Motivating a Multigenerational Workforce: Leadership Styles

Talent management and human resource management personnel have been aware of the commercial value of creating and leveraging an all-encompassing, diverse workforce for several years. Recruitment and employee retention programs have focused on gender, ethnicity, race, and the recruitment and career development of veterans, disabled persons, and others. One can observe increased demands among corporate personnel to include multigenerational diversity in their organizations. Talent and human resource managers must take into account the impacts of multiple generations on the organization while designing their inclusion and diversity programs. Multigenerational workplaces pose unique opportunities and challenges to organizations seeking to leverage the strengths and talents of every generation for benefitting the bottom line of the company (Kordbacheh, Shultz & Olson, 2014).

Modern-day business owners and managers face unique challenges from the presence of multi-generational workers. An inadequate understanding of generational disparities results in workplace conflicts, increases employee turnover, and decreases productivity. More experienced employees may experience frustration when faced with an apparently disinterested younger staff. Meanwhile, relatively new employees may feel disenfranchised by established organizational hierarchies. Furthermore, individuals charged with leading such a broad workforce may experience frustration when attempting to satisfy each employee (Acar, 2014).

The present-day workforce is unquestionably multigenerational, comprising four generations: the Traditionalists, the Baby Boomers, Generation X, and Millennials (also known as Generation Y). These individuals' life experiences have permanently shaped their respective work preferences and values. This unprecedented and swift demographic shift has left many business executives wondering how their firms will adjust to a "4G" workforce.

Problem Statement

From late teens to the age of 70, the modern workforce comprises fresh graduates, parents, and grandparents (Thompson, 2011). The United States reported 53.4% youth unemployment — a post-Second World War high (Lieber, 2010). For enterprises, the general problem is that organizational leaders are hard-pressed to identify an effective leadership style when dealing with all generations of their workforce. The specific problem for businesses is that some executives have little knowledge of how to employ effective tactics for motivating distinct generational cohorts.

Research Question

What style of leadership do leaders of a multigenerational staff adopt in order to motivate employees?

For appreciating individual generational differences, it is imperative that one understands each generation's formative events and the way those events influenced their workplace expectations.

The Traditionalists

Individuals born prior to 1946 are labeled "Traditionalists," the "Greatest Generation," or the "WWII Generation." Modern-day workers of this cohort were mostly too young to participate in the Second World War but report that the war was the single most significant event of their childhood. These individuals grew up in strongly bonded nuclear families, and their upbringing was linked to strictness and discipline. Traditionalists are strongly committed to their families, their nation, and their communities. Their childhood was also marked by the Great Depression of the 1930s, leading them to perceive work as a privilege. Traditionalists possess strong work ethics, translating into experience and stability. Numerous organizations regard them as valued personnel. Other valuable assets that Traditionalists bring to their organizations include dedication, knowledge, perseverance, focus, and loyalty. Owing to their traditional principles and their outlook toward work, they find workplace conflicts unpleasant and tend to avoid voicing disagreement readily (Susaeta, Pin, Idrovo, Espejo & Belizon, 2013).

People of this generation prefer working for directive individuals who provide specific instructions and tackle workplace challenges logically. They also prefer working for respectful managers who are explicit in establishing long-term objectives and job expectations, and who exhibit consistency and fairness. Traditionalists had little exposure to technology in their formative years and thus prefer direct, one-on-one communication. While they constitute a small share of the present-day workforce, working Traditionalists intend to continue working for personal and monetary reasons. Conversely, organizations wish to retain such employees owing to their experience and extensive knowledge, which cannot easily be replaced. Traditionalists might wish to supplement their earnings or may simply not be inclined to withdraw from work entirely; nevertheless, they do seek flexibility in weekly work hours. Organizations should concentrate on face-to-face interviews and respect the experience and age of Traditionalists when recruiting them (Dowd-Higgins, 2013).

Baby Boomers

Until quite recently, this generation dominated the workplace. These individuals were born from 1946 to 1964 (i.e., post-WWII), in large numbers. This generation's formative events include the American civil rights movement, the moon landing, the Vietnam War, John F. Kennedy's assassination, the American feminist movement, and Woodstock. Similar to Traditionalists, this generation possesses a powerful work ethic. However, unlike Traditionalists — who consider work a privilege — Baby Boomers' work ethic is attributed to their interest in acquiring wealth, prestige, and rank. Baby Boomers are competitive, goal- and service-oriented, and highly loyal employees. Furthermore, they work well in teams (Dowd-Higgins, 2013). They dislike conflicts and are typically not budget-minded. They are disinclined to oppose their peers, usually give precedence to process over results, and prefer working for those who seek their consensus, treating them as equals rather than subordinates. Baby Boomers prefer managers with a democratic leadership approach — those who are warm and caring and who work with teams to define their missions.

