The LRN ethics and compliance risk management practices report

Educating a
Diverse Workforce
An Interview with Marsha Ershaghi,
Director of Education Solutions, LRN
A new reality in today’s world is that the workforce
is changing. Companies are increasingly hiring the
“Millennial” generation, those born between 1985 and
2001, the first wave of whom are now in the early 20s
and starting to enter the workforce following completion
from their college or graduate business programs.
Meanwhile, the main body of the workforce continues
to be comprised of baby boomers, those born between
1946 and 1964, the first wave of whom will be officially
retiring within the next 3 to 5 years. As one generation
enters while the other exits, companies will increasingly
face a “blended workforce” composed of two groups of
people who literally have different upbringings, values,
social and political views, and styles of learning.
According to Marsha Ershaghi, Director of Education
Solutions at LRN and a Doctoral candidate in educational
technology, generational differences in learning will
become a driving force to change how companies
engage employees about ethics and compliance. As
the 2008 survey results demonstrate, relevancy and
engagement are already key challenges in educating
employees and motivating them to take ethics and
compliance seriously, as well as to report violations.
One cause of this is the fact that many companies have
only recently adopted online educational courses that
offer more flexibility and interactive engagement to
employees, as few adults, whether boomer or Millennial,
tolerate dull, lifeless learning.
However, with the Millennials – a generation that grew
up with constant access to computer technology, video,
gaming, and the Internet – the methods and nature of
engaging them will need to change to accommodate
their preferred learning styles and capabilities. “There are
specific ingredients of an effective learning experience
for Millennials,” notes Marsha. “They must have a
blend of analysis and critical thinking, with elements
of entertainment, immediate feedback, practical
application, and personnel relevance.”
One type of learning that especially appeals to
Millennials is interactive gaming. This is why 10% of
survey respondents in this year’s survey indicate that
some forward-looking companies are already recognizing
its value to educate its younger workforce about ethics
DISCUSSION
findings – can contribute to a greater understanding among managers and employees,
this more holistic and transparent approach takes a step in crossing the threshold towards
making risk assessments a key part of the organization’s culture, rather than a compliance
necessity. In other words, the more everyone in the organization understands the need to
guard the organization’s reputation and assets, the more risk assessments will inspire people
to take responsibility for their own culture. It is one element in the process of transitioning
toward self-governance.
Prevent
To be successful, risk prevention efforts require that employees recognize the relevance of
the education to their jobs and their future and buy into the company’s commitment to build
its cultural values. Without that, no amount of education will motivate employees to learn
the rules or be inspired to internalize the company’s values and policies. It may be possible to
“train” employees about compliance regulations, but “educating” them to assimilate their
significance in the company’s culture and to apply them in their everyday conduct cannot
happen without relevancy and engagement.
The first step in formulating an effective education program must come from the highest
levels, the Board and senior leadership, which need to inspire employees by communicating
a clear vision of the company, its culture, and its future. Employees must hear and believe
that the greater success of the company leads to their greater success. This reality makes
developing senior management and business management education foundational aspects
of a solid prevention program.
Beyond that, companies must offer a wide range of prevention education to suit the
learning styles and working habits of their workforce. Programs need to be tailored to the
time and schedules that employees have available. They must reflect local cultural and legal
understandings so as to avoid being irrelevant or biased. They need to appeal to the diverse
workforce the company employs, which may include global localization and translations.
They are most effective if they are targeted at the employee’s job function and how it
intersects with ethics and compliance concerns and risks. And, most importantly, they must
engage the employee’s mind and heart in order to motivate learning the concepts, adopting
the values, and developing confidence and trust that the company truly cares to have
employee as part of its culture.
An important element of prevention is that the education should be customized, to the
greatest extent possible, to speak to the employee in a way that engages and inspires that
individual. This requires recognizing that the company’s workforce consists of many types of
workers, who will increasingly reflect generational differences in learning style, educational
background, and capabilities using technology.
To date, only modest strides are being made in the use of cultural relevant education best
practices. While 8 out of 10 companies have codes of conduct, utilize online education,
or offer classroom experiences, 5 in 10 companies struggle with cultural differences, 4 in
10 companies say there are challenges to make the education relevant, and 2 in 10 cite
lack of translated materials, low leadership support, or low employee motivation. There is
disconnect between the efforts to educate employees and the sense that the efforts are
successful. However, it does appear that companies have recognized the importance of
educating their boards and senior leadership and have increased efforts since 2007. This
alone is a positive step, but the dots must be also connected between developing the
company’s leadership and educating its employees. The company must be viewed as one
organization on the same journey.
LRN | 2008 Ethics and Compliance Risk Management Practices Report | 19