Abstract
The increasing integration of Artificial Intelligence (AI) in education and business necessitates the development of critical AI literacy among management graduates. This paper explores how institutional policies, pedagogical strategies, and primary stakeholder engagement can support the responsible use of Generative Artificial Intelligence (GAI) in management education. By analysing existing AI literacy frameworks and institutional practices, the study identifies key gaps and proposes a co-designed AI literacy model tailored for institution ‘A’. Using co-design as a central tenet, the study advocates for AI literacy initiatives that align institutional resources with learner needs and professional domains.