NEO Workplace Strategies

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NEO Workplace Strategies

• Australian Business Foundation

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Ross Honeywill Verity Byth use 5 years of
research and evidence from 500,000 interviews to
explain why 4 million Australians deliver more
value than anyone else
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Clients are demanding an evidence-based approach
to customer value
Australia now has a new way of identifying the
premium consumers in society
Data across 4 continents
120,000 respondents around the world each year
2,000 consumption variables
Evaluated adopted by global brands
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There are 4 million NEOs and 8 million
Traditionals in Australia
Top 3 NEO Locations Australia Wide
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In just the first 3 years, global brands have
embraced NEOs

• For example
• ACP MAGAZINES
• CLYDESDALE BANK (UK)
• DAVID JONES
• ENERGEX
• FAIRFAX
• LEXUS
• MOËT-HENNESSY
• NATIONAL AUSTRALIA BANK
• QANTAS
• SONY
• WESTPAC BROKING
• YAHOO!
• YORKSHIRE BANK (UK)

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Relevance of a NEO workplace strategy

• Society is split into two fundamentally different
  types NEOs Traditionals
• NEOs earn more, spend more and expect more from
  service providers and employers
• Traditionals, as their name implies, behave in
  traditional ways favour traditional channels
• NEOs dominate white collar occupations
• NEOs are high-value consumers and innovative
  employees
• NEOs are influenced by personalised communication
  whispered secrets that make them feel like
  individuals making an individual contribution
• Traditionals are happy with generalised
  communications and a unifying message that makes
  them feel part of the team

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The NEO Workplace

• The NEO typology provides a leapfrog workplace
  tool
• Starting with the NEO typology as a base,
  managers apply practical, robust insights into
  how the two different types in the workforce view
  the world around them, their role in that
  internal world, and their interaction with that
  world
• It leverages deep NEO market insights
• The NEO typology is widely proven in the consumer
  marketplace NEOs Traditionals in a workplace
  are consumers in the marketplace why choose a
  workplace strategy that isnt built on consumer
  insights from everyday life

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The NEO TypologyA Brief Introduction
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Society splits into 2 distinctly different types
Traditionals NEOs/Evolvers
Workplace NEOs NEOs Evolvers
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NEOs earn more
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Traditionals are more highly represented in lower
income profiles NEOs in higher income profiles

Source Roy
Morgan Single Source March 2006
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NEOs tend to be younger
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NEOs are more highly represented in the 20s, 30s
40s age profiles Traditionals in age profiles
over 55

NEOs Traditionals cross all age profiles
Source Roy
Morgan Single Source March 2006
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NEOs dominate executive ranks
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Compared to Traditionals, 6 times more NEOs hold
executive positions

Source Roy
Morgan Single Source March 2006
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and NEOs Spend More
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NEOs spend more than anyone else in the economy

• Books
• Premium wine
• Homewares
• Eating Out
• Overseas Travel
• BMWs Mercedes Benz

• MULTIPLE
• 2.0
• 3.2
• 2.0
• 3.0
• 4.0
• 2.0

MULTIPLE UPLIFT OF NEO CONSUMPTION COMPARED WITH
NON-NEO CONSUMPTION
Source Roy
Morgan Single Source March 2006
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and NEOs are more robust confident

Source Roy
Morgan Single Source March 2006
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Differences in the Workplace
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Top workplace attitudes of NEOs

Source Roy
Morgan Single Source March 2006
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NEO attitudes are not those of Traditionals
NEOs
Traditionals
Source Roy
Morgan Single Source March 2006
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Traditionals have a different set of attitudes
Source Roy
Morgan Single Source March 2006
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Attitude Womens place in the world?
NEOs
Source Roy
Morgan Single Source March 2006
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Attitude Kind of life I expect
NEOs
Traditionals
Source Roy
Morgan Single Source March 2006
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Attitude Attraction to new experiences
NEOs
Traditionals
Source Roy
Morgan Single Source March 2006
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NEOs and Business Decisions
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NEOs dominate key business in the workplace
of all decisions made or recommended in each
area by each type
Source Roy
Morgan Single Source March 2006
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• So who are these NEOs Traditionals?

