John Martin – Winning the War for TalentPSU ISBM Members Meeting
September 2019
© SIR’s Institute for Tomorrow. All Rights Reserved. 1
John W. Martin
WINNING THE WAR FOR
TALENT
SIR is a 55-year-old STRATEGIC CONSULTANCY.
WHO WE ARE
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John Martin – Winning the War for TalentPSU ISBM Members Meeting
September 2019
© SIR’s Institute for Tomorrow. All Rights Reserved. 2
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Understanding TODAYPRIMARY RESEARCH
+ Understanding TOMORROW
TRENDS RESEARCH
Strategy. Insights. Results.
EQUIP LEADERS TODAY
TO WIN TOMORROW
What It Will Take To Win The War
Winning The War For Workers
A New Lens On Understanding Talent3
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1 Why Are We Fighting For Talent?
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5
10 Traits of Winning Workplaces
Group Discussion
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John Martin – Winning the War for TalentPSU ISBM Members Meeting
September 2019
© SIR’s Institute for Tomorrow. All Rights Reserved. 3
What It Will Take To Win The War
Winning The War For Workers
A New Lens On Understanding Talent3
2
1 Why Are We Fighting For Talent?
4
5
10 Traits of Winning Workplaces
Group Discussion
TALENT IS THE GATING FACTOR FOR SUCCESS
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John Martin – Winning the War for TalentPSU ISBM Members Meeting
September 2019
© SIR’s Institute for Tomorrow. All Rights Reserved. 4
U.S. UNEMPLOYMENT RATE
2014 2016 20184%
5%
6%
7%
8%
9%
5.0% is considered “Full Employment”
Source: BLS
WHY AREN’T THERE ENOUGH WORKERS?
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John Martin – Winning the War for TalentPSU ISBM Members Meeting
September 2019
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POPULATION SHIFT
1
U.S POPULATION
330Million
Source: U. S. Census Reports
2020
359Million
2030
379Million
2040
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John Martin – Winning the War for TalentPSU ISBM Members Meeting
September 2019
© SIR’s Institute for Tomorrow. All Rights Reserved. 6
We are slowing down!
AGE SHIFT
2
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John Martin – Winning the War for TalentPSU ISBM Members Meeting
September 2019
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79
55
Longevity Revolution
2.0
3.7
2.2
Source: Population Reference Bureau. http://www.prb.org/publications/datasheets/2012/world-population-data-sheet/fact-sheet-us-population.aspx
Baby boom
Great Recession1970s energy
crisis
Shifting birth ratesTotal fertility rate
Today
2.1
2019
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John Martin – Winning the War for TalentPSU ISBM Members Meeting
September 2019
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1946–1964 1965–1981 1982–2001
30,000,000
70,000,00075,000,000 80,000,000
Silent Boomer Gen X Millennial Gen Z
2001–2016
60,000,000
Five generations alive today
1929–1945
The Population Age Pyramid
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John Martin – Winning the War for TalentPSU ISBM Members Meeting
September 2019
© SIR’s Institute for Tomorrow. All Rights Reserved. 9
Source: U.S. Census Bureau
Source: U.S. Census Bureau
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John Martin – Winning the War for TalentPSU ISBM Members Meeting
September 2019
© SIR’s Institute for Tomorrow. All Rights Reserved. 10
1960 vs. 2030
Source: U.S. Census Bureau
FEWERFEWER MOREMORE
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September 2019
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WORKER SHIFT
3
24.0 24.0
81.3 79.0
43.7 56.2
2006 2016
COMING OFF A DECADE OF DECLINE IN 16-54 WORKERSLabor Participation (in millions)
149.0159.2
Source: SIR Analysis of Bureau of Labor Statistics Dec 2017 Labor Force Projections: https://www.bls.gov/opub/mlr/2017/article/projections-overview-and-highlights-2016-26.htm
% Change:
+6.8%
+28.6%
-2.8%105.3 103.0
25-54
16-24
-2.2%
0.0%
55+
