Changing the Conversation From Cost to Value

Leading Five Generations
in the Workplace

 Sodexo Story
 Overview | Workforce Trends
 Age & Generations
 How Would You Respond?
 Generations
 Generations & Workplace
 Q & A
2014 Sodexo. All rights reserved. This information is Confidential and Proprietary to Sodexo.
Today’s Agenda

Global Leader in Quality of Life Services
4
On-Site Services
-> To our 8 client segments
Corporate, Defense, Justice, Remote Sites,
Health Care, Senior Living, Education, Sports &
Leisure.
Motivation Services
-> Available in three services categories:
Employee Benefits, Incentives and Recognition,
Public Benefits
 430,000 Employees
 132 Nationalities
 34,000 Sites
 80 Countries
 75 Million customers
per day
 18th Largest employer
worldwide

Headlines
 Diversity and inclusion leads the branding of Sodexo in the U.S.
 D&I becomes a differentiator resulting in business growth; integral to
business success
 Key component of the Quality of Life Services strategy as company
reinvents business model
 Helps brand as more than food service provider

Sodexo’s Ten Key Elements for Culture Change
6
Top Down
Middle Out
Bottom Up

7
D&I: Business Rationale Drives Strategy
Workplace
• Attract, Develop & Retain the Best Talent to meet growth targets
• Foster an Engaged & Committed Workforce for productivity and
innovation for clients
• Develop managers who are culturally competent and able to
motivate diverse teams
Marketplace
• Understand our diverse customer population to deliver Quality of
Life Services to our Clients & Customers
• Leverage D&I to identify New Business Opportunities, provide
access to clients and potential clients and Strength Existing
Relationships for client retention
• Cultivate External Partnerships to Support Business Priorities
• Leverage D&I thought leadership to strengthen the brand

9
Key Workforce Trends in the U.S.
• The number of women in the labor force will
grow by 14.3 % compared to 10% for men
(women 60% vs. men 40% graduating).
 The aging population will lead to
unprecedented labor shortages with baby
boomers working longer.
 The wired, connected millennials are
motivated differently.
 It is estimated that 10% of the workforce is
gay or lesbian.
 It is estimated that 1 in 4 people has a
disability
 So-called minorities, will constitute a majority
of the nation’s children under 18 by 2023 and
of working-age Americans by 2039. Today 1/3
are minorities.
 It is projected that by 2020, 81percent of the
new entrants into the workforce will be
women or minorities.
 According to the American Community survey
data used by Pew, Hispanics comprise
16.4% of the U.S. population.
 Hispanics are the fastest growing ethnic
segment:
• Overall U.S. population is graying but the
Latino population remains young & the
primary feeder of workforce growth.

10
Changing Demographics |
Hispanic Growth

Workforce Changes Needed to
Engage an Aging Workforce
 Today 1 in 8 are over 65; by 2034 will jump
to 1 in 5
 Every day 10,000 boomers turn 65
 The increase of people aged 65 and older
will be at 10 times the rate of the total labor
force
 Retirement: 67 is the new 55: Focus on
retention, engagement, knowledge transfer
 Older workers seen as blocking
advancement
 Employers will need to explore alternative
work arrangements to accommodate a
generation that wants to keep working

Globally, many countries in Europe and Asia are facing precipitous
declines in birthrates and aging of the population, while in other
countries (e.g. India, Brazil) youth make up the majority of the
population.
29
39
30
49
28
15
19
24
8
18
25
14
0
5
10
15
20
25
30
35
40
45
50
US Germany China Japan Russia Brazil
2000
2025
Retirees over age 65 per 100 workers
Source: BusinessWeek, January 31, 2005

What Does the Future Suggest?
 Aging population working longer
 More diversity in the millennials
 Multiple generations in the
workplace

Five Generations
Traditionalists
Born before 1945
Influence: Depression & WWII
Baby Boomers
Born 1946 – 1964
Influence: Vietnam War, 60’s,
postwar social change
,
Gen X
Born 1965 – 1980
“The Latchkey
Generation”; products of
divorced parents.
Gen Y
Born 1981 – 1995
“The Entitled Generation”
Influenced by technology &
doting parents.
Linksters
Born after 1995
“The Facebook Crowd”
Influenced by a media-saturated
world.

