Session Recap: Bridging the Industrial Workforce Gap with XR and AI

At the 2024 Industrial IMMERSIVE Week, Nathan Pettyjohn, founder and president of the VR/AR Association (VRARA), gave a presentation on how XR and AI technologies are addressing the growing skilled workforce gap in industrial sectors. Pettyjohn’s session underscored the transformative potential of these technologies in tackling one of the most pressing challenges in the industry: the shortage of skilled workers.

The Workforce Crisis: A Perfect Storm

Pettyjohn began by highlighting a staggering statistic: 10,000 baby boomers retire every day, creating a significant void in the skilled workforce, particularly in manufacturing. By 2030, there will be a projected deficit of 7.9 million workers in manufacturing, translating to over $600 billion in unrealized economic output.

Adding to the challenge is the shift in workforce demographics. “75% of the workforce now are millennials,” Pettyjohn explained. While this younger workforce is more open to digital innovation, they also expect modern tools to be integrated into their jobs, paving the way for XR technologies to shine.

XR and AI: Game-Changing Solutions

Pettyjohn shared several real-world applications and ROI metrics, illustrating how XR and AI are already reshaping industries:

Digital Twins for Training and Compliance

Pettyjohn highlighted an Israeli company, Resite, which simplifies field deployment by leveraging digital twins for predictive maintenance, supply chain management, and training. Using just an iPhone, workers can scan environments, upload data to the cloud or edge systems, and overlay digital content. “At least one major Fortune 100 company that I know is going to deploy this with thousands of workers,” he noted.

VR Training

Virtual reality is revolutionizing employee training across industries. Citing PwC research, Pettyjohn shared striking data: VR learners are four times more focused, train four times faster, with 52% cost savings compared to traditional classroom training. Companies like Chevron,  Walmart, and UPS have reported dramatic improvements in retention, confidence, and safety outcomes through VR-based training programs.

AI-Powered Simulations

AI-driven platforms like NVIDIA’s Omniverse are enabling unprecedented advancements in simulation speed. In one example from Siemens Gamesa, AI reduced wind turbine optimization modeling time from 40 days to 15 minutes. “The impact is huge,” Pettyjohn said. “For a typical 1000 megawatt offshore wind farm, optimization can provide power to supply up to 20,000 additional homes and to do it at 10% lower cost.”

Remote Expert Solutions

Field maintenance is also benefiting from XR solutions. Pettyjohn showcased Lenovo’s ThinkReality A3 device, which provides guided workflows and hands-free access to product manuals. This innovation reduces repair times and error rates, while increasing overall efficiency.

Challenges and Considerations

Despite the exciting possibilities, Pettyjohn emphasized that adopting XR technologies requires thoughtful implementation. He pointed out that 70% of digital transformation initiatives fail due to poor employee adoption. “There needs to be a change management plan in place to encourage the workforce to embrace the new technology and utilize it regularly, otherwise it can fail,” he advised.

Key Takeaway

The integration of XR and AI technologies offers not only a solution to the industrial workforce gap but also a pathway to greater efficiency, safety, and innovation — and the transformation is already started. As Pettyjohn put it, “If you look at some of these statistics, it just shows evidence that this is a massive market opportunity that not only is going to be in the enterprise sector, but in everyone's everyday lives.”

Watch Pettyjohn’s full IIW session on demand. 

Pumped about XR and AI? Join us for this year’s Industrial IMMERSIVE Week, March 3-5, in Houston, Texas.