Susan Dwyer

NEWPORT BEACH, CA—Move over, Millennials: Gen Z is right behind you, and they're set to bring enclosed rooms back to the workplace as well as some other changes, H. Hendy Associates project director Susan Dwyer tells GlobeSt.com. As we recently reported, Gen Z is similar to Millennials in that both groups enjoy multi-tasking and have an affinity for technology, but there are some telling differences, according to Robin Weckesser, president and founder of a3 Workplace Strategies.

Hendy's Dwyer has done quite a bit of research about how this generation's needs and expectations differ from Millennials and how employers can best cater to their needs without disregarding the preferences of Millennials and other generations. She says in order to stay relevant and attract/retain talent, it's critical that CRE employers start to consider Generation Z when implementing new office designs and workplace amenities.

We spoke with Dwyer about these considerations and how employers, developers and property managers can satisfy all generational needs in the workplace.

GlobeSt.com: How would you characterize Generation Z's impact on the workplace?

Dwyer: Technology is one of the biggest driving forces for Generation Z, which encompasses those born in the mid-1990s through the 2010s and makes up 25% of the current population. They weren't just born when technology and the Internet were advancing exponentially, but rather when it had already advanced (think tablets and mobile devices). Technology is even more second nature to them than Millennials.

Gen Z is also set to bring enclosed rooms back to the workplace. While they may have grown up multi-tasking their entire lives, Gen Z often prefers privacy and needs access to focus rooms in order to be productive. This differs from Millennials, who prefer collaborative workspaces.

Quiet zones, which are spaces in the office designated as “no-interruption areas,” will also help this group maintain focus. If someone is working in a quiet zone, others immediately know not to disturb them.

Gen Z prefers face-to-face interaction rather than through devices; however, they also have more experience communicating through devices and social media than Millennials. Gen Z will still need coaching on how to communicate face-to-face in a business setting, so it will be critical to have them sit near their managers so that they can hear phone calls and learn through real-time examples of how to communicate in the office. Small, enclosed meeting rooms will be very beneficial for coaching sessions. Transparency in the workplace, especially when it comes to how they are managed, is also important.

GlobeSt.com: How do this generation's needs and expectations differ from those of Millennials and other generations currently in the workplace?

Dwyer: Gen Z expects to have the most current technology available to them as soon as they enter the workforce: Wi-Fi and lightweight laptops or tablets are the expected norm. Ninety-one percent of Gen Z said the level of technological sophistication in a workplace would impact their decision about whether to accept a position, meaning corporations are setting themselves behind should they not comply.

This generation will be coming into the workforce more independent. They are the children of Generation X (also called latch-key kids), who were also known for their independence, and will expect less micromanaging than the previous generation. With 80% considering creative self-expression important, they won't just want to work in a strong cultural environment—they will want to help create that culture.

GlobeSt.com: How can employers—and developers and property managers—cater to Gen Z's needs without disregarding the preferences of other generations?

Dwyer: The best way to plan the office environment for many generations is to make sure it is flexible and has a variety of workspaces. While there are differences between the generations, there are also similarities that allow spaces to be utilized multi-generationally. Like older generations, Gen Z is more private and will benefit from enclosed rooms that are available on-demand for anyone to utilize. The same enclosed rooms are also functional for Gen X and other generations who prefer private offices to get away from distractions.

Both Y and Z are great with technology, so companies need to ensure all spaces are technologically equipped for a variety of tasks. Gen Y thrives on collaboration, and collaboration rooms/areas will always be essential for training of any newer generation – flexibility will be key as well. A small meeting room can easily double as a quiet room. A lunch room can be turned into a collaborative area in the afternoons. To keep real estate costs down, businesses will need to be smart about providing a variety of support spaces that can be utilized for dual functions depending on the moment and person in need. Similar to Millennials, Gen Z thrives on continual feedback.

GlobeSt.com: What else should our readers know about this cohort of workers?

Dwyer: Gen Z has a competitive spirit, with 77% expecting to work harder than generations in the past. Due to their belief that hard work pays off, this generation may also want to stay longer term with one company. Growing up in households with parents affected by the Great Recession has made this generation more aware of finances, with the desire to work hard to ensure financial success. They are also more family-centric than previous generations. While they want to make a difference in the world (like Gen Y), ultimately salary and work stability comes first.

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Carrie Rossenfeld

Carrie Rossenfeld is a reporter for the San Diego and Orange County markets on GlobeSt.com and a contributor to Real Estate Forum. She was a trade-magazine and newsletter editor in New York City before moving to Southern California to become a freelance writer and editor for magazines, books and websites. Rossenfeld has written extensively on topics including commercial real estate, running a medical practice, intellectual-property licensing and giftware. She has edited books about profiting from real estate and has ghostwritten a book about starting a home-based business.