Implications of Artificial Intelligence on Organizational Agility: A PLS-SEM and PLS-POS Approach
Artificial intelligence (AI) has radically changed companies' vision of business development, based on its widespread assimilation in key organisational processes. However, in organisational practice, the implementation of AI has generated major challenges, such as those related to the high...
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| Language: | English |
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Editura ASE
2024-05-01
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| Series: | Amfiteatru Economic |
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| Online Access: | https://www.amfiteatrueconomic.ro/temp/Article_3311.pdf |
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| author | Simona Cătălina Ștefan Ana Alexandra Olariu Ștefan Cătălin Popa |
| author_facet | Simona Cătălina Ștefan Ana Alexandra Olariu Ștefan Cătălin Popa |
| author_sort | Simona Cătălina Ștefan |
| collection | DOAJ |
| description | Artificial intelligence (AI) has radically changed companies' vision of business development,
based on its widespread assimilation in key organisational processes. However, in
organisational practice, the implementation of AI has generated major challenges, such as
those related to the high need for investments in technologies, insufficient level of skill
development, and resistance to change of personnel. At the same time, under the conditions
in which markets become increasingly dynamic, an increasingly emphasised requirement for
companies is to maintain increased organisational agility to quickly adapt to the challenges
of the external environment. Therefore, this study aims to analyse the role of AI in
capitalising on an organisation's digital capabilities as a means of amplifying organisational
agility in order to improve internal and external processes. The research conclusions were
based on the application of a questionnaire to employees from various Romanian sectors of
activity and for data analysis, structural equation modelling (PLS-SEM) and predictionoriented segmentation (PLS-POS) were used. The main results indicate that the more digital
capabilities organisations have, the more agile they become in relation to internal processes
and changes in the external environment. This relationship is facilitated by the use of AI
tools. At the same time, prediction-oriented segmentation highlighted two distinct categories
of organisations in terms of AI transformation: in those in which this process is more
advanced, the mediation effect is stronger. The originality of the study emerges by extending
the PLS-SEM results by respondents’ segmentation through finite mixture partial least
squares (FIMIX-PLS) and PLS-POS, but also by considering AI implications on internal and
external organisational agility, which is less addressed in the literature. The study outlines
several possible managerial interventions, both on AI-related public policies and on the
optimisation of business processes under AI implementation. |
| format | Article |
| id | doaj-art-a23512e9f2d248adb02b13357f4530c0 |
| institution | OA Journals |
| issn | 1582-9146 2247-9104 |
| language | English |
| publishDate | 2024-05-01 |
| publisher | Editura ASE |
| record_format | Article |
| series | Amfiteatru Economic |
| spelling | doaj-art-a23512e9f2d248adb02b13357f4530c02025-08-20T01:59:48ZengEditura ASEAmfiteatru Economic1582-91462247-91042024-05-012666 40342010.24818/EA/2024/66/403 Implications of Artificial Intelligence on Organizational Agility: A PLS-SEM and PLS-POS ApproachSimona Cătălina Ștefan0https://orcid.org/0000-0003-4731-6785Ana Alexandra Olariu1https://orcid.org/0000-0002-1153-3502Ștefan Cătălin Popa2https://orcid.org/0000-0001-9221-8936Bucharest University of Economic Studies, Bucharest, RomaniaBucharest University of Economic Studies, Bucharest, RomaniaBucharest University of Economic Studies, Bucharest, RomaniaArtificial intelligence (AI) has radically changed companies' vision of business development, based on its widespread assimilation in key organisational processes. However, in organisational practice, the implementation of AI has generated major challenges, such as those related to the high need for investments in technologies, insufficient level of skill development, and resistance to change of personnel. At the same time, under the conditions in which markets become increasingly dynamic, an increasingly emphasised requirement for companies is to maintain increased organisational agility to quickly adapt to the challenges of the external environment. Therefore, this study aims to analyse the role of AI in capitalising on an organisation's digital capabilities as a means of amplifying organisational agility in order to improve internal and external processes. The research conclusions were based on the application of a questionnaire to employees from various Romanian sectors of activity and for data analysis, structural equation modelling (PLS-SEM) and predictionoriented segmentation (PLS-POS) were used. The main results indicate that the more digital capabilities organisations have, the more agile they become in relation to internal processes and changes in the external environment. This relationship is facilitated by the use of AI tools. At the same time, prediction-oriented segmentation highlighted two distinct categories of organisations in terms of AI transformation: in those in which this process is more advanced, the mediation effect is stronger. The originality of the study emerges by extending the PLS-SEM results by respondents’ segmentation through finite mixture partial least squares (FIMIX-PLS) and PLS-POS, but also by considering AI implications on internal and external organisational agility, which is less addressed in the literature. The study outlines several possible managerial interventions, both on AI-related public policies and on the optimisation of business processes under AI implementation. https://www.amfiteatrueconomic.ro/temp/Article_3311.pdfartificial intelligence (ai)digital capabilitiesorganisational agilitystructural equation modeling (pls-sem)prediction-oriented segmentation (pls-pos)finite mixture partial least squares (fimix-pls) |
| spellingShingle | Simona Cătălina Ștefan Ana Alexandra Olariu Ștefan Cătălin Popa Implications of Artificial Intelligence on Organizational Agility: A PLS-SEM and PLS-POS Approach Amfiteatru Economic artificial intelligence (ai) digital capabilities organisational agility structural equation modeling (pls-sem) prediction-oriented segmentation (pls-pos) finite mixture partial least squares (fimix-pls) |
| title | Implications of Artificial Intelligence on Organizational Agility: A PLS-SEM and PLS-POS Approach |
| title_full | Implications of Artificial Intelligence on Organizational Agility: A PLS-SEM and PLS-POS Approach |
| title_fullStr | Implications of Artificial Intelligence on Organizational Agility: A PLS-SEM and PLS-POS Approach |
| title_full_unstemmed | Implications of Artificial Intelligence on Organizational Agility: A PLS-SEM and PLS-POS Approach |
| title_short | Implications of Artificial Intelligence on Organizational Agility: A PLS-SEM and PLS-POS Approach |
| title_sort | implications of artificial intelligence on organizational agility a pls sem and pls pos approach |
| topic | artificial intelligence (ai) digital capabilities organisational agility structural equation modeling (pls-sem) prediction-oriented segmentation (pls-pos) finite mixture partial least squares (fimix-pls) |
| url | https://www.amfiteatrueconomic.ro/temp/Article_3311.pdf |
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