AI Literacy: The New Cornerstone of Sustainable Governance

When AI Becomes Part of Governance

Artificial Intelligence (AI) is rapidly changing corporate operational models, it not only improves efficiency and decision-making quality but also brings brand-new governance challenges. Facing this wave of structural change, enterprises can no longer be mere users of technology but must become responsible guides and governors. Precisely because of this, "AI Literacy" has become the critical starting point for enterprises moving toward sustainable governance. True AI literacy is not limited to skilled operation of tools; it represents the organization's comprehensive ability to "understand" the nature of technology, effectively "apply" human-machine collaboration, and "reflect" on ethical risks. This is a new governance mindset—allowing the power of technology to become a positive force for sustainability within a framework of systems and ethics. 

Upholding this governance mindset, CTCI Group Research & Innovation Center adopts a systematic and diversified approach to promote the enhancement of AI literacy. Internally, through physical training and CTCI University courses, it assists various business units and subsidiaries in establishing AI application capabilities. Externally, it actively engages in industry-academia cooperation with top domestic universities to accelerate the practical application of AI technology in engineering and operational fields. Simultaneously, it exchanges implementation experiences with industry partners such as Formosa Plastics Group and China Steel Corporation to promote the sharing of AI application experiences across industries. These measures not only demonstrate CTCI's forward-looking layout in AI transformation and technology application but are also a concrete commitment by CTCI to enhance industrial competitiveness and fulfill corporate social responsibility. 

The Core of AI Literacy: Understanding, Application, and Reflection

In the current moment where the wave of Artificial Intelligence is sweeping the globe, adopting AI is no longer a "multiple-choice question" for enterprises, but a "compulsory question." However, the real challenge lies not in how many tools are adopted, but in whether organizational members possess the "AI Literacy" to harness these tools. Many people mistakenly believe that AI literacy is equivalent to "knowing how to use AI", a misconception that carries significant risk. True AI literacy implies content that far exceeds simple tool operation; it is a comprehensive ability to face emerging technologies and a brand-new thinking framework. To quickly grasp the core of this emerging concept, one can cut in from three key points: "Understanding”, “Application”, and “Reflection” to outline the overall contour of AI literacy: 

I. Understanding: 
The starting point of AI literacy is "Understanding." This does not require every employee to become an algorithm expert, but rather to have a clear cognition of the essence of AI. With a foundational understanding, employees can view technology with a rational and scientific attitude, transforming AI from a mysterious "black box" into a useful assistant, avoiding over-reliance, false expectations, or a lack of alertness when AI makes errors. This includes: 

•Understanding Operational Logic: It should be clearly understood that mainstream AI today, especially generative AI, functions through large-scale data, probability models, and neural networks. In essence, these systems predict rather than think. They do not possess human consciousness, intent, or true "understanding"; their output is the most probable result "generated" based on patterns in training data. 
•Recognizing Capability Boundaries:  Be clear about what AI "Can" and "Cannot" do. AI excels at processing repetitive tasks, rapidly analyzing massive amounts of data, and generating content drafts; however, they lack common sense and situational awareness, and are prone to generating "AI Hallucinations"—solemnly fabricating incorrect information. 
•Cognizing Potential Risks: One must be alert to the risks brought by AI, such as "Algorithmic Bias" potentially hidden in training data leading to unfair decisions, as well as information security concerns regarding the potential leakage of confidential corporate data or personal privacy during interactions. 

II. Application:
"Application" is the key to transforming understanding into actual productivity. The second layer of AI literacy requires employees to possess the ability to appropriately utilize AI tools in real work scenarios. It is not just simple usage, but using it strategically: 

•Precise Questioning and Collaboration:  Knowing how to ask correct, clear, and specific questions to guide AI in producing valuable feedback. This is a capability of "Collaborative Combat" with AI, viewing AI as a partner that sparks creativity, rather than a mechanism that replaces human thinking. 
•Empowering Decision-Making and Innovation:  Employees with application capabilities will proactively think about how to integrate AI into existing workflows. For example, using AI for market trend analysis, assisting in writing code, optimizing customer service processes, or serving as an aid for initial brainstorming. AI's role is to provide insights and expand options, while humans retain the final right of judgment and decision-making. 
•Improving Efficiency and Unleashing Potential: By using AI to automate the processing of tedious routine tasks, employees can release their precious time and energy into core tasks that are more strategic, creative, and require empathy. The true meaning of technology adoption is not to replace humans with technology, but to strengthen humans through technology, thereby improving overall efficiency and opening up possibilities for new value. 


