Governing, managing, ruling the country and regions depends on the fact – who is the governor, what generation does this person belong to, what are the values basing on which the governor makes decisions and acts. We decided to analyze generational composition of Russian governors and compare it with US state governors.

Data on Russia was taken from open official sources; for analysis we added to regional governors mayors of two federal cities – Moscow and Saint-Petersburg. American data was taken from  National Governors Association website (http://www.nga.org “Book of Governors biographies”, “Governors of the American States, Commonwealths and Territories”, 2009).

Observations and findings:

1. Among Russian governors there more representatives of Baby-Boomer generation – 43 persons (52,4%), in USA maximum number of governors refers to Echo-generation “Silent-Baby-Boomer” – 44,2%. Exactly these two generations are currently in power and form “the game rules” in both of the countries. (This is one of the reasons, in our view, why Generations X and Y should study their values).
2. In Russia governors age varies more and has wider extremes compared to USA. The difference between the eldest and he youngest governor in Russia is 42 years and in USA – 31 year. (The eldest in Russia is governor of  Bashkortostan Republic Murtaza Rakhimov – born 1934, the youngest – born in 1976 Ramzan Kadyrov, governor of Chechnya. In USA the eldest of the governors is Ted Kulongoski from the state of Oregon – born 1940 and the youngest from Louisiana – Bobby Jingdal was born in 1971).
3. We can define certain “harvest” periods when the highest number of governors was born. In Russia these are the years around 1952 and 1962. In USA – around 1946 and 1956. For explanation why these periods are the most “harvesting” it’s necessary to take data from several other countries (there could be delay in appearance of certain generations in Russia compared to USA, there can be peculiarities of political system, it can be non- global  regularity). At the same time we can suggest that in Russia and USA there are “waves” of governors with close values.
4. There are 7 women-governors in USA (Janice Brewer  – Arizona, M.Jodi Rell – Connecticut, Bev Perdue – North Carolina, Chris Gregory – Washington,  Katheline Sibelius – Kansas, Linda Lingle – Hawaii, Sarah Palin – Alaska). In Russia the only womenis Saint-Petersburg mayor Valentina Matvienko. That gives 13% of women-governors in USA and 1% in Russia for the country.

Let’analyse spread of generations in Russia at the current moment and what will be the strategic management conclusions for Russia. We will take data of Rosstat 2007 research (Federal service of state statistics – www.gks.ru). Calculation of population, belonging to certain generations is not fully precise as the source data of Rosstat research is given in 4-year intervals, so the data boundaries don’t concure with generational boundaries.

What should strategic managers draw attention to?

1. Significant deficit on labour market in Russia will start since 2010 and will grow on further. Deficit will include both number of labour resources (for country GDP growth more people will be needed) and their quality. At first will grow competition for qualified employees (decrease of 1968-1972 years of birth) and then approximately since 2013 for young employees (dip around 1998-2002). Afterwards competition will grow in all sectors of labour market (significant reduction in number of working population due to achievement of retirement age by Baby-Boomer generation; number of women exceeds number of men). Compensation of this deficit by labour migration will greater influence non-qualified working labour. See graph below – main tendencies of Russian population spread in different age groups in 2017 – that’s transfer of 2007 data (we didn’t prognosticate birth and death rates 2007-2017, just “aged”  all the segments for 10 years and took approximate life interval of 79 years).

Described situation is probably one of the engines of government initiatives on transition to innovative economy and modernization of education system – how should we as a country produce more with less number of labour resources.

Above-mentioned risks are especially important for regions with high density of population or having specialisation; large and territorically spread companies; high-tech enterprises and companies of professional service sphere, management positions (proportion of gifted people doesn’t change).

2. Risks of loosing knowledge and qualification of retired generations – “Silent” and “Baby-boomers”.

Each of these generations made special input into development of concrete industries and spheres in our country. Some of key knowledge spheres of these generations:

Silent: science and discoveries, culture (museums, literature, cinema, art), professional knowledge in working professions.

Baby-Boomers: creation and management of large systems of country scale, management of big company, regional development (planned economy politics), engineer professions.

