The impact of artificial intelligence technologies on building the managerial capabilities of managers and its reflection on institutional performance
DOI:
https://doi.org/10.31272/jae.i153.1618Keywords:
Artificial intelligence technologies, managerial capabilities, institutional performanceAbstract
The research aimed to diagnose the impact of artificial intelligence techniques in building administrative capabilities and their role in improving institutional performance in Iraq during the period (2010-2023)
The problem of the research was the presence of a clear digital and administrative gap in Iraqi institutions, represented by the slow adoption of artificial intelligence technologies and the weakness of administrative leadership in keeping up with digital transformations, which negatively affected the efficiency of institutional performance and sustainable development.
The research was based on the Resource-Based View to explain the relationship between technology and administrative capabilities as a strategic resource that contributes to achieving a sustainable competitive advantage. Artificial intelligence technologies represented the independent variable, while administrative capabilities represented the mediating variable, while institutional performance was the dependent variable.
The research relied on the standard analytical approach using annual data issued by the World Bank and global governance indicators. The autoregressive distributed lags (ARDL) model and the Bounds Test were employed to analyze short- and long-term relationships, as well as the unit root test and the error correction model (ECM) to verify the stability of the relationship between variables.
The research found that there is a long-term co-integration relationship between artificial intelligence technologies, administrative capabilities, and institutional performance. The results also showed that there is a significant positive effect of artificial intelligence technologies on institutional performance, and this effect is enhanced by the presence of administrative capabilities capable of absorbing digital technologies and employing them effectively. The research concluded with a set of recommendations, most notably the need to enhance digital transformation and develop administrative capabilities to ensure maximizing the impact of artificial intelligence in improving institutional performance and achieving economic sustainability.
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