Artificial Intelligence for Strategic Management Practices and Their Role in Enhancing Organizational Performance in Competitive Markets

Abstract

Strategic management has become an indispensable organizational capability in environments increasingly characterized by hypercompetition, resource constraints, technological disruption, and rapidly shifting customer expectations. As firms navigate markets where competitive advantages are short-lived and global competitive pressures intensify, the ability to formulate, implement, and continuously recalibrate strategy constitutes a critical determinant of long-term performance. Despite extensive theoretical and empirical research, gaps remain in understanding how specific strategic-management practices such as dynamic capability building, environmental scanning, strategic planning, strategic leadership, organizational alignment, and performance-monitoring systems collectively influence firm outcomes in fast-changing markets. This paper develops an integrated analytical framework examining how strategic-management practices enhance organizational performance through mechanisms such as improved decision quality, better resource orchestration, heightened strategic agility, and stronger competitive positioning. Using conceptual synthesis and empirical insights from contemporary managerial research, the study identifies the pathways through which organizations translate strategic intent into operational excellence and sustained performance. Findings suggest that firms that institutionalize strategic planning, invest in capability renewal, maintain continuous market sensing, and embed strategic alignment in culture and structure outperform rivals, especially in volatile industries. The paper offers actionable implications for strategists, managers, and policy architects seeking to strengthen organizational performance through strategic-management excellence.