Why Training Employees in AI is Critical for Future-Proofing Your Business

Artificial Intelligence (AI) has moved from the realm of science fiction to become a transformative tool in the modern workplace. According to Bain & Company, “By the beginning of 2024, 87 percent of companies surveyed by Bain said that they were already developing, piloting, or have deployed generative AI in some capacity, with most of these early deployments in software code development, customer service, marketing and sales, and product differentiation.” From enhancing customer service through chatbots to improving supply chain management through predictive analytics, AI has proven to be a game-changer for businesses across all industries. However, adopting AI is not just about implementing innovative technology; it’s also about empowering your workforce with the skills necessary to harness its potential. As organizations increasingly turn to AI to stay competitive, it’s equally crucial that they train their employees in how to use AI effectively.

Person working at computer using two monitors. There is a variety of graphs and data on screen. Text under image reads: “If more people are AI literate and can start to participate and contribute to the process, more problems–both big and small–across the organization can be tackled.” - David Sweenor, Founder, TinyTechGuides

Why Organizations Should Use AI

AI offers organizations a wide range of opportunities to improve their operations, innovate, and remain competitive. Below are some key reasons why businesses should embrace AI technology.

1. Enhanced Efficiency and Productivity

AI has the power to automate repetitive tasks, allowing employees to focus on more strategic and creative work. According to one study, AI is expected to improve employee productivity by 40 percent. Whether it’s data entry, scheduling, or answering customer inquiries, AI-powered tools like robotic process automation (RPA) can save valuable time and reduce human error. Automation not only increases efficiency but also reduces operational costs, which can lead to significant savings for an organization.

Example: AI-driven customer service chatbots can handle thousands of routine customer queries, freeing up human agents to address more complex concerns. This increases the overall efficiency of customer service teams and enhances response times.

2. Improved Decision-Making

AI has the ability to analyze vast amounts of data quickly and accurately. With the help of machine learning algorithms, businesses can make data-driven decisions based on real-time insights. Whether it’s identifying market trends, predicting customer behavior, or analyzing operational bottlenecks, AI empowers organizations to make smarter decisions faster.

Example: In marketing, AI can analyze customer data to predict which products a customer is most likely to purchase, enabling companies to personalize offers and recommendations that increase sales and customer loyalty.

3. Innovation and Competitive Advantage

AI allows organizations to innovate more rapidly. By leveraging AI for product development, service optimization, and market analysis, companies can stay ahead of their competition. AI can help uncover new business opportunities, improve existing products, or even create entirely new product lines that meet evolving consumer needs.

Example: In the healthcare sector, AI is developing personalized treatment plans based on a patient’s genetic information, which could lead to more effective treatments and improved patient outcomes.

4. Scalability

As businesses grow, so do their data and operational demands. AI can help companies scale by handling larger volumes of data, automating more tasks, and streamlining processes without a proportional increase in costs or resources. AI systems can learn and adapt over time, allowing organizations to scale more efficiently.

Example: AI-powered tools in e-commerce can analyze consumer purchasing behavior to offer personalized recommendations for millions of customers, all in real-time, without requiring a huge increase in the workforce.

5. Better Customer Experience

AI has the potential to revolutionize the customer experience. With AI technologies like natural language processing (NLP), chatbots, and recommendation engines, companies can provide more personalized, efficient, and responsive customer interactions. By understanding customer preferences and predicting future needs, AI can help businesses deliver a higher quality of service.

Example: AI-driven voice assistants like Alexa and Siri are transforming how customers interact with brands, offering instant answers to queries and streamlining purchasing decisions.

6. Risk Management and Fraud Prevention

AI can analyze patterns in data to detect anomalies that may indicate fraudulent activity or potential risks. In sectors such as finance, healthcare, and e-commerce, AI tools are already used to prevent fraud, ensure compliance with regulations, and identify potential risks before they become serious problems.

Example: AI in banking can monitor transactions in real time to detect unusual patterns that might indicate fraudulent activity, providing alerts before considerable damage is done.

