By using this site, you agree to the Privacy Policy and Terms of Use.
Accept
Financial Magazine: Your Key to Wealth PROFinancial Magazine: Your Key to Wealth PROFinancial Magazine: Your Key to Wealth PRO
Notification Show More
Font ResizerAa
  • World
    • UK
      • UK Companies
      • UK Economy
      • UK Politics
    • US
    • China
    • Africa
    • Asia Pacific
    • Emerging Markets
    • Europe
    • Americas
    • Australia & NZ
    • Middle East & North Africa
      • Iran
      • Israel – Hamas war
    • War in Ukraine
  • US
    • US Companies
    • US Economy
    • US Politics & Policy
  • Companies
    • Album
    • Energy
    • Financials
    • Health
    • Industrials
    • Media
    • Professional Services
    • Retail & Consumer
    • Tech Sector
    • Telecoms
    • Transport
  • Tech
    • Artificial intelligence
    • Semiconductors
    • Cyber Security
    • Social Media
  • Markets
    • Alphaville
    • Capital Markets
    • Commodities
    • Cryptofinance
    • Currencies
    • Equities
    • ETF Hub
    • Fund Management
    • Trading
      • Trade Secrets
    • Markets Data
    • Moral Money
  • Climate
    • Opinion
    • Letters
    • Lex
    • Obituaries
  • Work & Careers
    • Business Books
    • Business Education
    • Business School Rankings
    • Business Travel
    • Entrepreneurship
  • Life & Arts Home
    • Arts
    • Books
    • House & Home
    • Food & Drink
    • Style
    • Travel
  • HTSI
  • My Financial
    • FW Magazine
    • FW Globetrotter
    • FW Podcasts
    • FW Recomment
    • FW Schools
    • FW Wealth
    • The FW View
Reading: The high costs and slow take-up of virtual reality for employee training
Share
Font ResizerAa
Financial Magazine: Your Key to Wealth PROFinancial Magazine: Your Key to Wealth PRO
Search
  • Home
    • Financial Magazine: Your Key to Wealth PRO
  • Categories
  • Bookmarks
    • My Bookmarks
  • More Foxiz
    • Blog Index
    • Sitemap
Have an existing account? Sign In
Follow US
Home » Blog » The high costs and slow take-up of virtual reality for employee training
Tech

The high costs and slow take-up of virtual reality for employee training

admin
Last updated: December 15, 2024 9:39 am
admin Published December 15, 2024
Share
SHARE

Many companies are still trying to figure out how VR can contribute to learning and development

Back in the 1950s, cinematographer Morton Heilig developed the Sensorama. Roughly the size of two washing machines stacked on top of each other, this early example of virtual reality (VR) technology offered users a simulated motorcycle ride through New York City, including the smell of petrol fumes and pizza. Six decades later, similarly immersive experiences — albeit without the odours — can be delivered by a portable headset that can almost fit in a shoe box.

Such convenient access to simulations where workers can experiment and familiarise themselves with different scenarios in a controlled environment seems ideal for employee training and development. Uptake, however, is patchy.

In some industries VR is already common — flight simulators to train airline pilots are an obvious example. It is also used in sectors where workers need to learn how to operate in hazardous environments, such as the oil and gas industry. But many companies and organisations are still trying to figure out how best to use VR for training.

A key benefit is that it can really make an impact, says Bernadett Koles, associate professor and academic director at France’s Iéseg School of Management. “VR is great to give people more confidence in experimenting, in trial and error, without the actual consequences of failure.”

She says it is particularly effective for training service staff, as they can quickly learn to deal with difficult customers.

US retailer Walmart is one company that uses VR in this way. “Associates use it to role-play real-life scenarios like showing empathy to a customer who is having a tough day or delivering groceries inside a customer’s home,” says Jimmy Carter, a spokesperson for the company. Staff have, he adds, “told us these experiences help them feel more confident and prepared to interact with customers.”

However, numerous hurdles continue to slow wider adoption of VR for staff training. Factors such as cost, logistics and unrealistic avatars all conspire to put companies off.

Headsets may be smaller and less expensive than they once were, as well as able to operate wirelessly, but they are still not cheap. The Meta Quest Pro headset, for example, costs just under £1000. But more expensive still is the content.

Some experts in the industry think widespread use of virtual reality for training workers will take time

Taking soft skills as an example, where people take courses to improve their ability to communicate and to deal with others, “there are many off-the shelf solutions”, says Alexandra Ruhl, UK head of metaverse technologies at professional services group PwC. “But if a company wants something more specific, then bespoke content needs to be developed, which is still expensive.”

