American University in Switzerland

Human Resource management- l

Spring Term

The three generation difference and their difference impact in HRM and in a company.

Submitted to: Professor Sanja Fabrio

Amira Jemal

Submitted date: May 10, 2022

"Global Generational Trends, Challenges and Opportunities Impacting Your Human Capital Strategy."

Susan Armstrong, a managing partner with Global Training Transformation in London. Kovary and Armstrong spoke at the SHRM Annual Conference & Expo 2021 on
Sept. 10 during a concurrent session
 Karl Manheim (Manheim,1952) defines generation as a group of individuals born within the same
historical and socio-cultural context, who experience the same formative experiences and develop
unifying commonalities as a result. One of the most accepted definitions refers to a generation as "a
group of people or cohorts who share birth years and experiences as they move through time together"
(Kupperschmidt, 2000, p.66).

Generation differences appear in the values, beliefs and opinions between different generations of
people, education, dealing in money, feedback style, work style, in technology... While some believe
strong in the difference, others believe they are a myth. Understanding the differences assert are
important to recognize and accommodate, especially in settings having multiple generations, such as in
today’s workforce.

 Preferred work environment

1. Baby boomers value workplaces that have flat hierarchies, democratic cultures, human values,
equal opportunities, and warm and friendly environment.
2. Generation X values workplaces that positive, fun, efficient, fast-paced, flexible, informal and
have access to leadership and information.
3. Millennials value workplaces that are collaborative, achievement-oriented, highly creative,
positive, diverse, fun, and flexible and continuously providing feedback.

 Regarding communication skill:

Baby boomers tend to be more reserved, Gen x favors command-and-control, Gen Y prefers
collaboration.

 Regarding change management:

Baby boomers are cautious; Gen X and Gen Y see it as a new opportunity.

 Regarding technical ability:

Baby boomers and Gen X value instructor-led coursed and self-learning tools, while Millennials
prefer collaborative and technology-centered options.
 Baby boomers Generation X Generation Y
Birth year: 1946-1964 Birth Years: 1965 to 1979/1980 Birth Year: 1980-1994/6

Current age: 57-75 ( most of them have Current age: 41 to 56 Current age: 25 to 40
many years of working experience and Wants childcare benefits Want flexible workdays
working in multiple career. They are also
much more concerned in having safety,
comfortable work place instead of like
being in cubic office, calm working
environment; they have high respect to
their working company rules and regulation
as well.
- Swayed by phased-in retirement
options.
Media consumption: traditional Media consumption: Still they Media consumption: 92% use TV
media like television, radio, use traditional media. However, and 32% use computer for
magazines, and newspaper they are also digitally savvy and purchases.
spend roughly 7 hours a week They typically have multiple
- This has an impact in how on Facebook. social media accounts.
HRM will use - Therefore I think we - We have multiple
communication process for have multiple alternatives to get them,
recruiting purpose for alternatives to get them but they are fresh and
example or while they than baby boomers. child centric.
working in an organization. Organization might
 In general they have quite exploit quickly also to
difference in technology have their rare skill or
usage in comparison to specific skill to have
other generation. sustainable competitive
- Motivated by you are advantage.
valued and respected! And - Are commonly
by monitory reward as well. communicating through
- Don’t necessary live by the organizational chat
work-life balance and email system, and
prefer to hand deliver
documents to specific
departments.
Banking habits: Boomers prefer to Banking habits: Digitally savvy. Banking habits: Millennials have
go into a branch to perform Will do some research and less brand loyalty than previous
transactions. financial management online, generations. They prefer to shop
but still prefer to do products and features first and
transactions in person. have little patience for inefficient
They believe banking is a or poor services. As a result
person-to-person business and Millennials place their trust in
demonstrate brand loyalty. brands with superior product.

Financial horizon: carrying the Financial horizon: Millennials are

Financial horizon: This generation is highest load while still raising powering the workforce, but with
experiencing the highest growth in children and saving for huge amounts of student debt.
student loan debt. retirement.
This generation has most wealth
and is looking to help their children
with their student debt.

They ‘never had it so good’. This Born during the period of family Millennials are the most child-
cohort believe in the nuclear family, breakdown, globalization and centric of the cohort, they
hard work and team-based success. mass consumerization, this believe in questioning hierarchies
cohort believe in individuality, and are more loyal to brands
short-termism and temporary than employers – they distrust
working experiences. organizations but value their role
in questioning the world.

Both younger and older workplace participants have a contribution to make in relation to the world of
work. Each generation has a completely different experience which in turn means different types of
knowledge. By harnessing this raw generational power, employers could, in both a purposeful and in a
somewhat mutually beneficial way, create a pathway of convergence between the generations to build
a more cohesive workplace.

The rate of baby boomer retirement is staggering. Across every industry, organizations have had to
increase hiring to replace baby boomers as they exit the workforce. More than any industry, healthcare
has been greatly impacted as baby boomers move working age into retirement. The impact of aging and
retiring baby boomers in the workplace is changing the way many organizations approach hiring and
talent management.
 They are mainly five ways baby boomers are impacting human resources.
1. Shifting the candidate experience
- For example organizations need to attract new talent to replace retiring baby boomers, and they
can hire more effectively by offering a great candidate experience, but it need to be quick in
offering there experience as the organization might loss some of the competitive advantage as
retiring baby boomers leave or replaced by new candidate as they don’t have a year’s
experience like baby boomers.
2. Loss of institution knowledge. (This happen when baby boomers leave or replace, but like
the above explanation to avoid from happening this in HRM, HRM need to follow a strategy
or I can say they need to have a succession planning.
3. Greater demand for work flexibility. (From my perspective all generation want to have work
flexibility, but this generation they have greater demand for it, for example they need more
health care time, most of them have a multiple responsibility in running an organization or
working in multiple areas.
4. Increased focus on younger talent is the other impact on HRM. (As a result of retiring baby
boomers, it is imperative to focus on building a strong pipeline of younger talent.)

