/ 14 October 2016

Adapting to a new generation

Anthony Dinesh
Anthony Dinesh

One of the biggest trends impacting recruitment and retention strategies is the millennial generation — defined by generation theorists Neil Howe and William Strauss as individuals born between 1982 and 2004, although subsequent commentators have stretched the age range going as far as 1976, and as late as 2004.

While it’s clear that nobody born in 2004 is in the workplace yet, this generation is the one that has grown up in a world filled with electronics, and a world that has pervasive marketing and different forms of communication at every turn. They’re the most ethnically diverse generation, and the most tolerant of difference. With their parents being heavily influenced by changes in parenting philosophy, they’ve been told that they’re special their whole lives – and they believe it – giving them a level of confidence not seen in other generations entering the workplace for the first time.

The millennial generation places a greater emphasis on workplace satisfaction than it does on remuneration, although it could be argued that South African millennials may not conform to this: many are first generation graduates whose extended families depend on them for financial support. Even so, they are less likely to put up with an unpleasant work environment — but once their hard-won loyalty has been won, they’re great employer advocates, speaking freely and positively about their workplace.

Antony Dinesh, regional HR head at Tata Consultancy Services Africa, explains that more than 65% of TCS Africa’s talent is of the millennial generation, and that this is likely true for most employers in the IT and ITeS spaces. “We believe that a capability- and performance-driven environment needs to have a healthy mix of those with curiosity to think beyond normal, and those with knowledge and experience to guide at a project or programme level.”

Millennials currently make up 52% of the Nestlé workforce, outnumbering Baby Boomers and Generation X employees. “Millennials’ career aspirations, attitudes about work, knowledge acquisition and the use of new technologies are very different to those of their predecessors,” notes David Moloto, HR director at Nestlé South Africa.

David Moloto, HR director at Nestlé South Africa

“In addition to their familiarity with technology, we have also noted that they are concerned about the organisations’ involvement in the bigger social development space and our commitments to the environment and our ability to create shared value with stakeholders, including our shareholders, employees, and the communities we operate in. Therefore, they have a genuine interest in knowing what else the company is doing and among others, our bursaries programme for university and TVET students, environmental sustainability strategies and adopting schools to help eradicate poverty, are things that augur well with them,” he added.

“We have also observed that millennials seem to thrive in an environment where their learning is a continuous process paired with constant feedback to aid their development. They also appreciate opportunities to innovate and be creative when they think about solutions,” he explains.

Management style

Furthermore, Moloto notes that Nestlé management has adapted its leadership style to address the fact that millennials are often stifled when managed in rigid hierarchical structures, and have adapted their approach to a more inclusive generational style.

Vodacom has also responded to changing trends in management style, building a culture on the values of speed, simplicity and trust, which it has named The Vodacom Way.

“The Vodacom Way is the antidote to bureaucracy: if something fails this test, we find another solution,” explains Matimba Mbungela, chief human resources officer at Vodacom Group.

The Vodacom Way addresses one of the biggest challenges — the slow pace of decision-making often found in corporates — something that fast-paces millennials struggle with.

The company also encourages open access to its executive committee, and has fostered chat groups that are encouraged to raise, discuss and debate various business related and topical issues, aimed at making decisions simple and better for customer engagement.

TCS Africa aligns to these trends in generational approach by offering cross-domain training, with each of its associates having access to opportunities to learn and work in various skills and technologies.

“It’s important to millennial workers, and to TCS Africa as a business, to stay relevant to the ever changing world of technology,” Dinesh explains. “Our associates have the opportunity to explore careers across the globe.”

Holistic approaches

With millennials placing an emphasis on work-life balance, TCS Africa has found that its most engaged and productive associates are the ones who are happy, and has created various initiatives to bring associates and their families together, to create a broader sense of belonging within the organisation.

Responding to its young employees’ drive to make a difference to the broader society, TCS Africa trains more than 500 underprivileged children in IT each year, with a focus on Diepsloot outside Johannesburg, and Lusikisiki in the Eastern Cape. Employees also volunteer to organise the annual Mandela Day Soccer Cup for under-privileged children from the heart of Johannesburg.

Moloto notes that the millennial workforce at Nestlé has indicated that in addition to competitive remuneration, they seek benefits such as flexible working conditions, technology-enabled work-from-home solutions, access to senior leadership and exposure to international colleagues, as well as accelerated career development opportunities.

“For this reason, we strive to provide a workplace environment that speaks to their needs and those of the different generational counterparts, which include on-site gyms, extensive health programmes and access to a variety of health care professionals such as dieticians, psychologists and physiotherapists,” he says.

Vodacom offers a selection of benefits that include performance bonuses, share scheme participation, recognition, learning and development, as well as focusing on creating a positive working environment.

“We know that different employees have different needs in finding a healthy balance between their professional and personal lives, and allow them sufficient flexibility to achieve work-life balance, while we retain key skills,” Mbungela says. “We also strive to create a culture of recognition to motivate and coach employees with the view to achieving extraordinary performance that is above and beyond what is expected. This not only encourages individual performance, but maximises effective teamwork too.”

International collaboration

Dinesh notes that millennials at TCS Africa also respond well to opportunities for collaboration with their colleagues abroad, noting that global mobility is key in the IT sector.

“Our associates travel across the globe on assignments to explore opportunities and interact with a globally diverse group of colleagues and customers,” he explains. “The success of the organisation thus far has been our model of putting local resources and expatriates under one roof. Not only does this bring people of different cultures together, contributing to cultural diversity, it brings bight minds together to learn and create new technologies.”

The company also responds to millennials’ need for continuous growth by insisting that each associate is expected to attend at least 15 days of learning in each financial year, providing various frameworks within the organisation to meet training needs, and they are measured on the achievement of this goal.

On-boarding and retention

Mbungela explains that Vodacom’s entire talent management process is directed at engaging, developing and retaining key talent, with the company offering a range of growth and development opportunities. However, when they join the company, new recruits are taken through a comprehensive induction programme that includes being assigned a buddy to assist with practicalities and adjusting to the new environment.

Formal training includes leadership development programmes, formal executive coaching, the Harvard senior executive programme, as well as short and long-term international assignments. As part of its commitment to be a truly diverse business, Vodacom also hosts unconscious bias workshops to promote an inclusive culture without bias for race or gender.

Not only does Vodacom South Africa send local employees abroad, it welcomes employees from overseas who have been seconded to the local operation, enabling skills transfer in multiple ways.

Even though TCS Africa, Nestlé and Vodacom have very clear strategies for attracting and retaining top talent for their respective industries, Moloto notes that a challenging business environment, a constrained economy, socio-political challenges and the impact of currency devaluation all present challenges in human capital management.

“HR leaders are required to adapt by aligning their plans to business needs, and the surrounding context creates uncertainty and job insecurity, which in turn drives attrition and impacts employee engagement,” says Moloto.