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"To acquire knowledge, one must study; to acquire wisdom, one must observe."
—Marilyn vos Savant
What's the greatest threat to the future of any organization?
Heightened competition? Poor execution of strategy? Government regulations? AI?
While those are possible perils, the most critical problem may be institutional indifference among younger employees.
Corporations have always been a test of an entrant's perseverance and endurance. It's the fortunate new associate who has someone on the inside to guide them through the labyrinth of power, structure, and potential minefields in relationships. Even learning about the company's history and the reason for being.
However, virtual or hybrid organizations make cultural assimilation harder as ethos is best experienced firsthand.
In an article published in The Wall Street Journal entitled "A New Lost Generation: Why Gen Z Is Unprepared For the Workforce," author Tessa West, a professor of psychology at New York University, suggests that younger workers are struggling to fit into organizations of all kinds. "There's a lot of turnover because new hires who don't acclimate don't last long," West observes.
"Those who do stay often find the experience unfulfilling and frustrating. Their bosses are at a loss, wondering why the new workers just don't get it," Professor Tess adds. (And workers wonder why bosses don't get them, as great supervisors are rare.)
She concludes, "If the trend continues, we are heading for a crisis: a generation of employees who never become seasoned insiders, incapable of either collaborating or leading. When a generation of workers never acquires the tools they need to lead, the leadership pipeline falls apart. In time, so too will our organizations."
A crisis in the making
It's necessary to be cautious about generalizing millions of people, as Gen Z represents a fifth of the workforce. Voice Pro, a coaching firm, reminds everyone that there are exceptions in all generational categories. And focusing too much on stereotypes keeps us from learning about those individuals excluded from a general rule.
Yet detachment is a recognizable and measurable dilemma among this cohort.
"According to a November 2022 Gallup report, 54% of Gen Z and younger millennial employees are 'not engaged' (ambivalent or 'quiet quitting') at work, a higher rate than other generations." More recent statistics show disengagement increasing among younger workers.
Johns Hopkins University's Imagine Center summarized the data as follows: "This will continue to occur if a majority of young employees don't have strong relationships with their managers, employers, or coworkers. Therefore, younger workers may be less inclined to 'settle' for a less-than-ideal employer, as they are always looking for better opportunities."
Are employment pressures different or the same as they've always been?
"Young adults are struggling with everyday work due to a convergence of high anxiety, poor executive functioning, economic pressures, and workplace misalignment," report mental health experts at Lyra Health. Reduced in-person interaction has hindered the development of their soft skills and workplace etiquette," the study concludes.
A major difficulty faced by this group is their inability to manage relationships and demonstrate social skills, as they've spent most of their lives isolated online — for school, friends, and entertainment.
Does anyone want to lead?
Executive Search firm Stanton Chase says a leadership crisis isn't coming but is already here:
Deloitte’s latest research shows that only 6% of Gen Z workers say their primary career goal is reaching a leadership position. They’re actively rejecting the traditional climb to the C-suite.
This rejection isn’t happening in isolation. Stanford research helps explain why, finding that Gen Z prefers collaborative or rotating leadership models over traditional hierarchical structures.
The consequences are already visible: McKinsey research warns that 90% of organizations will face meaningful skills gaps in coming years, partly because the talent they’re counting on doesn’t want the roles they’re offering.
This isn’t a temporary trend that will correct itself as these generations mature. The data suggests something more substantial and long-lasting: a complete reimagining of what leadership should look like, how leaders should be developed, and what motivates talented individuals to take on executive responsibilities.
Rethinking leadership development
Over 2.1 million students are expected to earn bachelor's degrees this spring, with another 1 million estimated to earn associate's degrees, according to the Education Data Initiative. How many took a course in observation?
"More than books, seminars, training, or experience, observation is a prime educator," says author and motivational speaker, Tony Legando. It's a simple skill, but its potential in developing teams, like finding a new source of energy, is off the grid," Legando emphasizes.
An overlooked aspect of how individuals develop is their ability to be attuned to those around them. That begins by learning how to read the room, literally and figuratively. Principally, this refers to the bearing and manner in which colleagues conduct themselves.
But to read the room, you have to be physically present. Digital doesn't allow true engagement.
What else should we know about next-generation development?
Managers and supervisors on the front lines have significant responsibility. Helping coworkers get the right experiences. Teaching them to learn from mistakes and improve decision-making skills.
The literature reveals that purpose is important to younger employees. Is it linked to advancement? Are development paths offering diverse experiences rather than just ladder climbing? Ongoing conversations about performance appeal more to self-directed learning styles than annual reviews.
In an age of artificial intelligence, there's a premium on human communication.
The data make clear that not everyone wants a leadership role. And new processes are needed in succession planning to entice those who may be open to that option. For those with the right motivations, gifts, and temperament, this is a new day.
The door is open for courageous persons willing to take on tough assignments. The need is for more individuals who can endure adversity while maintaining their composure. A sign of maturity.
For employers, appealing to emerging leaders is an ongoing effort. What do they see that would interest them in more duty and accountability?
One pitfall to avoid — promising opportunities while letting the bureaucracy inhibit their fulfillment. That's a self-defeating act for any organization.
With a rising generation leadership crisis at hand, consider having more associates in the room. Remind them that "to acquire knowledge, one must study. To acquire wisdom, one must observe."
Strategist.com
© Bredholt & Co.
