AI could be used to help organisations stay agile

Artificial intelligence (AI) could be key to companies avoiding significant losses of jobs, money and more according to a study led by Charles Darwin University (CDU).

The study explored using AI to predict organisational agility, or a company’s ability to effectively respond to change, brought about by factors such as market competition, economic pressures, and emerging technology.

Data from 44 respondents in public and private Australian sectors was used to build AI models to predict how agile the organisations were based questions around agility practices.

In two different scenarios, the AI was able to predict with 99 and 97 per cent accuracy how agile the organisations’ strategies were.

Lead author and CDU Faculty of Science and Technology Associate Professor Niusha Shafiabady said the data could inform organisations on how they could improve their agility through strategies such as being flexible and adaptable, having open communications and empowering team members.

“Agility is a measure of how quickly an organisation can respond to change. In case of absence of agility, an organisation cannot adopt to change and this will have serious consequences,” Associate Professor Shafiabady said.

“Not being agile is one of the factors that hinders progress and change and creates obstacles for organisations in executing their set strategies. This unsuccessful cycle would result in millions of dollars of loss where many people would be affected, and many would lose their jobs.

“Artificial Intelligence has the ability to predict agility and every organisation can use the agility measure to align its strategic horizons and address the issues which are hindering the organisations from progressing and succeeding in advance using the AI predictions.”

Associate Professor Shafiabady said predictive AI was an invaluable tool that organisations should use to guide strategic growth.

“Predictive AI models can assist organisations immensely in delivering on strategy in a changing world,” she said.

“Being able to predict agility in organisations would help them set up strategies in accordance with their capabilities or enhance their capabilities in handling change in case they are eager to expand their strategic horizon.”

The study, ‘Using Artificial Intelligence (AI) to predict organizational agility’, was undertaken with Torrens University, The University of New England, The University of New South Wales and Central Queensland University.

It was published in journal PLOS ONE.