VR hardware and software “require[s] a lot of investment . . . it requires maintenance and competence. You need people who can build these [environments],” says Shirish Srivastava, professor of information systems and operations management at Paris-based HEC business school. Further, if cloud-based technology is being used, or a third party provider, privacy and security are another consideration.

And while some VR avatars are high quality, unrealistic ones can be off-putting. Filippo Rizzante, chief technology officer at Reply, a digital services consultancy, says a cartoonish environment can distract users from the learning content.

But such environments and avatars, he adds, are a “technical compromise” because “running a realistic environment costs a lot” both in terms of computing resources and energy consumption. That in turn also raises the question of sustainability.

There are also other practical problems. Koles says that headsets can cause motion sickness, and are still not always the ideal fit, especially for women. And where companies have thousands of employees, the logistics of a mass rollout can be complicated.

In the long term, however, VR’s role in upskilling employees could grow significantly, especially if VR headsets become ubiquitous among consumers.

Derek Belch, founder and chief executive of Strivr, a VR training company that has worked with US retailer Walmart, sees a correlation with job type. “Where a front line worker is an end user, [VR] adoption is much more significant,” he says. “But where the knowledge worker is an end user, it’s not as significant.” That will change, Belch thinks, because of the growth of soft skills training, although proving the return on investment is a challenge.

Widespread use of VR for training will take time, he adds, but Apple’s launch of an augmented reality headset and Meta’s continued investment are significant. “Meta is certainly going to push very hard on the consumer side,” he says. “Consumer ubiquity is coming in the next three to five years.”

Ruhl suggests that if a headset can be used in other contexts, such as for meetings or other collaborative work, then there is a wider case for investment. Generative artificial intelligence could also bring down the cost, as “it allows users to tailor the training to their specific needs . . . within minutes, rather than having to build a bespoke module.”

Meanwhile companies are also assessing the possibilities of so-called augmented reality. This technology — where digital images and information are displayed over the user’s actual surroundings — can be used for fixing live problems in real time, says Kamran Malik, global people advisory services learning and digital engagement leader at EY, the professional services firm. He cites manufacturing and heavy industry as examples. “You may have a problem with a piece of machinery, AR can literally take you through what to do,” he says.

Andy Lancaster, head of learning at the Chartered Institute of Personnel and Development, says that because AR, enabled by devices such as smartphones and smart glasses, can improve proficiency and productivity by providing guidance and support in the moment, “it offers immersive solutions that are transferable to most workplaces, using technology that is already familiar to staff. That has huge benefits in speeding [up] adoption.”

However, VR is a different proposition, and while many companies continue to develop and experiment with immersive training, Belch wonders whether the biggest barrier of all “is just basic human laziness”. “That sounds a little harsh but it’s true,” he says. “People pick the path of least resistance in life, and the resistance to change is very real. This is a very different way of doing things and a different way of thinking. It requires change management.”

Source: Financial Times

You Might Also Like

Efficient Staffing: How Venue Software Enhances Employee Scheduling

How will artificial intelligence change the value of human skillsets?

Water-Bear ‘Biostasis’ Mechanism May Hold Key to Enhancing Human Longevity

Wanted: skilled workers to combat the rise in cyber crime

US fintech Plaid hires first chief financial officer on road to potential IPO

Share This Article
Facebook X Email Print
Leave a Comment

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Follow US

Find US on Social Medias
FacebookLike
XFollow
YoutubeSubscribe
TelegramFollow

Weekly Newsletter

Subscribe to our newsletter to get our newest articles instantly!
[mc4wp_form]
Popular News
EuropeWorld

How business school lessons helped victims of Ukraine war

admin admin December 15, 2024
The ECB’s rate rise dilemma
G20 statement drops reference to Russia aggression ‘against’ Ukraine
Banks brace for California law mandating emissions disclosure
Apple/iPhone: Pro model will add bite to sales in China
- Advertisement -
Ad imageAd image
Global Coronavirus Cases

Confirmed

0

Death

0

More Information:Covid-19 Statistics
Support
  • Help Centre
  • Contact Us
  • About Us
  • Accessibility
  • Careers
  • Suppliers
Legal & Privacy
  • Terms and Conditions
  • Privacy Policy
  • Cookie Policy
  • Manage Cookies
  • Copyright
  • Policies & Statements
Sections
  • Help Centre
  • Contact Us
  • About Us
  • Accessibility
  • Careers
  • Suppliers

Subscribe US

Subscribe to our newsletter to get our newest articles instantly!

[mc4wp_form]
© Foxiz News Network. Ruby Design Company. All Rights Reserved.
My Financial World
Welcome Back!

Sign in to your account

Username or Email Address
Password

Lost your password?