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NEO Employees

• NEOs are individualists with a high locus of
  control they believe success is determined by
  planning rather than by luck
•  
• NEOs are attracted first by the responsibility
  and experience a job will deliver remuneration
  is just the benefit of personal achievement
•  
• NEOs are high achievers, however successes are
  secrets to be whispered to themselves and to
  others who share their values
•  
• They have a high appetite for rich information
  delivered in personalised ways they read more,
  know more, expect more and will give more
•  
• They are more willing than anyone else to try
  something new, to take the path less travelled
•  

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NEO Employees

• They have a high appetite for brand relationship
  (a connection with their own values) rather than
  brand architecture (the promotion of corporate
  values)
•  
• NEOs are motivated by options they like to
  create something themselves and then tell other
  NEOs about it
•  
• They cross all age barriers, but are more highly
  represented in the 20s, 30s 40s age profiles
•  
• NEOs are socially active, have a strong sense of
  social and ethical responsibility and like to
  convince others of their opinions
•  
• NEOs believe strongly in the concept of learning
  a living rather than earning a living

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Traditional Employees

• Traditionals have a low locus of control and
  believe success is more a matter of luck than
  planning
•  
• Traditionals prefer the tried and true ahead of
  the new and challenging
•  
• Brands to a Traditional are a shortcut to
  certainty and symbols of belonging
•  
• Traditionals will complain if things dont go
  their way, but are unlikely to act on their
  dissatisfaction
• Traditionals are slower to adopt new technology
  with lower percentages of Traditionals using the
  internet regularly

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Traditional Employees

•  
•  
• They cross all age barriers, but are more highly
  represented in the 50 age profiles
•  
• Traditionals prefer mass communication and
  traditional channels

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The NEO workplace strategy

• Phase 1 Create a workplace segmentation using
  the NEO typology to identify key social types
  in the workforce use an attribution methodology
  to flag NEOs Traditionals on the employee
  database
• Phase 2 Develop different relevant employee
  value propositions (EVP) for each of the 2 key
  workplace segments
• Phase 3 Use the NEO typology and EVPs to review
  and adjust existing procedures and protocols in
  relation to the workplace lifecycle from
  attraction through recruitment to placement,
  training, rewarding, communicating, marketing and
  retention

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Phase 1 Create a workplace segmentation using
the NEO typology to identify key social types
in the workforce

• You could
• Take your database of employees and apply to it a
  probabilistic modelling methodology that segments
  the workforce into NEOs (NEOs Evolvers) and
  Traditionals
• Use the modelling exercise to identify the
  proportion of NEOs and Traditionals in each
  functional and geographic work area
• Create the ability to interrogate the workforce
  database for other variables (e.g. gender, age,
  role, income, etc with NEO or Traditional
  cross-tabs)

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Phase 2 Develop different value propositions for
each of the 2 key workplace segments

• You could
• Develop a different employee value proposition
  for each workplace segment
• Identify the key building blocks of a NEO EVP and
  a Traditional EVP
• Develop options for testing with key internal
  stakeholders
• Finalise discrete, relevant and unique EVPs for
  each workplace segment

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Phase 3 Review and adjust existing procedures
and protocols in relation to the workplace
lifecycle

• The NEO typology can be used to review and inform
  the redevelopment of
• Recruitment
• Placement the right people in the right job
• Induction
• Learning performance programs
• Benefits incentive packaging
• Product marketing
• Additional retention initiatives
• Communications

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Summary

• The NEO typology provides a leapfrog approach to
  workplace segmentation
• Starting with the NEO typology, you can leverage
  more practical, robust insights about how the
  workforce views the world around them, and their
  role in that world
• This strategy leverages deep NEO market insights
• To create workplace initiatives to review
  policies and programs for best fit to develop
  value propositions for each type to establish an
  evidence-based framework for all workplace
  decision-making

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• Ross Honeywill Verity Byth
• Directors
• Neo Group
• Level 50, 101 Collins Street
• Melbourne VIC 3000
• Australia
• Mobile [phone]
• Melbourne 61 (0)3 9653 9654
• London 44 (0)20 7871 7415
• New York 1 [phone]
• ross.honeywill_at_neogroup.net