Nestlé CEO Philipp Navratil said employees need more than prompt engineering skills in the AI era. He believes workers must understand how AI functions and how it could transform their organisations. "You need to understand what it is capable of," he said. Staff should focus on improving overall company efficiency.

As artificial intelligence continues to change the way businesses operate, employees may need to develop skills beyond writing effective prompts. Nestlé CEO Philipp Navratil believes workers must understand how AI functions, what it can accomplish and how it could transform their organisations.

Navratil, who leads the food and beverage company with a workforce of more than 270,000 employees worldwide, said understanding business operations and recognising AI's potential are essential for employees looking to adapt to the changing workplace.

According to Business Insider, the Nestlé chief executive believes workers do not need an in-depth understanding of the technology's technical aspects. Instead, they should keep up with developments in AI, understand its capabilities and assess how it could influence their organisations.

"You need to understand what is it is capable of, what the trends are, what is happening, how AI can change anything at the company," he told Business Insider.

Why employees need to look beyond AI tools

Navratil, whose company owns popular brands such as Nespresso and DiGiorno, cautioned against viewing AI merely as another tool for completing everyday tasks. He believes businesses and their employees need to examine how the technology can change existing processes and improve the way work is carried out.

As reported by Business Insider, the CEO said incorporating AI into traditional workflows without rethinking them could make operations more complicated rather than more efficient.

Instead, employees should identify processes that can be eliminated or simplified with AI. Rethinking how tasks are performed could help businesses reduce unnecessary work and improve efficiency.

This approach could also allow employees to devote more time to responsibilities that require human judgement and interaction. These include analysing information, engaging with business partners and making decisions more quickly.

The broader objective is to use AI not just to perform individual tasks faster, but to reconsider how an organisation operates and identify opportunities to improve its overall functioning.

What other technology leaders say about skills in the AI era

Navratil's observations come amid growing discussions among business leaders about the skills employees will need as AI becomes increasingly integrated into the workplace.

Coinbase's chief technology officer, OpenAI president Greg Brockman and Y Combinator co-founder Paul Graham have also spoken about the continuing importance of human judgement and decision-making as AI takes over more tasks.

Graham, in particular, has emphasised the importance of identifying what is worth creating in a world where technology is making it easier to produce things.

As AI tools become more widely available, familiarity with the technology alone may not be enough to distinguish employees from their peers. Understanding business needs, recognising opportunities for improvement and knowing when and how to apply AI could become increasingly valuable in the workplace.