Title:
THE IMPACT OF AI INNOVATION MANAGEMENT ON ORGANIZATIONAL PRODUCTIVITY AND ECONOMIC GROWTH: AN ANALYTICAL STUDY

Authors:
Zhaoxia Yi and Shirley Ayangbah, USA

Abstract:
Artificial Intelligence (AI) has transformed modern business operations, offering significant opportunities to enhance productivity and drive economic growth. This study examines the relationship between AI innovation management, organizational productivity, and economic growth, providing insights for policymakers and industry leaders. AI innovation management involves the strategic implementation and oversight of AI technologies, including adopting AI tools, managing AI projects, and integrating AI into business processes. Effective AI innovation management boosts productivity by automating routine tasks, enhancing decision-making, and fostering innovation, thereby increasing efficiency and competitiveness. AI impacts productivity by streamlining operations, reducing costs, and improving product and service quality. However, successful implementation requires addressing challenges such as employee retraining, data privacy, and ethical considerations. This study analyzes case studies from various industries to identify specific mechanisms through which AI enhances productivity and explores the broader economic implications. Economic growth is linked to productivity improvements, as organizations can produce more at lower costs, boosting economic output. AI-driven productivity gains contribute significantly to global GDP growth, especially in emerging economies that offset slowdowns in industrialized countries. Despite these benefits, AI can exacerbate income inequality. This research highlights the need for policies and strategies to ensure equitable access to AI technologies while promoting overall economic growth. The study evaluates policy measures and corporate strategies to optimize AI benefits. By identifying best practices and providing actionable recommendations, this research aims to guide policymakers and industry leaders in leveraging AI for sustainable economic development.