A growing undercurrent of scepticism surrounds the managerial capabilities of Gen Z. Despite their reputation for technological proficiency and innovation, this cohort, born between 1997 and 2012, is facing questions about their readiness for leadership roles. A recent Resume Builder survey underscores this sentiment, with 27 per cent of businesses believing their Gen Z managers underperform compared to more seasoned counterparts. Furthermore, 90 per cent of business leaders reported frequent complaints about Gen Z supervisors. Despite their tech-savvy and innovative nature, members of Gen Z are seen by many as struggling with the nuances of leadership that come more naturally to their Gen X and Baby Boomer colleagues.
The survey reveals a generational divide. While 45 per cent of employers find Gen Z the most challenging group to manage, this number diminishes across older generations, with just 9 per cent of Baby Boomers facing similar issues. What are the underlying reasons for this divide?
Functional and behavioural competency gap
When it comes to hiring, organisations focus on two main aspects: functional competency and behavioural competency. Functional competency refers to the technical skills and knowledge required for the job, while behavioural competency encompasses leadership skills, teamwork, and the ability to adapt to corporate culture. As Chandrasekhar Mukherjee, a senior HR leader, puts it, “Gen Z excels in functional competencies, particularly in technology and digital literacy. However, behavioural competencies, crucial for leadership roles, often require further development.”
“Gen Z excels in functional competencies, particularly in technology and digital literacy. However, behavioural competencies, crucial for leadership roles, often require further development.”
Chandrasekhar Mukherjee, a senior HR leader
Behavioural competencies, including communication, teamwork, and leadership, are crucial for maintaining a cohesive and productive workplace. A 2023 survey revealed that four out of ten employers avoid hiring Gen Z due to a lack of these competencies. In response, leading consulting firms such as Deloitte, PwC, KPMG, and EY are stepping up with targeted training programmes to bridge these gaps, helping Gen Z graduates refine their communication skills and build confidence.
Importance of organisational fit
“Gen Z’s approach to workplace culture and hierarchy can also be a point of contention,” shares Ravi Mishra, head of HR at BITS Pilani. Members of this cohort often prefer a flat organisational structure and may not align well with traditional hierarchical systems. Furthermore, Gen Z individuals aspire to climb the corporate ladder quickly, often seeking promotions and higher responsibilities within a short time frame. This urgency can lead to frustration and dissatisfaction if their expectations are not met. A study by Deloitte revealed that 75 per cent of Gen Z employees expect to be promoted within the first year of employment. This is in stark contrast to the traditional career progression timelines that many organisations still follow.
“Gen Z’s approach to workplace culture and hierarchy can also be a point of contention.”
Ravi Mishra, head-HR, BITS Pilani
Maxima with minima
Gen Z’s approach to work-life balance also raises eyebrows. The concept of “maxima with minima”—wanting maximum results with minimum effort and time—is prevalent among this generation. Many Gen Z individuals express a desire to work intensively for a short period, achieve financial security, and then pursue personal passions. While this mindset promotes efficiency and innovation, it also raises concerns about their long-term commitment to managerial roles, which often require sustained effort and dedication. “Employers fear that Gen Z managers may prioritise personal goals over organisational needs, leading to high turnover rates and instability in leadership positions,” reveals Mishra.
“Experience often equates to reliability and a lower risk of failure, making seasoned professionals more attractive for leadership roles. This focus on experience, however, can sometimes overshadow the unique strengths that Gen Z brings to the table.”
Ramesh Shankar, senior HR leader
Managerial roles require a deep understanding of processes, people management, and strategic thinking, which goes beyond mere technical knowledge. Gen Z, having grown up with immediate access to information via the Internet, often excels in acquiring knowledge quickly but may lack the depth of understanding that comes from years of experience. This gap can be particularly evident in roles that require nuanced decision-making and long-term strategic planning.
Aspiration vs. experience
One of the primary concerns employers have is Gen Z’s rapid rise in aspirations. Many Gen Z professionals aim to become managers or even higher-level executives within a few years of starting their careers. While ambition is commendable, the managerial position requires a deep understanding of organisational dynamics, team management, and strategic thinking—skills that typically develop over time and through diverse experiences.
“Experience often equates to reliability and a lower risk of failure, making seasoned professionals more attractive for leadership roles. This focus on experience, however, can sometimes overshadow the unique strengths that Gen Z brings to the table,” emphasises Ramesh Shankar, a senior HR leader. “While experience is undoubtedly valuable, it can sometimes lead to rigidity in thinking. On the other hand, Gen Z’s fresh perspectives can drive innovation and process improvements.”
His advice is, “Leaders must strike a balance between valuing experience and fostering a culture that embraces new ideas and approaches.”
Generational respect and communication styles
Respect for hierarchy and seniority varies significantly across generations. Gen Z’s informal communication style, influenced by social media and digital platforms, sometimes clashes with the expectations of older generations who value formality and respect. For instance, addressing a senior colleague by their first name may be acceptable for Gen Z but is considered disrespectful by older employees. These differences in communication styles can create friction and hinder effective collaboration. Employers worry that Gen Z managers may struggle to command respect and authority from their teams, particularly those with older or more experienced members.
Work-life balance as priority
One of the most significant shifts in the modern workplace is the growing emphasis on work-life balance, a priority that strongly resonates with Gen Z. For them, work-life balance isn’t just about having enough personal time. It encompasses flexible work schedules, remote-work opportunities, mental-health support, and a workplace culture that respects personal boundaries. According to Deloitte’s Gen Z and Millennial Survey, flexibility/adaptability was the most valued trait for Gen Z employees, and 77 per cent of remote or hybrid Gen Z employees would look for a new job if asked to return onsite full time.
Navigating senior roles: The way forward
The ability to manage different generations effectively lies in the hands of organisational leaders. The capacity to adapt and leverage the strengths of each generation is crucial for leaders. For instance, while Baby Boomers may prefer stability and long-term projects, Gen Z thrives on new challenges and variety. Effective leaders recognise these differences and tailor their management approaches accordingly.
Senior managers should clearly communicate their expectations and provide mentorship to young professionals, fostering a supportive environment for growth. Additionally, organisations should emphasise the importance of thorough and genuine understanding over mere knowledge. They should encourage Gen Z to develop practical insights through hands-on experiences.
Putting members of Gen Z in managerial positions requires a willingness to take risks. These young professionals may lack traditional experience, but they more than compensate with their energy, talent, adaptability, and fresh perspective. They often challenge the status quo and propose innovative solutions that experienced employees tend to overlook. This propensity for innovation can be particularly valuable in industries undergoing rapid change or needing a shake-up in traditional processes.
In conclusion, while there are valid concerns about the readiness of Gen Z for managerial roles, their unique strengths should not be overlooked. With the right support and development opportunities, they have the potential to become effective leaders who drive positive change and innovation within organisations. As the workforce continues to evolve, it is crucial for companies to adapt their management practices to harness the full potential of every generation.
1 Comment
Appreciate a in-depth thoughts on Leadership and area of focus to be a Leader for the generation. I think , its a role of a existing leader to ensure the balance between Experienced One and Emerging Talent to ensure the continuity. In today’s fast moving world, it requires a lot of patience and persistence to hold the position cause, your talent may take a you to the top but your behavior will decide how long you will be holding the post there.