Cool Uniforms and Flying Cars:

The Evolving Workforce and the Challenge to US

Businesses

Bill M Wooten, PhD

FBLA Area V District Conference

Cypress Ridge High School

February 5, 2011

Which workers are we talking about?“A person who works primarily with information or who develops and uses knowledge in the workplace”

(from Wikipedia)

Related labels: professional-managerial mass upper middle class web workers skilled workers symbolic analysts creative class

“Related labels” from: Robert Reich; Richard Florida; and the Brookings Institute working paper The Decline of the White Working Class and the Rise of a Mass Upper Middle Class (April 2008).

Which workers are we talking about?“A person who works primarily with information or who develops and uses knowledge in the workplace”

(from Wikipedia)

Related labels: professional-managerial mass upper middle class web workers skilled workers symbolic analysts creative class

“Related labels” from: Robert Reich; Richard Florida; and the Brookings Institute working paper The Decline of the White Working Class and the Rise of a Mass Upper Middle Class (April 2008).

One Page Summary on the future of knowledge workers 1.There won’t be enough

of them.

2.Their expectations will be different.

3.Technologies will transform when, where and how work is done.

1Shrinking Pool of Skilled Labor

5Evolving Expectations of Gen X and Gen Y

2 Changing Family Structures

3 Increasing Number of Women

6Increasing Impact of Technology

4Changing Expectations of Men

By 2012, there will be a 6 million person gap between the supply and demand of knowledge workers in the U.S.

Only 17% of households now have a husband in the workforce and a wife who is not, down from 63% in past generations.

Nearly 60% of bachelor’s and master’s degrees in the U.S. are awarded to women.

84% of male executives agree they would like to realize professional aspirations while having more personal time.

Baby boomers are almost twice as likely as Gen X/Y to be work-centric, with only 13% of Gen X/Y being work-centric. The remaining 87% of Gen X/Y are family-centric or dual-centric. 76% of households now have broadband connectivity while mobile phones, messaging and email has become pervasive.

Converging key trends are dramatically changing the US talent marketplace

1Shrinking Pool of Skilled Labor

5Evolving Expectations of Gen X and Gen Y

2 Changing Family Structures

3 Increasing Number of Women

6Increasing Impact of Technology

4Changing Expectations of Men

And these trends are global, not just USIn 2006, 40% of companies worldwide reported difficulty filling jobs.

60% of households in Australia and Hong Kong have female heads of households.

Since the 1980s, China and the UK have had double-digit increases in the percentage of women in the finance, legal, and medical professions.

Men in Western Europe are more likely than women (20% vs.. 8%) to feel limited by the need to sacrifice everything for work.

In Latin America and SE Asia, many employers have implemented programs to enhance work-life balance and encourage social responsibility.

In the EU27, 54% of households had access to the internet during the first quarter of 2007 and 42% had a broadband connection.

Shrinking pool of skilled labor By 2025, the working age population is expected to drop by 14 percent in Japan and by 7%

in Germany

76 million Baby Boomers in the U.S. will begin to reach retirement age

Domestic US labor force will only grow at rate of 1%

Low birth rates in many countries

Increased competition for skilled workers globally

Stagnant college graduation rates in US

Decline in competency in basic skills among US high school and even college graduates

1

Numeric Change in Labor Force by Age, Projected 2004 - 2014 (in Thousands)

Increasing gap between number of jobs and number of workers

Source: U.S. Bureau of Labor Statistics, Labor Force, Occupational Outlook Quarterly 49, no. 4 (Washington, DC: GPO, Winter 2005/2006).

By 2012, there will be a 6 million person gap between the supply and demand of knowledge workers in the U.S.

7,616

3,689

4,548

-110 -2,815

1,769

65+55-6445-54

35-44

25-3415-24

Copyright © 2008 Deloitte Development LLC. All rights reserved. Used with permission. From Deloitte research into workforce trends related to the Mass Career Customization initiative.