3. Pay attention to “quality” of immigration and emigration on country, regional, company and organizational level.

4. Pay attention to adoption of other countries’ experience in order to find solutions to mentioned difficulties. Due to certain difference in developing rates and change of generations, some countries (e.g. USA) has already faced mentioned situation (Baby-Boom in USA started earlier than in USSR as USSR required more time for after-war recovery).

How can Generation Theory help?

1. Teach representatives of different generations better understand and interaction with each other (e.g. explain to Silent and Baby-Boomer generations why should they transfer knowledge to others)*)

2. Specify already developed strategies, directed on forming the image of good employer as a company, region, с untry from generational point of view.

3. Define more precisely development zones, connected with interaction of generations, translate experience of other countries and adopt it for Russia.

*) We plan to write special articles devoted to this question.

Generational values are formed under the influence of social events and specifics of family upbringing up to the age of 10-12 years. What are the conditions generation Z grows  in and Generation Millenium was already formed?

In basic Generation Theory generations change each other approximately every 20 years. It’s obvious, that change of generations doesn’t come with January 1 of a certain year. People, who were born in transition period between generations (plus-minus 3-4 years from the year of generation appearance) are referred to so called “Echo-generation” or “Boundary generation”.

Let’s take for analysis “Forbes” List of Billioners in Russia (“100 Russian richest businessmen”, May 2009), as well as Top-200 and Top-425 from “Forbes” List of World Billionaires 2009 -The World’s Billionaires 2009.

On graphs below blue line indicates number of “Forbes” list representatives according to their birth years, black line – linear filtration on 4 points.

Conclusions

We suggest that representatives of “Echo” (“Boundary”) generations, who possess values of two generations on the junction of which they were born, has competitive advantages due to ability to build relations and communicate more effectively.

Generation Theory can be specially useful for interaction on interstate level, as it unites World experience and leads to better understanding of formed World value systems. This, in its turn, allows better understand other agents, solve questions, build better relations and communication. (Example, by the order of US Government Howe and Strauss – Generation Theory authors – developed recommendations and methods of using the Theory for country educational system, army and development).

Important remark:

This express-research doesn’t pretend for scientific precision, this is our hypothesis. Its task is to draw special attention to: 1) specifics of “Echo” generations; 2) essential difference of generational structure of Russian economic elite from the World.

For full value analysis you should also take into account: factors of birth and death rates, life expectance, shift of generations in different countries, owners of “shadow” capitals, separately analyze dynamics of “old” and “new” money.

There are three traps for managers of generation X, which we often see in our projects: 1) “Excessive compensation”, 2) “Looking for the problems where they don’t exist”, 3) “Don’t develop as a manager”.

1. Extensive compensation.

Why does it appear and what X-values work here: value of professionalism, need to see the meaning and believe into it, aspiration to build informal relationships.

How does it look like? Employee who has his part of the work (usualy it’s work which manager perceives as routine) suddenly starts behaving himself irresponsively – quality of work decreases, deadlines are broken. Employee agrees with all the remarks, but soon situation repeats.

What happens? X-manager, who doesn’t like routine work himself tries to find variants for the employee to compensate  that employee “does non-interesting job”. Due to this fact X-manager starts giving more personal attention to this employee, organizes better working conditions, sends to trainings. Manager gives to the employee more, than he gets himself and what company gets as result. Some time later X-manager so strongly changes the balance that employee starts behaving as ‘a child” – irresponsively. Attempts to solve this situation by drawing more attention to the employee (more detailed task setting, appointing superviser, meetings together with HR managers) only deepen the situation.

What to do? Get back to “following the rules”. Precisely describe the system of consequences (compensations) to the employee and follow it. For example, for the first violation – oral reprimand + still fullfilled work task, second violation – written reprimand, third – material compensation, firth – firing.

2. Looking for the problems where they don’t exist

Why does it appear and what X-values work here:value of professionalism (my professionalism of a manager  – I find solutions myself), aspiration to build informal relations (trying to negotiate by yourself without involving your boss), importance to have personal zone of responsibility and manage it,  need to find your own unique solutions (nobody knows how to deal with it, but I can).

How does it look like? Real case from the training.

