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The global talent gap is growing rapidly. In the U.S. alone, there are 9.6 million job openings but only 6.5 million unemployed. This situation has led to calls for upskilling and re-skilling existing workforces. Many business leaders understand this need but are limited by a lack of time, resources, and funds to create training materials.
Generative AI can play a transformative role in this area, according to Cypher Learning. The learning management system provider released a study this week that delves into the challenges leaders face with upskilling, their exploration of generative AI for creating training materials, and the promise the technology holds in bridging the gap between available jobs and the number of workers. Generative AI is already transforming employee training and by 2024, the focus will be on reimagining education with AI at its core.
Talent retention, staff well-being, and upskilling are top concerns for HR and enterprise leaders in 2024, according to Cypher’s survey, “Generative AI in 2024: A potential lifeline amid workplace turbulence.” More than half (65%) of respondents said upskilling employees is essential to filling skills gaps, but they don’t have the resources to develop relevant training materials. Additionally, 69% lack the skills necessary to maximize the technology’s potential in their roles. Consequently, only half of workers have access to adequate training opportunities today.
Many leaders reported that learning and development (L&D) departments could help upskill and cross-skill within their organizations. However, larger L&D departments bring greater costs. Organizations continue to struggle to balance funding for revenue-generating initiatives and developing a skilled workforce.
Skills gaps make a company less able to innovate and compete. It’s crucial for HR leaders to focus on retaining talent and providing comprehensive training to elevate employees, keep them engaged, and increase job satisfaction.
These findings come as the World Economic Forum predicts 2024 will mark the beginning of a “new era of turbulence” with a shifting job market and a growing need for a more resilient workforce. Economic and geopolitical shifts, changes in the supply chain, and increasing social and environmental pressures are some factors contributing to this disruption. The organization also asserts that nearly 25% of jobs will change over the next five years and almost half of workers’ skills will be disrupted.
Gartner forecasts employee turnover to be 50 to 75% higher than in recent history. With many unfilled jobs, qualified employees often find more opportunities elsewhere if they feel undervalued at their current jobs. This not only increases recruitment costs but also disrupts productivity, culture, and morale. It’s well established that hiring new employees is more expensive than developing existing ones. The study indicates that compelling learning and development programs and imparting new skills can significantly improve employees’ overall job satisfaction. An earlier Cypher survey found that more than three-quarters (76%) of respondents were more likely to stay with an employer who prioritizes training. Another 71% agreed that a company that doesn’t invest in training doesn’t care about its employees. Smart employers will offer better training and career growth opportunities. Employees want to stay with companies that are invested in their career growth.
Generative AI can help by producing diverse learning materials incorporating text, images, videos, and interactive modules and building courses quickly. AI can also pull from various sources and tailor content to learners’ specific needs. Despite its promise, generative AI faces some significant barriers to widespread adoption. Nearly half (44%) of those surveyed expressed concerns about data security and the accuracy of AI-generated content. Additionally, more than half worry about AI potentially taking their jobs, while 57% are uncertain about how AI could benefit their roles. A majority (77%) said they would use AI more if they could verify the authenticity of the information, and 87% said they’d be more inclined to adopt AI if it were more user-friendly.
However, enterprises are not dismissing generative AI. In fact, more than three-fourths (86%) of HR and business leaders said they or their team members are already using the technology in their workflows. They use it to gamify training courses, create more engaging professional development, build assessments, evaluate learner progress, and save time on course creation.
As more enterprises adopt generative AI for building training materials, it’s not just about repackaging traditional learning methods. It’s about leveraging AI in strategic ways to transform the educational experience. Virtual learning assistants or mentors, overseen by humans, will autonomously support personalized development. For example, personalized learning journeys powered by AI agents could bring relevant topics to a user’s attention based on their interests. You might return from a coffee break to find the AI agent has presented new intriguing topics to explore.
Ultimately, 2024 will witness the rise of proactive, well-controlled AI that suggests things to users rather than waiting for user inputs.