AI Empowers Mid-Sized Companies with Scalable, Personalized Training - Episode Hero Image

AI Empowers Mid-Sized Companies with Scalable, Personalized Training

Be Real Show · · Listen to Original Episode →
Original Title: #462 - Luis Garcia gets REAL about Your Ai-Power Virtual Training Deparment

TL;DR

  • AI-powered training solutions like Pete enable companies with hundreds of employees to achieve the same training services as a full department without job displacement, solving scalability issues.
  • Digital education's distribution problem is solved, but the removal of experts necessitates high-quality instructional design, a costly process that AI can now make more accessible.
  • The traditional model of fixed time and variable learning is being challenged, with AI enabling learning to be fixed and time to be variable, personalizing education at scale.
  • AI platforms can ingest regulatory content and automatically create compliance courses with verifiable learning evaluations, addressing a historically tedious and difficult training area.
  • Companies under 50 employees are advised to use simpler methods like shadowing, as AI training solutions become cost-effective and scalable for organizations exceeding this threshold.
  • AI-driven training platforms activate knowledge by converting policies and procedures into accessible chatbot-based knowledge bases, overcoming the difficulty of finding and applying information.
  • The emergence of cost-effective AI models like DeepSeek fosters competition, driving efficiency and lowering the barrier to entry for advanced AI capabilities in business solutions.
  • AI can create training for first-line employees in industries like stadiums and banks, addressing high turnover and the need for consistent knowledge and brand alignment.
  • AI platforms can rapidly generate product and sales training materials, facilitating quicker adoption of new features and products by sales teams.
  • The integration of AI into business processes, from training to customer feedback, is essential for companies to remain competitive and avoid being surpassed by more agile competitors.

Deep Dive

Luis Garcia, co-founder of Collectiva and a veteran of the technology and education sectors, argues that AI-powered platforms like Pete.com are essential for businesses to scale personalized training effectively. The core problem Pete addresses is the prohibitive cost and complexity of creating high-quality, customized training materials, a challenge that grows exponentially with company size. By leveraging AI, Pete offers a scalable solution that mimics the services of a dedicated learning and development department without the associated overhead, thereby democratizing access to effective training for mid-sized companies.

The implications of this AI-driven approach are far-reaching. Historically, only large enterprises, like Disney with its "Disney University," could afford to build internal departments for comprehensive employee training. Smaller companies, typically under 50 employees, could manage with informal methods like shadowing or occasional group sessions. However, companies in the "hundreds of employees" range face a critical bottleneck: their growth velocity, whether through hiring, product development, or high turnover, necessitates consistent, high-quality training that informal methods cannot provide. Attempting to train employees using subject matter experts who are not trained educators leads to inconsistent quality and outdated materials, leaving a persistent problem unsolved until a company reaches a size where building a dedicated department becomes feasible.

Pete's platform directly tackles this gap by enabling companies with 50 to 10,000 employees to implement sophisticated training programs. This includes onboarding, process consistency, product knowledge dissemination, and even regulatory compliance, all of which are crucial for maintaining operational efficiency and brand integrity. The AI can ingest existing company documentation and regulations to automatically generate courses and knowledge bases accessible via chatbots, activating knowledge that would otherwise be buried in manuals. This is particularly impactful for industries with high turnover, such as stadiums, banks, retail, and agriculture, where seasonal or short-term employees require rapid and effective onboarding. The ability to deliver consistent, high-quality training at scale ensures that these businesses can manage growth without sacrificing employee competency or brand experience, ultimately improving operational efficiency and employee retention.

Action Items

  • Audit training content creation process: Identify 3-5 bottlenecks in translating expertise to scalable training materials.
  • Design standardized onboarding module template: Define 5 core sections for consistent new hire integration across departments.
  • Implement AI-driven knowledge base access: Integrate chatbot with existing policy documents to activate employee knowledge.
  • Measure training effectiveness: Track 3-5 key performance indicators for new hires to validate learning outcomes.
  • Evaluate AI model integration: Test 2-3 alternative AI models for training content generation to optimize cost and performance.

