Table of Contents
- Key Highlights
- Introduction
- Understanding the Need for AI Coaching
- The Development of BetterUp Grow
- How BetterUp Grow Works
- Measuring Impact: Insights from Early Users
- The Future of AI in Coaching
- Conclusion
- FAQ
Key Highlights
- BetterUp has launched BetterUp Grow, an AI coaching platform aimed at making professional development accessible to all employees, especially in hybrid and remote settings.
- The platform blends machine learning, behavioral science, and human coaching, contributing to significant employee engagement and satisfaction rates among early users.
- The AI system collects "talent intelligence" to help organizations identify and address specific developmental needs within workforce segments.
- The initiative shows promising early outcomes, with plans for increased functionality and broader language support in the near future.
Introduction
Imagine a workplace where employees feel empowered to tackle career challenges at any moment, equipped with personalized guidance that adapts to their unique needs. This vision is increasingly a reality, thanks to the innovative strides made by BetterUp, a virtual-coaching company founded in 2013 in Austin, Texas. With the rise of remote work and a demand for accessibility in professional development, many organizations encounter a pressing challenge: how to provide high-quality coaching to all employees, not just a select few. BetterUp has responded to this need with its latest product, BetterUp Grow—an AI-powered coaching tool designed to democratize workplace learning.
In this article, we delve into the transformative capabilities of BetterUp Grow, explore its development process, and consider its implications for the future of employee development.
Understanding the Need for AI Coaching
The Professional Development Landscape
To contextualize BetterUp's initiative, it is essential to understand the existing issues in professional development. Traditional coaching models often carry significant costs and are usually reserved for top executives or a small group of high-potential employees. According to a McKinsey report, organizations that prioritize workforce development see a 21% increase in profitability compared to their competitors who do not invest in employee training and coaching. However, the disparity in access to professional development resources can create stagnation in talent growth, particularly for those in entry-level or mid-management roles.
Moreover, the COVID-19 pandemic has resulted in a substantial shift toward hybrid and remote work arrangements. With this change, organizations face additional challenges in providing timely and convenient access to development opportunities that fit into varying employee schedules.
BetterUp's Response
Jordan Hochenbaum, BetterUp's vice president of artificial intelligence, articulates the dual challenge that the company aimed to address: "Many organizations struggle to make high-quality professional development widely accessible to employees while also navigating the demands of a remote or hybrid workforce." In response, BetterUp launched BetterUp Grow—an AI coach designed to seamlessly integrate into employees' workflows and offer real-time support tailored to their specific situations.
The Development of BetterUp Grow
Collaboration Across Disciplines
Creating an AI-powered coaching product is no simple feat. BetterUp's development of Grow required collaboration among various teams, including AI engineers, behavioral scientists, product designers, marketers, and executive leadership. The product's design process involved analyzing data from millions of previous coaching sessions to develop AI models that could effectively address employee coaching needs.
"Human career coaches played a crucial role in refining our AI models," Hochenbaum explains. "They ensured that our AI recommendations were aligned with behavioral science best practices." This human-AI partnership distinguishes BetterUp's offering from other coaching solutions that may rely solely on technology.
Launch and Early Adoption
After extensive testing, BetterUp officially launched BetterUp Grow in January 2023, introducing it to prominent organizations such as Unilever before making it widely available. The platform's proprietary dataset allows it to offer customized advice that aligns with each user’s role, learning style, and company values. "Think of it as a personalized AI agent," Hochenbaum says, enhancing the coaching experience through real-time adaptation.
How BetterUp Grow Works
Key Features and Real-Time Support
BetterUp Grow utilizes advanced machine learning algorithms to deliver personalized coaching experiences that adapt to employee needs. Employees can engage with the AI coach to:
- Role-play difficult conversations: Employees can practice scenarios with the AI, receiving immediate feedback and suggestions.
- Brainstorm solutions to challenges: The AI coach can assist users in developing strategic approaches to workplace challenges.
- Track progress toward goals: The platform keeps users focused on their personal development objectives, offering motivation and accountability.
On the organizational level, BetterUp Grow collects what Hochenbaum calls "talent intelligence." This aggregated data provides companies with insights into the specific developmental needs of various employee segments. For instance, first-time managers may experience distinct challenges related to employee engagement compared to more seasoned employees.
A Balanced Approach: Human Involvement
An inherent strength of BetterUp Grow lies in its capacity to seamlessly transition users to human coaches when more in-depth support is required. Recent data indicates that while 34% of employees expressed a preference for human coaches, another 51% were open to a blend of AI and human coaching. This hybrid approach allows for comprehensive support tailored to employees' unique contexts.
Measuring Impact: Insights from Early Users
Since launching BetterUp Grow, over 11 companies have utilized the platform, with an additional 50 planning to adopt it soon. Time-limited surveys conducted among users at these organizations revealed encouraging results. For example, 16% of employees reported increased confidence in their work roles, while a staggering 95% expressed satisfaction with the AI coaching experience.
These metrics point to a promising start for BetterUp Grow, suggesting that AI-driven coaching can play a vital role in enhancing employee engagement and confidence, key drivers of productivity and workplace culture.
The Future of AI in Coaching
Continuous Innovation and Expansion Plans
Looking ahead, BetterUp is committed to continually enhancing BetterUp Grow's capabilities. Hochenbaum shared insights into the platform's future direction, stating that the team is working on specialized tools for practicing decision-making in simulated scenarios.
Additionally, BetterUp Grow seeks to integrate with popular workplace platforms such as Microsoft Teams and Slack, providing employees with intelligent support that appears precisely when needed. Expanding language capabilities is another priority, with plans to support multiple languages, including Spanish, simplified Chinese, Portuguese, Russian, French, German, and Japanese.
Implications for Workforce Development
The expansion of BetterUp Grow and similar AI-powered coaching solutions marks a significant shift in workforce development strategies. By extending access to high-quality coaching and support through AI technology, organizations stand to benefit from elevated employee performance, improved job satisfaction, and a more engaged workforce.
The success of this model could encourage other companies to invest in AI capabilities to enhance their training and development initiatives, further democratizing access to professional growth opportunities.
Conclusion
As the landscape of work continues to evolve, so too must the approaches to employee development. BetterUp's AI-powered coach represents a paradigm shift toward scalable, accessible coaching solutions that meet the needs of a diverse and geographically distributed workforce. By combining the strengths of AI with human coaching and insights, BetterUp Grow stands at the forefront of a revolution in workplace learning.
This evolution not only addresses the immediate challenges presented by hybrid work environments but also sets a foundation for a future where every employee has the opportunity to thrive.
FAQ
What is BetterUp and what services do they offer?
BetterUp is a virtual-coaching company that provides personalized coaching, group sessions, and AI-enhanced tools aimed at fostering personal and professional growth for employees.
What is BetterUp Grow?
BetterUp Grow is an AI-powered coaching platform that offers real-time support to employees. It integrates behavioral science with machine learning to provide customized coaching tailored to individual needs.
Who can use BetterUp Grow?
Organizations of all sizes can implement BetterUp Grow to enhance their professional development offerings and provide coaching to employees at all levels within the company.
What are the unique features of BetterUp Grow?
Key features include the ability to role-play scenarios, brainstorm solutions with the AI coach, track progress toward goals, and transition to human coaching when deeper insights are needed.
How has the response been to BetterUp Grow?
Early adopters have reported significant increases in employee confidence and satisfaction with the coaching experience, indicating successful implementation and effectiveness.
What are BetterUp's plans for the future?
BetterUp aims to enhance BetterUp Grow's capabilities, including integration with various workplace applications and expanding language support for users around the world.