5 Reasons Why It’s Challenging for Traditional Industries to Attract Talent

In a recent issue of Inc. magazine there was a list of 50 companies that have been selected as the 2011 winners of creating a superior company culture.

In that list the industries represented were primarily technology, wellness and health and education. What was missing was finance, insurance and health care as well as other long standing industries.

I have been working with a multiple of industries over the years both as a consultant and I have observed that the longer amount of time a company has been established the more challenges they have in creating change, implementing change and sustaining change.

Established organizations that do not focus on changing or re-educating on company culture and core values are going to continue to struggle with attracting and retaining top talent- specifically of Generations X and Y. Even Zoomers (boomers who refuse to age) are no longer willing to tolerate cultures that do not focus the well-being of their employees.

In my experience, research and discussions with top leaders in these industries here are the 5 reasons why it’s challenging for traditional industries to attract top talent:

1. Complex processes: There are still a fair amount of process in larger and longer established organizations. Of course we need systems and structure but research has proven that organizations that have the easiest work systems, communication flow and resources tend to have the happiest employees.

2. Hierarchy – A recent survey by Accenture revealed that 58% of the global workplace are dissatisfied with their jobs. In traditional industries many Gen X and Y are frustrated at the barriers they see with hierarchy. If a traditional organization is trying to recruit a Gen X or Y and the company policy is 2 weeks vacation until an employee is with them for 5 years that is a huge deterrent. Gen X and Y are looking for performance rewards and because they do not see tenure as something they themselves will likely have they do not want to work for an organization that rewards time on job.

3. Work environment – There are a lot of generalizations about each of the generations and we have to be careful to not put everyone in a box. However there are some truths to the generational viewpoint differences such as both Gen X and Y want to work in a fun, energetic and dynamic work environment. In traditional and long standing organizations there can be an established culture of seriousness and this is not an attractive work environment for top talent.

4. Limited learning opportunities – Top talent have become high performers because they are constantly learning and growing. They see an organizations as opportunities to learn as much as they can, to grow and to move upwards. Many traditional organizations have policies around education that they will only reimburse courses that are in line with the type of work being done. Gen X and Y see that all learning is relevant and applicable to their work. Organizations that are willing to support learning of any kind are highly valued by top talent regardless of which generation they hail from.

5. More freedom to work in different environments – Of course there are certain work functions where the employees need to be on site the majority of the time. However top talent wants the flexibility to work from wherever they are. Gen X and Y see their PDA’s as their office and they no longer view work as being done only in an office. Traditional organizations have an opportunity to look at how they can create increased flexibility and freedom for their employees.

There are many traditional organizations who get that they need to re-imagine, re-engineer and re-visit their approach to corporate culture in order to remain competitive for top talent. Yes it is more difficult to create change in longer established organizations however it is imperative that it happens.

Cheryl Cran, CSP is the author of “101 Ways to Make Generations X, Y and Zoomers Happy at Work” and “The Control Freak Revolution”. Her clients include 3M, TD Canada Trust, Bank of America, ING, Astra Zeneca and more. She works with leaders and their teams to increase teamwork, manage change and communicate in a multigenerational workplace. http://www.cherylcran.com