1

Changing family structures affecting roles

Source: 1. Catalyst, Two Careers, One Marriage: Making it Work in the Workplace (New York: Catalyst, 1998) With updated data for 2005 from U.S. Bureau of Labor Statistics, Annual Social and Economic Supplement, Current Population Survey Washington, DC: GPO, 2005).

Changing Family Structure 1950-2005

Only 17% of households now have a husband in the workforce and a wife who is not, down from 63% in 1950.

17.4%

63.4%40.6%

20.4%24.2%

10.8% 12.8%3.5% 5.0%1.8%

1950 2005

Male SingleParents

FemaleSingleParents

OtherFamilies

Dual-workerFamilies

TraditionalFamilies

2

Increasing number of women in paid work

Source: W. Michael Cox & Richard Alms, “Scientists Are Made, Not Born” New York Times, 28 Feb, 2005; US Department of Education; US Department of Labor

LawMedicalMBADentistry

VeterinaryPharmacy

% Share of Professionals Degrees Awarded To Women

In 2007, womencomprise:

58% of college students

51% of new entrants to workforce

48% of workforce

The proportion of degrees awarded to women vs.. men in the US has risen sharply since the 1970s.

0

10

20

30

40

50

60

70

1950 1960 1970 1980 1990 2000

50%

3

Male Executives Who Want to Realize Professional Aspirations While Having More Personal Time . . . . .

Changing expectations of men towards work Men today are less likely to sacrifice family and personal time for work.

Source: Jody Miller, “Get a Life!” Fortune, 28 November, 2005; Catalyst, Women and Men in US Corporate Leadership: Same Workplace, Different Realities, (New York: Catalyst 2004)

Strongly Agree

Somewhat Agree

Somewhat Disagree

Strongly Disagree

36%

12%

48%

4%

4

Baby Boomers (38-57)

41%22%

37%

Evolving expectations Generations X and Y around work / life

Members of Generation Y are more family-centric than Baby Boomers

“We recognize that changes in work structures come with an economic cost, and we are willing to be paid less in exchange for a better working life.”

Stanford Law students Andrew Canter and Craig Segall

50%

13%

37%

Generation Y (under 23)

Work-Centric Family-Centric Dual-Centric

5

FourGenerationsatWork

13

Who are the Four Generations?

14

Matures• Born before 1946

• 64 years and older

Who are the Four Generations?

Boomers• Born 1946 – 1964

• 46 – 64 years old

15

Who are the Four Generations?

16

Generation X’ers

• Born 1965 – 1980

• 30 – 45 years old

Who are the Four Generations?

17

Millennials Born after 1980

Under 30 years old

Differences affect us at work

18

Communication

Teamwork

Veterans (1922 – 1945)

Baby Boomers(1946-1964)

Generation X (1965 – 1980)

Millennials(1981 – 2006)

Core Values Respect for authorityConformersDiscipline

OptimismInvolvement

SkepticismFunInformality

RealismConfidenceExtreme funSocial

Family TraditionalNuclear

Disintegrating Latch-key kids Merged families

Education A dream A birthright A way to get there An incredible expense

CommunicationMedia

Rotary phonesOne-on-oneWrite a memo

Touch-tone phonesCall me anytime

Cell phonesCall me only at work

InternetPicture phonesE-mail

Dealing with Money Put it awayPay cash

Buy now, pay later CautiousConservativeSave, save, save

Earn to spend

Personal and Lifestyle Characteristics by Generation

Factors that define a “Generation”

– Family life

– Gender roles

– Important institutions

– Politics

– Religion

– Culture

– Lifestyle

– Views on the future

A generation’s identity is a state of mind shaped by …

We are most influenced by our “learning years.”

Gen Y’s expectations of the workplace Want transferable skills that support job mobility

Expect to have many jobs over their lifetimes

High value placed on engagement and attention from companies, bosses, mentors

Broad attention span and multitasking

Communicate via multiple channels

High use of computer games, have developed job-related skills via gaming

Willing to trade off between income and job demands

Less willing to unquestioningly adhere to “traditional” norms around the workplace

5

From various sources, including Carolyn Martin’s and Bruce Tulgan’s work on Generation Y in the workplace.

