NOT FAST PROMOTION

Diverse Organizational Experiences Drive Millennial Retention More Than Fast Career PathsMaximum Impact on Intent to Stay

Some organizations try to retain millennials by promising fast career progression.

■ However, opportunity for diverse experiences is a better driver of millennials’ retention than fast career progression.

Opportunity for Lateral Career Moves

Accelerated Promotion Path

n = 3,409.Source: CEB 2013 Succession Management Survey.

0%

15%

30%

23%

1%<1%

ImplicationHelp millennials identify the benefits of diverse career moves at their organizations.



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“By developing in-between steps and titles,

managers can meet [millennials’] desire

for career progression. It also provides

incremental training and experience

that will aid them later with larger career

advancement opportunities.”Dan EpsteinCEOReSource Pro

25


SHOW OPPORTUNITIES FOR MULTIPLE CAREER MOVES WITHIN THE ORGANIZATION

National Grid Created Career Maps to Help Employees See a Variety of Connector Roles That Will Get Them to Their GoalElements of a Career Map

National Grid’s Career Maps help millennials visualize the broad range of areas they can experience, while preparing for an end role.

Critical Role

Entry Role

Connector Roles

Work Backward from the Goal

Identify the skills and attributes needed for the critical role at the top of the pyramid, then build a path backward that achieves those attributes.

Focus on Diverse Connector Roles

Demonstrate the multiple options open to millennials that will provide them with the necessary experience to get to the desired end role.

Include Entry-Level Positions

Include entry-level positions in the career map to help millennials see how their current position can feed into a variety of connector roles in different areas of the organization.

2

3

1

Source: National Grid; CEB analysis.



Access the full case profile at: https://clc.executiveboard.com/Members/Popup/Download.aspx?cid=101225223

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26


HIGHLIGHT THE OPPORTUNITY FOR DIVERSE CAREER MOVES

Demonstrate the Benefits of “Connector” RolesExcerpt of National Grid’s Career Map

Demonstrate to millennials the importance of “connector” roles in building out their skill sets.

1 Which leadership, business, and technical capabilities do people need to be advanced or expert in to succeed in this role?

2 In which roles do people gain these?

3 How else can people develop these?

■ Chartered engineer (ongoing CPD)

■ Economist

■ Resource management ■ Operations role ■ Program Mgt

■ Program management ■ Audit/business assurance role/project

■ Price control role ■ Commercial/regulation ■ Financial analyst role ■ Group strategy role

■ Business school modules in business finance and economics

■ Investment role

■ Global group involvement ■ Global networks ■ Large change program (e.g., GDFO)

■ Project role – Change management – Organization design

■ Presenting to governance group

■ Regulatory submission to OFGEM

■ Lead an industry/regulatory consultation response

■ Conceptual thinking ■ Economic analysis and modelling

■ Quantitative skills ■ Thinks ahead and anticipates future needs

■ Data mining and data management

■ Building relationships (networker) and a trusted advisor

■ Change management ■ Delegates appropriately ■ Influences strategically ■ Strongly demonstrated NG leadership qualities

■ Governance/control framework

■ Managing an audit

■ Commercial acumen ■ Regulatory understanding ■ Driving value ■ Financial Investment decisions

■ Modelling outcomes ■ Valuing portfolios

1. Detail the skills and experiences required for success in the critical role 2. Identify the “connector” roles that align to each skill set and experience to help employees and their managers

make job moves 3. Recognize the limitations to mobility and identify other opportunities to develop the same skills and experiences

without a job move

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Catalog #

Title



Source: National Grid; CEB analysis.

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A workforce that has diverse career interests has several implications for the CHRO. In particular, CHROs should consider the following:

■ How can managers help millennials identify opportunities across the organization?

■ Do my succession plans encourage vertical or diverse career paths?

■ How are lateral moves perceived by others across the organization?

■ Do millennials have the opportunity to experience realistic job previews of roles across the organization?

■ Are managers willing to share talent?

A workforce with diverse career interests has several implications for career pathing and succession management strategies.



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Key Takeaways and Implications for Chief Human Resources Officers

Key Takeaways

1. Heavy media focus on millennials in the workplace leaves organizations unsure how to best manage millennials.

2. There are three common myths about managing millennials:

■ Competition—Millennials are more competitive than many believe. They are driven more by relative performance than absolute performance.

■ Connectivity—Millennials are well connected, but they don’t trust their peers to leverage them for success.

■ Commitment—Millennials want opportunities to advance their career and they are looking for these opportunities externally. However, they’re just as willing to look internally for these opportunities as other generations. They want to experience hop, not organization hop.

Implications for Chief Human Resources Officers

1. To engage millennials, provide comparison opportunities by increasing the visibility of millennials’ impact on the team.