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John Martin – Winning the War for TalentPSU ISBM Members Meeting
September 2019
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24.0 23.1
79.0 80.4
56.266.2
2016 2026
PROJECTIONS TO 2026 SHOW LITTLE CHANGES AHEADLabor Participation (in millions)
159.2166.7
Source: SIR Analysis of Bureau of Labor Statistics Dec 2017 Labor Force Projections: https://www.bls.gov/opub/mlr/2017/article/projections-overview-and-highlights-2016-26.htm
% Change:
+4.7%
+17.8%
+1.2%103.0 103.5
55+
16-24
+0.4%
-3.8%
25-54
ABUNDANCE
OLDER ADULTS
SHORTAGE
YOUNGER ADULTS
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John Martin – Winning the War for TalentPSU ISBM Members Meeting
September 2019
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By 2030, the total U.S. population
will expand by 9%
The U.S. working-age population
will only grow less than 5%
Source: US Census Bureau
WORKPLACESHIFT
4
25
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John Martin – Winning the War for TalentPSU ISBM Members Meeting
September 2019
© SIR’s Institute for Tomorrow. All Rights Reserved. 14
The GIG Economy by the numbers
55 80
34% 1of3
million millionUS workers are 1099
projected by 2020
of the workforce has a second job
Millennials freelance
https://www.upwork.com/i/freelancing-in-america/2016/
Work no longer TIED TO PLACE
50%By 2030 – Percent of U.S. Workforce Will Be
Distributed
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John Martin – Winning the War for TalentPSU ISBM Members Meeting
September 2019
© SIR’s Institute for Tomorrow. All Rights Reserved. 15
What Does This All Mean?
Shortage of US workers Over Next 10 Years
Source: Fundstrat Global Advisors
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John Martin – Winning the War for TalentPSU ISBM Members Meeting
September 2019
© SIR’s Institute for Tomorrow. All Rights Reserved. 16
Companies are now preparing for
this future
Cities are now preparing for this future:
Buying Residents or Improving Place To Attract Them
SIR Institute for Tomorrow
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John Martin – Winning the War for TalentPSU ISBM Members Meeting
September 2019
© SIR’s Institute for Tomorrow. All Rights Reserved. 17
For your company to attract the BEST TALENT,
you will have to be a MORE ATTRACTIVE PLACE
than other companies.
What It Will Take To Win The War
Winning The War For Workers
A New Lens On Understanding Talent3
2
1 Why Are We Fighting For Talent?
4
5
10 Traits of Winning Workplaces
Group Discussion
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John Martin – Winning the War for TalentPSU ISBM Members Meeting
September 2019
© SIR’s Institute for Tomorrow. All Rights Reserved. 18
MILLENNIALS are shaping
CULTURE & SOCIETY
16 34
MILLENNIALS Median age:
25
20 30 50 70
IT’S BECOMING THEIR WORLD NOW…
10 40 60 80
35 52
GEN XMedian age:
44
53 71
84,000,00074,000,000 74,000,000
TODAY:
21 65
US Census
BOOMERSMedian age:
62
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John Martin – Winning the War for TalentPSU ISBM Members Meeting
September 2019
© SIR’s Institute for Tomorrow. All Rights Reserved. 19
24 42
MILLENNIALS Median age:
33
20 30 50 70
THEY WILL DOMINATE IN 2025…
10 40 60 80
43 60
GEN XMedian age:
52
61 79
87,000,000
69,000,000 70,000,0002025:
21 65
US Census
BOOMERSMedian age:
70
THE CHANGING WORKPLACE
Gen XMillennials
Boomers
15%
46%30%
Gen Z
9%
Gen X
MillennialsBoomers
32%32%
33%
Silent<2%
Workforce Ages 20-74. Source: Bureau of Labor Statistics , WSJ. http://on.wsj.com/1tv0n1O
TODAY: 2025:
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John Martin – Winning the War for TalentPSU ISBM Members Meeting
September 2019
© SIR’s Institute for Tomorrow. All Rights Reserved. 20
MILLENNIALS BRING THEIR
VIEW OF A MODERN CULTURE
INTO THE WORK PLACE EVERYDAY
Workers of all ages want a WORK CULTURE
aligned with MODERN CULTURE
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John Martin – Winning the War for TalentPSU ISBM Members Meeting
