Generative AI In Strategic Decision-Making: Exploring Opportunities, Addressing Challenges, And Navigating Ethical Implications

Abstract

Generative AI, which appears in applications such as ChatGPT and DALL-E, is expected to make strategic decision-making much more creative and data-driven. The current paper evaluates the role of generative AI in management by focusing on opportunities and challenges. While AI does bring costs, complexity, ethical issues, threats related to data security, biases, and dangers of overreliance, it brings benefits in terms of innovation and efficiency. Using a mixed-method approach, the quantitative surveys and qualitative interviews conducted with managers and AI practitioners from various industries such as technology, finance, and healthcare showed that ethics and organizational dynamics are key challenges. The study calls for strong ethical frameworks, reskilling of the workforce, and strategic policies to maximize the potential of AI while mitigating risks. Recommendations indicate a shift in global business strategy in light of AI, providing 'road maps' of useful information for decision-makers, researchers, and policymakers navigating this technology.