Tech-Driven Transformation: Unravelling the Role of Artificial Intelligence in Shaping Strategic Decision-Making

This study explores the evolving role of artificial intelligence in strategic decision-making through a review of 64 peer-reviewed articles, utilizing thematic cluster identification, content analysis, and bibliometric techniques. The review identifies three main themes: AI-human synergy in decision-making, adaptability, and AI’s involvement in strategy formulation, alongside its potential drawbacks. The findings highlight AI’s transformative impact on human judgment and decision-making, stressing human-AI collaboration’s importance in reducing cognitive biases like anchoring and overconfidence. The study emphasizes critical factors, including human cognition, trust, and managerial vulnerability, while recognizing the role of big data and analytics in enabling data-driven strategies. The intellectual progression of the field reveals a shift from technical AI explorations to integrated frameworks that focus on trust, transparency, and leadership for fostering collaboration. Critical gaps include aligning AI with organizational goals, sector-specific strategies, and ethical considerations. Future research should explore managerial challenges, collaboration models, and policy implications.