93% of US teens use the internet 64% online US teens age 12-17

participate in content-creation activities

Content creation: it’s not just about the created objects. Discussion and social interaction are key.

Teens often work together to create content

Some teens are multi-channel “super communicators,” using multiple communications tools on a daily basis

Gen Y teens and technology: Creating, contributing, communicating

5

From the Pew Internet and American Life Project: report on Teens and Social Media (December 2007).

Gen Y consumers: Mary buys a prom dress

• Researched dresses online

• Visited store with friends and digital cameras, trying on dresses and taking photos

• Uploaded photos to Facebook and asked additional friends to comment

• Selected the dress

• Searched for and purchased dress online

• Used savings to purchase accessories

5

Example from the blog of the Digital Youth Research Project.

Gen Y “Gamer Generation” goes to workThe stereotype

92% of kids age 2-17 have regular access to video/computer games.

Gaming experience shapes their attitudes, expectations and beliefs about how the world and the workplace operate.

Gaming is highly social for Gen Y and part of their collective experience.

The reality

Gaming develops skills that are highly applicable to knowledge work.

5

From The Kids Are Alright: How the Gamer Generation is Changing the Workplace by John Beck and Mitchell Wade.

Increasing impact of technologies

Explosive growth in broadband

Cellular phones are commonplace

Virtual private networks (VPNs) enable secure access to corporate applications from outside the office

Virtual workplaces are being designed and adopted

As technology continues to advance, new models for how, where, and when work gets done open up new possibilities.

6

Experts’ vision of the internet in 2020• Global, low-cost network available to (almost) everyone

• Free flow of information will blur national boundaries and other traditional groups

• Rise of region-states, “corporation-based cultural groupings” and “reconfigured human organizations tied together by global networks”

• Humans will remain in control of the technology

• No independent autonomous intelligent agents - yet

• Sophisticated, compelling virtual worlds

• Greater transparency and less privacy, with a mix of positive and negative consequences

• English will remain common online but Mandarin (and possibly other languages) will have significant presence

• Some people will choose to be technological “refuseniks”

6

From the Pew Internet and American Life Project – Future of the Internet II report (September 2006).

Laptops are increasingly the assumed standard for personal computers.

Many companies say that out-of-office work is “nothing special – just part of how we do business now.”

Urban nomads: People connected anywhere, anyplace Not just for business travelers, but for people

going about their daily lives in their local environment

A single smart device (cellphone+internet) taking the place of multiple pieces of equipment

Assumption that you can access your personal files from any device

Mobile technologies are transforming work and life

6

Quote from The Telework Coalition’s Teleworking Benchmarking Study Best Practices for Large-Scale Implementation in Private and Public Sector Organizations – Executive Summary (2006).

“Urban nomads” from The Economist - Mobile Edition (April 10, 2008).

These six trends are converging -- causing an increasing disconnect with traditional work patterns

Changing family structures

Changing expectations

of menShrinking pool of

skilled labor

Increasing number of women

in paid work

Evolving expectations of

Gen X and Gen Y

Increasing impact of technology

(Some) Business leaders are responding…Business challenges on the radar of future-focused C-level executives:

Shifts in employee skills and expectations – attracting and retaining employees

Shifts in customer skills and expectations -- attracting and retaining customers

Shifts in skills and styles for leadership – developing leaders and managers for this new workforce

Shifts in technologies -- impacting both the marketplace and the workplace

…but it won’t happen overnight.

“Never mistake a clear view for a short distance.” Folk saying, in current times attributed to Paul Saffo

Questions??

Cool Uniforms and Flying Cars:

The Evolving Workforce and the Challenge to US

Businesses

Bill M Wooten, PhD

FBLA Area V District Conference

Cypress Ridge High School

February 5, 2011

Thank you!