5. New ways to provide care. (For example the shortage of physicians by 2032 in US result.
Therefore, we need to consider providing care in new ways like leverages technology in new
ways, helping healthcare providers serve more individual patient and connect with them in
ways that go beyond a traditional office visit. There pursuing these alternatives is likely to
spur an increase in new ways of working, such as more remote and per diem work
arrangements. This has actually an impact not only in an organization or in their working
company HRM, but also the health care specifically will be impacted, for example health
care service in addition to being in need to a new talents for the current, they need more
number of physicians to take care of this large number of baby boomers generation.

Most evidence regarding generational differences in preferences and values, according to

my findings in certain studies, suggests that the differences between these groups are fairly
minimal. In fact, within each of these groupings, there is a wide range of tastes and values.
When comparing generational groups, for example, a detailed examination of 20 separate
research with approximately 20,000 respondents indicated tiny and inconsistent variations
in employment attitudes. It discovered that, while individual people's requirements,
interests, preferences, and strengths may change over the course of their careers, broad
group distinctions based on age or generation do not appear to be justified.
So it's possible that what matters at work isn't actual generational disparities, but people's
opinions about them. These beliefs can obstruct people's ability to work with their peers,
and they have troubling implications for how we are managed and trained.
Age-related preconceptions and meta-stereotypes abound in the workplace, yet these ideas aren't
necessarily correct or consistent. People's stereotypes about older workers were mostly positive, with
terms like "responsible," "hardworking," and "mature" appearing frequently. However, older workers
were concerned that others would think of them as "boring," "stubborn," and "grumpy." Middle-aged
workers had mostly positive stereotypes ("ethical"), and they expected that other age groups would
regard them positively ("energetic").

What Should Managers Do? ↕

What should a manager do if there are no true and lasting differences between people of different ages,
but these stereotyping and meta-stereotyping processes end up creating fictitious generational divides?

To begin, debating stereotypes and meta-stereotypes in public is a good place to start. Combining this
effort with role-playing (role reversal exercises), cooperating (emphasizing the benefits of working with
an age-diverse group), and sharing of stories among age-diverse employees can help people recognize
and possibly call attention to these processes when they creep into the workplace.

Another helpful method is to emphasize shared aims. This allows both older and younger people to
consider themselves as members of the same team working toward a common goal. Indeed, focusing on
commonalities or a common goal can help to diminish "we" vs "them" thoughts and build or maintain a
sense of "we."

Finally, managers would benefit from knowing how their employees' goals, desires, experiences, and
physical capacities evolve over time. These changes can take many different forms. According to the
study, people face different types of work-family conflict at different stages of their lives, from young
adulthood to middle adulthood and late adulthood. At the same time, not every employee in the same
age group will have the same experiences. As a result, managers may keep their industrious and
experienced employees engaged, satisfied, and successfully cooperating with others throughout time by
engaging in an ongoing and open dialogue with them to discuss changing demands.

→Understanding the unique generational differences can become a competitive advantage for
organizations in terms of higher productivity and human performance. Also, the long-term costs related
to loss of talent, higher labor costs, poor customer service, derailed careers, knowledge transfer, and
stress-related issues are enormous. And as HR manager we need to separate the difference between
the myth and the real generation differences.
 - Knowledge of generational characteristics will help employers and HR experts to
better manage their employees.
- The management of human resources must constantly be changed in accordance with the
requirements of different generations of employees to meet their expectations.
- Modern HR professionals must adapt quickly to the values and behavior of incumbent and new
entrees in the organization in order to attract and retain the best talent from the labor market.
- Managers should realize that training is needed for staff of all ages.
- Training modules must meet the different needs and expectations. Furthermore, employees
with long experience have accumulated a lot of knowledge about the work and organization
which should be retained upon their retirement.

Conclusion

The present workplace is made up of a broad group of people, particularly in terms of age and
generational viewpoints. The Baby Boomers, Generation X, and Generation Y generational cohorts are
the most prevalent in the modern workforce. Baby Boomers are a competitive and determined
generation that wants to be recognized for their contributions to the company. Work-related 'perks' or
recognition are used to gain satisfaction. Boomers, for example, value corner offices and designated
parking spaces, as well as financial gain, promotions, and job titles.

Generation Xers prefer to work alone rather than as part of a team since they do not fit in well with the
teamwork approach. Furthermore, Generation Xers have the capacity to manage their time and set their
own limits, and they tend to get their work done without the need for supervision. They are more
concerned with facts than feelings, and they care more about the outcome than the process. Instead of
strictly imposed directions, they prefer flexibility.

Generation Y is flexible to change and technologically reliant. This generation is known for uncovering
new information, questioning their own and others' ideas, and synthesizing massive volumes of data at
breakneck speed.

For example, Because of the large number of baby boomer retirements, HRM will face increased
pressure or work in the hiring process as well as talent management, talent development, and other
areas, such as bringing their employee experience and knowledge in a company together, using
technology in an organization (EHRM), managing employees, managing the working environment, and
hiring, recruiting, and selecting processes. The findings imply that generational variations exist, and that
managers can increase morale and productivity in the workplace by understanding and incorporating
these differences in their molding of beliefs, values, goals, work attitudes, world views, and leadership
attitudes.
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