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Is IKEA Setting the Standard for Employee AI Training?
IKEA is launching an initiative to promote artificial intelligence (AI) literacy throughout its organization. The retailer’s training programs aim to equip employees with the knowledge and skills needed to navigate the evolving landscape of AI effectively.
Parag Parekh, chief digital officer at IKEA Retail (Ingka Group), stated, “Our vision is clear. It’s about enhancing the capabilities of co-workers through technology, ensuring that IKEA continues to be the place where innovation and compassion go hand in hand.”
Starting from FY 2024, IKEA has set ambitious targets to offer AI literacy training to approximately 3,000 co-workers and 500 leaders. Parekh views this initiative as a testament to IKEA’s belief in harnessing the power of its people to drive creativity, efficiency, and results through technology.
The training programs encompass a range of courses tailored to meet the diverse needs of employees at different levels within the organization. These courses include AI Fundamentals, available to all individuals, as well as specialized training in Responsible AI, Mastering Gen AI, and Algorithmic Training for Ethics.
The primary objective is to cultivate a deep understanding of AI across the organization while ensuring that IKEA’s values guide the responsible use of technology. For leaders, specific programs like AI Exploration Days are designed to align AI capabilities with IKEA’s business priorities.
Additionally, IKEA has invested in programs like the Accelerator Programme, targeting tech enthusiasts with advanced degrees in Data Science, Machine Learning, or Large Language Models. This initiative aims to attract and nurture the right talent to fill critical roles within the organization.
Francesco Marzoni, global data and analytics officer for IKEA Retail (Ingka Group), highlighted the company’s commitment to preparing its employees for future challenges. He said, “We are providing a blended experience for learning, and doing in a way that future-proofs our workforce to ensure we remain at the forefront of innovation.”
IKEA is collaborating with various AI tools developed in-house or in partnership with suppliers. One such tool, Hej Copilot, launched in collaboration with Microsoft, exemplifies the potential of GenAI. Designed to assist employees with a variety of tasks, Hej Copilot enhances human capabilities, allowing workers to focus on higher-value activities.
From entry-level staff to top executives, there’s a growing enthusiasm for integrating AI into the workplace. According to LinkedIn’s recent workplace learning report, 4 in 5 workers express a desire to learn about AI and its applications in their roles. Moreover, 84% of global employees see AI as a career booster, with 58% expecting significant changes in their work within a year due to AI.
Despite this keen interest among workers, there’s a notable gap in leadership investment in AI education. Only 38% of U.S. executives report actively supporting their employees in becoming AI-literate. Interestingly, a survey by KPMG revealed that nearly three-quarters of CEOs prioritize investing in generative AI for profitability, innovation, and security. However, over half the respondents admitted to allocating more funds to new technology acquisition than employee training.
According to the Society for Human Resources Management, a 2023 Boston Consulting Group survey found that while 86% of workers believed they needed AI training, only 14% had received it. Similarly, Randstad’s Workmonitor Pulse revealed that only 1 in 10 workers had been offered AI-specific training, despite a surge in AI-related job postings.
Consequently, many employees are taking the initiative to upskill independently. About half of global professionals are already incorporating AI in their roles, with one-third experimenting with tools like ChatGPT, according to LinkedIn. Motivated by the potential of AI to streamline tasks and enhance work-life balance, employees are eager to acquire new skills and focus on tasks they find most rewarding.
The rapid adoption of GenAI technologies has created a pressing need for reskilling across industries. Organizations are increasingly using tools like ChatGPT, Bard, and Bing Chat in various roles, requiring training in both technical proficiency and ethical use.
The skills gap is causing concern among CEOs and HR leaders. A 2023 TalentLMS survey showed that 64% of HR leaders believe GenAI has changed the key skills needed in their organizations, with over half identifying AI literacy as essential across all roles.
Offering GenAI training has also become a critical factor in attracting and retaining talent, highlighting its importance in today’s competitive job market.
Discussion Questions
Given the evident enthusiasm among employees to integrate AI into their roles and the stark gap in leadership investment in AI education, what strategies can CEOs employ to prioritize AI literacy and reskilling within their organizations to foster innovation, efficiency, and sustainable growth?
With the rapid adoption of GenAI technologies across industries and the increasing demand for AI-specific training, how can organizations effectively balance investments in new technology acquisition with substantial funding for employee upskilling to meet the evolving demands of the digital era?
Poll
Loading …BrainTrust
Gene Detroyer
Professor, International Business, Guizhou University of Finance & Economics and University of Sanya, China.