III. Reflection:
If "Understanding" and "Application" are the accelerator and steering wheel of the AI era, then "Reflection" is the indispensable brake. The highest realm of AI literacy lies in embracing technology while remaining alert to and reflective of its profound impact. Reflection enables enterprises to calibrate their direction at any time while pursuing efficiency and innovation, ensuring that technological development serves human well-being and adheres to corporate values and beliefs. This also involves:
 
•Focusing on Ethics and Fairness: When deploying AI, enterprises must reflect on whether their decision-making models may reinforce existing social biases or discrimination. How can the fairness and inclusivity be ensured in AI applications? 
•Emphasizing Transparency and Responsibility:  When AI systems make consequential decisions, can the basis of their judgments be explained? If an AI error results in harm, how should responsibility be assigned? Enterprises must establish clear accountability mechanisms.
•Defending Human Values:  While AI is designed to optimize efficiency, corporate operations must be guided by more than efficiency alone. Ongoing reflection enables organizations to question, throughout the innovation process, whether technological applications align with core values and whether they may create unintended consequences for employees, clients, or society. 

"Understanding," "Application," and "Reflection" do not exist independently; they support each other, collectively constituting the governance foundation for enterprises to move forward steadily in the AI era.  Without “Understanding,” AI application becomes blind and risky, obscuring both the limits and potential of the technology; without “Application,” AI understanding remains purely theoretical and fails to translate into competitive advantage; and without “Reflection,” rapid technological innovation may veer off course, ultimately triggering ethical or reputational risks. Therefore, cultivating the AI literacy of all employees is by no means the responsibility of a single department, but a systemic engineering task that the entire enterprise must face. 

Prompt Engineering: The New Literacy of Communication Thinking

In the era of Generative AI, the ability to converse with AI has become a new type of workplace literacy. So-called "Prompt Engineering" is not a programming skill, but a training in thinking and expression. 

Clear, concrete, and logical instructions can enable AI to produce more precise results. When we learn how to describe requirements, set scenarios, and define roles, we are actually training our own logical thinking and problem-definition abilities. 

The essence of this ability is not a command to a machine, but the unraveling of a problem. Knowing how to ask the right questions is often more critical than getting the answer. Therefore, Prompt Engineering is not only a technique for using AI but also a capability of "Dialogue with Technology." It symbolizes the process of enterprise employees moving from passively accepting technology to actively guiding it. 

Ethics and Risks: Clarifying the Boundaries of AI Application

The rapid development of AI has made ethical issues gradually become one of the cores of corporate governance. Phenomena such as disinformation, content fabrication, data leaks, and algorithmic bias remind us: while technology promotes progress, its impact is not necessarily entirely positive. While promoting AI applications, enterprises must establish clear principles and bottom lines, such as: 

•Fairness: Ensure algorithms do not produce bias due to gender, age, ethnicity, or background. 
•Transparency: Make the decision logic of AI traceable, understandable, and verifiable. 
•Accountability: Clearly define the attribution of responsibility and response mechanisms when AI produces errors. 

Ethics does not limit innovation but is the prerequisite for guaranteeing the sustainable development of technology. Only when the application of AI is subject to appropriate regulation and supervision can it win trust, allowing technology to become an aid in promoting sustainable governance rather than a potential risk. 

From Adoption to Internalization: Infusing AI Literacy into Corporate DNA

Promoting AI literacy should not stop at courses or training but should gradually be transformed into corporate culture. First, enterprises can create an open learning environment, encouraging colleagues to share AI application experiences and learning insights, forming a "Co-learning" atmosphere of continuous growth. Secondly, integrate AI tools into daily operations, such as report writing, data analysis, and proposal planning, cultivating colleagues' ability to apply and understand through actual operation. At the same time, guidelines should be established, and internal communication utilized, to reach a consensus among all staff regarding the ethics and responsibilities of AI usage. When AI literacy becomes part of the corporate culture, all members can find their roles and responsibilities within technological applications. This not only improves efficiency and collaboration but also allows the organization to demonstrate greater governance resilience and transparency when facing technological changes. 

For example, the CTCI AI Chatbot was officially launched in 2025 and has since gradually built a stable user base. Paired with usage feedback questionnaires and Prompt Competitions and other promotional activities, CTCI encourage colleagues to participate and experience it. This helps colleagues become more familiar with the application of AI tools in daily work, while R&D units can understand the actual pain points and needs of colleagues, serving as an important reference for subsequent function optimization, tool adoption, and relevant coaching course planning. 

AI Literacy is the Cornerstone of Sustainable Governance

Competition in the AI era has long moved beyond technology itself, instead testing the level of understanding, wisdom, and literacy that organizations and individuals demonstrate in engaging with technology. CTCI views the Group’s “AI-lization" as a major strategic objective and continues to invest in the development and application of emerging technologies, including Intelligent EPC (iEPC) projects, Digital Twin, and the "CTCI AI Platform". Today, enhancing AI literacy has become an indispensable priority, as it enables colleagues to maintain sound judgment and risk awareness when using AI tools. In doing so, CTCI can drive innovation while avoiding unnecessary technological risks, thereby laying a solid foundation for the enterprise’s sustainable development.