Age is Becoming a Major Factor at Work
16

17
And the Creation of “Gray Ceilings
 Younger people will no longer
be able to support the older
people in the developed
countries
 Many organizations will consider
raising the retirement age to 75

Generations in the Workplace

20
How Would You Respond?
Self Assessment
A 23-year-old
employee requests
every other Friday
afternoon off for a
session with her
“spiritual coach.”

21
A 48-year-old
employee requests
an off-site for the
department to do
team building
during your
busiest period.

A 62-year-old
outpatient unit
manager has twenty
something nurses up
in arms about his
command and
control style.

A 35-year-old
accounting
support person
cruises the
internet at his
“break” during
the workday.

A 27-year-old full time
program assistant
asks her manager to
look over her resume
because she is going
to place it on
Monster.com. She
claims she is happy
here but wants to
know what’s out
there.

A 44-year-old
physician is of
often late with
reports because
she is taking
care of two
children and a
widowed father
with
Alzheimer’s.

A 25-year-old IT
employee
requests a
meeting to give
you feedback on
your management
style.

A 59-year-old manager
has his administrative
assistant print out all
his e-mails.

A 61-year-old physician
tells extended stories at
meetings. When you
mention this, he says he’s
trying to contribute
lessons learned.

30
We Have Moved from a
Baby Boom to a Bust to a Boomlet
Linksters
(born after 1995)
beginning
to enter
the workforce

31
Each Generation Has Different
Perceptions of Leadership and Work
Generation Veteran /
Pre-
Boomer
Boomer X’er Millennial Linksters
Leadership
By
Hierarchy Consensus Competence Pulling
together
Coming
Soon:
The
Facebook
Crowd in a
media
saturated
world
Feedback No news is
good news
Once a year
with
documentation
Asks how
they are
doing
“Gamer
Generation”
– touch of a
button
Work Ethic Work hard,
save
money;
what is
play?
Work hard;
play hard;
worry about
money
Work hard, if
it doesn’t
interfere with
play; save
money
Good
grades; save
money; let
others pay
Balance Don’t quite
get it
Sandwich
generation
Want
balance now
Need
flexibility to
create it

32
As Well as Different
Values, Attitudes and Behaviors
Pre-Boomers Boomers X’ers Gen Y’s Linksters
Outlook Practical Optimistic Skeptical Hopeful  Coming
Soon:
 Technolog-
ically
dependent
 Close ties to
parents
 Tolerant of
alternative
lifestyles
 Involved in
green
causes and
social
activism
Company
Loyalty
Loyal to the
company
Loyal to the
work
Loyal to
themselves
Always have a
resume ready
Attitude to
Work
Just do it Work should
be meaningful
Work pays the
bills
Work must be
fun
Working
Late
Part of the job A contribution
that will be
noticed
“Will I get
comp for this?”
If consistent,
out of here
Organize
projects/
schedule
Day Runner Palm Blackberry Free internet
application I
downloaded

33
Veterans in US:
Hard Work in Hard Times: 1928-1945
Core Values
 Place duty before pleasure
 Believe patience is its own
reward; are willing to wait
for delayed gratification
 Value honor and integrity
 Dedication
 Sacrifice
 Delayed reward
 Conformity

The Traditionalist Believed in the Dream
 Wants
• Want others to respect them and value
their expertise, which was gained over
time and through experience
 Preferences
• Hierarchy—respect authority, even
sometimes when it frustrates them
• More formal communications
• Spelled out roles and responsibilities
• Clear directions
• Stability
 Workplace Behaviors
• Avoid challenging the system
• Maintain dedication to a job, once they
take it
• Most are not technology savvy, and
tend to avoid using it
• Engage in face to face communications
* 3SC Longitudinal Values Study

