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ArticlePeer ReviewedOpen AccessPlagiarism Passed
Paper ID:IJSREM67937

IMPACT OF AI-DRIVEN DECISION-MAKING ON STRATEGIC PERFORMANCE IN THE IT SECTOR: THE ROLE OF ORGANIZATIONAL READINESS AND HUMAN–AI COLLABORATION

Stream/Area:

-

Subject:

-

Paper ID:

IJSREM67937

Volume:

10 |

10 |

Oct 2026

Pages:

1-12

Publication Frequency:

Monthly (12 issues per year)

DOI
Digital Object Identifier
10.55041/IJSREM67937

License:International Journal of Scientific Research in Engineering and Management follows the Creative Commons Attribution 4.0 (CC BY 4.0) License, allowing free use and distribution with proper attribution.

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Authors

YERRA MANI SHANKAR

YERRA MANI SHANKAR

Bachelor of business administration

Koneru Lakshmaiah University

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Dr. D. Praveena Devi

Bachelor of business administration

Koneru Lakshmaiah University

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Abstract

Artificial Intelligence (AI) is increasingly embedded in organizational decision-making within the IT sector, yet empirical evidence linking AI-driven decision-making to strategic performance remains limited, particularly regarding the roles of organizational readiness and human–AI collaboration. This study examines AI-driven decision-making and its relationship with strategic performance among respondents with academic, internship, or professional exposure to the IT sector in India. Primary data were collected using an online questionnaire developed on a 5-point Likert scale. 158 responses were analyzed using descriptive statistics, Cronbach's alpha, chi-square tests, one-way ANOVA, Pearson correlation, and linear regression. AI-driven decision-making (M = 3.80), strategic performance (M = 3.99), organizational readiness (M = 4.07), and human–AI collaboration (M = 4.03) were all rated high. Chi-square tests revealed significant associations between AI familiarity, IT exposure, and gender with perceived importance of AI-driven decision-making. ANOVA showed significant differences in all constructs by IT sector exposure and AI familiarity. AI-driven decision-making was a strong positive predictor of strategic performance (R² = 0.401, β = 0.514, p < .001). In the combined model, organizational readiness and human–AI collaboration jointly explained 32.1% of the variance in AI-driven decision-making effectiveness, though organizational readiness was the only statistically significant individual predictor (β = 0.77, p = 0.003), reflecting high collinearity between the two factors (r = 0.921). These results should be interpreted with caution, as the sample is predominantly composed of undergraduate students with limited direct IT work experience, and approximately 24.7% of respondents gave identical ratings across all statements.

KEYWORDS

AI-driven decision-making strategic performance organizational readiness human–AI collaboration IT sector chi-square ANOVA linear regression.

Cite This Article

YERRA MANI SHANKAR, Dr. D. Praveena Devi, "IMPACT OF AI-DRIVEN DECISION-MAKING ON STRATEGIC PERFORMANCE IN THE IT SECTOR: THE ROLE OF ORGANIZATIONAL READINESS AND HUMAN–AI COLLABORATION," International Journal of Scientific Research in Engineering and Management, vol. 10, no. 10, pp. 1-12, Oct 2026. https://doi.org/10.55041/IJSREM67937

Full Article/Conclusion

This study examined the impact of AI-driven decision-making on strategic performance in the IT sector, with attention to organizational readiness and human–AI collaboration, using data from 158 respondents. AI-driven decision-making, strategic performance, organizational readiness, and human–AI collaboration were all rated high, with strong positive correlations among all four constructs. AI-driven decision-making accounted for a substantial share of the variance in strategic performance, while organizational readiness emerged as the stronger, more direct enabler of AI-driven decision-making effectiveness compared to human–AI collaboration, whose independent effect could not be clearly separated from readiness in this sample. Considering the sample size, convenience sampling, and self-reported measures, with the limitations noted above, these results should be considered preliminary and further validated in a larger, more representative sample of IT sector professionals.

References

Badmus, O., Rajput, S., Arogundade, J., & Williams, M. (2024). AI-driven business analytics and decision making. World Journal of Advanced Research and Reviews, 24(1), 616–633. Kaggwa, S., Eleogu, T. F., Okonkwo, F., Farayola, O. A., Uwaoma, P. U., & Akinoso, A. (2024). AI in decision making: Transforming business strategies. International Journal of Research and Scientific Innovation, 10(12), 423–444. Rahate, V., Band, G., Naidu, K., Kaluvala, V., Verma, S., & Malik, M. M. U. D. (2025). The impact of artificial intelligence on strategic decision-making in corporations. Metallurgical and Materials Engineering. Attar, M. (2025). Artificial intelligence and managerial intuition in strategic decision-making. Selvarajan, S. (2021). AI-enhanced analytics and data-driven decision-making for industry-specific optimization. Dhobale, S., et al. (2025). Artificial intelligence and strategic decision-making: Transforming business models for sustainable growth. Prakash, A. (2025). AI-driven decision-making and corporate strategy: Predictive analytics and strategic agility. Alsaggad, A., & Konyalılar, N. (2025). Artificial intelligence in strategic management: Data-driven decision-making and organizational transformation. Chandana Charitha, & Hemaraju. (2023). Impact of artificial intelligence on organizational decision-making. Priyanka, P., et al. (2025). AI-driven business analytics in the IT sector: Strategic decision-making and workforce readiness. Oraif, M. (2024). AI-driven business analytics and strategic decision-making: The role of technical infrastructure, organizational culture, and training. Sunkar, S. (2025). Artificial intelligence, data analytics, and human–AI collaboration in strategic decision-making. Barnea, A. (2020). Artificial intelligence and strategic decision support: Human–AI collaboration and decision quality. Martins, M. (2025). AI-driven analytics, strategic agility, and organizational performance. Kurter, H. (2025). Artificial intelligence in strategic management decision-making and organizational performance.  

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Publication Date

10/13/2026

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Review Rounds: 2

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