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Significant technical developments have occurred in the digital era, altering the dynamics of modern businesses and bringing both difficulties and opportunities. The purpose of this study was to thoroughly investigate the relationship between artificial intelligence (AI) and digital transformation, as well as how these factors affect managerial empowerment and organizational performance. Additionally, the study looked at how employee engagement functions as a mediator and how digital readiness modifies these relationships. Using a quantitative method, a structured questionnaire was used to gather data from a sample of 282 companies that were chosen at random. The AMOS software's structural equation modeling (SEM) aided in the investigation of the linkages. The findings demonstrated strong and positive relationships between AI and digital transformation and organizational performance and managerial empowerment, which were mediated and regulated by employee engagement and digital preparedness. By providing a cohesive paradigm, this study gives practical insights for enterprises managing the digital landscape while also advancing theoretical understanding. This study is unique in that it examines the linkages between AI, digital transformation, employee engagement, and digital preparedness in the context of organizational performance and managerial empowerment.
Li et al. (Fri,) studied this question.
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