September 2019
© SIR’s Institute for Tomorrow. All Rights Reserved. 21
IS YOUR WORK CULTURE
WITHMODERN CULTURE
ALIGNED
What It Will Take To Win The War
Winning The War For Workers
A New Lens On Understanding Talent3
2
1 Why Are We Fighting For Talent?
4
5
10 Traits of Winning Workplaces
Group Discussion
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John Martin – Winning the War for TalentPSU ISBM Members Meeting
September 2019
© SIR’s Institute for Tomorrow. All Rights Reserved. 22
Generational Mindsets:
OUTLOOK
WORK ETHIC
VIEW OF MONEY
VIEW OF LEADERSHIP
MEDIUM
Optimistic
Driven
Spenders
Pay your dues
Work is Life
TV
Self-centered
Skeptical
Free Agent
Debtors
Competence
Work to Live
Computer
Self-reliant
Confident
Goals
Savers
Egalitarian
Integrated
Mobile
Collective SelfORIENTATION
BOOMERS GEN X MILLENNIALS
WORK/LIFE BALANCE
© 2017 SIR’s Institute for TomorrowSM. All rights reserved.
Americans come in all shapes and sizes, races and religions, education levels and income brackets. Each of those attributes has an influence on how people view the world. But the most profound indicators are generational.
Members of the same generation, by definition, have shared many of the same formative experiences that set them apart from other generations. Did they live through times of war, or times of peace? Did they come of age in an era of prosperity and rising expectations, or a period of economic turmoil and broken dreams? Were their families large or small? Were the heads of most households a mom and dad, or did most have some combination?
Did the dominant media in a generation’s childhood consist of network television, Cable TV, or YouTube and Facebook? Did their cultural icons include the Rolling Stones, grunge, hip hop, or Grace Vanderwaal?
While coming-of-age experiences make each generation distinct, so does a generation’s stage in its life cycle. Since the dawn of time, every generation has traveled the same path of youth, young adult, midlife and old age. Each stage is associated with predictable priorities. Youths are concerned about establishing themselves in the world. At midlife, they reach the peak of their earning power and status. Old age brings less interest in material items.
The interaction of generational and lifecycle influences is complex — and the story for a given generation won’t be fully written until the last member leaves. This primer gives you a starting point for better understanding Boomers, Gen Xers, Millennials and the next generation on the horizon, the yet unnamed Generation “Z.”
Protective
Self-taught
Frugal
Pluralistic
TBD
VR?
Self-aware
GENERATION “Z”
Generational Mindsets:
OUTLOOK
WORK ETHIC
VIEW OF MONEY
VIEW OF LEADERSHIP
MEDIUM
Optimistic
Driven
Spenders
Pay your dues
Work is Life
TV
Self-centered
Skeptical
Free Agent
Debtors
Competence
Work to Live
Computer
Self-reliant
Confident
Goals
Savers
Egalitarian
Integrated
Mobile
Collective SelfORIENTATION
BOOMERS GEN X MILLENNIALS
WORK/LIFE BALANCE
© 2017 SIR’s Institute for TomorrowSM. All rights reserved.
Americans come in all shapes and sizes, races and religions, education levels and income brackets. Each of those attributes has an influence on how people view the world. But the most profound indicators are generational.
Members of the same generation, by definition, have shared many of the same formative experiences that set them apart from other generations. Did they live through times of war, or times of peace? Did they come of age in an era of prosperity and rising expectations, or a period of economic turmoil and broken dreams? Were their families large or small? Were the heads of most households a mom and dad, or did most have some combination?
Did the dominant media in a generation’s childhood consist of network television, Cable TV, or YouTube and Facebook? Did their cultural icons include the Rolling Stones, grunge, hip hop, or Grace Vanderwaal?
While coming-of-age experiences make each generation distinct, so does a generation’s stage in its life cycle. Since the dawn of time, every generation has traveled the same path of youth, young adult, midlife and old age. Each stage is associated with predictable priorities. Youths are concerned about establishing themselves in the world. At midlife, they reach the peak of their earning power and status. Old age brings less interest in material items.
The interaction of generational and lifecycle influences is complex — and the story for a given generation won’t be fully written until the last member leaves. This primer gives you a starting point for better understanding Boomers, Gen Xers, Millennials and the next generation on the horizon, the yet unnamed Generation “Z.”
Protective
Self-taught
Frugal
Pluralistic
TBD
VR?
Self-aware
GENERATION “Z”
WHYIS EACH
GENERATIONUNIQUE?
