I'm not saying that never happened of course, but IME, that's not how it was played out or what that term means. Maybe
@Rob Kuntz can clarify the original intent, but in all of our games, we treated it differently. And how I publish my own OSR games, I defined it as thus:
Skilled play/player skill is utilizing the thinking of the player to come up with solutions to the various challenges they PC may encounter, rather than rely solely on a particular PC skill or die roll to determine the outcome. This manifests in ways that include but are not limited to:
- Doing research into a particular area beforehand before setting off on the adventure. What kinds of monsters are there? Terrain? What kind of supplies do you need to gather. Resource management. E.g., if you are expecting undead, gather holy water. If lycanthropes, silver weapons and wolfsbane.
- Proceeding with caution and searching with descriptive narration. This doesn't mean spending time between every encounter describing how you're searching for traps or secret doors, but describing how you'll proceed for the rest of the area up front one time. "Afarl will scout ahead 30 feet, moving half speed looking for traps and other hidden things, prodding head with his spear gently. If anything looks suspicious, he will toss a handful of pebbles in front of him first."
- Analyzing encounters before engaging. Not every encounter needs to be fought, and not every encounter is going to be balanced to your party composition or level.
- Describing how you approach that chest, which is not dependent on any particular class or skill your PC may have. Borgo the fighter can say, "I approach the chest from the side, and prod it with my spear and try to push it a little bit. if nothing happens, I'll tie a string to the latch and pull it up from behind, attempting to lift the lid from 15ft behind it." Or if it's locked after that, you describe how Borgo will use their crowbar to get leverage to pry the lock off. Again, this doesn't have be described every time, but just once going forward unless something about the scenario changes significantly.
- Paying attention to and using the environment in the battle or challenge. Hallway that you see has dozens of holes along each side of the wall, signifying to you it's a trap? Fireball down there and stand clear. Overturn tables for cover. Light oil patches funneling monsters the way you want. Things like that.
IME, the DM isn't the opponent of the players. It's a social game where everyone is there to have fun; it's not a competition. As a DM, I enjoy it just as much as the players when they come up with a great and clever idea.