The Future of Leadership

Executive Summary: The Future of Leadership

By Diane ThielfoldtAppeared in the July issue of tED.

NATIONAL ASSOCIATION OFELECTRICAL DISTRIBUTORS

NAED

Who Are the Millennial Managers, and Where Are They Taking Us?

The Future of Leadership 2

There are 75 million members of the youngest generation in today’s workforce, and they are assuming leadership roles earlier than any U.S. generation to date. Here, we examine the leadership styles and

behaviors of Millennials (those born 1977-1998). Their leadership characteristics, out-lined here, will influence the culture, process-es, and values of business in the near future.

From November 2011 through May 2012, NAED’s Eastern Region Council in collabora-tion with the consulting firm The Learning Café (thelearningcafe.net) interviewed 50 Millennial leaders and emerging leaders in the electrical distribution industry about their views on leadership and organizational life for research and reporting. The oldest person

included in the research was 35 years old and the youngest was 22. This report is based on information from those interviews.

“Millennial leaders are the first generation of power producers.”

The subjects interviewed for our research held job titles including:

• Vice President, Electrical Construction• Director of Commercial Sales• Director of Marketing• Director of Sales• District Sales Manager• Western Region Sales Manager• Sales Manager• Purchasing Manager• Branch Manager• Operations Manager• Manager Inside Sales• Supervisor Shipping/Receiving• Supervisor Warehouse• Energy Consultant• Sales Engineer• Project Manager• Manager Sales Development

THE SILENT GENERATION

1933-1945BABY BOOMERS

1946-1964GENERATION X

1965-1976MILLENNIALS

1977-1998

47%of younger employees complained that older

managers’ were resistant to change

33%of older employees

found younger workers informality and need for supervision problematic

Society for Human Resource Professionals 2011

“We will not accept the way things have always been done; it’s just too much fun figuring out new ways to do them.”

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The following qualities and characteristics differentiate this group as a generation of workers and leaders:

Meet the Millennials

• Technically savvy

• Adaptable and open to change

• Flexible

• Educated and education-oriented

• Fast-moving

• Willing to improve

• Inclusive

• Authority-challenging

“Essential ingredients of millennial leadership: education, collaboration, diversity and being tech savvy.”

P

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The interview subjects revealed six significant characteristics of their leadership style:

6 Game-Changing Leadership Practices

1. Working as a team“My generation of leaders loves teamwork and is willing to spend more time building relationships with our teams,” summarized one interview subject.

2. Pitching in for successAs team players, Millennial leaders want to lend their skills and ideas to help make the organization successful.

3. Valuing mentorsMillennial leaders value learning, and prefer coaching and working as a team.

4. Ensuring training for employeesJust as the Millennial leaders value education for themselves, they want it for their employees.

5. Taking risksMillennial leaders are not afraid to take risks. It is part of their competitive nature to reach higher, for the sake of improving the organization as well as to prove themselves.

6. Receiving recognitionBecause Millennials are results-driven, they expect immediate gratification for their hard efforts. They are motivated by challenging work, growth and learning, an enjoyable work environ-ment, and pay, and are apt to use similar rewards to motivate their team members.

“We celebrate cultural diversity, technology, and feedback.”

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As more Millennials move into leadership positions, and current young leaders learn and grow, the American workplace will begin to reflect this generation’s characteristics and style. Here are some changes you may see coming to lead in your work place:

What Your Workplace Will Look Like

FuturisticMillennials’ ease with new technologies means that the sky is the limit when it comes to computer systems and related tools. Their drive for speed and efficiency ties in with this, and will certainly transform day-to-day work.

More democraticWith people at all levels involved in knowledge and decision-making your workplace will become more democratic. Millennials’ focus on teamwork will translate into a more democratic version of leadership; young leaders are already shifting the norm from top-down leadership to partici-pative management. They are focused on team building, collaboration, and encouraging open communication in the work environment.

of Boomers have little or no workplace interaction

with MillennialsWorkforce Management

51%Boomers @65 AARP

By 2014 half the employees in the

world will be those born after 1980

Pricewaterhouse Coopers

50%Every day 8,000

Boomers hit age 65

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Fast-changingBuckle your seatbelt—with Millennials at the wheel, chang-

es will come fast and furious over the next few decades. Admittedly impatient, Millennial leaders value action and want to accomplish tasks quickly. This ties in with their competitive spirit and goal-oriented drive, but also with their desire for immediate rewards. And they won’t slow down when risks are to be taken: unlike some older generations, they don’t feel the need to question the risk, agonize over it, or dissect it—they simply move forward.

Learning-focusedMillennials’ love of education will build environments that include not just training, but ongoing learning and growth. One of their leadership goals is to provide a solid foundation for employees to grow; this will also help teams stay current with emerging markets, and global and domestic economies. In addition to new outside information, Millennial leaders work to transfer knowledge from veteran employees to a new generation of employees.

Over the next 20 years, 80 million boomers will retire and there are only 46 million Gen Xers. Millennials will dominate the workforce. Fast Company

of Gen X & Millennials don’t think their manager

truly knows she/heimpacts them

33%

of Gen X & Millennials strongly disagree saying

they know where they stand with their manager

Pew Research

66%

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“How do Millennials succeed as leaders? I made myself into a sponge and absorbed everything; be a sponge, take it in, stop fighting back”

FlexiblePrepare yourself for less 9-to-5, and more virtual offices. As with their Generation X counterparts, Millennial leaders measure pro-ductivity by the work completed rather than hours spent at the office. Flexible office hours, telecommuting, and more mobile offices will replace the already dwindling status quo. Millennials value the work completed—and this is what they will recognize and reward.

This Future of Leadership piece has been made possible through NAED’s Eastern Region Council in partnership with Diane Thielfoldt co-founder of The Learning Café (thelearningcafe.net), made available for NAED membership in the fall of 2012. To read the full “The Future of Leadership” tED magazine article from the July 2012 issue. For more on the Millennial generation in the workplace and other generational topics, visit thelearningcafe.net. For further information about NAED Membership offerings and services please feel free to contact Brian Peters, region manager, at bpeters@naed.org. No part of this Future of Leadership may be reproduced or copied in any form or by any means-graphics, electronic or mechanical, including photocopying, taping, or information and retrieval systems - without written permission from NAED.

When asked what kept Millennials satisfied, motivated, or productive, those surveyed identified the following:

Challenging, stimulating, varied work

Growth, learning, &

development

Enjoyable work environment

Healthy work-life

balance/flexibility

Pay Appreciation (nonmonetary)

recognition

Making a difference,

contribution

Autonomy, ability to innovate

Treatedwith dignity & respect

BenefitsGood boss Company/industry

reputation

Good communication

59% 52% 49% 43% 41% 30% 27%

22% 15% 14% 14% 13% 4%