Thatcher's Innovators

Generation Y is often perceived as arrogant and self-centred, traits not well received in business. The first of ‘Thatcher’s Children’[1] were born just as Margaret Thatcher’s government came into power in 1979. During this Conservative reign, educational and social reforms were introduced, which directly affected the lives of Generation Y.

One such reform was the 1989 Children Act, which focused on the child’s relationship with the government. For the first time in British history the law recognised the child as an independent individual with rights and choices, whose voice would be heard above that of the state[2]. For example, if a social worker was considering removing the child from its parents, the outcome would depend on the wishes of the child, whose opinion was given more weight than that of the social worker.

Another significant policy was the Education Reform or ‘Baker’ Act of 1988, which again aimed to empower the ‘consumers’ of education – the children.[3]

These reforms encouraged children to believe that they were important members of society, whose opinions were to be taken seriously by authority; parents, teachers, and employers alike.
This mindset is arguably connected to Generation Y’s entrepreneurial spirit[4], a fiercely independent mindset, where they believe that their individual ideas can change society. And why not? Einstein discovered E=MC2 when he was 26[5], Frank Whittle invented the jet engine when he was 21[6]. If employers listen to Generation Y – the first generation to be recognised by the law as relevant individuals of society – they have the potential to develop innovations which will reap enormous rewards for business.

[1] Pilcher, J. & Wagg, S. (1996). Thatcher’s Children? Falmer Press, p1.
[2] Winter, K. & Connolly, ‘Keeping it the Family’: Thatcherism & the Children Act 1989, in Pilcher, J. & Wagg, S. (1996). Thatcher’s Children? Falmer Press, Pp29-42
[3] Wagg, S. Politics, Childhood and the New Education Market, in Pilcher, J. & Wagg, S. (1996). Thatcher’s Children? Falmer Press, pp8-28
[4] http://www.grb.uk.com/generation_y.0.html
[5] http://resource.npl.co.uk/docs/educate_explore/posters/bg_einstein_poster.pdf
[6] http://www.encyclopedia.com/doc/1G1-83959095.html

Essential Virtual Time (EVT)

Generations are often defined, and segregated, by new technologies. Baby Boomers were the television generation and it was often thought that the young Boomers watched far too much of it. Generation Y is the internet generation. Don Tapscott in ‘Growing up Digital’ (1999)[1] argues that, unlike their Boomer parents, where television could be watched by all the family, online games and networking sites are almost solely the realm of the young, which has created exclusivity and widened the generation gap.

This is reinforced by numerous media horror stories about the unseen force of the internet, with young people reportedly losing their lives to a fantasy online existence like World of Warcraft (Daily Telegraph, 2008[2]). This can easily instil fear into the hearts of older generations, who do not fully understand the gaming culture and so allow fear-based assumptions to fill in the knowledge gap.

This is why sharing is important.

‘Sharing’ will result in both an explicit and implicit understanding of a subject, and allows both parties to identify with the other via these new mediums, which previously was the cause of fear and misunderstanding.

So, to employers and parents: Encourage your Generation Y to share with you their online world. Invest in some ‘Essential Virtual time’ and allocate a couple of hours being shown the delights of Facebook, Twitter, World of Warcraft and Second Life. Not only is this is a key to building lasting and meaningful relationships with Generation Y; It’s also the future of your business. The ability to harness online distribution channels and to create networks and communities around your business products will be the most powerful tool in the next 20 years for getting feedback, analysis and new product – ultimately staying ahead of your competitors!
[1] Tapscott, D., (1999) Growing up Digital: The Rise of the Net Generation (McGraw-Hill: New York)
[2] http://www.telegraph.co.uk/scienceandtechnology/technology/technologynews/3451069/World-of-Warcraft-release-revives-concern-over-games-addiction.html

Corporate Tribes

Generation Y is inherently a generation of multiple, yet separated, communities – an interlinked set of ‘urban tribes’. They have always been grouped together in large numbers throughout school, and particularly at their universities. Generation Y now has in the region of 40% of its population enroll into higher education (Daily Mail[1]), which marks a significant increase from their parents generation, in which less than 10% of them went to university (Brunel University[2]).