Though the oldest members of this generation are near retirement age, several are entirely foregoing retirement or, at least, delaying it for personal and financial reasons. Some are even pursuing completely new career paths (Susaeta et al., 2013). In the context of Baby Boomer recruitment and retention, HR personnel must provide phased retirement schemes and flexible work arrangements to encourage this generation to continue providing their valuable services. With a majority of these individuals on the verge of exiting the workforce — leaving companies bereft of valuable experience and knowledge — companies must devise sound retention strategies. Knowledge transfer programs must also be designed to help this generation impart their expertise to next-generation leaders, thereby avoiding an imminent "brain drain."

Generation X

Born between 1965 and 1979, this generation receives less attention compared to the highly populous and widely discussed Baby Boomers and Millennials. Generation X witnessed the energy crisis, the Chernobyl disaster, Watergate, the AIDS epidemic, the Three Mile Island incident, and the fall of the Berlin Wall. This generation was largely exposed to chaos and uncertainty. It also witnessed large numbers of mothers joining the workforce, as well as a surge in divorce rates. The divorce rate reached an all-time high of 40 divorces per 1,000 married women during the 1970s, compared to 15 per 1,000 in the 1950s (Dowd-Higgins, 2013; Brady, 2013). Consequently, many Generation X individuals experienced early independence and were trained to survive and succeed in the face of change. Their defining attributes include adaptability, independence, resilience, and flexibility (Dowd-Higgins, 2013).

This generation has considerable technical proficiency, having witnessed the advent of the Internet. They tend to be skeptical about authority. They prefer honest, open, and laid-back leaders, and desire continuous training and opportunities for development, including lateral opportunities. Because their entry into the workforce coincided with an economic recession, a Generation X worker is typically results-oriented and prefers flexibility in work methods (Brady, 2013). For recruiting and retaining these individuals, talent and HR managers should allow autonomous work, set explicit and measurable goals, and provide flexibility. A 2013 study found that members of the preceding and succeeding generations consider Generation X individuals the most effective when it comes to team building and revenue generation (Brady, 2013). Additionally, Generation X workers are perceived as least prone to being cynical, patronizing, or difficult to work alongside. The research further found that this generation tends to display greater flexibility, more inclusiveness, and stronger vision and communication skills compared to Millennials (Brady, 2013).

Moreover, Generation X prefers a balance between their professional and personal lives and does not mind working less to attain this balance — a preference that has led some to label members of this generation "slackers." Generation X workers are also sometimes accused of cynicism and distrustfulness (Alsop, 2013). Talent and HR management personnel seeking to hire and retain Generation X workers must take into consideration their preference for job-related flexibility. Generation X values continuous learning and yearns to acquire new experiences and skills. This desire may be satisfied by offering horizontal and vertical challenges and opportunities within the company. Given their entrepreneurial and independent nature, organizations must provide Generation X workers with a fair degree of vertical mobility and freedom to keep them engaged.

Millennials / Generation Y

Approximately 80 million individuals were born between 1980 and 2000; by the year 2020, this generation was projected to make up 46% of the American workforce (Kratz, 2013). Millennials were shaped by events such as the Oklahoma City bombing, the Enron scandal, the Columbine shootings, Hurricane Katrina, and the September 11 attacks. While these events indelibly affected this generation, nothing was more influential in defining Generation Y than the World Wide Web and the Internet, which opened an entirely new universe of opportunities. Millennials are considered digital natives, having had round-the-clock Internet access from childhood. This shaped their ways of solving problems, seeking information, and interacting with other people (Valcour, 2013). Their technological fluency, along with its impact on interpersonal interactions and expectations around information flow, may be the root cause of work-related conflicts between Baby Boomers and Millennials. Baby Boomers are accustomed to workplace hierarchies in which information flow was strictly constrained and personal relationships were the key to advancement on the organizational ladder.

Millennials are characterized by the following traits: they expect ready access to information; communicate via text messages; and reject organizational hierarchy and the conventional top-down channel of communication (Valcour, 2013). This generation also represents the greatest level of diversity and will serve to redefine workplace diversity. According to a Pew Research Center analysis, Whites account for 59.8% of Generation Y individuals — the lowest proportion ever recorded — while Hispanics account for 18.5%, Blacks for 14.2%, Asians for 4.3%, and other races for 3.2% (Pew Research Center, n.d.). However, ethnicity and race are not the only factors contributing to this generation's diversity. The home lives of Generation Y members vary greatly from those of predecessors. Many grew up in blended families, same-sex households, and single-parent homes.