Letter cubes that spell out “DRIVING OUTCOMES.” Text under image reads: “You need to have outcomes-based training. Focus on how AI can be used to push forward the mission of the organization, not just training for the sake of learning about AI. Also, there should be roles-based training. There is no one-size-fits-all approach to training, and different personas within an organization will have different training needs.” -Kathleen Featheringham, Director of Artificial Intelligence Strategy, Booz Allen

Why Organizations Should Train Employees in AI

While implementing AI technologies can provide substantial benefits to organizations, the success of AI adoption depends on the people who use it. Employee training is essential to equip them with the knowledge and skills needed to operate and maximize the potential of AI tools. Here are the key reasons why businesses should prioritize AI training for their workforce.

1. Enabling Employees to Adapt to Technological Change

AI is changing the way businesses operate, and it’s likely that many traditional job roles will evolve or even disappear. Employees need to understand how AI will impact their work and how they can adapt to these changes. Training in AI ensures that workers are not left behind as automation and AI become integral parts of the workplace.

Example: A retail company that introduces AI to manage inventory and optimize supply chains will need employees to understand how to operate AI systems and interpret the insights they generate.

2. Maximizing the Potential of AI Tools

For AI to be truly effective, employees need to understand how to use AI tools properly. AI systems are only as good as the data on which they are trained and how that information is applied. Without proper training, employees may not fully understand how to leverage AI to achieve the best results. By training employees, organizations can ensure they are making the most of AI’s capabilities.

Example: If a company uses AI-powered customer relationship management (CRM) software, sales teams must be trained to use the system to segment customers, track leads, and make data-driven decisions to improve sales performance.

3. Fostering a Culture of Innovation

Employees trained in AI can identify new ways to implement AI technologies within their departments. This fosters a culture of innovation, where employees are encouraged to think creatively and use AI to solve business challenges. Organizations that invest in AI training are more likely to see innovative uses of AI emerge from within the company.

Example: Employees who are trained in AI might come up with innovative ways to use AI for customer service, product development, or marketing campaigns—leading to new business opportunities and cost-saving solutions.

4. Reducing Resistance to AI Adoption

Change can be met with resistance, especially when it involves new technology. If employees feel unsure or threatened by AI, they may resist its adoption, hindering the company’s ability to fully integrate AI into its operations. Training programs help to ease these fears by equipping employees with the knowledge and skills they need to thrive in an AI-enabled workplace.

Example: Employees in a finance department might resist AI tools that automate budgeting and financial forecasting if they don’t understand how the tools work or how they can complement their roles. Training programs can help employees see AI as an ally, not a replacement.

5. Bridging the Skills Gap

As AI technologies become more prevalent, the demand for skilled workers in AI-related fields is growing rapidly. Organizations that train their existing employees in AI can bridge this skills gap internally, saving the costs and time associated with recruiting and hiring external talent. This also allows organizations to retain valuable employees by offering them opportunities to upskill and remain relevant in the workforce.

Example: A marketing team trained in AI tools that analyze customer behavior can create campaigns based on real-time insights without needing to hire new data scientists.

6. Improving Employee Satisfaction and Engagement

Offering AI training not only helps employees feel more competent in their roles but also boosts job satisfaction. Employees who learn new, relevant skills feel more engaged and motivated. Providing AI training is a way to invest in the career development of employees, which can improve retention rates and reduce turnover.

Example: Employees in the tech industry may feel more engaged when given opportunities to learn  about machine learning, natural language processing, or AI algorithms, which could help advance their careers within the organization.

Small wooden teeter-totter with cubes with green checkmarks balanced with cubes with red Xs. Text under image reads: “When we see trends with upside potential, we can’t ignore the dark side that can overturn the aspirations that people have for their jobs and their children. We need an approach to AI that is realistic and evidence-based about both the benefits and costs for different pockets of the economy and society.” -Kristina McElheran, Assistant Professor, University of Toronto

Challenges of Using AI and Training Employees in AI

As businesses increasingly integrate AI into their operations, they encounter a range of challenges that require strategic solutions. Though 78 percent of people polled in one survey think the benefits of generative AI outweigh the risks, there are potential problems that must be mitigated. From managing costs to addressing employee concerns, overcoming these hurdles is crucial for unlocking AI’s potential to drive efficiency and innovation. Below are some of the most common challenges organizations face, along with practical solutions to address them.

