A 2022 survey by MIT CISR reveals how companies are prioritising employee retraining to embrace new technologies like AI. Insights from research scientist Nick van der Meulen underscore the benefits of continuous learning and upskilling in the digital age, with practical examples on implementing skills inference and embracing a ‘career lattice’ approach.
Corporate Workforce Training Adapts to Digital Era
Companies are increasingly focusing on employee retraining to leverage new technologies like artificial intelligence, according to a 2022 survey from the MIT Center for Information Systems Research (CISR). Executives estimated that 38% of their workforce would need “fundamental retraining or replacement” within three years to address skill gaps.
MIT CISR research scientist Nick van der Meulen highlighted the importance of training for performance, retention, customer experience, and innovation. This sentiment was echoed at the MIT Digital Technology and Strategy Conference, where van der Meulen emphasized employee demand for continuous learning opportunities.
To manage workforce skills, companies such as Johnson & Johnson are implementing “skills inference” using AI to analyze employee data and identify skill deficiencies. This process comprises three steps:
- Skills Taxonomy: Defining required future skills, such as master data management and robotic process automation.
- Skills Evidence: Collecting relevant employee data from various internal systems while ensuring data privacy and de-identification.
- Skills Assessment: Using a large language model to measure proficiency in defined skills, complemented by employee self-assessment.
Johnson & Johnson’s initiative, begun in early 2020, led to a 20% increase in usage of its professional development ecosystem. As of March 2024, 90% of its technologists had accessed the learning platform.
Additionally, van der Meulen suggested a “career lattice” approach instead of the traditional career ladder, accommodating diverse employee aspirations, whether lateral moves, emerging roles, or even stepping back for personal reasons. Effective training involves more than online modules, incorporating mentorship and hands-on programs to facilitate immediate application of learned skills.
Van der Meulen also addressed resistance to change, advising leaders to demonstrate the benefits of upskilling through specific examples and personal stories to underscore that skills are dynamic and evolve over time.