This shift in expectation, combined with the increase in communications technology, and in particular social networking sites, such as Facebook (launched in 2004) and Twitter (launched in 2006) are having a huge impact on the expectations of ‘Community’ for Generation Y – and one which is worth considering for the big corporate giants.

In these online spaces Generation Y can ‘re-group’ their previously physical communities from school, university and even previous places of work. This is a trend and shows that this population exist simultaneously in multiple, and sometimes over-lapping communities, virtually and physically.

Why is this interesting to any big graduate recruiter? When these Generation Y enter business, for the first time in their lives they are separated from being in vast communities of like-minded and aged individuals. Not being in the majority off-line, they may seek solace in their communities online – to keep in touch with friends, share stories and gather opinions.

The Builder and Baby Boomer generations may not have strayed as far from home as the Generation Y entering the workplace today and so the ability to connect is an important daily/ weekly habit that employers would do well to allow. It is a social need. Furthermore, big ‘Blue Chips’ should encourage Generation Y to build new communities internally, physically, inside their companies, so that they ‘find a new home’ and become loyal.

Where their friends are, there their heart is also.

[1] http://www.dailymail.co.uk/news/article-547593/Number-students-going-university-falling-despite-millions-despite-millions-spent-recruitment-drive.html
[2] http://www.brunel.ac.uk/about/history/memories/1960

Temp Generation

One of the recurring complaints we hear about Generation Y revolves around the issue of ‘job-hopping’ as we have said elsewhere on this blog (“Gen Y playing leap-frog”). The Generation Y population seems to find it tough stay in one place for any length of time and it is giving employers a headache, putting a strain on both finances and morale. “It would be really helpful, especially in our line of work [relationship management]... if they could stay for at least five years” says one Investment Bank relationship director.

According to the RBS/ NatWest Student Living Index, the number of university students that also take on part-time employment is up at 42%, of all those in Higher Education. This is a sharp rise over the last few years, where previously there was a downward trend, and has gone up to as many as 750,000 in the UK per annum.[1] Student work also revolves around seasonal contracts (Christmas, Easter, Summer holidays), meaning that the concept of full-time work on a long-term basis may be quite an alien concept to most graduates, when they leave university – they’re not used to it.

This increase in contract work is supported by the expansion of the temporary work industry, which has grown five times more than national employment since 1990,[2] which correlates with the unprecedented numbers of redundancies during the 1990s (also well documented in previous blogs). From a commercial perspective, these two events suggest that many businesses believe it to be cost effective to hire some employees on a temporary basis. From a cultural perspective, however, the diminished idea of a ‘job for life’, plus the increasing availability of temporary work does not encourage a mindset of working for a corporate firm on a long-term basis.

This suggests that Generation Y graduates, rather than being lazy or disloyal, are merely working as they always have, on a short-term basis.

All of this supports the kinds of client requests that we see, who are asking us to build longevity into mindset and career paths of Generation Y inside their own businesses.

[1] http://www.easier.com/view/Finance/Household_Bills/Spending_Habits/article-195278.html
[2] http://www.salary.com/personal/layoutscripts/psnl_articles.asp?tab=psn&cat=cat011&ser=ser032∂=par362

Tech and Consulting major IBM 'booms' in Second Life

IBM, the technology giant (with a turnover of almost $ 100 billion in the year '07-'08) has moved in to Second Life, big-style. Employing increasing amounts of real-life Second Life avatar controllers, from their new hub in India, IBM has recently reported a population 'boom' as they continue to grow the number of staff to service their customers through their online 'Business Centre' that was set up earlier this year (reports the Economic Times): "The business centre offer sales support across the world, allowing customers to visit IBM virtually and see products and solutions in 3D. This is a place for IBM sales people, clients, and partners to meet, learn, collaborate, and conduct business together virtually..." The benefits they say: people no longer have to travel in order to reach IBm - they can just 'log on' - and it reduces consumer costs.
However, the article also says customers still have to sign contracts, pay, and/or exchange 'sensitive information' over the phone or through the web (outisde of Second Life).