Manager (M): I have a woman-employee who came here by backstair influence. She doesn’t do her work well. But I can’t fire her. How can I motivate her to work better?
Trainer (T):  What have you done already?
M: I talked to her and tried to get to an agreement; I attended trainings on Team-management, Management skills, read books.
T: What does she say?
M: That she is not interested in work but doesn’t plan to leave the department.
T: Did you ask your Director for advice?
M: No, I think this question I should solve myself.
T: How long does the situation last?
M: More than a year.
T: What other variants do you have?
M: Pay no attention to her, it wouldn’t influence the work our department does. She is just here.
T: Why do you act like this?
M: I am interested to find a solution. So I came to you. Besides, I am interested in psychology.
T: We can surely find together what can be motivating for her. But we suggest you to think – is there reason and sense to continue working on this question.

What to do? Learn to see such situations, which actually don’t need actions and solutions, reflect – that you don’t give them too much attention. Set your own goals and coordinate you actions with them.

3. Don’t develop as a manager.

Why does it appear and what X-values work here: see pluses and minuses below.

For X-managers work of higher level besides important pluses – more responsibility, large one of influence, higher income, communication with statuse persons, ability to combine work and travel, possibility to lead more large-scale projects – has definete minuses. Among them: it’s harder to manage you personal time, time for work essentialy increases, you need to make your own team (about team – it’s written in all the text-books that you need to make it, but how to do this in real life, what is your team, where can you get it?), necessity to follow norms and procedures more strictly, lots of routine work, less time is left for projects which are personally interesting (there are so many interesting things around and new one always appear!)

Even not understanding this, X-managers stop in their development as managers and jump to professional functional development. Instead of developing as a manager they use following approaches: “I am going to develop horizontally”, “I am satisfied at current posistion”, “I have deeper values than just earning money”, “What’s the sense in constant 40% growth per year?”. By the way, Generation X developed practice of downshifting and actively follows it.

What to do? See this balance and make decisions consciously. Inspite of the minuses, ther are considerable advantages. Remember, if you have  ambitions to grow further, questions of personal development as a manager will definetely rise for you.

Extremely big number of current Russian top-managers and players in politics and business belongs to Baby-Boomer generation (1943-1963 – years of birth) or “Echo”-generation Baby-Boomer-X (1960-1968 years of birth). Examples: leaders of our country are mainly Baby-Boomers (Vladimir Putin) or “Echo” – Baby-Boomer-X (Dmitry Medvedev). Heads of  big companies Baby-Boomers – V.Evtushenkov (Joint Stock Financial Corporation Sistema), V.Lisin (Novolipetsk Steel), “Echo”-generation – M.Prokhorov (Onexim), M.Fridman (Alfa-Group).

What is important for Baby-Boomer manager? How to show that you you can be trusted and you are “in a team”?

1. Status respect – address him by name and patronimic name (not just by name), have “correct” appearance (follow dress-code in concrete situation).
2. Link your actions and suggestions not only with the manager’s interests, but with the interests of company and organization in total. While making presentations and presenting projects obligatory add – what you suggestions would give to a company, organization and may be even to country.
3. Show situational development and results in time perspective not only for 1-3 years but for a longer period (10-20 years). Why is it important? Baby-Boomer generation grew up in times when you could develop long plans which became reality. Remember “Program 2020” for development of Russian Federation.
4. Learn to be in one team with Baby-Boomer. What does it mean? Speak about it, use the word “team”. What are the rules this team play by? Sport rules – there is a captain, who is unquestioned authority and leader (words from Baby-Boomer famous song “Team of our youth, team I can’t live without”). Members of such team support each other  and help just because the team needs that. To take more responsibilities, work late in the evening, come to work on week-end because the team “needs it” – it’s not achievement and not the reason for additional compensation. This is the norm. That’s not all – only those are in the team – can be trusted. That’s why it is important to become understandable as an individual, as a personality – in this case trust appears. What does it mean? It means that you should tell about yourself, your plans and your values. You need to come and talk not only when you have a reason, but without a reson as well – key thing is coming regularily, e.g. once a week. By this you will also demonstrate such important feature as “systematic approach”.
5. Set ambitious goals for you yourself and your department. And don’t be shy calling them so. Striving for victory, the word “victory” itself – is important feature of this generation. “Just fullfill business-plan” – is definetely not a victory. Victory – is to become the first, the best.
6. In case you need help, advice, consultation – come “for advice”. Doing this you show status respect, being in a team and get a chance to show yourself as a personality. There is a magic phrase for cooperation with this generation “I want to ask for your advice”.
7. Always come to the meeting ready and obligatory have something in you hands (e.g. printed presentation, report data, etc.). Know necessary facts and have all the materials with you (you show your status respect – that you are prepared for the meeting, you have systematic approach – you thought in advance and see “big picture”).
8. Do’t use the word “problem”. Use synonims instead, e.g. “difficulty”, “task”. For Baby-Boomer  the notion “problem” = “catastrophy, defeat”. (It’s not “victory”).
9. Use epithets “modern, fashionable, actual”. (For this generation it’s important to be active and feel young and strong as long as possible).

