I have seen this verse in the Bible and it is kind of interesting. I have also seen it in another translation in which it says: "The wisdom of the prudent is to understand his way."
But, before we continue, we have to understand the word prudent. If not, it is very hard to actually understand what this verse is telling us.
According to the Merrian-Webster dictionary, prudent means: "having or showing good judgment and restraint especially in conduct or speech"
So, the wisdom of a person who is showing good judgment and being wise, is that they give thought to their ways. In other words, they don't just jump into something, but they give thought to matters before they act.
Are you prudent at all? Do you give thought to what you are about to say before you actually say something? It is important because it is better to keep your mouth shut and say less than to open it and say something stupid!
In other words, take care of yourself, and let wisdom come forth from you as you give thought to your ways before you act!