The AI literacy development canvas: Assessing and building AI literacy in organizations

As artificial intelligence (AI) technologies become increasingly integral to business operations, organizations must ensure their workforce possesses the necessary AI literacy to harness these advancements effectively. AI literacy, encompassing conceptual, ethical, and practical competencies, is essential for employees at all levels—executives, middle managers, and non-IT staff—to make informed decisions, integrate AI into workflows, and navigate ethical considerations. This article presents a structured framework for assessing and developing AI literacy within organizations. First, we introduce an AI Literacy Assessment Matrix tailored to different managerial levels, enabling firms to evaluate AI-related competencies across the workforce. Second, we propose the AI Literacy Development Canvas, a strategic planning tool, guiding organizations on when, where, and how to invest in AI training and capability building. An illustrative case study in the pharmaceutical sector showcases the practical application of these tools and offers key lessons learned. The article contributes to academic research by advancing the understanding of AI literacy as a multidimensional organizational capability. For practitioners, it offers a conceptual and practical toolset that supports managers in the systematic assessment and strategic development of AI literacy upskilling initiatives across all levels of the organization.