Practically all these recommendations don’t correspond with the values of X generation –  they look unnatural and  even forces. Our sympathies to you. We are also from X generation. We invite you to learn together.

This cartoon is about interaction of two generations: Silent (Mister Fredriksen) and Z (the boy-scout). Interesting that in fact this cartoon is about one generation – as Generation Z is the next cycle of Silent generation (cycle of generations takes about 80 years).

Corresponding generational values in the cartoon:

Book-learning. Silent generation is also called “book-learning generation” – it was formed under the influence of books but not real events. They haven’t been at World War II and didn’t become war veterans because were too young. But they needed to get life knowledge and feel themselves “heroes” – so they took the knowledge and feelings from books. The boy-scout also gets knowledge about nature not from real life but from the book – where not everything corresponds to reality. He finds this discrepancies during the journey.

Idealism and black-and-white perception. Their heroes are black-and-white: if the person is an explorer – he is perceived as definetely good, just because he is an explorer. Only in elderly age, meeting his former idol, Mister Fredriksen understands – that his ex-heroe is egoist and criminal.

Creativity. Silent generation is generation of dreamers and inventors. People also call them creators. Mr.Fredriksen invents to fly in his own house to his dream-place (Heaven waterfall) with the help of southands of balloons. For many people it’s hard to believe this  but not for scientists and inventors. The boy uses technical equipment (GPS for orientation) and creates (invents) ways of getting new badge.

Individualism and friends. Both of the main characters are oriented on individual communication – they don’t have many friends. I would even say that they are lonely. They play and communicate with a limited number of people: the old man’s playmate in his childhood was a girl who became his wife later. The boy-scout plays alone, only formally being part of organization.

Communication. Representatives of this generation really want to talk – but this is not supported by the society. There is even a saying about Silent generation – “You should see them but not hear”. This generation grew up in the times of the World war, when there were lots of dangers around. In order to survive it was told to Silent children that they should have been unnoticable. Other requirement: you shouln’t ask many questions because you questions can harm the most valueble – your family. It’s also symbolic in the cartoon that Mr.Fredriksen was quite silent in his childhood, it was his wife who constatntly spoke. Opposite thing happens with a boy: he is eager to talk but everyone (at first his Mom, then Mr.Fredriksen) ask him to fall slent.

Family. Family becomes a place of protection for these generations. Family – is the whole World they live by: for Mr.Fredriksen family is formed by him and his wife; for the boy – by his Mom (he has no father) and in the future Mr.Fredriksen will become his family. It’s hard to join friend circle of this generation. Who becomes their friend? Animals – talking dog and Happiness bird. What is the reason for friendship? Food (chocolate). Food is great value for Silent generation, who grew up in hungry war years.

Thriftiness. Material things are important for these generations, and those things should always be with you – because the war (or something unexpected) can happen every day. Everything should be packed and ready. In cartoon the old man goes on a journey with a number of things and his whole house, the boy – with bagpack carrying his staff. Among their personal belongings both of them have books: the old man – Book of Adventures, the boy – Scout book.

Worldview. This generation can talk about unpleasant and “hard” things – death, unborn children.

By the way, representatives of Silent generation became those film directors, whose movies we watch, composers – whose songs we sing and scientists, who made many discoveries and inventions.

They say that Silent generation haven’t made a movie about their own generation (movies about values of their generation heroes made Baby-Boomers and GI). Now it looks like Silent generation and generation Z have created their own cartoon. Not just a simple cartoon – with 3-D technology!