Baby Boomers | 1946 - 1964

Baby Boomers | 1946 - 1964
Aging Boomers: Looking Back and Looking Forward

Some Boomer Equations (1946 – 1964)
 Work hard = be noticed
 Many meetings = achieve consensus
 Balance – finding my own personal path
 Personal Growth
 Being realistic = getting what I need while
“putting up with it”
 Optimistic
Upbringing
 Were told they would be the generation that
would change the world
 Experienced integration in neighborhoods
and schools
Key Events Shaping Their Lives
• John F. Kennedy Assassination
• Vietnam War
• Civil Rights Movement
• Man landing on the moon
• Healthier/ Post War Era resulted in a
baby born every 17 minutes for 19
years—resulting in 76 million baby
boomers

38
Baby Boomers – In the Workplace
 Wants
• Want to change the world and the workplace to suit their needs—including
government policy and consumer products
• Want to please everyone
 Preferences
• Prefer the process of getting things done, sometimes to the detriment of achieving
results
• Prefer convenience and immediate gratification versus delayed gratification
• Live to work—put in long work hours
• Driven—willing to “go the extra mile”
• Good at Relationships
• Good Team Players
• Process Oriented
• Uncomfortable with Conflict
• Judgmental of those who see things differently

39
Boomers in the Future
 First Boomers reached 65 in 2011
 2005 –Median Age = 40.5
 Work to fund longer retirement
 Rise in individuals with disabilities & elder care
 Integrate/Reintegrate older workers
 Help guide strategic planning: knowledge of
company and industry
 Mentor and train others
 Nurture the culture: team building and
community service
 Need flexibility
 Increasingly challenging projects
 Opportunities for innovation

40
Generation X | 1965 – 1980
Remaining Single & Falling in Love Online

41
X’ers | 1965 - 1980
 Upbringing
• 50% were latch key kids
• Learned to be autonomous and self-
reliant
• 50% were affected by divorce
• Boomerang Kids—3 times more likely to
move back home as young adults (in
their 20’s)
 Key Events Shaping their Lives
• Watergate Scandal
• Women’s Liberation Movement
• US Corporations began massive layoffs
• Rodney King Incident
 Values/Beliefs
• Diversity
• Balance
• Informality
• Self Reliance
• Global

X’ers | 1965 - 1980
 2.8 years = median length of employment
 “Permanent Temps”
 Virtual nomads seeking greater balance between work and home
Wants
 Want to be independent and self-reliant
Preferences
 Prefer not to make long term commitments to companies
 Prefer full package of workplace benefits that allow for balance—
not just more money
Workplace Behaviors
 Work to Live, not live to work
 Adaptable
 Techno-literate
 Independent
 Not intimidated by Authority—don’t automatically give respect to
authority in the workplace
 Will speak up for themselves
 Comparison shop during interviews—looking for best salary,
benefits, work/life balance, and raises

X’ers | 1965 - 1980
The “Twixters” Who Won’t
Settle Down
 Not Just American
Phenomenon
 Canada: Boomerang Kids
 England: Kippers (Kids in
Parent’s Pockets Eroding
Retirement Savings
 Germany: Nesthocker (Nest
Squatter)
 Italy: Mammone 50%: Won’t
Give Up Mom’s Cooking
 Japan: Freeter (Free worker:
job hops and lives at home)

Millennials | 1981 - 1995

45
Millennials | Can Create an Imagined Future

46
Who is This Generation Y? 1981-1995
 Upbringing
• Children of Baby Boomers; 80 million strong
• More demographically diverse than any
other generation—1 out of 3 is an ethnic
minority
• Best educated generation in US History
• Inter-racial dating is a non issue
 Key Events Shaping their Lives
• Oklahoma City Bombing
• Clinton/Lewinsky Affair
• Columbine High School Massacre
 Values/Beliefs
• Belief in Collective Action and Optimistic
• Relationship with Parents
• Civic Duty
• High Moral Standards
• Diversity