Unlike previous generations, Generation Y is characterized by close parental supervision. Every aspect of their upbringing was carefully scheduled, and Millennial parents are known as the strongest advocates for their children. Consequently, Millennials tend to trust authority more than the prior generation. They participated in team sports in which every individual received recognition regardless of placement, which molded them into achievement- and goal-oriented individuals who place great value on corporate and social responsibility. Millennials are strong team players, technologically savvy, and optimistic by nature. They desire constant praise and feedback — a product of close parental supervision and the instant gratification offered by technology (Valcour, 2013).

Furthermore, Generation Y represents the most socially aware of all generations. Members value and seek meaningful work through which they feel they belong to the organization and its mission. They attach more importance to helping others than to receiving a large paycheck. A fundamental expectation of this generation is a balance between personal and professional life; they expect enough flexibility to work where and when they choose (Dowd-Higgins, 2013). They also tend to change jobs frequently, seeking fresh opportunities for individual growth and unique employment terms. Many of their values are shared with other generations — including social responsibility, corporate responsibility, the need for appreciation, flexibility, and the drive to make a difference. However, compared to prior generations, Generation Y workers are more likely to communicate to their employers exactly what they value, and they are unafraid to change their job or career if they are unhappy (Valcour, 2013). They prefer working for individuals who adopt an educational leadership approach and invest time in understanding both their professional and personal goals. Millennials appreciate bosses who motivate and coach them, show optimism, provide structure, and are collaborative and achievement-oriented. They are skeptical of bureaucracy and heavily reliant on social groups. Consequently, talent and HR managers must attract Millennials who will constitute the organization's future leadership. To ensure engagement of Millennial workers, companies should provide them with meaningful work and clear insight into how their contributions advance the overall corporate mission. Lastly, Millennials seek opportunities to give back through philanthropic and volunteer activities.

Workplace success cannot be guaranteed by bookish knowledge alone, a high educational degree, or years of experience. Companies and their achievement-oriented executives require a high level of emotional intelligence (EQ) in order to succeed. EQ refers to the ability to identify and manage the emotions of oneself and others, and it is as important as intellectual ability (IQ). Generational difference in workplaces is not an entirely new concept. However, the significance of these disparities presents never-before-seen challenges to businesses across the globe. Modern-day multigenerational workplaces require organizations to understand and appreciate diversity in order to benefit from it. Every generation desires respect and recognition (Akduman, Hatipoglu & Yuksekbilgili, 2015). Of late, significant changes are occurring in workforce composition, and companies are constantly seeking to maintain motivation. Emotional intelligence is highly significant in multigenerational work settings because it boosts workforce productivity, job satisfaction, leader proficiency, and workforce happiness. It also forges mutual employer-employee relationships that bring personnel commitment to their firm (Njoroge & Yazdanifard, 2014, p. 34).

In addition to comprising four to five generations, the modern workplace is increasingly multilingual and multiethnic, with disparities in religion, gender, principles, and personalities. The latest generational shifts are associated with certain fundamental transformations. In earlier generational transitions, new employees would normally adapt their personal behavior and expectations to workplace realities. Today, however, a new generation of workers expects their company to adapt to their expectations, for better or for worse. EQ enhances managers' ability to understand their subordinates' behavior and to motivate peers with different values, enabling them to find common ground for building an efficient and cohesive team (Akduman et al., 2015; Mortana, Ripolla, Carvalho & Bernal, 2014).

In particular, Baby Boomers and Millennials — the largest cohorts of the present-day workforce — differ considerably in their self-management abilities. Growing up with video games and the instantaneous gratification of internet-related needs has, apparently, caused Millennials to lag in self-management. Growing up under the care of attentive parents has also made this generation of new workers prone to self-indulgence; they tend to express a wide range of emotions when faced with tense situations. Nevertheless, a closer examination reveals another explanation: within the same generation, older members exhibit better EQ than younger members, despite sharing the same generational influences. Self-management ability improves with age; maturity and experience help individuals regulate their emotions more effectively (Akduman et al., 2015).

EQ encompasses the ability to perceive emotions, assimilate emotion-related feelings, understand emotional information, and manage emotions effectively. Every generation was raised in a unique era and instilled with different principles. Managing the generational gap is particularly challenging when all workers are viewed through the lens of one's own generation (Akduman et al., 2015). Individuals from other generations, backgrounds, genders, cultures, and levels of management seniority possess different ideas, values, and ways of communicating. Among the greatest management challenges is getting Generation X and Millennials to work effectively together. Given workplace generational differences, executives need a clear understanding of how to relate to the different generations in their workforce. Research aimed at defining concrete intergenerational differences is therefore crucial in meeting this challenge. Studies to date have concluded that there is no significant difference in EQ between Generation X and Generation Y. Every generation displays different dispositions and values; however, EQ remains largely independent of generational membership. It is a common variable that should be assessed independent of generational cohort in any work setting (Mortana et al., 2014).

