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GRADVIEW, MILLENNIALS, OPINION, THE STARTUPS ECOSYSTEM

By Charlie Oliver (@rlieoliver), Telefónica graduate and Alan Mak (@AlanMakUK), UK Group Board Member at Havas.

18 August 2014: Across industries, companies are undergoing digital transformations. This is partly due to maturation and therefore the need to do more with less, but in most cases it is because there is a realisation that digital is disrupting the way in which consumers go about their daily lives. This means that businesses need to adapt.

Put simply, the industrial revolution empowered corporations; but the digital revolution has empowered the consumer.

The case for diversity in leadership teams is well known, primarily focusing on the benefits of including more women in senior leadership roles. As the global marketplace is now driven by a digital revolution, it is time that we included age in our thinking too.

At the moment, Generation Y or “millennials” as they are often called are encountering their own “glass ceiling,” where their aptitudes and experiences are under-utilised because of their age or perceived business inexperience. However, as “Digital Natives” they are actually perfectly placed to help their employers navigate their way through this disruption.

Companies should ensure that they look internally to fully leverage the digital talent amongst their people. As One Young World’s Kate Robertson said, there is no harm in supplementing the pre-digital experience of Generation X in companies’ leadership teams, with the digital experience of Generation Y.

Here’s why they should:

Millennials were the founders of the social media movement, where consumers now live their lives online. Every day, 1.8bn photos are uploaded and shared, 60% of Facebook’s 1.1bn users logon, 50bn messages are sent over WhatsApp; and last year 118bn units of music were streamed in the US alone, all online via social media.

This is important because social media has altered our expectations as consumers and employees. As Gary Hamel puts it, today contribution counts more than credentials. Viewers and listeners enjoy a YouTube video or a new song on SoundCloud irrespective of whether the producer has been to film school or is a multi-platinum recording artist. It’s about what you have to offer now, not what you’ve done in the past. Further, the idea of hoarding information is old school – sharing online is the norm.

This has translated unsurprisingly into millennials being more collaborative and more willing to look through hierarchy than past generations at work.

Importantly, they are also often the innovators behind it. Google’s Sergey Brin and Larry Page; and Facebook’s Mark Zuckerberg were at university when they launched their respective web services.

Decisions in business require applicable reasoning, so in addition to the undeniable wider trend, involving millennials in strategic decisions will, first, respond to a commercial imperative. Fully leveraging the innate digital talent amongst a company’s young people will offer a competitive advantage. Few companies will be bold enough to do this, but those that do will benefit.

Second, looking past age or management level will show that a business recognises and rewards talent. We do not advocate promotion for the sake of age alone, but we’re confident if the opportunity is there, millennials will step up to the challenge and add value.

Last, this will action widespread cultural change that moves away from hierarchical thinking. It will become self-sustaining, but leadership teams need to take the first step; and make this a credible decision within their organisation.

If millennials are to become the biggest group of consumers in the digital marketplace and are already the trendsetters within it, surely it is right for companies to look and see what more they can do to utilise the digital talent they have among their own millennials?

This is not a leap, more a logical step and will offer the opportunity to lead alongside the likes of Havas, Starbucks and Coutts. There’s no need to sack the CEO, only to add an extra chair at the table to secure that digital perspective that all companies now need.