1. High Initial Investment

Implementing AI technologies and training employees to use them requires a significant initial investment. Businesses must consider the costs of purchasing AI tools, setting up the infrastructure, and providing ongoing training. While the long-term benefits can outweigh these costs, the upfront investment can be a deterrent for some organizations, particularly smaller businesses.

SolutionTo manage costs, businesses can adopt a phased implementation strategy, starting with small pilot projects to demonstrate ROI before scaling up. Leveraging cloud-based AI solutions can reduce infrastructure expenses. Additionally, businesses can seek grants, subsidies, or partnerships with technology providers to lower initial investment requirements.

2. Resistance to Change

Employees may resist AI adoption due to fear of job displacement or simply the discomfort that comes with learning new technology. Additionally, executives and managers might be hesitant to change established processes or invest in AI without fully understanding its potential.

SolutionAddress resistance by fostering a culture of transparency and inclusivity. Provide clear communication about how AI will complement rather than replace roles. Offer hands-on training and involve employees in decision-making processes related to AI implementation. Demonstrating quick wins through small projects can also help build trust and confidence.

3. Data Privacy and Security Concerns

The use of AI often involves substantial amounts of data, and organizations must ensure that data privacy and security measures are in place. There is always a risk of data breaches or misuse, especially if AI tools rely on sensitive customer or company data.

SolutionInvest in robust cybersecurity measures, such as encryption, access controls, and regular audits. Ensure compliance with data protection regulations like GDPR or CCPA. Partner with reputable AI vendors that prioritize data security and privacy. Educate employees on best practices for handling sensitive data.

4. Lack of AI Expertise

Many companies face a shortage of employees with the necessary expertise in AI. Finding skilled AI professionals can be challenging and expensive. Organizations may need to invest in external consultants or partner with AI vendors to develop customized AI systems.

SolutionUpskill existing employees through targeted training programs and certifications in AI. Collaborate with universities and educational institutions to create internship or talent pipeline programs. Consider leveraging no-code or low-code AI platforms to empower non-technical staff to use AI tools effectively. Outsourcing AI tasks to specialized vendors can also be a temporary solution.

5. Continuous Learning Curve

AI is a rapidly evolving field, and organizations must ensure that their employees continue to learn as new tools, techniques, and applications emerge. Continuous training is essential to keeping the workforce up-to-date with the latest developments in AI.

SolutionEstablish a structured learning and development program focused on AI. Encourage participation in workshops, conferences, and online courses. Build a knowledge-sharing culture by creating internal forums or communities of practice where employees can discuss AI advancements. Partner with AI providers who offer ongoing support and training for their tools.

Person pointing to coding on a screen in front of two other people. Text under image reads: “The acceleration of AI adoption is inescapable—most of us experience AI on a daily basis whether we realize it or not. The more companies educate employees about AI, the more opportunities they’ll provide to help them stay up-to-date as the economy increasingly depends on AI-inflected roles. At the same time, nurturing a workforce that’s ahead of the curve when it comes to understanding and managing AI will be invaluable to driving the company’s overall efficiency and productivity.” - Alex Spinelli, Vice President of Product Management for Machine Learning, Google

Final Thoughts

The adoption of AI offers tremendous potential for businesses, from improving efficiency and decision-making to driving innovation and enhancing customer experiences – and 97 percent of business owners agree, believing that using ChatGPT will help their business. However, for AI to reach its full potential, organizations must invest in training their employees. By equipping staff with the necessary skills, companies can maximize the benefits of AI, foster a culture of innovation, and ensure that their workforce remains competitive in an increasingly automated world.

Although there are challenges in adopting AI and training employees, these can be mitigated through careful planning, investment, and a commitment to ongoing learning. The organizations that embrace AI and invest in training their employees to use it will be better positioned for long-term success, growth, and innovation in the future of work.

 
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Tauli, Tom. “Artificial Intelligence: Should You Teach it to Your Employees?” Forbes. 9/10/21. Accessed 12/17/24. https://www.forbes.com/sites/tomtaulli/2021/09/10/ai-artificial-intelligence-should-you-teach-it-to-your-employees