Talent loss can compromise up to 50% of large companies' results
Talent loss has become one of the main threats to the competitiveness of large companies. High turnover, generational turnover, and restrictive travel policiescan compromise up to 50% of certain financial and operational results, according to a study by Entelgy conducted among 300 CEOs and executives of large Spanish companies.
Faced with this scenario, business leaders see Artificial Intelligence as a tool to strengthen talent retention, preserve corporate knowledge, and create new specialized professional roles.
Talent loss, driven by high turnover rates and the impending wave of retirements among the baby boom generation, has established itself as one of the main challenges facing the global economy. This is reflected in the latest study by Entelgy, The BusinessTech Consultancy, which focuses on the perceptions of leaders at large companies. According to the report, 45% of CEOs believe that the loss of knowledge could compromise up to 50% of certain financial and operational results.
This impact is not solely due to the loss of specialized knowledge. It also includes costs associated with the processes of recruiting, onboarding, and training new professionals, as well as the temporary loss of productivity until they reach their peak performance.
In addition to these factors, there are other elements that are increasingly influencing organizations? ability to attract and retain professionals. Among these are internal policies that are ill-suited to employees? new expectations, including excessively restrictive travel policies, which can hinder work-life balance, limit flexibility, and strain workplace relationships, thereby becoming an additional factor in talent loss.
AI: An Ally in Attracting and Retaining Talent
In contrast to the debate linking the expansion of Artificial Intelligence to job destruction, business leaders paint a different picture, in which new technologies will act as a driver of growth and specialization.
In line with the forecasts of the World Economic Forum, which anticipate the creation of millions of new jobs as a result of technological transformation, the Entelgy study reveals that 46% of Spanish executives believe that the implementation of AI will directly drive the creation of specialized jobs in their organizations, fostering the emergence of roles with higher added value in the medium and long term.
In addition, 31.7% of respondents are confident that Artificial Intelligence will help improve talent retention through the implementation of policies better tailored to the needs of professionals. In this regard, companies are already using predictive analytics tools to identify the risk of employee turnover, generative AI models to preserve the knowledge of senior employees before they retire, and algorithms capable of designingpersonalized career plans and benefits programs.
In contrast to existing social concerns, only 22.3% of business leaders believe that the implementation of AI will lead to job cuts.
This view aligns with the forecasts of various specialized organizations, which indicate that AI will begin to create more jobs than it eliminates starting in 2028, although it will require a profound transformation of professional roles and talent management strategies.
Strategies to safeguard corporate knowledge
Faced with the risk of knowledge loss, large organizations are opting for a combination of technological and human solutions. On the one hand, they are using AI-based tools capable of automatically documenting, organizing, and preserving the expertise of senior professionals. On the other hand, they are strengthening intergenerational mentoring programs that facilitate the transfer of knowledge to new hires.
These initiatives not only help protect the organization?s critical know-how of the organization, but also to manage the generational transition with greater assurance and strengthen companies? ability to retain talent in an increasingly competitive environment.
?Knowledge leakage is one of the greatest hidden costs for the bottom line of large corporations. However, the maturity that Artificial Intelligence has reached finally provides us with the tools to capture that knowledge and democratize it within the organization,? Entelgy?s management emphasizes.