Ethical Considerations in AI-Enhanced Strategic Management: Implications for Corporate Social Responsibility
Abstract
This study aims to analyze the ethical implications of the application of artificial intelligence (AI) in corporate strategic management and its impact on corporate social responsibility (CSR). The method used is a systematic literature review with a qualitative approach, collecting secondary data from various relevant journals. The results of the analysis of 15 studies show various approaches in exploring the ethics and impact of technology, especially AI, on strategic management and CSR. Several studies highlight the challenges in creating inclusive ethical regulations through AI auditing and ethical standardization. Ethical concerns arise in the use of AI in sectors such as insurance, education, and retail, especially related to privacy protection and customer satisfaction. These findings emphasize the need for a strong ethical framework to ensure the fair and responsible use of AI.
References
Abdelfattah, F., Salah, M., Dahleez, K., Darwazeh, R., & Al Halbusi, H. (2024). The future of competitive advantage in Oman: Integrating green product innovation, AI, and intellectual capital in business strategies. International Journal of Innovation Studies, 8, 154–171. https://doi.org/10.1016/j.ijis.2024.02.001
Alavi, S., & Leidner, D. E. (2023). The impact of AI on knowledge management practices. Journal of Knowledge Management, 27(6), 1280-1295. doi:10.1108/JKM-12-2022-0715
Alawamleh, M., Shammas, N., Alawamleh, K., & Bani Ismail, L. (2024). Examining the limitations of AI in business and the need for human insights using Interpretive Structural Modeling. Journal of Open Innovation: Technology, Markets, and Complexity, 10(100338), 1–17. https://doi.org/10.1016/j.joitmc.2024.100338
Ali, M., Khan, T.I., Khattak, M.N., & ?ENER, ?. (2024). Synergizing AI and business: Maximizing innovation, creativity, decision precision, and operational efficiency in high-tech enterprises. Journal of Open Innovation: Technology, Markets, and Complexity, 10(100352), 1–9. https://doi.org/10.1016/j.joitmc.2024.100352
Aljabhan, B. (2023). Economic plans strategic with supply chain risk management (SCRM) for organizational growth and development. Alexandria Engineering Journal, 79, 411–426. https://doi.org/10.1016/j.aej.2023.08.020
Ahmed, R. (2022). The influence of AI on business strategy: A case study approach. Journal of Business Strategy, 43(5), 234-248. doi:10.1108/JBS-12-2021-0203
Azwar, A, Rajindra Rajindra, and Mutmainnah Mutmainnah. 2021. “Influence of Work Motivation and Work Discipline on Employee Work Productivity at PT. Surya Setia Prosperity Hammer.” International Journal of Health, Economics, and Social Sciences (IJHESS) 3(4): 242–49.
Badrist, A. (2022). AI technologies in marketing: Enhancing customer engagement. Journal of Marketing Research, 59(2), 321-335. doi:10.1177/0022243721101234Brynjolfsson, E., & McAfee, A. (2023). The business of artificial intelligence: What it can and cannot do for your organization. Harvard Business Review, 101(2), 108-116. doi:10.1002/hbr.2023
Budiman, Budiman, Sri Jumiyati, Hamidah Hamidah, Rajindra Rajindra, Ahmad Yani, and Miswan Miswan. 2024. “Effectiveness of Exterminator Anopheles Spp Larvae from Clove Leaf Waste (Syzygium Aromaticum).” Journal of Medicinal and Chemical Sciences 7(4): 598 – 604. doi:10.26655/JMCHEMSCI.2024.4.4.
Cumming, D., Saurabh, K., Rani, N., & Upadhyay, P. (2024). Towards AI ethics-led sustainability frameworks and toolkits: Review and research agenda. Journal of Sustainable Finance and Accounting, 1(100003), 1–16. https://doi.org/10.1016/j.josfa.2024.100003
Chui, M., Manyika, J., & Miremadi, M. (2023). The state of AI in business: Trends and implications for management. McKinsey Global Institute. Retrieved from https://www.mckinsey.com/
Davenport, T. H., & Ronanki, R. (2023). AI for the real world: Don't start with AI. Harvard Business Review, 101(2), 108-116. doi:10.1002/hbr.2023
Duflo, E., & Kremer, M. (2023). The role of AI in sustainable business practices. Business Strategy and the Environment, 32(2), 315-329. doi:10.1002/bse.3046
Dirwan, Dirwan, Rajindra Rajindra, Farid Farid, Henni Mande, Nursiah Nursiah, and Ali Supriadi. 2024. “The Influence of Organizational Culture, Organizational Commitment, on Motivation and Job Satisfaction of Employees and Lecturers at Muhammadiyah University of Palu.” International Journal of Health, Economics, and Social Sciences (IJHESS) 6(3): 904–18.
Fahrun, Moh, Dirwan Dirwan, and Rajindra Rajindra. 2021. “Study on the Poverty of Traditional Fishermen in Lombonga Village, Balaesang District, Donggala Regency.” International Journal of Health, Economics, and Social Sciences (IJHESS) 3(3): 156–64.
