Empowering the Energy Workforce: Bridging AI Skill Gaps to Drive Transformation
In today’s rapidly evolving technological landscape, the term "workforce transformation" is more than just a buzzword — it's a survival strategy. As industries across the board adopt artificial intelligence (AI) and other advanced technologies, the need to upskill and empower employees has never been more critical.
In EPAM’s AI Research Report, From Hype to Impact: How Enterprises Can Unlock Real Business Value with AI, the findings for the energy industry tell us that the workforce remains both a key enabler and a challenge for scaling AI initiatives. While 98% of energy companies plan to hire AI-specific roles by 2025, more than half of those respondents (54%) believe their workforce lacks the skills to effectively deploy GenAI. This points to a discrepancy between the need for AI-specific roles and current AI skill gaps. On average, respondents from the survey predict that 40% of staff at energy companies will need upskilling within the next 18 months to navigate AI-powered transformations. C-suite leaders are keenly aware of these challenges, with 56% agreeing that skill gaps hinder effective adoption of AI, pointing to the necessity of transforming workforce skills.
98%
of energy companies plan to hire AI specific roles in 2025
54%
of energy companies believe their workforce lacks skills to effectively deploy GenAI
Addressing this readiness gap will be crucial for realizing the ROI on rising AI investments.
But what does workforce transformation really mean, and how can industries, particularly those hesitant about digital adoption like the oil and gas industry, leverage AI and immersive technologies such as AR/VR, to meet the challenges of tomorrow? Let's dive in.
What Is Workforce Transformation?
Workforce transformation is about equipping employees with the skills and tools they need to thrive in a changing technological landscape. Kate Waller, a senior leader in EPAM’s Organizational Change Management practice, says it’s about making sure your workforce is appropriately trained and enabled to perform in this new landscape. A successful transformation journey for AI workforce enablement goes beyond deploying tools — it requires rethinking how organizations equip their employees with the skills, mindsets and processes to thrive alongside intelligent technologies. In the context of AI, this means understanding foundational concepts, learning how to interact with AI tools and developing strong prompts to maximize their effectiveness.
“If your workforce doesn’t understand the tools or how to use them, you’re not just missing out on ROI — you’re potentially creating new problems”, points out David Aldrich, energy consulting practice lead. For instance, in a recent case with a major IOC, employees unfamiliar with new AI-enabled optimization tools acted in contradiction to recommendations, resulting in unplanned downtime instead of efficiency improvements.
This highlights a critical issue: while we’re surrounded by AI in our everyday lives — on our phones, in our wearable devices — the AI tools used in professional settings are far more specialized and complex. Employees need tailored training to bridge the gap between personal and professional AI use, especially in industries like oil and gas, where the stakes are high and the workflows are deeply technical.
But Kate also remarks that to change a company’s culture to effectively enable a digitally adept workforce, leaders must communicate a clear vision for why AI matters. People have to understand what it will change and how they fit into that future. Training programs, upskilling pathways and forums for open dialogue reduce resistance and build trust. By investing in change management alongside technology rollouts, organizations ensure that AI is seen not as a threat but as a trusted partner in everyday work.
The Oil and Gas Industry: A Unique Challenge and Opportunity
The energy sector as a whole — but particularly the oil and gas industry — faces unique challenges in workforce transformation since the industry is about a decade behind others in its digital transformation journey. This lag makes the leap to AI adoption even steeper. Yet, there’s a silver lining: the potential for a leapfrog effect. By skipping intermediate steps and diving straight into AI-enabled workflows, companies can achieve greater efficiency and effectiveness — provided their workforce and data governance structures are enabled.
However, readiness is the key. David notes that you can spend millions on AI tools, but if your workforce doesn’t understand the workflows, or worse, doesn’t trust the recommendations, you’re not getting the benefit of your investment.
Take, for example, a scenario where AI-enabled software recommends slightly reducing production to enable increased efficiency for topsides equipment. If the engineer using the tool doesn’t understand or trust the recommendation, they may revert to legacy tools, negating the benefits of the new technology. This underscores the importance of not just training employees on how to use AI tools but also fostering a culture of trust and understanding around AI-driven insights.
Leveraging AI to Train the Workforce
Interestingly, AI isn’t just the challenge — it’s also part of the solution. AI-powered tools can revolutionize how training content is created and delivered. For instance, David points out that generative AI is an enabler for personalized learning experiences — users can leverage AI to create their preferred learning content — recommendations for additional reading, custom quizzes/tests or personalized Q&A coaching. This allows employees to learn at their own pace and test their understanding in real time.
Using machine learning to analyze the responsibilities and pain points of specific roles — such as the responsibilities a drilling engineer might have working with an electric submersible pump during a well workover or completion operation — AI can generate targeted training content to address unique needs. Kate underscores that this kind of customization ensures that training is relevant and immediately applicable, increasing its effectiveness.
While some skepticism remains around the efficacy of AI-generated training compared to human-led instruction, the potential is undeniable. AI can rapidly process vast amounts of information, creating tailored learning paths that would take humans weeks or even months to develop.
Why It Matters
At its core, workforce transformation is about people. And for industries like oil and gas, which are often seen as traditionally slow to adapt to the changing technology landscape, embracing AI and immersive technologies isn’t just a competitive advantage — it’s a necessity.
By investing in employee adoption, aligning company leadership around key outcomes and drivers, and providing an environment of open communication around how AI fits within the broader workplace context, the energy sector can bridge this gap and unlock the full potential of AI-enabled technologies with a future-ready workforce.