AI Literacy: CHRO’s Strategic Lever for Talent Transformation

Scaling AI, Featured Arthy Krishnamurthy

AI (including Generative AI) is reshaping the workplace, and the speed of these changes demands that companies equip their workforce to navigate and leverage this new technology. For organizations to stay competitive and agile, employees need to be more than just users of AI — they need to understand how it works and how it can amplify their roles. 

According to Gartner®, “76% of HR leaders believe that if their organization does not adopt and implement AI solutions, such as generative AI, in the next 12 to 24 months, they will be lagging in organizational success compared to those that do.”*

Imagine having a strategic tool that simultaneously solves four of the most pressing challenges of an organization: talent retention, skill gap mitigation, organizational adaptability, and employee empowerment.

This is where the Chief Human Resources Officer (CHRO) comes in. 

As the leader of workforce development, the CHRO is ideally positioned to champion a company-wide AI literacy program that empowers employees and sets the organization up for long-term success. In this blog, we’ll explore why the CHRO should support this initiative and provide a roadmap for implementing it effectively.

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Why CHROs Should Champion AI Literacy

1. Empower Employees to Thrive in a Data-Driven Future

AI is no longer an optional tool but a necessity in today’s business landscape. Generative AI, in particular, has made advanced technology widely accessible and is reshaping how we work across all industries. This accessibility creates both an opportunity and a challenge: AI won’t replace humans, but AI-enhanced humans will replace those who haven’t upskilled. 

The CHRO can lead this shift by:

  • Providing incentives
  • Establishing the right objectives and key results (OKRs)
  • Ensuring that employees feel supported to develop the skills to work alongside AI tools effectively, helping them future-proof their roles and remain competitive

Embracing AI literacy now allows employees to stay ahead, giving them the confidence and skills to leverage this technology to its fullest.

2. Enhance Employee Engagement and Reduce Fears Around AI

Generative AI's pervasiveness in the workplace can create anxiety, and some employees fear they’ll be replaced by technology. An AI literacy program addresses these fears directly, educating employees on how AI complements their roles rather than competing with them. 

Compared to people with high AI literacy, people with low AI literacy were over six times more likely to feel apprehensive, seven times more likely to feel afraid, and over eight times more likely to feel distressed about using AI at work. Additionally, nearly 70% of people with high AI literacy expected to see positive outcomes from the use of AI at work, compared to 29% of people with low AI literacy. 

-SAP survey of 4,000 managers and employees globally

By understanding AI’s capabilities, employees can shift their perspective and see AI as a valuable tool that enhances their performance, creativity, and efficiency. This reassurance builds a culture of learning and innovation, where employees feel empowered and valued, knowing they are equipped to navigate AI's impact on their roles.

3. Support Organizational Agility, Innovation, and Risk Mitigation

A workforce that understands AI is better equipped to respond to rapid changes and make informed decisions. AI literacy doesn’t just foster innovation; it also acts as a safeguard against potential risks, such as data privacy issues or ethical concerns associated with AI use. CHROs can ensure employees are trained to use AI responsibly, which is especially important with Generative AI and its fast-evolving applications. When employees are AI-literate, they bring flexibility and foresight to their roles, helping the organization remain resilient, adaptable, and ethically grounded in a fast-paced market.

Key Steps for Implementing a Company-Wide AI Literacy Program

1. Define Clear Objectives and Measure Progress

Establishing clear objectives is essential to align the AI literacy program with broader organizational goals. Start by identifying specific outcomes, such as improving productivity, increasing data fluency, or fostering a data-driven culture. For meaningful insights, track Learning & Development (L&D) metrics such as:

  • Completion rates
  • Knowledge retention
  • Skill application
  • Participant feedback

Regular assessments will help you refine the program over time, ensuring it remains relevant and impactful as AI technologies evolve. A data-driven approach to setting objectives and measuring progress will help demonstrate the program's value and sustain momentum.

2. Assess the Current AI Literacy Level Across the Workforce

Conducting an initial assessment is critical to understand employees’ current knowledge and skills related to AI. This can involve surveys, skills audits, or assessments to gauge each employee's comfort level with AI concepts and tools. With this data, you can design a tailored training program that addresses the unique needs of different segments within the organization, from beginners to more advanced users. Understanding your starting point ensures that the program is targeted, efficient, and accessible to all.

3. Develop a Scalable and Inclusive Training Strategy

For an AI literacy program to succeed, it needs to be accessible and relevant to everyone, from entry-level employees to seasoned managers. Utilize a blended learning approach that includes online courses, in-person workshops, and hands-on projects, ensuring that all employees can learn in ways that suit their preferences. Make the program flexible to accommodate employees' different schedules and workloads, and design it to scale across departments and locations. This approach promotes inclusivity, making sure that no one is left behind as the organization advances in its AI journey.

