MGT 602: Business Decision Analytics Report: Juniorization in Business

This report, prepared for MGT 602 Business Decision Analytics, delves into the practice of "juniorization" in modern businesses, where younger workers are increasingly replacing older ones. It examines the shift in corporate culture, talent management, and the adoption of technology to facilitate this trend. The report discusses both advantages, such as cost savings and access to technology, and disadvantages, including potential issues with employee engagement, high turnover, and a lack of experience. It highlights the importance of considering age diversity and organizational stability before implementing juniorization strategies. The report also touches upon the concept of Naturalistic Decision Making. The analysis uses references from academic sources to support its arguments. This report provides a comprehensive overview of the phenomenon, its implications, and considerations for businesses undergoing this transformation. The report concludes that embracing change can lead to strategic advantages, fostering creativity and retaining top talent.

Running Head: MANAGEMENT 0
Business decision analytics

MANAGEMENT 1
In many businesses today, the practice of “juniorization” is being implemented where
the older workers are being swiftly replaced by Youngers workers. This diversification in the
workplace is causing fundamental shifts in just every perspective of a business and
considering modern phenomenon, it is one of the greatest evolutions that has taken place in
the corporate culture. In other words, juniorization is the reason that the median age at the
organization might be lowering at a staggering pace (Fournier & Srinivasan, 2018). It is also
much more than a way to cut off high salaries.
Juniorization potentially shift wider aspects of organisation functions in extent with
corporate culture, talent management and technology. Due to increase in diversity inside the
workplace, the culture of company is changing rapidly where many corporations are reducing
their structure hierarchies to raise productivity and engagement (Beechler & Woodward,
2009). It is necessary for the leader to leverage their respective talents with engaging all
individuals of team and optimize contribution. Considering technology, many organisation
adopt juniorization as a strategy even in a complex industry. These organisations are learning
that they are not bound to pay senior executive an astounding salary for 15 years of
experience and market knowledge if they can seek for the technology that provides access to
the junior colleagues.
On the other hand, there are some disadvantages also in case of juniorization. For
instance, recruiting young people to do the work of experienced people in order to save
money simply does not solve the issue. The organisation may save few dollars at front end
but will mostly lose money when they factor in employee engagement and high turnover that
is most common amid junior employees. Along with this, young employees often bring more
drama to the workplace as their leaders mostly do not vetted properly. Considering diversity,
often in organisation, the policies develop in terms of race and gender, however, it ignores the
approach of age diversity. Sometimes an organisation need someone who can pull them back
before they go over the edge and that someone will surely some experienced employee, who
already been on the edge himself before.
In addition, before approaching to juniorization approach, an organisation also need to
consider stability. In other words, before setting the experienced employees out to sea,
organisation need to think upon several aspects. Unlike mature workers, young individuals
change their jobs in the same way they are changing their socks. Sometimes they are true as
there are so many opportunities available in the market like being a kid in the toy store.

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Hence, mature workers are less inclined to jump shift the moment a bigger boat comes
calling. Hence, this needs to be considered by the organisation before setting mature workers
out to sea.
Although Juniorization may be perceived negatively by some individuals, however, it
is significant for executives (of all ages) to recognise the trend and frame strategies to meet it
head-on. Businesses that are able to embrace the change can easily attain strategic advantage
with new diversification that will directly foster creativity, raise productivity and retaining
top talent. It is just linked with - “Naturalistic decision making”, which is an attempt to
understand how humans actually make decisions in complex real-world settings which
include dynamic and changing conditions, time pressure and experienced decision makers
(Klein, 2008).

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References
Beechler, S., & Woodward, I. C. (2009). The global “war for talent”. Journal of international
management, 15(3), 273-285.
Fournier, S., & Srinivasan, S. (2018). The Frontlines of Brand Risk. GfK Marketing
Intelligence Review, 10(1), 52-57.
Klein, G. (2008). Naturalistic decision making. Human factors, 50(3), 456-460.
Links –
https://bwl.univie.ac.at/fileadmin/user_upload/lehrstuhl_ind_en_uw/lehre/ss11/Sem_Yuri/
JIM-talent.pdf
http://www.au.af.mil/AU/AWC/AWCGATE/decision/nat-dm.pdf
https://www.degruyter.com/downloadpdf/j/gfkmir.2018.10.issue-1/gfkmir-2018-0009/
gfkmir-2018-0009.pdf