Artificial Intelligence (AI) is rapidly changing how organisations function, streamlining processes and enabling new ways of working. However, a critical divide in AI readiness is forming between executives and employees, threatening the success of AI initiatives.
Only 13% of organisations globally are considered AI “pacesetters”, fully prepared to adapt, deploy, and leverage AI technologies. Whereas the majority (51%) are “followers” with limited preparedness, and 3% are “laggards” who are unprepared. This gap in knowledge and confidence creates a large obstacle to meaningfully integrating AI.
To truly unlock AI’s potential, organisations must prioritise scalable AI literacy initiatives that empower employees at every level, from decision-makers to frontline teams. By bridging this divide, organisations can build trust, collaboration and long-term business value. So, what steps do organisations need to take to truly solve and understand the AI literacy divide?
Why every role needs AI literacy
AI has emerged as the top investment priority among IT leaders, with 54% reporting it has a positive impact on their roles. However, 65% of these decision-makers acknowledge that there is a significant skills gap within their teams. This disconnect often results in a mismatch between leadership’s enthusiasm for AI and a workforce that feels unprepared, uncertain or at times unengaged, ultimately leading to workforce resistance, missed opportunities and underutilised AI investments.
For many organizations, AI literacy is failing because they are still early in their digital transformation journeys, and they have made the mistake of leaping into AI literacy too early—before their organization has developed a clear point of view on AI. This premature push can exacerbate confusion and resistance, rather than build confidence and capability.
To get the most out of AI, organisations must focus on upskilling their entire workforce, not to turn every employee into a machine learning expert, but to build a foundational understanding of AI, its capabilities and its relevance to everyday work.
When employees truly understand AI, they are more likely to trust and adopt AI-powered tools, spot opportunities to enhance their workflows and ultimately become knowledgeable to use AI for long-term value creation. Creating this shared foundation of AI literacy is essential to not only bridging the gap between vision and execution but also ensuring AI investments deliver organisation-wide benefits.
A hands-on approach to upskilling
Closing the AI literacy gap demands a multi-faceted strategy that takes into account an organisation’s current level of understanding and adapts to varying roles and learning styles. A structured approach should address five key areas:
- Assess the starting point
- Align on a unified vision
- Address the talent gap
- Measure and track progress
- Adapt and evolve
Assess the starting point - Existing employee awareness and skillsets
Before launching any AI literacy initiative, it’s essential to first understand the current level of knowledge and readiness within your organisation. This can be done through formal assessments, surveys or focus groups to evaluate key areas such as the general awareness of AI concepts, familiarity with data and technology that enables AI and the ability to recognise AI opportunities relevant to specific roles or functions.
When conducting these assessments, it’s important to ensure that employees do not perceive them as punitive but rather understand that the purpose is to establish a starting point that will inform personalised learning paths. This will ultimately support the growth of both individuals and the organisation as a whole.
Align on a unified vision - How AI will support and accelerate business outcomes
AI literacy goes beyond technical knowledge, it’s about communicating purpose and creating enthusiasm to foster engagement and innovation. Employees need to clearly understand why AI is important, how it aligns with the organisation’s objectives and how it can enhance their own roles.
To build this understanding, organisations must simplify AI concepts, stay away from technical jargon and focus on how AI contributes to the organisation’s mission while empowering employees. When people view AI as a tool that increases their role, rather than replacing them, they become more motivated and receptive to learning.
Addressing the talent gap - Tackle the buy vs build dilemma
As AI rapidly evolves, executives are under pressure to deliver quick results. While hiring new talent might seem like the obvious solution, it’s often costly and unsustainable. In fact, 48% of decision-makers find it difficult to find qualified candidates, especially in areas surrounding AI.
To close this gap, organisations must strike a balance between hiring (buy) and upskilling existing teams (build). This starts with understanding how AI will reshape roles and what skills will be needed. With clear skill requirements and a baseline assessment, organisations can design role-specific learning paths including foundational (for all employees: AI basics, ethics and common use cases), functional (for business teams: AI applications tailored to their domain) and technical (for developers and analysts: hands-on training in AI tools).
Effective learning programmes should include hands-on experimentation, such as sandbox environments and consider instructor-led training for more complex topics. Beyond technical skills, success also depends on developing power skills like adaptability, collaboration, change management and critical thinking.
Measure and track progress - Measure individuals and organisational growth
Sustaining momentum requires ongoing visibility into employee learning progress. Tracking engagement in learning programmes, the adoption rates of AI tools, employee feedback and measurable business outcomes, such as productivity improvements or enhanced customer satisfaction, will allow organisations to share and celebrate success stories. Consistently measuring these elements not only helps fine-tune an organisation’s AI strategy but also reinforces that AI literacy is a strategic enabler and a key driver of business performance.
Adapt and evolve - Adjust to stay ahead in a rapidly changing landscape
AI is evolving fast; what’s brand new today may be the standard tomorrow. To ensure lasting impact, leadership must actively champion AI literacy as both a technical and cultural priority. This means fostering empathy, clear communication and a mindset of continuous learning.
Without visible leadership support, AI adoption risks becoming fragmented, widening the gap between strategic goals and workforce readiness. For true transformation, AI must be embraced across all levels, empowering every team member to adapt and contribute.
Greg Fuller
Greg Fuller is Vice President of Codecademy Enterprise. In Greg’s 24+ year career with Skillsoft, he has been involved in tens of thousands of hours of content development projects; all focused on tech skills. Along the way, Greg has acquired several technical certifications such as PMP, CISSP, Oracle OCP, Cisco CCNP, and many others. Greg has applied much of the knowledge that he’s acquired working closely with several Fortune 500 companies to help build their up-skilling programs.