Whereas Baby Boomers might expect a direct meeting or telephone call when it comes to important matters, younger employees will likely prefer a virtual mode to solve problems. Furthermore, disagreements may arise concerning management style. Millennials, unlike prior generations accustomed to annual or biannual performance appraisals, are used to receiving immediate feedback and praise from parents, mentors, and teachers, and may feel lost or resentful if they fail to receive prompt, supportive communication from their superiors. One study revealed that over 70% of senior employees appeared to dismiss the abilities of their younger colleagues (Anitha, 2014). Similarly, about 50% of organizations admitted that younger workers dismissed their older colleagues' workplace abilities (Anitha, 2014). Generation X and Millennial workers consider the conventional "command and control" leadership style to be obsolete. This one-way, top-down leadership approach — derived from military leadership models — does not work in the modern business setting. Current young leaders are more inclined to act first and assess or amend decisions later. Their argument is that an effective leader allows experimentation in today's fast-paced environment (Acar, 2014; Anitha, 2014).

What Leaders Can Do

Managers ought to recognize and acknowledge generational value differences in order to avoid misunderstandings and enhance team effectiveness. The different generations should try to learn from one another, as this creates a range of perspectives while leveraging experience, improving team functioning, fostering innovation, and diversifying the company's client base. While not all workers will conform to all the values or characteristics associated with their generation, understanding that all generations possess distinct styles will facilitate change, team building, increased innovation and productivity, and will — importantly — aid leaders in successful staff management. For instance, all generations have their own communication style, feedback needs, perspectives, and values (Anitha, 2014). Similarly, all generations have distinct expectations regarding career advancement, work-life balance, and other values that influence workplace behavior. Intergenerational conflicts typically arise when differences exist in engagement perceptions and communication styles. Management must bridge these gaps — whether real or perceived — using all available experience and techniques, and above all, through highly effective communication.

Communication Differences

Silent Generation: Written communication is considered more effective and inclusive.

Baby Boomers: More informal, open, and direct communication. Staff meetings and group information-processing allowing discussion are valued. Preference is given to direct or telephone communication, though email is also used.

Generation X: Drawn to technology-mediated communication. A bottom-line communication approach is preferred. This generation may become disengaged in meetings where considerable discussion precedes decisions.

Generation Y: Expects instantaneous feedback. May express frustration when prompt responses to emails, text messages, and other communications are not received. Enjoys teamwork but reads less, meaning lengthy procedures and policy documents may be ineffective. The most effective means of reaching this generation is via chat platforms and email (Lavigna, 2015; Anitha, 2014; Acar, 2014).

Notably, Generation X — now the key cluster in the consumer market and influential arbiters of family, community, and parenting philosophy — is assuming leadership positions in numerous corporations as Baby Boomers step down, retire, or leave. Millennials await the Boomers' impending exit in order to access the freed-up top positions (Lavigna, 2015).

Every employee craves recognition, feedback, and access to adequate resources for performing their job. It is vital to maintain flexibility in organizational communication styles in order to create an environment in which the workforce can operate at its highest capability. Every individual must first be recognized as a unique person and feel that the company values them for their individual contribution — which represents one of the key opportunities in a multigenerational organization. With the wide variety of differing perspectives that such a workforce brings, companies have no excuse for being unable to bring the right product or service to market, retain top-level staff, or deliver superior-quality service. A widely adopted approach is emphasizing shared goals and common ground at the organizational level, while also acknowledging every employee's individual contribution. Positive top-level management examples and awareness training are beneficial, as is placing a generational mix in teams; evidence suggests that, for longer-term projects, heterogeneous groups achieve better results than homogeneous ones (Dowd-Higgins, 2013).

The fundamental steps toward effective leadership are accepting and embracing generational disparities. Improving employee performance levels and motivation in multigenerational workplaces first requires an evaluation of the workforce population. Subsequently, managers should endeavor to sustain a workplace climate that supports this diverse population. Maximizing relationships among the different generations will lead to development of a culture necessary for the highest levels of employee motivation and engagement. No single leadership style will work universally in multigenerational workplaces. Adaptability — the ability to alter and customize communications to suit the behavioral differences and learning styles of team members — is one key leadership characteristic. Because Traditionalists, Baby Boomers, Generation X, and Millennials possess distinctive traits, leadership must satisfy each of the four generations' individual needs (Acar, 2014).

Preliminary ideas for leading a multigenerational work setting and preventing intergenerational disputes include promoting self-identification among staff members and offering multigenerational training. Acknowledging generational differences enables a better appreciation of the attributes, experiences, and values that influence motivation, ideology, and work ethic across the four generations. Developing creative, innovative solutions will enable organizational executives to improve personnel engagement and motivation by addressing the value-based requirements of each generational cohort (Fachrunnisa, Adhiatma & Mutamimah, 2014).