With the advent of modernization and the arrival of the globalized economy, there is a drastic change in organizations, thereby resulting in diverse workgroups. People are different from one another in many ways - in age, gender, race, culture, ethnicity, lifestyles, education, etc. Acknowledging, understanding, and appreciating these differences create a motivating and rewarding work environment. This article analyzes all these aspects in detail.

Ageneration `gap' is essentially a failure of one generational group to communicate efficiently with another (quoted by Sam Galea, General Manager at Information Dialling Services). The term generation gap became more famous since 1960s.The US is on the brink of a generational transition the likes of which has not been seen before. The largest generation in history to retire—some 77.5 million people, according to the AARP—will begin vacating the workplace in the next five years. And over the next 15 years, our workplaces will continue to shift to a new generation of leaders.

Managing a cross-generational workforce is one of the greatest challenges for today's managers. However, with the changing times and perceptions, organizations have succeeded in making the employees collaborate effectively despite the variation in perspectives, skills, knowledge and above all the `age'. Age is a vital element that could sometimes generate cross-generational conflicts. In today's workplace the challenges and the opportunities demand interaction among the employees of different age groups. Building trust and positive interpersonal or intergenerational relationship becomes a vital source for building the generation gap in the workforce. It also ensures effective knowledge sharing and dissemination. Entrepreneurs of today are required to work and interact with diverse age groups leveraging the distribution of skills and expertise in the overwhelming growth of technology in the 21st century. A study report indicated that organizations with effective workforce communication have more than 47% shareholder value.

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