4. Partner With Relevant Experts and Resources

Collaborating with data science experts, whether internally or through external partnerships, is essential to create a high-quality, tailored AI literacy program. These experts can vet and refine the content to ensure it’s relevant to your organization’s specific needs and use cases. This expertise brings credibility to the program and helps employees trust that the skills they’re learning will be directly applicable to their roles. Leveraging external resources like specialized courses and tools can further enrich the curriculum, providing employees with a well-rounded AI education.

5. Foster a Supportive Learning Culture With Experimentation Opportunities

Building a culture that values learning and experimentation is key to the program's success. Encourage a mindset of exploration by organizing AI-focused hackathons, where employees can apply their new skills to real projects in a collaborative environment. To ensure a smooth hackathon experience, provide access to relevant data, the necessary AI collaboration tools, and clear project scopes before the event. Recognizing and rewarding participants fosters a sense of accomplishment and motivates employees to continue engaging with AI. This emphasis on experimentation reinforces the idea that AI literacy isn’t just about knowledge — it's about putting new skills into action.

There were some things that made you think differently or … expanded our horizons on what might trigger [turnover] as well as just knowing that things are going to continue to be dynamic and change. And it reiterated the importance of staying close to your employee.

-Medtronic story on using HR data for improved employee experiences 

6. Pilot the Program Within the HR Team

A strong recommendation for launching the AI literacy program is to start with a pilot in the HR team. As a relatively non-technical team, HR employees can offer valuable feedback on the program’s accessibility, clarity, and relevance. Going through the program themselves allows HR team members to experience its benefits and challenges firsthand, which in turn helps them become strong advocates as the initiative rolls out across the organization. Leading by example shows that AI literacy is achievable and important for everyone, fostering credibility and enthusiasm for the program throughout the company. 

woman writing

Overcome Challenges in Implementing an AI Literacy Program

1. Address Common Concerns and Resistance 

Employees may feel intimidated by AI or worry that they lack the technical background to succeed in an AI literacy program. To overcome this resistance, it’s crucial to position the program as an opportunity to empower everyone — regardless of their starting point — with skills they’ll need in the AI-driven future. Organizations should offer:

Highlighting the practical, real-world benefits of AI literacy can help employees understand that this isn’t just technical training; it’s a way to enhance their value and relevance in their roles.

2. Secure Manager Commitment and Support for AI Literacy

Managers play an essential role in the success of the AI literacy program. For the program to thrive, managers need to understand its value, advocate for it, and actively support it within their teams. Encourage managers to participate in the training themselves to demonstrate their commitment. Additionally, managers should prioritize AI literacy by including upskilling as an OKR, allowing employees time to embed such programs into their job function. By having managers’ lead with OKRs, employees receive a clear message that AI literacy is a priority, and they are encouraged to invest time in upskilling.

3. Design a Continuous Learning Journey for Long-Term Impact

AI literacy should not be a one-off initiative but part of a continuous learning journey. After employees complete the foundational program, design intermediate and advanced courses that allow them to deepen their expertise over time. 
Each year, offer additional levels of training that build on previous knowledge, incorporating more complex AI concepts, tools, and applications. This approach provides employees with a clear learning path, allowing them to move from basic understanding to true AI mastery. By fostering ongoing education, the organization can maintain a workforce that grows alongside advancements in AI, ensuring employees remain engaged, relevant, and capable.

Putting It All Together

AI literacy is not just a skill for data scientists — it’s becoming essential for every employee across all roles. CHROs, with their focus on workforce development, are uniquely positioned to lead the charge in implementing a company-wide AI literacy program. By empowering employees to work confidently and effectively with AI, the CHRO helps create a more adaptable, innovative, and resilient organization.

With a clear roadmap that includes setting objectives, creating L&D-specific OKRs, engaging managers, fostering a culture of learning and experimentation, and planning for continuous development, the CHRO can build a program that supports long-term success. This is more than just training; it’s about preparing the workforce for the future and positioning the organization as a leader in the AI-driven world. Now is the time to invest in AI literacy, ensuring that the company — and everyone within it — thrives in the age of AI.

*Gartner - AI in HR: The Ultimate Guide to Implementing AI in Your HR Organization, https://www.gartner.com/en/human-resources/topics/artificial-intelligence-in-hr  GARTNER is a registered trademark and service mark of Gartner, Inc. and/or its affiliates in the U.S. and internationally and is used herein with permission. All rights reserved.

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