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John Martin – Winning the War for TalentPSU ISBM Members Meeting
September 2019
© SIR’s Institute for Tomorrow. All Rights Reserved. 23
THREE INTER-RELATED FACTORS:
AGE: “With age comes wisdom”
PERIOD: “It’s different today”
COHORT: “The generation gap”
1
2
3
Age: Birth-25 25-50 50-75 75+
SPRING SUMMER AUTUMN WINTER
YOUTH YOUNG ADULT MIDLIFE OLD AGE
1. YOUR AGE AFFECTS YOUR VIEWS
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John Martin – Winning the War for TalentPSU ISBM Members Meeting
September 2019
© SIR’s Institute for Tomorrow. All Rights Reserved. 24
Age: Birth-25 25-50 50-75 75+
MILLENNIALS GEN XERS BOOMERS SILENT
YOUTH YOUNG ADULT MIDLIFE OLD AGE
1. YOUR AGE AFFECTS YOUR VIEWS
1970’s TODAY
Available everywhere instantlyBroadcast live daily at 6:30pm
2. TIME PERIOD AFFECTS YOUR VIEWS
The News:
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John Martin – Winning the War for TalentPSU ISBM Members Meeting
September 2019
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1960 1970 1980 1990 2000 2010 TODAY
TIME & TECHNOLOGY CHANGED PREFERENCES, NOT AGE
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September 2019
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3. GENERATIONAL COHORT AFFECTS VIEWS
NOT “WHO YOU ARE,” BUT…
WHAT “IMPRINTED” YOU WHEN YOU CAME OF AGE
GENERATIONAL VALUES
DEFINING EVENTS
WHO WE ARE
CULTURE’S IMPACT
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John Martin – Winning the War for TalentPSU ISBM Members Meeting
September 2019
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BOOMERS1946-64
55 to 73 years old
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SILENT BOOMER GEN X MILLENNIAL GEN “Z”
Late 1920s to mid ‘40s Late ‘50s to mid ‘70s Late ‘70s to mid ‘90s Late ‘90s to mid 2010s Now to mid ‘30s
GENERATION and FORMATIVE “WONDER YEARS”:
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John Martin – Winning the War for TalentPSU ISBM Members Meeting
September 2019
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INFLUENCES THAT DEFINE BOOMERS
WOMEN’S LIB SPACE RACE CIVIL RIGHTS
BIRTH OF TV VIETNAM WAR GROWTH OF SUBURBIAROCK ’N ROLL
GENERATIONAL VALUES:
ARCHTYPE:
BOOMERS:
Personal GratificationEntitlementControlWork EthicNo to Status QuoOptimism
DrivenTransformational
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John Martin – Winning the War for TalentPSU ISBM Members Meeting
September 2019
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GEN X1965-82
37-54
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SILENT BOOMER GEN X MILLENNIAL GEN “Z”
Late 1920s to mid ‘40s Late ‘50s to mid ‘70s Late ‘70s to mid ‘90s Late ‘90s to mid 2010s Now to mid ‘30s
GENERATION and FORMATIVE “WONDER YEARS”:
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John Martin – Winning the War for TalentPSU ISBM Members Meeting
September 2019
© SIR’s Institute for Tomorrow. All Rights Reserved. 30
INFLUENCES THAT DEFINE GEN X
CABLE TV PCs and MACs END OF COLD WAR
SINGLE PARENTS LATCHKEY KIDS CHALLENGER DISASTER
REAGAN
GENERATIONAL VALUES:
ARCHTYPE:
GENERATION X:
TechnosavvyThink GloballySelf-relianceDiversityPragmatic
SkepticalIndependentTask-driven
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John Martin – Winning the War for TalentPSU ISBM Members Meeting
September 2019
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MILLENNIALS1983-2001
18-36
62
SILENT BOOMER GEN X MILLENNIAL GEN “Z”
Late 1920s to mid ‘40s Late ‘50s to mid ‘70s Late ‘70s to mid ‘90s Late ‘90s to mid 2010s Now to mid ‘30s
GENERATION and FORMATIVE “WONDER YEARS”:
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John Martin – Winning the War for TalentPSU ISBM Members Meeting
September 2019
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INFLUENCES THAT DEFINE MILLENNIALS
COLUMBINE DIVERSITYTECH++
