Enhancing Strategic Decision-Making With AI: Unveiling the Untapped Potential

Abstract

Artificial intelligence (AI) revolutionises strategic decision-making by enhancing accuracy, efficiency, and agility across complex business landscapes. This study explores AI's role in improving decision quality, optimising resource allocation, fostering agility, and mitigating risks. Case studies from Google, Walmart, and IBM Watson illustrate how tools like predictive analytics and scenario planning drive innovation, operational efficiency, and personalised experiences. Ethical and operational concerns, such as bias, transparency, and workforce adaptation, are critically analysed alongside strategies like ethical AI frameworks and hybrid decision-making. Emerging trends, including explainable AI, IoT integration, and automated systems, highlight AI's transformative potential. The research emphasizes balancing innovation with ethical practices to achieve sustainable growth, competitive advantage, and resilience in a dynamic global environment. AI's success depends on responsible integration and addressing its challenges to unlock its full potential in strategic decision-making.