With the EU AI Act (effective from 2 February 2025), organisations are now legally required to ensure adequate AI literacy among key decision-makers, employees using AI and those impacted by its outputs. This article focuses on internal stakeholders, with future discussions covering external considerations.
AI literacy is the ability to understand, evaluate and interact effectively with AI systems. It includes recognising risks and opportunities, interpreting AI outputs and making informed deployment decisions. Ensuring AI literacy within an organisation isn’t just about compliance – it reduces risk, fosters innovation and drives competitive advantage. The EU AI Act defines AI literacy as:
“…skills, knowledge and understanding that allow providers, deployers and affected persons… to make an informed deployment of AI systems, as well as to gain awareness about the opportunities and risks of AI and possible harm it can cause.”
For businesses looking to enhance AI literacy, the European Commission provides detailed guidance, available here: AI Literacy Learning Repository.
Leading organisations integrate AI literacy into AI governance frameworks, ensuring clear roles, responsibilities and KPIs. The most effective strategies include:
1. Tailored training for different expertise levels
A one-size-fits-all approach rarely works. Successful organisations provide:
2. Hands-on learning with practical applications
The best way to understand AI is to use it. Companies should offer their employees:
3. Role-specific AI training
Different teams engage with AI in different ways. HR professionals, finance teams, product managers, and engineers all interact with AI differently. Tailored training ensures that employees receive relevant knowledge to help them integrate AI into their workflows.
4. AI mentorship & cross-department collaboration
Encouraging knowledge-sharing between AI experts and employees helps bridge skill gaps. Some companies establish AI mentorship programmes where experienced employees guide their peers in AI adoption.
5. Embedding responsible & ethical AI practices
Many organisations are integrating Responsible AI principles into their training, focusing on transparency, fairness, and compliance with AI regulations such as the EU AI Act. The Government introduced principles for public sector organisations early in 2024 – these are still relevant today.
6. Continuous learning
AI is evolving rapidly. Training should be ongoing, with regular updates and refresher sessions to keep pace with advancements.
When AI literacy programmes are effectively implemented, organisations experience significant benefits:
Organisations cannot afford to overlook AI literacy, considering a rapidly changing world and AI Act requirements. Ensuring AI literacy is part of your AI governance framework. Investing in education, practical training and ethical AI practices equips employees with the skills they need to work effectively with AI and allows leadership to make informed decisions on deployment and controls. By addressing challenges and leveraging the best strategies, companies can build an AI-literate workforce that drives innovation, enhances efficiency and ensures responsible AI use while meeting compliance objectives.
AI literacy isn’t just about understanding how AI works; it’s about ensuring that businesses and employees can use AI to create meaningful, positive outcomes. If your organisation hasn’t yet prioritised AI literacy, now is the time to start.
Our AI experts recognise that compliance and adapting to the changing digital landscape are pivotal to your business's strategic priorities. We specialise in helping our clients navigate the complex regulatory landscape and build future-readiness, working closely with them to identify regulatory responsibilities and develop strategies to ensure full compliance.
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