ABSTRACT. The present research contemplates the influence of Artificial Intelligence (AI) on workforce skills and job roles in the manufacturing sector. With the monopolization of manufacturing processes by AI technologies, the ability to carry out data analysis, machine learning, and the management of digital processes is indubitably increasingly important. The purpose of this study is to investigate the expectation for the level of incorporation of AI into integrated manufacturing processes and its impact on the workforce structure, the structure of job roles, the skill level of employees, and also the organizational capabilities in terms of AI integration. According to the findings, quite substantial shifts in requirements for the workforce are identified, which enables employment for high-skilled occupations while at the same time suggesting the automation of many routine activities. Different sectors point to different rates of AI adoption with sectors that have proper digital infrastructure benefiting more from AI technology. The study has also noted other major barriers to AI implementation which include skill gaps as well as technology integration barriers. Some of the recommendations prescribed include: supporting continuous learning plans, encouraging country-level AI strategies, and offering capacity to educational providers to address the skills gap. This research informs strategies for building an alternative workforce that is competent and equipped to function effectively in a manufacturing environment characterized by AI.
JEL codes: E24; J21; J54; J64

Keywords: AI in manufacturing; workforce transformation; skills gap; job displacement; organizational readiness; continuous learning

How to cite: Nica, E. (2023). “Exploring the Role of Artificial Intelligence in Shaping and Advancing Workforce Skills within Manufacturing Industries,” Psychosociological Issues in Human Resource Management 11(1): 22–51. doi: 10.22381/pihrm11120232.

Received 26 August 2023 • Received in revised form 21 December 2023
Accepted 25 December 2023 • Available online 30 December 2023