Understanding the AI readiness level in the organization is as crucial as understanding how AI influences organizations’ function. Thus, this chapter synthesized the current findings and various methods of measuring AI readiness levels and how they can be implemented to measure organizations’ AI readiness levels. The Technological Organizational Environment (TOE) model is one of the core tools used to measure AI readiness, followed by the Technology Acceptance Model (TAM) and Digital Transformation dimensions. Each method provides a unique perspective that assists organizations in formulating strategies to exploit the opportunity in AI implementation. Additionally, it presented AI readiness using a risk assessment framework, thus providing an alternate perspective for decision-making regarding AI-related opportunities.