THE IMPACT OF ARTIFICIAL INTELLIGENCE ON BUSINESS OPERATIONS, CHALLENGES AND SOLUTIONS.

BY

EZE NENNA VICTORIA

08069334221

ABSTRACT

Artificial Intelligence (AI) is one of the most transformative technologies today, transforming the world business scene. From facilitating the automation of mundane administrative tasks to aiding strategic decision-making through predictive analytics and generative models, its applications are manifold. Businesses across the world, including those in the emerging markets, are leveraging AI for operational efficiencies, reducing costs, and achieving competitiveness. Where these potential opportunities lie, AI adoption is not problem-free. High implementation cost, threat to data privacy, workforce resistance, and shortage of digital infrastructure remain glaring problems, especially in countries like Nigeria. This article addresses the influence of AI on business operations, the critical challenges, and potential solutions for successful implementation. Descriptive research design derived from both foreign and indigenous literature was adopted. Evidence shows that while AI significantly boosts productivity and decision-making, the latter remains limited by infrastructural, ethical, and human capital challenges. The study sets the precedent that AI should be seen as an adjunct, rather than a replacement, for human labor. Recommendations range from investment in AI literacy to setting regulatory mechanisms, and phased adoption towards reconciling innovation with sustainability (PwC, 2021; Adeleke, 2022; Smith, 2022).

Keywords: Artificial Intelligence (AI), Business Operation, Automation in Businesses, Digital Transformation, Data Privacy, Challenges,

Download journal here!