Introduction
Throughout the last few years, The professional world has witnessed a drastic shift in the demographic of its workforce, as younger generations begin to enter the workforce. The generation of individuals born between the late nineties and early two thousands, commonly recognised as Gen Z, has become the leading generation present in the workforce, surpassing the Millenials, their predecessors, and shifting the well-established workplace dynamics present in most fields. This generation is substantially different from any of its previous counterparts in many different areas, of which the most prominent is their use of technology. Gen Z’s digital reliance and fluency have fundamentally altered workplace dynamics in a way never before seen with other generations, as the age of technology makes its way into the workforce. With such a drastic shift in workplace dynamics, employers have become inevitably concerned about attracting Gen Z to the workforce and adapting to their ideals. It is in this context that consultancy firms may be able to quell these concerns by building strategies shaped to Gen Z’s world. This inevitably begs the question: how can consulting firms help companies attract and retain Gen Z? By first understanding the characteristics of Gen Z, we may begin exploring strategies catered to the attraction and retention of Gen Z, and consultants' roles in strategy building.
Defining Generation Z
Generation Z differentiates itself from its predecessors in many ways, yet some traits, in particular, catalysed the dramatic shift in workforce dynamics. A 2024 study led by the global consulting firm McKinsey identified Gen Z as the first generation that grew up with a prominent reliance on the internet. Any task, from anything as menial as shopping to serious research projects, was facilitated by the internet for Gen Z. Moreover, the Internet allowed Gen Z-ers to extend their social network to a global scale never before seen in previous generations, allowing for mass diversity and inclusion within online communities. With the internet becoming such a ubiquitous tool in everyday tasks, it makes sense for this tool to transition along with Gen Z into the workforce.
Gen Z’s Perspective on Work
This generation has further distinguished itself in its perspective on work environments and careers. The consulting firm Deloitte has further distinguished Gen Z as a product of the Great Recession of 2007, which by all means would have shaped this generation to be a rational, practical, and careful generation. Yet the first waves of Gen Z individuals to enter the workforce took the traditional expectations by surprise. As it stands, Gen Z appeared to be less salary-driven than previous generations. As both Deloitte and McKinsey observed, Gen Z’s internet-dependent upbringing heavily drove them towards standing up for struggles against climate change, injustice, and many more. These behaviours are less salary-oriented and more purpose-driven, pushing the new workforce away from companies that do not value or propagate principles aligned with environmental, social, and governmental values. Gen Z’s global interconnectedness has made them more sensitive than others before them to global injustices, whether in terms of climate, society, or governments, hence why companies aligned with these morals and values seem more appealing as work environments to Gen Z.
Now more than ever, technology is becoming an integral part of the workplace. It therefore has required a drastic shift in the kind of labour required by the workforce. Gen Z-ers who managed to establish themselves in the workforce expressed a penchant towards flexible, hybridised work that combines online work and tangible human interaction in the workplace. An integral factor in this new approach to work is the 2020 pandemic, which forced early Gen Z-ers to enter the workforce from a completely remote standpoint. Yet an interesting factor to take into consideration is Gen Z’s approach to mental health and work. As it stands, this generation more than any other recognises the necessity of a balance between mental health and the workplace. As was reinforced by Julia Dhar, a researcher at the Boston Consulting Group’s Behavioral Science Lab: “We’ve found, that most prefer working at the office, or on the job, where they have contact with other real, live human beings, rather than just screen-sized images of real, live human beings.” (Dhar, 2024). This intricate balance between work and mental health has become a prominent factor in Gen Z’s preference in the professional realm.
The Role of Technology in the Workplace
By understanding Gen Z as the newest and most prominent component of the workforce in this day and age, strategies can be effectively established to accommodate the new generation in the workplace. As was established by both McKinsey and Deloitte, Gen Z is deeply sensitive to global injustices, which is reflected in their employment and career choices. The creation of a diverse and inclusive work environment caters to the new generation's preferences. An example of this, as was broken down by Deloitte, would be offering a university-level partnership to female candidates to push them into male-dominated fields, creating an equal-opportunity workplace that values diversity. EY formally recognises that Gen Z evaluates careers based on salary fairness and integrity. This inclusivity and diversity correlates to higher employee satisfaction and productivity.
Strategies to Accommodate Gen Z
The advance of technology and more particularly AI has also created a challenge for employers to overcome when recruiting Gen Z. A significant portion of Gen Z’s work requires adaptability in the workplace towards new and upcoming technologies. A significant challenge in this regard is the stigmatised outlook of older generations towards Gen Z. As was disproven in the study led by Julia Dhar, the preconceived notion that Gen Z is completely bound by technology is misrepresented. As it stands, this generation is the first to seek a balance between both realms. Gen Z today is making groundbreaking changes in the workforce. Their new approaches and preferences towards work are changing generational work habits that open up new horizons for consultants capable of uniting these two worlds. Consultants who are capable of understanding the new-age tech fluency tailor strategies to fit Gen Z’s preferences. This is most closely observable in companies capable of being tech-fluent in marketing such as Duolingo directed by 23-year-old Zaria Pavez, who was able to market the app to its target audience in an extremely proficient way. A new phenomenon is also consulting firms founded by Gen Z-ers, a novel concept that has yet to provide tangible results but holds a promising future ahead. This concept may further advance the marriage of the new workforce and companies, allowing for a new system to rise.
Breaking Stereotypes About Gen Z
Gen Z, today, is the backbone of the future of companies as it makes its entry into the workforce, bringing along with it new work models, standards, and requirements that have pushed the bounds of pre established norms inherited from previous generations. This generation being the first to have lived with the growth of the internet has brought forth new challenges for employers, but has also added many benefits to the traditional workforce that have brought the professional realm to a new age of technology. While this novel phenomenon has yet to properly intertwine with the traditional scope of professional work, consulting companies have begun to build strategies that ensure an efficient transition from a traditional workplace to a hybridised approach that allows Gen Z to integrate the workforce.
References
Deloitte (2019). Understanding Generation Z in the Workplace. [online] Deloitte. Available at: https://www2.deloitte.com/us/en/pages/consumer-business/articles/understanding-generation-z-in-the-workplace.html.
McKinsey & Company (2024). What Is Gen Z? [online] McKinsey & Company. Available at: https://www.mckinsey.com/featured-insights/mckinsey-explainers/what-is-gen-z.
Ey.com. (2024). How Gen Z is driving shifts in the workplace and beyond. [online] Available at: https://www.ey.com/en_us/consulting/how-gen-z-is-driving-shifts-in-the-workplace-and-beyond.
Global Initiative, ideas@global-initiative.com (2022). Consulting for Gen-Z: a booming trend | CMCE. Cmce.org.uk. Available at: https://www.cmce.org.uk/knowledge-bank/consulting-gen-z-booming-trend
www.eternalworks.com. (n.d.). 4 BUSINESS GROWTH STRATEGIES FOR TECH COMPANIES. [online] Available at: https://www.eternalworks.com/blog/4-growth-business-strategies-for-tech-companies.
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