It's essentially a synonym for "use," but it implies that you're being efficient and getting the most out of something.
Here are some examples:
* "The company utilized new technology to streamline its production process."
* "She utilized her knowledge of French to translate the document."
* "We need to utilize our resources wisely to achieve our goals."
Note: "Utilize" is often considered a more formal word than "use," and it's sometimes seen as overly formal or bureaucratic.