PARENTINGCLINTON/BUSH9/11
SOCIAL MEDIA
WARSRECESSION
GENERATIONAL VALUES:
ARCHTYPE:
MILLENNIALS:
Confidence plusCivic dutyAchievementHyper connectedMulti-tasking Fearless
Co-dependentPurposefulAmbitious
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John Martin – Winning the War for TalentPSU ISBM Members Meeting
September 2019
© SIR’s Institute for Tomorrow. All Rights Reserved. 33
HOW THEY WERE RAISED
HOW THEY ARE WIRED
1 2
GENERATION “Z”
2002-2020?Born today to 17
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John Martin – Winning the War for TalentPSU ISBM Members Meeting
September 2019
© SIR’s Institute for Tomorrow. All Rights Reserved. 34
ONDEMANDEVERYTHING
INFLUENCES THAT ARE DEFINING GEN Z
GENDER? ISIS THREATSOCIAL UNREST
DRIVERLESSROUTINE TERRORMODERN FAMILIES
SELF-LEARN
TRUMP CONTROL
GENERATIONAL VALUES:
ARCHTYPE:
GEN Z (also known as “Kids”):
Safety and securityFrugal and savvySelf-educateCo-createInclusive
PluralisticResourcefulPragmatic
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September 2019
© SIR’s Institute for Tomorrow. All Rights Reserved. 35
What It Will Take To Win The War
Winning The War For Workers
A New Lens On Understanding Talent3
2
1 Why Are We Fighting For Talent?
4
5
10 Traits of Winning Workplaces
Group Discussion
WINNING WORKPLACESOF TODAY
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John Martin – Winning the War for TalentPSU ISBM Members Meeting
September 2019
© SIR’s Institute for Tomorrow. All Rights Reserved. 36
10 KEY TRAITS OF WINNING WORKPLACES
1. PURPOSEFUL
2. STORY-ORIENTED
3. DIVERSE & INCLUSIVE
4. AGE & GENDER-NEUTRAL
5. COLLABORATIVE
6. CREATIVE
7. FLEXIBLE
8. OPEN & TRANSPARENT
9. LEARNING & SUPPORTIVE
10. SAFE & TRUSTWORTHY
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September 2019
© SIR’s Institute for Tomorrow. All Rights Reserved. 37
PURPOSEFUL
1
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September 2019
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Winning workplaces of today realize their workers want to make a
difference. They promote their:
PURPOSE
INSIGHT
STORY-ORIENTED
2
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John Martin – Winning the War for TalentPSU ISBM Members Meeting
September 2019
© SIR’s Institute for Tomorrow. All Rights Reserved. 39
Winning workplaces of today enable workers to
KNOW, CULTIVATE, TEACH, AND SHARE
THEIR STORY
INSIGHT
DIVERSE & INCLUSIVE
3
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John Martin – Winning the War for TalentPSU ISBM Members Meeting
September 2019
© SIR’s Institute for Tomorrow. All Rights Reserved. 40
Winning workplaces of today Know how to show their
DIVERSITY
INSIGHT
Winning workplaces of today know how to
INCLUDEEVERYONE
INSIGHT
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John Martin – Winning the War for TalentPSU ISBM Members Meeting
September 2019
© SIR’s Institute for Tomorrow. All Rights Reserved. 41
Winning workplaces of today view DE&I as a
STRATEGIC ADVANTAGE
INSIGHT
AGE & GENDER-NEUTRAL
4
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John Martin – Winning the War for TalentPSU ISBM Members Meeting
September 2019
© SIR’s Institute for Tomorrow. All Rights Reserved. 42
Winning workplaces of todayaccommodate an
AGELESS WORKFORCE
INSIGHT
Winning workplaces of today build in
GENERATIONAL TRAINING
INSIGHT
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John Martin – Winning the War for TalentPSU ISBM Members Meeting
September 2019
© SIR’s Institute for Tomorrow. All Rights Reserved. 43
Winning workplaces oftoday strive for a
GENDER-NEUTRAL LEADERSHIP & WORKFORCE
INSIGHT
COLLABORATIVE
5
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September 2019
© SIR’s Institute for Tomorrow. All Rights Reserved. 44
Winning workplaces of todayare hyper-collaborative
DEMOCRACIES
INSIGHT
Winning workplaces of todaywalk the walk, build in
