Did you know that at the Walmart Supercenter in Secaucus, New Jersey, around 750 employees have been utilizing artificial intelligence (AI) every day for the past few years? These retail workers make use of an AI and augmented-reality app to efficiently assess inventory needs, thereby reducing unnecessary trips between store aisles and the backroom. According to Walmart, this has resulted in a one-third reduction in the time it takes to manage backroom inventory.
AI technology also aids in suggesting optimal product placements on shelves, and a new feature currently under development will prioritize workers’ tasks based on urgency.
But here’s the fascinating part – this technology isn’t just beneficial for Walmart’s employees; it can directly assist shoppers as well. If a customer asks where to find orange juice, workers can use voice or text to query an AI-powered app that understands questions just like humans do, thanks to natural language processing. On average, Walmart employees ask the app more than 600,000 questions every week!
In the next five years, Walmart plans to implement automation in about 65% of its stores. This move towards automation is part of Walmart’s efforts to improve efficiency, for which the company has invested billions in its stores and supply chains.
Being the largest private employer in the world with 2.1 million retail workers worldwide, Walmart’s influence on the changing landscape of jobs, thanks to AI, is significant.
The Evolution of Retail Jobs
At a press tour showcasing the various tech features and gadgets used at the Secaucus Walmart, Ivy Barney, the senior vice president of operations, emphasized that the workforce of 750 employees at the store has not been reduced. Instead, retail workers have taken on new roles such as “digital shoppers” and “hosts” for cashier-less registers. Additional new roles have also been created in receiving and other operations at the back of the store.
Despite the AI revolution, concerns about massive job loss persist. However, according to the US Bureau of Labor Statistics, employment in the retail sector in the US is almost back to pre-pandemic levels, indicating that technology has not significantly impacted overall employment.
However, the question remains – is technology improving these jobs? Walmart recently made headlines for reducing starting pay for certain new hires, raising concerns about the impact on workers’ wages.
Limitations of AI Tools for Retail Workers
It’s important to note that not all software transitions smoothly from the lab to the real world. For example, the app designed to handle store-related questions is currently only available in English. With over 5,000 stores worldwide and a diverse staff and customer base, including the rich immigrant population and ethnic diversity of Secaucus, questions arise regarding the effectiveness of these tools for non-English-speaking workers and customers.
Scaling these technologies is Walmart’s biggest challenge, according to Sanjay Radhakrishnan, the senior vice president of technology. However, Walmart is actively using feedback from workers and new data to enhance the AI models that power these tools.
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