Ignoring 'Generation Techs' at your own peril

By strategy+business
Special to CNET News.com
October 2, 2004, 6:00 AM PDT

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After years of debating the limitations of hierarchically run organizations
and the merits of democratization, the end of command-and-control management
may finally be here.

Blame the people 25 and younger in our midst.

Unprecedented changes in electronics and communications over the past 30
years have led to fresh patterns of thinking in these young "digital
natives"--a new generation of people who are collectively harnessing both
new technology and new behavioral skills--often to effect dramatic change
within the organizations that employ them.

Think about Microsoft in the 1990s. The software giant was rolling along
with "billg" at the helm, garnering big profits, living off simple operating
systems, and ignoring the Internet. But younger Microsoft employees, more in
tune with today's technology, began filling Bill Gates' e-mail in-box with
charges that he was neglecting the Web. And that he was thereby putting the
company in peril. The digital chant finally got loud enough for Gates to
write a now-famous strategic change memo declaring Microsoft was putting the
Internet at the center of everything it did. Here was a company
transformed--from the bottom up.

A recent tale of bottom-up change initiated from the U.S. military's front
lines is equally intriguing. Troops on the ground in Afghanistan and Iraq
were issued "kits" that were less than perfect for their jobs. But with an
Internet search, soldiers found clothing and equipment better suited to
Middle Eastern environments. They began ordering their gear online, ignoring
established procedures. Eventually, military brass was won over.

Going 'digital native'
Why do I call these young computer enthusiasts and organizational activists
"digital natives"? Think about the extraordinary cumulative digital
experiences of each of these future leaders: an average of close to 10,000
hours playing video games; more than 200,000 e-mails and instant messages
sent and received; nearly 10,000 hours of talking, playing games, and using
data on cell phones; more than 20,000 hours spent watching television;
almost 500,000 commercials seen--all before they finished college. At most,
they�ve logged only 5,000 hours of book reading.

This generation is better than any before at absorbing information and
making decisions quickly, as well as at multitasking and parallel
processing. In contrast, people age 30 or older are "digital immigrants"
because they can never be as fluent in technology as a native who was born
into it. You can see it in the digital immigrants� "accent"--whether it is
printing out e-mails or typing with fingers rather than thumbs. Have you
ever noticed that digital natives, unlike digital immigrants, don't talk
about "information overload"? Rather, they crave more information.

The youngest workers don't need to adapt to fit into the agile, flat,
team-based organizations older executives are striving to design. They just
do it: They communicate, share, buy, sell, exchange, create, meet, collect,
coordinate, play games, learn, evolve, search, analyze, report, program,
socialize, explore, and even transgress using new digital methods and a new
vocabulary most older managers don't even understand.

Blog? Wiki? RTS? Spawn? POS? Astroturf? How do these sound when juxtaposed
with cross-functional cooperation, team-based management, and 360-degree
feedback?

Unfortunately, many digital immigrant leaders don't get the fact that
digital natives bring unique capabilities to large organizations. Often,
immigrant managers are caught between their old beliefs and the new
realities they observe. As one senior executive put it: "Blogging has proven
the vitality of participatory journalism. Now there are people like me
coming along and trying to figure out how to package it." That is simply
digital ignorance, say the natives: There�s far more to blogging than the
next new product.

This is not to suggest that a premium shouldn't be placed on the knowledge
of organizations and the management experience of top executives. Nor is it
to say that digital natives--business neophytes, almost by definition--would
be better at running a company than seasoned leaders. It's simply to argue
that technology is altering the face of organizations in more ways than just
by improving productivity, and smart managers would do well to pay attention
to what this technologically savvy generation has to offer.

By overlooking or underestimating digital natives, older executives are
sending a message to some of the most talented people in the work force that
they are not appreciated or supported. Recently, a senior Coca-Cola
executive recalled what happened at another Fortune 500 company he worked
for when a young engineer from MIT was hired. Threatened by the recruit's
skills and eagerness, some managers made his life at the office
uncomfortable. In short order, the recruit quit.

Far more prudently, before he left General Electric, Jack Welch had his top
1,000 managers be mentored by young GE employees, "many of whom had just
joined the firm, but who nevertheless understood the new technologies better
than GE's finest," according to The Economist. Microsoft now sees the role
of its managers as "clearing obstacles from the paths" chosen by its young
programmers who carry the firm's future products in their heads.

Why stop there? Executives could consult with digital natives about new ways
of connecting with their customers. The idea of "go look customers in the
eye" may no longer work in fast-moving industries that are populated
increasingly by people accustomed to building and maintaining relationships
online and using software to assess product quality or a business's
reputation. Or managers could ask digital natives for recommendations about
new products that might satisfy younger customers' needs more directly.

If consulted, these young employees can be an enormous force for positive
change and success in their companies. If ignored, they will doubtless spend
their brain cycles on the job plotting how to make their own work lives, not
their companies, better.

To read more articles like this one, visit
http://www.strategy-business.com/.

Copyright � 2004 Booz Allen Hamilton Inc.

Reprinted with permission from strategy+business, a quarterly management
magazine published by Booz Allen Hamilton.


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