TEAMWORKas an expectation
(a shared value) and provide COLLABORATION TOOLS
INSIGHT
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September 2019
© SIR’s Institute for Tomorrow. All Rights Reserved. 45
CREATIVE
6
Winning workplaces of today cultivate everyone’s
CREATIVE & ENTREPRENEURIAL
SPIRIT
INSIGHT
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September 2019
© SIR’s Institute for Tomorrow. All Rights Reserved. 46
FLEXIBLE
7
Winning workplaces of today understand
LIFE & WORK ARE INTEGRATED
INSIGHT
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September 2019
© SIR’s Institute for Tomorrow. All Rights Reserved. 47
Winning workplaces of today ADJUST EXPECTATIONS
to fit different people and have CUSTOMIZED POLICIES
INSIGHT
OPEN & TRANSPARENT
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September 2019
© SIR’s Institute for Tomorrow. All Rights Reserved. 48
Winning workplaces of today realize they must be
OPEN & TRANSPARENT
INSIGHT
Winning workplaces of today realize they must be
ACCEPTING
INSIGHT
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September 2019
© SIR’s Institute for Tomorrow. All Rights Reserved. 49
LEARNING & SUPPORTIVE
9
Winning workplaces of today operate work environments that are
LEARNING & SUPPORTIVE
INSIGHT
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September 2019
© SIR’s Institute for Tomorrow. All Rights Reserved. 50
SAFE &TRUSTWORTHY
10
Winning workplaces of today are
SAFE PLACE & TRUSTWORTHY
INSIGHT
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September 2019
© SIR’s Institute for Tomorrow. All Rights Reserved. 51
10 KEY TRAITS OF WINNING WORKPLACES
1. PURPOSEFUL
2. STORY-ORIENTED
3. DIVERSE & INCLUSIVE
4. AGE & GENDER-NEUTRAL
5. COLLABORATIVE
6. CREATIVE
7. FLEXIBLE
8. OPEN & TRANSPARENT
9. LEARNING & SUPPORTIVE
10. SAFE & TRUSTWORTHY
10 KEY TRAITS OF WINNING WORKPLACES
1. PURPOSEFUL
2. STORY-ORIENTED
3. DIVERSE & INCLUSIVE
4. AGE & GENDER-NEUTRAL
5. COLLABORATIVE
6. CREATIVE
7. FLEXIBLE
8. OPEN & TRANSPARENT
9. LEARNING & SUPPORTIVE
10. SAFE & TRUSTWORTHY
The Ultimate Goal?
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© SIR’s Institute for Tomorrow. All Rights Reserved. 52
MANYGENERATIONS
ONETEAM
Changing work culture requires you toCHANGE RULES
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September 2019
© SIR’s Institute for Tomorrow. All Rights Reserved. 53
Organized for efficiency and effectiveness
Organized for learning, inno-vation, and customer impact
OLD RULE NEW RULE
Cogs in the Machine
Talent to be Managed
CHANGING THE RULES
Company viewed as hierarchy, with hierarchical decision rights, structure,
and leadership path
Company viewed as an agile network, empowered by team
leaders and fueled by collaboration and knowledge-sharing
OLD RULE NEW RULE
Organizational Chart
Collaborative Hive
CHANGING THE RULES
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John Martin – Winning the War for TalentPSU ISBM Members Meeting
September 2019
© SIR’s Institute for Tomorrow. All Rights Reserved. 54
People “become leaders” through
promotion
People “create followers” to grow in influence and
authority
OLD RULE NEW RULE
Bestowed
Earned
CHANGING THE RULES
Culture rules by fear of failure and perceptions
of others
Culture of safety, abundance, and importance of risk-taking and innovation
OLD RULE NEW RULE
Avoiding Negatives
Seeking Positives
CHANGING THE RULES
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John Martin – Winning the War for TalentPSU ISBM Members Meeting
September 2019
© SIR’s Institute for Tomorrow. All Rights Reserved. 55
What It Will Take To Win The War
Winning The War For Workers
A New Lens On Understanding Talent3
2
1 Why Are We Fighting For Talent?
4
5 Group Discussion
10 Traits of Winning Workplaces
John W. Martin
WINNING THE WAR FORWORKERS
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110