Key Quotes

"If you're a company in the hundreds of employees, you don't have to live with a problem. We can give you a tool that will give you the same services as if you had a full department, without taking anybody's job away, and then solve the problem at your size."

Luis Garcia explains that his company, Pete, offers a solution for businesses with hundreds of employees that need the capabilities of a full training department. Garcia highlights that this tool provides these services without the need to eliminate existing jobs, addressing the problem at the company's current scale.


"I started programming computers when I was eight years old, which today is actually common. Kids can get involved with computers very early, but back in the 80s, when I was a kid, that was super, super rare. But I started being a programmer when I was nine years old, so I always wanted to see what's next."

Luis Garcia shares his early exposure to technology, beginning programming at a young age. Garcia notes that while this is common for children today, it was exceptionally rare in the 1980s, indicating his long-standing fascination with future advancements.


"But once you remove the expert from the room, the materials that before you don't care too much about what's behind that educator, that person is an expert and is a good communicator, you feel educated, right? But if you remove that person from the equation, now the teacher is that material behind him or behind her, and that was doing the teaching, right? And it becomes a very big challenge because not everyone can prepare materials that are ready to do learning, to become a training experience."

Luis Garcia discusses a challenge in digital education: the removal of the expert presenter. Garcia explains that when the educator is absent, the quality of the training materials becomes paramount, and not all content is inherently designed to be an effective standalone learning experience.


"So the problem there is that, first of all, you know, come and do it. And so people don't, and that the training is not very good, it's not very effective, and it's not their job. And so they do it once a year, and then they become outdated, and they just leave with the problem."

Luis Garcia identifies a common issue when companies try to handle training internally without dedicated resources. Garcia points out that individuals tasked with training are often not experts in instructional design, leading to ineffective and outdated training that does not solve the core problem.


"We find that if you're under 50 people, that we're too expensive, and you're better off having people shadow each other, right? So when we get those folks, just get people in the conference room once a month, and you'll be, you'll be fine, right? But if you are over 50 people, then that just doesn't make, that doesn't scale."

Luis Garcia clarifies the ideal client size for his company's services. Garcia states that for businesses with fewer than 50 employees, the cost of their solution may be prohibitive, and traditional methods like shadowing are more suitable, whereas for companies over 50 employees, their solution becomes necessary for scalability.


"And so the more choices for us to choose, the better. Yeah, the better. Yeah, I feel like that's what that's going to be the choice. And then that's why I always say like, 'Why haven't you gone Google Gemini or this?' And it's like, 'Hey, OpenAI has worked really well just keeping me there.'"

Luis Garcia expresses the advantage of having multiple AI model options available. Garcia believes that increased choice benefits his company's ability to select the best model for specific tasks, noting that while OpenAI has been effective, he is open to exploring other options like Google Gemini.

Resources

External Resources

Books

  • "The Disney Way" - Mentioned as an example of a company that uses internal training to instill its culture and brand.

Websites & Online Resources

  • wayfair.com - Mentioned as a source for home decor items.
  • pete.com - Mentioned as the website for the AI training personalization tool discussed.
  • realtimeoutsource.com - Mentioned as a business that helps boost digital presence.
  • realtimereputation.us - Mentioned as a business that helps power customer feedback and online reviews.
  • iluvpodcast.com - Mentioned as a podcast agency that helps with audience strategies and booking services.
  • dreamsportscars.com - Mentioned as a platform for sourcing and selling collectible cars.

Other Resources

  • AI (Artificial Intelligence) - Discussed as a technology enabling personalized training at scale.
  • Instructional Design - Referenced as the process of translating expertise into a training or educational experience.
  • OpenAI - Mentioned as a provider of AI models.
  • ChatGPT - Mentioned as an AI model.
  • DeepSea - Mentioned as an open-source AI model.
  • Google Gemini - Mentioned as an AI model.
  • VHS - Mentioned as an older video format used for training materials.
  • Live Selling - Discussed as a future trend in e-commerce.
  • Whatnot - Mentioned as a platform for live selling, specifically for baseball cards.

---
Handpicked links, AI-assisted summaries. Human judgment, machine efficiency.
This content is a personally curated review and synopsis derived from the original podcast episode.