Fernando, M. (2021). Integrating AI into supply chain management: A framework for improvement. Supply Chain Management: An International Journal, 26(4), 515-529. doi:10.1108/SCM-01-2021-0021
Ferneley, E., & Bell, B. (2023). AI adoption in small and medium enterprises: A managerial perspective. Small Business Economics, 61(1), 53-67. doi:10.1007/s11187-022-00652-5Elliott, K., & Copilah-Ali, J. (2024). Implementing corporate digital responsibility (CDR): Tackling wicked problems for the digital era: Pilot study insights. Organizational Dynamics, 53(101040), 1–10. https://doi.org/10.1016/j.orgdyn.2024.101040
Grace Tetteh, M., Gupta, S., Kumar, M., Trollman, H., Salonitis, K., & Jagtap, S. (2024). Pharma 4.0: A deep dive top management commitment to successful Lean 4.0 implementation in Ghanaian pharma manufacturing sector. Heliyon, 10(e36677), 1–23. https://doi.org/10.1016/J.HELIYON.2024.E36677
Guler, N., Kirshner, S. N., & Vidgen, R. (2024). A literature review of artificial intelligence research in business and management using machine learning and ChatGPT. Data and Information Management, 8(100076), 1–25. https://doi.org/10.1016/j.dim.2024.100076
Goh, J. M., & Kauffman, R. J. (2023). Leveraging AI for competitive advantage in business: A systematic review. Information Systems Research, 34(3), 855-876. doi:10.1287/isre.2023.1142
Gupta, R., & Sharma, S. (2023). Ethical considerations in AI-driven management practices. Journal of Business Ethics, 172(1), 1-15. doi:10.1007/s10551-022-05263-4
Horváth, P., & Schlegelmilch, B. B. (2023). The role of artificial intelligence in the future of management. Journal of Management Studies, 60(5), 1020-1045. doi:10.1111/joms.12789
Jain, A., & Singh, A. (2023). Impact of artificial intelligence on decision-making processes in organizations. Journal of Business Research, 141, 245-256. doi:10.1016/j.jbusres.2023.05.017Horváth, P., & Schlegelmilch, B.B. (2023). The role of artificial intelligence in the future of management. Journal of Management Studies, 60(5), 1020-1045. doi:10.1111/joms.12789
Haikal, S. (2024). The role of AI in strategic decision-making: A contemporary analysis. International Journal of Strategic Management, 15(1), 1-15. doi:10.1002/ijsm.12345
Hatami-Marbini, A., Asu, J.O., Hafeez, K., & Khoshnevis, P. (2024). DEA-Driven Risk Management Framework for Optimizing Supply Chain Strategies in the Nigerian Oil Industry. Socio-Economic Planning Sciences, 95(101996), 1–14. https://doi.org/10.1016/j.seps.2024.101996
Heyder, T., Passlack, N., & Posegga, O. (2023). Ethical management of human-AI interaction: Theory development review. The Journal of Strategic Information Systems, 32(101772), 1–50. https://doi.org/10.1016/J.JSIS.2023.101772
Kulkarni, A. V., Joseph, S., & Patil, K. P. (2024). Artificial intelligence technology readiness for social sustainability and business ethics: Evidence from MSMEs in developing nations. International Journal of Information Management Data Insights, 4(100250), 1–8. https://doi.org/10.1016/j.jjimei.2024.100250
Kahn, S., & Kim, H. (2023). The interplay of AI and human intelligence in management. Journal of Knowledge Management, 27(5), 1345-1360. doi:10.1108/JKM-05-2022-0365
Laine, J., Minkkinen, M., & Mäntymäki, M. (2024). Ethics-based AI auditing: A systematic literature review on conceptualizations of ethical principles and knowledge contributions to stakeholders. Information and Management, 61(103969), 1–22. https://doi.org/10.1016/j.im.2024.103969
Laux, J., Wachter, S., & Mittelstadt, B. (2024). Three pathways for standardization and ethical disclosure by default under the European Union Artificial Intelligence Act. Computer Law and Security Review, 53(105957), 1–13. https://doi.org/10.1016/j.clsr.2024.105957
Masdul, Muhammad Rizal, Hadi Pajarianto, Rajindra Rajindra, Jamaluddin Ahmad, Kuliawati Kuliawati, and Rahmawati Rahmawati. 2024. “Acculturation of Religious Values in Early Childhood: Central Sulawesi Educational Institutions.” South African Journal of Childhood Education 14(1): 1530.
