Decision augmentation and automation with artificial intelligence: Threat or opportunity for managers?

Abstract

Abstract Artificial intelligence (AI) has emerged as a promising and increasingly available technology for managerial decision-making. With the adoption of AI-enabled software, organizations can leverage various benefits of the technology; however, they also have to consider intended and unintended consequences of using the technology for managerial roles. It is still unclear whether managers will benefit from enhancing their abilities with AI-enabled software or become powerless puppets that announce AI-enabled software results. Our research has revealed distinct ways in which organizations can use AI-enabled decision-making solutions: as tools or novelties, for decision augmentation or automation, and as a voluntary or mandatory option. In this paper, we discuss the implications of each of these combinations on the relevant managers. We consider outcomes related to managerial job design and derive practical advice for organizational designers and managers who work with AI. Our outcomes provide answers on how to deal with the conflict-riddled relationship between managers and technology with regard to capabilities, responsibilities, and acceptance of AI-enabled software.