Impact of AI-Based Training on Employee Performance and Retention in the Restaurant Industry: A Conceptual Paper and Case Study on Toscano

Abstract

This study investigates the effect of AI-enabled training programs on the job performance and retention of employees in the hospitality industry, specifically in the case study of Toscano, an emerging Indian restaurant chain. While AI technology has been applied widely in frontline customer service positions, their application in human resource functions, such as training and development, has been less explored in the hospitality industry. This study bridges the gap by investigating the effect of AI-enabled training tools in improving employees' skill levels, job satisfaction, and retention levels. It provides a systematic review of the existing literature on artificial intelligence in HR, with an in-depth case study of Toscano's utilization of the Safety Culture AI employee training platform. Quantitative data were gathered through employee surveys, whereas qualitative insights were gained by interviewing managers and employees across different Toscano locations. The study confirms that AI-powered training results in quantifiable improvements in job performance, employee confidence, and intention to stay. Above all, findings indicate that AI applications assist with streamlining onboarding, individualizing learning experience, and creating a culture of continuous growth. It contributes both theoretical and practical insights by providing actionable recommendations to restaurant managers and HR professionals  to leverage AI for workforce training. It also provides scalability-related considerations as well as change management while implementing AI-driven training systems in hotel settings.