47
They Were the Centers of the World
 Wants
• Want to live in the moment
 Preferences
• Prefer to be optimistic about life
• Prefer to earn money and consume it immediately
• See themselves as individuals
• Technologically Savvy; connected
• Multitaskers
• Inexperienced with handling difficult people and issues
• Demonstrate respect only after they are treated with
respect
• Rely on immediacy of technology
• Skeptical—question everything; that’s how they grew up
• Have a need for supervision and structure
They Love Their Parents - “Now parents are cool”

48
Who is This Generation Y?

49
 They’ve leaned on their
parents all their lives, so:
• Don’t be surprised if mom
shows up at the job interview
• Dad calls to ask how junior is
doing
• Little sister comes to sit in
her cubicle to watch for a
day
 You might consider a “Bring
Your Parents to Work” day
At Work, Managers May Find
Parents Come Too

Who is This Generation Y?
Get Ready. Here They Come!
 They have different
expectations….
• “Start at the bottom?”
• “You’ll pay me what?”
• “About that signing bonus…..”
• “How long with the next
promotion take?”
• “This is a good place for a
while.”
• …AND they are not afraid to
communicate them

Boomer vs. Millennial Resume
Name, Address, Phone
• Objective
• Qualifications
• Education
• Employment
• References
Source: New Paradigm Learning Corporation 2005
Name, e-mail, cell, blog
• What I Know
• Where I’ve Done It
• How Did I Get This Knowledge
• Who I Know and What They
Know
• Who I Want to Meet
• What I Want to Learn and Create

Gen Y & Boomers
The rules for engagement have changed!
– Gen Y advancing
– Boomers reluctant to retire
– What do they have in common?
• Flexible work arrangements
• Giving back to society
• Nonfinancial rewards
• Mentoring
– Tech savvy students teach Boomers
– Boomer mentees
• Progressive Policies for companies
– Creative rewards = employee retention

What Does this Mean for the Work Place?
 Techno Savvy: locate details in seconds
 Adept at global and diversity issues: online social
network
 Team oriented: measure themselves by their peers
 Multi-taskers: 90% of 18-24 year olds feel that
listening to the IPod while working improves job
satisfaction and productivity
 Lack discretion: given up privacy to Myspace,
Facebook
 Misaligned expectations: want to change the world
in the first week; crushed when challenged
 Instant gratification- no patience
 Work ethic: different
 Soft Skills and the basics: over reliance on
computers; conflict resolution and interpersonal
skills lacking

54
How Can You be Prepared?
 Evaluate and increase basic training skills
 Provide the reasoning behind processes- “the whys”
 Focus on outcomes
 Provide more frequent job performance reviews and other ‘in
the moment’ feedback
 Keep them engaged- skill development essential
 Retention more based on relationships than company loyalty-
“I quit because I can’t stand my supervisor”
 Expand work/life balance programs- time and flexibility most
important to them
 Place clear parameters on communication frequency and
methods
Source: HR Magazine; May 2007; www.shrm.org

55
How to Prepare for the Millennials
 We will need to create new
criteria for employer of choice
 Time Off
 Flexibility in hours and workload
 Technological job aids
 Person-based pay with more at
risk
 A la carte/portable benefits

56
We Will Work in a “Flattened” World
With New Forms of Collaboration
And….What About Their Future:
2020 Lifestyle
 Jobs for life are replaced by short-term
contracts
 One in five people will be self-employed
 Old age will be postponed by active senior
participation
 The family of choice will replace the family
for life
 Four out of five Gen Y’s have working
mothers
 First time mothers will often be in their late
40’s
They are our future…..are we ready?

57
How Can We Respond?
Sodexo Generational Opportunities
• Recruiting:
– Sodexo Alumni Network & Reconnexions
• Development:
– Generations in the Workplace trainings
– Reciprocal mentoring
• Retention
– Work/Life Effectiveness Taskforce
– iGen Employee Business Resource group

THANK YOU!
Friend us on Facebook @ “Sodexo Diversity & Inclusion”
Follow us on Twitter @SodexoDiversity

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