How will Artificial Intelligence alter the Premises of Strategic Thinking?

Abstract

The probability is high that Artificial Intelligence (AI) will provide the answer to future product and market

innovations. It has the ability to induce fundamental change in products, markets, business models and paradigms.

Manufacturing and a wide spectrum of services are undergoing a near revolutionary change driven by AI delivered

innovations. Computing equipment capable of what one may term partial and quasi intelligent behavior is the trigger. Ways

and means of converting this new phenomenon into the strategic behavior of firms is a murky process today.

A link to corporate strategic behavior is missing. And this will be the focus of this article.

The article resorts to qualitative analysis as medium. It starts with an attempt at creating a simple framework for of

Artificial Intelligence and a segmentation of the types of artificial intelligence that exists today and, possibly, in the short to

medium terms. It proceeds to suggest a conceptual model for transition from AI processes to the strategic behavior of a

firm. Put differently, the integration of the innovative patterns of AI into the strategic behavior of organizations. Case

evidence, follows.

The article builds on work done on AI and strategic thinking and delivers a novel model for process integration. Analysis is

based on contemporary research in AI and the current state of the concept. Strategic thinking elements are based on

frameworks developed in the latest decade.