Just as Y2K became a call to action to correct computer glitches expected as we began a new century, 2010 is beginning to sound a similar alarm. For many organizations, the year 2010 marks the beginning of a workplace transition. That transition is the massive exodus of the Baby Boomer population. It is estimated that 70 percent of those born between the years 1946 and 1964 will opt to retire. That's an estimated 64 to 75 million workers over the next two decades! While experts disagree as to the actual number of replacements that will be available – there is one thing that everyone agrees on who is studying this problem. There will be a talent shortfall of approximately 35 million workers over the time span.

What is most critical about the Boomer retirements is not so much that they will leave vacancies, its' the kind of vacancy. When the Boomers do retire, they will take with them the experience and know-how that currently fuels the everyday functions of our organizations. Whether you work for a public, private or non-profit organization, the challenge will be same. Who will be the replacements and how do we prepare them?  Clearly not all of these positions can be outsourced or filled with new college graduates from other countries with a surplus of knowledge workers.

The pending talent shortfall could be a window of opportunity for creating greater diversity in the senior management and executive leadership ranks.  Those employees who have been stuck for years under their organization's glass ceiling will find opportunity calling, and should heed this call by getting ready. There is still time.

Taking advantage of this window of opportunity will require a strategic approach for implementing the initiatives that will drive greater diversity in our leadership pipelines. What does such a strategic initiative look like?

• We need to start with a demographic survey of our mid to senior level managers, supervisors and managers who have been labeled as high-potential, and also those stuck underneath the glass ceiling. Many women and ethnic minorities have been unable to move, not because they lack the competence to learn, but because they lack opportunities for development.
• Each person who wishes to be a part of an accelerated development pool needs an Individual Development Plan. Managers of the identified candidate in the pool need to be a part of the generation of this plan.
• The organization needs to outline the competencies required and desired for movement into the next levels. 
• The organization needs to make projections for future retirements, both in numbers and in positions.
• Organizations that take this initiative seriously will provide the means for development to take place. They will create, arrange and make resources available to accelerate the development of prospective leadership candidates. Some of the essential programs are mentioned below:
  • Formal mentoring needs to be a key component in the development tactics offered because of the need for visibility and eventual sponsorship of leadership candidates. Mentoring by senior employees also captures the knowledge which is lost when retirees leave the workplace.
  • Among other components needed for all candidates should be:
    • Managing diversity, with a special emphasis on managing diverse talent
    • Management and executive development courses and workshops
    • Stretch assignments and/or job rotation opportunities
    • Participation in action learning teams or visibility projects
  • Specialty workshops are a must for women, ethnic minorities, the GLBT population, the differently abled, and other under-represented groups.
• Lastly, each organization needs to have a method for tracking and monitoring the development and readiness of its leadership candidate pool.  

The urgency for creating greater diversity into the leadership pipelines of our organizations is already here. The components for developing the strategy will be outlined and discussed in our 2008 webinars and Mentoring and Leadership Summits sponsored by the Texas Diversity Council.

For more information, contact Dr. Rita Boags at (510) 581-2946 or log on to www.leadershiptechnologies.com.  Members of diversity councils and affinity groups qualify for special discounts.

¹Training Magazine, September, 2006, Pp 19-23.

²Journal of  Contemporary Business Practice, 2004 No 2.

³San Francisco Chronicle, 12/29/06, A19.

References and additional resources:

Atwater, D.M. and Jones, A. Preparing for a Future Labor Shortage. Journal of Contemporary Business Practice.  2004, Vol. 7, No.2. at http://gbr.pepperdine.edu/042/laborshortage.
Babcock, P. “Employers Exploring Ways to Retain Older Workers.” SHRM Recruiting & Staffing Focus Area. October, 2005.

DeLong, D. Lost Knowledge: Confronting the Threat of an Aging Workforce. New Yourk: Oxford University Press, 2004.

Dolezelak, H.  “Outta Here. Are you ready for the baby boomers to retire? You should be. Here's what you need to know.” Training Magazine. September 2006, Pp 19 to 23.

Landsberg, M. “China's college graduates find getting degree is no guarantee,” San Francisco Chronicle, December 29, 2006, p A19.

Shankman, P. “The Ins and Outs of Global Sourcing.” Training & Development. November, 2006, Pp 25 to 30.