John Lietsch
Chief Operating Officer, Bloo Kanoo
I find today’s Poll question rather odd (in that it separates acquistion from training): certainly no one is suggesting something be acquired that no one can actually operate? I suspect the dividing line is really between acquistion/training and the more gee-whiz stuff: Responsible AI, Mastering Gen AI, and Algorithmic Training for Ethics. would qualify as I doubt much time is spent in any of these courses with basics like finding the “undo” button (or whatever the AI equivalent is)
AI will impact how business is done. As such, it is smart of IKEA to ensure that relevant people in its workforce understand AI and are literate about its application. Because AI is still emerging, it is a somewhat diverse and often disjointed set of technologies. My view is that, over time, firms will formalize AI more by properly building it into applications and workflow processes. That is probably the point when more widespread training will be given.
Agreed. The operative word is “relevant.” I am more than “relevant” in my work and I could not describe in deep detail how AI works. The “literacy” required by an ‘average’ retail employee is minimal. People (end users) do not use AI, software applications do. My father listened to the radio faithfully, but didn’t know know how or why it worked (and didn’t care as long the music played).
Great point, Bob. Not everyone needs to know how AI works. What they will need to do is use applications that make use of it. There’s a big difference between those two things.
Every company says they want to leverage AI and GenAI more, but they struggle with either where to start or where to continue because of how little they’ve prepared their organization. Getting employees deeply familiar with AI and GenAI will automatically lead to more effective use.
I would like to take these courses, and I believe every company should offer something similar. AI is quickly becoming part of our lives, and people will be involved with it every day.
I had my first experience using AI last week. I was prompted to try constructing a PowerPoint presentation. My teaching philosophy is that textbooks are basically fiction, and we will learn the reality of the course. To my surprise, the PPT from AI was pretty good. It needed only a few changes.
I beleive we should all learn what AI offers, including its strengths and weaknesses. It certainly could be a valuable tool for the workplace and our lives in general… if we understand what we are using.
Great comments, Gene! AI will play an increasing role in our lives and it is important to understand it, at least at some level, so you know where it is useful and where it isn’t.
Especially where it is not!
IKEA is getting ahead of the curve by jumping in early with AI training and instruction. I myself am taking a class to learn about AI and I am very thankful about how much I am learning. But the key is that the instructor is being comprehensive about what AI can…and can’t…do. The shocker is how easily it can make mistakes, and therefore how careful an author needs to be about checking and verifying content. AI can be incredible about surfacing data and questions and content that I may not have thought of myself, but then it’s up to me to double and triple check accuracy. I asked AI to tell me about myself, and I was thrilled at the glowing biography it served up. Until it talked about the 2 books I have authored. Oops…no books authored by this guy. So it was accurate, glowing, wonderful, and then wrong. People need that kind of context as a reality check.
So absolutely upskill your employees. But upskill them with the full range of pro’s and con’s, the full range of attributes and downsides.
This is not a new debate. What makes it new is AI – go figure!
Companies have been investing in sales, customer service and leadership training skills for decades. These skills are often resume builders for their employees (to promote inside or outside). Companies also invest in new tech training as new tech is acquired to meet various business needs. And some companies even invest in their employees’ education for purely altruistic reasons (no direct ROI required though education always has an ROI).
Companies and people should be “laser” focused on making money and, therefore, “both” should invest in making sure they’re capable and competitive in doing so. It’s really that simple. And, as companies, especially as they grow and mature, the business case is always to draw out or hire that brilliant someone who has a game changing idea (cost or revenue) but has kept it to herself. Therefore, educating people in general and introducing new tools like AI may be a catalyst for profitable creativity, innovation and change.
AI tools will help organizations remain competitive, like it or not. You can choose to engage with it, and get out ahead of it, where it is relevant. Or, you can choose not to do so and be left in a position where others are using it and you are not, putting you at a competitive disadvantage. That said, the right amount of training for the right tools at the right level is the order of the day.
So, learn AI before it learns your job? I am not sure about this one. While I see nothing wrong with associates learning how to integrate AI into their day to day tasks, IKEA and others need to prioritize where associates should leverage this technology, ESPECIALLY when it comes to any shopping experience use cases.
In general, employees of any type of organization like to learn and grow. When the company offers this type of training and growth opportunity, employees experience higher levels of job satisfaction, and there is lower churn. This creates all kinds of win-win opportunities, such as reducing the cost of hiring and training and a more engaged employee.
Focusing on a topic that is so new and relevant can be very attractive, especially to younger employees.
In my opinion, CEOs can prioritize AI literacy and reskilling within their organizations by first acknowledging the importance into the company culture. This involves creating a learning environment where employees feel encouraged and supported to upskill in AI through dedicated training programs, workshops, and mentorship initiatives. Well-trained employees can leverage AI tools to assist customers more effectively and enhance the overall customer experience. Additionally, leaders should lead by example by actively participating in AI training themselves to show the value of continuous learning and empower their workforce to embrace innovation.