IMPACT OF ARTIFICIAL INTELLIGENCE AND MACHINE LEARNING ON STRATEGIC MANAGEMENT AND SOCIAL DEVELOPMENT:

Abstract

This empirical paper examines the transformative impact of Artificial Intelligence (AI) and Machine Learning (ML) technologies on strategic management practices
and social development outcomes. Drawing on a mixed-methods research design, including surveys of 412 organisations across manufacturing, healthcare, finance,
and public service sectors, supplemented by 28 semi-structured executive interviews, the study provides quantitative and qualitative evidence of how AI/ML
adoption reshapes competitive strategy, organisational decision-making, human capital deployment, and community-level development indicators. Findings reveal
that AI/ML-integrated organisations demonstrate significantly higher adaptive capacity (β = 0.61, p < 0.001), superior resource allocation efficiency, and
measurable improvements in social inclusion metrics. Simultaneously, the research surfaces critical challenges: workforce displacement risks, algorithmic bias,
data governance deficits, and widening digital divides. The paper concludes with a multi-level strategic framework for responsible AI/ML integration that balances
competitive imperatives with equitable social outcomes.