Understanding Artificial Intelligence Adoption in Business Management: Opportunities and Challenges
Keywords:
Artificial intelligence adoption, Business management, Digital transformation, Organizational governance, Responsible AI, Managerial challengesAbstract
This study examines artificial intelligence (AI) adoption in business management by synthesizing existing literature on the opportunities and challenges associated with AI-enabled organizational transformation. Adopting an integrative, theory-driven perspective, the paper conceptualizes AI adoption as a socio-technical and managerial process shaped by strategic alignment, governance structures, organizational capabilities, and ethical considerations. The analysis highlights how AI can enhance operational efficiency, decision-making quality, and innovation while simultaneously introducing managerial challenges related to skills, change management, accountability, and regulatory compliance. By consolidating fragmented research streams into a unified framework, the study advances understanding of how organizations can pursue sustainable and responsible AI adoption. The paper further discusses implications for managers and policymakers and proposes directions for future empirical research using quantitative, qualitative, and longitudinal designs to validate and extend the conceptual insights. Overall, the study contributes to AI adoption and business management literature by offering a holistic perspective on balancing value creation and risk management in AI-driven organizational contexts.
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