2. To improve millennials’ enterprise contribution, increase their trust in peers through greater understanding of the value of peer input.

3. To better retain millennials, help them identify the benefits of diverse career opportunities within the organization.

Source: CEB analysis.



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Millennial Myths

Common Assumptions


Appendix

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COMPENSATION AND WORK-LIFE BALANCE ARE IMPORTANT ATTRIBUTES FOR ALL GENERATIONS

Most Important EVP Attributes When Choosing a Company to Work ForPercentage of Employees Selecting

All generations view compensation as the most important EVP attribute when choosing a company to work for.

■ Work-life balance and future career opportunity also rank at the top of EVP attributes for millennial employees.


Millennials

Generation X

Baby Boomers

Compensation

Work-Life Balance


Stability

Respect

Location


Recognition

Health Benefits

Vacation

Ethics/Integrity

Job-Interests Alignment

Growth Rate

Coworker Quality

People Management

Manager Quality

Retirement Benefits

Product/Service Quality

0% 25% 50%

44%48%

44%39%41%

38%33%

25%14%32%

36%35%31%

31%37%

27% 30%35%

23%18%12%18%

19%19%

17%18%21%

17%16%

14%16% 17%22%

15%13%

14%12%8%

6% 12%12%

13%12%12%13%

11%12%13%

11% 16%21%

10%11%

15%

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CUSTOMER PRESTIGE AND RISK TAKING ARE THE LEAST IMPORTANT ATTRIBUTES FOR ALL GENERATIONS

Most Important EVP Attributes When Choosing a Company to Work ForPercentage of Employees Selecting

All generations view customer prestige and risk taking as the least important EVP attributes when choosing a potential employer.

For regional or industry segments, please see the EVP Design Center.



Millennials

Generation X

Baby Boomers

Innovative Work

Camaraderie

Technology Level

Great Employer Recognition

Social Responsibility

Empowerment

Market Position

Industry Desirability

Meritocracy

Organization Size

Environmental Responsibility

Inclusion/Diversity

Senior Leadership Reputation

Formality of Work Environment

Well Known Product Brand

Business Travel

Level of Impact

Customer Prestige

Risk Taking

0%

9%9% 10%

10%9%9%

6%7% 9%7% 8%

8%9%8%

8%10%

9%8%5% 6%

6%5% 6%

6%5%

6%5%4%4% 5%

5% 6%5%3% 4%

4%6%

5%4%4%

4%2%

3% 4%3%3% 4%3%3%

2%1%


4%

4%

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MILLENNIALS EXPECT TO BE PROMOTED THE FASTEST

Expected Time to Next Promotion by Generation, GlobalPercentage of Employees Selecting

About 80% of millennials expect to be promoted within three years.

0%

30%

60%

0%

30%

60%

45%

34% 33% 34%31%

26%

11%14% 14%

10%

3% 3%

1 Year 2-3 Years 4–5 Years Over 5 Yearsn = 89,872.Source: CEB 2013–2014 Global Labor Market Survey.

Millennials

Generation X

Baby Boomers



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MILLENNIALS ARE SLIGHTLY LESS ADAPTIVE AND AGILE THAN OTHER GENERATIONS

Millennials’ Adaptability Compared with Other GenerationsPercentage of Employees Agreeing with Each Statement

Millennials are slightly less adaptive than older generations.

I adapt my work as necessary to new situations.

I am interested in how others are doing their jobs.

I share my successes or

failures to help peers learn.

I prioritize my work to be more

aligned with company goals.

I adjust my work to reflect changes in company goals.

0%

50%

100%

0%

50%

100%

48%52%

58%

41% 42% 42% 41% 41% 42% 41% 42% 44%41% 41%

44%


Millennials

Generation X

Baby Boomers



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n = 89,872.Source: CEB 2013-2014 Global Labor Market Survey.

Below Market At Market Above Market

PAY PERCEPTIONS CONSISTENT ACROSS GENERATIONS

Employe Perceptions of Pay Relative to the MarketPercentage of Employees

Pay perceptions are relatively consistent across generations.

0%

50%

100%

0%

50%

100%

35% 36% 35%39% 40% 41%

27% 25% 23%

Millennials

Generation X

Baby Boomers



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MILLENNIALS MOST LIKELY TO CHECK THEIR WORK E-MAIL OUTSIDE OF WORK

Millennials More Likely to Check Work E-Mail Outside of WorkPercentage of Employees Agreeing They Check Work E-Mail Outside of Work, by Generation

Millennials are most likely to check their work e-mail outside of work than other generations.

0%

20%

40%

31%

26%

19%

Millennials Generation X Baby Boomers

Source: JWT, Rebooting Travel, page 37, http://www.jwtintelligence.com/production/RebootingTravel_JWTTrendReport_April2011.pdf.



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Recruiting & HR

CEB - The Millennial Myth