Maimustak, N. (2022). The impact of AI on organizational culture: A qualitative study. Journal of Organizational Change Management, 35(2), 167-182. doi:10.1108/JOCM-03-2022-0065
Mullins, M., Holland, C. P., & Cunneen, M. (2021). Creating ethics guidelines for artificial intelligence and big data analytics customers: The case of the European consumer insurance market. Patterns, 2(100362), 1–14. https://doi.org/10.1016/j.patter.2021.100362
Marler, J. H., & Liang, K. (2023). The strategic implications of AI in human resource management. Human Resource Management Review, 33(1), 78-90. doi:10.1016/j.hrmr.2022.100867
Nair, A., & Tiwari, A. (2023). AI and organizational change: A framework for understanding the impact. Journal of Organizational Change Management, 36(4), 721-735. doi:10.1108/JOCM-07-2022-0285Omeish, F., Al Khasawneh, M., & Khair, N. (2024). Investigating the impact of AI on improving customer experience through social media marketing: An analysis of Jordanian Millennials. Computers in Human Behavior Reports, 15(100464), 1–11. https://doi.org/10.1016/J.CHBR.2024.100464
Padovano, A., & Cardamone, M. (2024). Towards human-AI collaboration in the competency-based curriculum development process: The case of industrial engineering and management education. Computers and Education: Artificial Intelligence, 7(100256), 1–17. https://doi.org/10.1016/j.caeai.2024.100256
Patil, A., & Choudhury, S. (2023). AI as a tool for enhancing employee performance and engagement. International Journal of Productivity and Performance Management, 72(3), 450-465. doi:10.1108/IJPPM-11-2022-0458
Masdul, Muhammad Rizal, Hadi Pajarianto, Rajindra Rajindra, Jamaluddin Ahmad, Kuliawati Kuliawati, and Rahmawati Rahmawati. 2024. “Acculturation of Religious Values in Early Childhood: Central Sulawesi Educational Institutions.” South African Journal of Childhood Education 14(1): 1530.
Rajindra, Rajindra. 2021. “Intellectual Capital’s Influence on the Financial Performance of Manufacturing Companies.” ATESTASI: Jurnal Ilmiah Akuntansi 4(1): 19–27.
Rajindra, Rajindra. 2024. “Unleashing Synergies: Interplay between Human Resource Management, Strategic Marketing, and Corporate Financial Performance.” Atestasi: Jurnal Ilmiah Akuntansi 7(1): 210–47.
Rajindra, Rajindra, Rasmi Nur Anggareni, Ahmad Yani, and Nasrulhak Akkas. 2020. “Economic Recovery in the Aftermath of Earthquake, Tsunami, and Liquefaction Disaster during the COVID 19 Pandemic Situation.” Talent Development & Excellence 12(1).
Rajindra, Rajindra, Burhanuddin Burhanuddin, and R I S RukhayatiWekke. 2019. “Sustainable Supply Chain Governance Mechanisms: Strategic Approaches to Corporate Sustainability.” Int J Supply Chain Manag 8(2): 232–40.
Rajindra, Rajindra, Guasmin Guasmin, and Burhanuddin Burhanuddin. 2020. “Financial Performance Analysis of Shares Returns in Cosmetics and Household Purposes Companies (Studies on Companies Listed on the Indonesian Stock Exchange).” International Journal of Health, Economics, and Social Sciences (IJHESS) 2(4): 196–204.
RAJINDRA, Rajindra, Guasmin GUASMIN, Burhanuddin BURHANUDDIN, and Rasmi Nur ANGGRAENI. 2021. “Costs and Operational Revenue, Loan to Deposit Ratio against Return on Assets: A Case Study in Indonesia.” The Journal of Asian Finance, Economics and Business 8(5): 109–15.
Rajindra, Rajindra, and Haris Abdul Kadir. 2019. “Analisis Jejaring Sosial Sebagai Media Untuk Minat Berwirausaha Bagi Mahasiswa Universitas Muhammadiyah Palu.” Jurnal Sinar Manajemen 6(2): 135–40.
Rajindra, Rajindra, and Mardiah Mardiah. 2021. “Analysis of the Management of School Operational Assistance Funds at the Palu Potential Vocational High School.” International Journal of Health, Economics, and Social Sciences (IJHESS) 3(2): 92–106.
Rajindra, Rajindra, Umar Umar, and Julis Nurpadia. 2022. “Perencanaan Kebutuhan Bahan Baku Guna Meningkatkan Efisiensi Biaya Produksi Pada CV. Solo Indah Kota Palu.” Jurnal Sinar Manajemen 9(2): 335–41.
Rezki, Rezki, Rajindra Rajindra, and Abdul Rahman. 2022. “Strategi Usaha Mikro Kecil Bertahan Di Masa Pandemic Covid-19.” Jurnal Kolaboratif Sains 5(7): 434–40.
Ransbotham, S., Mitra, S., & Bandyopadhyay, T. (2023). Artificial intelligence in the workplace: Opportunities and challenges for organizations. Academy of Management Perspectives, 37(1), 18-32. doi:10.5465/amp.2021.0030
Ritchie, B., & Brunt, L. (2023). AI in supply chain management: Enhancing operational efficiency. Supply Chain Management: An International Journal, 28(3), 345-358. doi:10.1108/SCM-11-2022-0456Rana, N. P., Pillai, R., Sivathanu, B., & Malik, N. (2024). Assessing the nexus of Generative AI adoption, ethical considerations and organizational performance. Technovation, 135(103064), 1–12. https://doi.org/10.1016/J.TECHNOVATION.2024.103064
Rodgers, W., Murray, J.M., Stefanidis, A., Degbey, W.Y., & Tarba, S.Y. (2023). An artificial intelligence algorithmic approach to ethical decision-making in human resource management processes. Human Resource Management Review, 33(100925), 1–19. https://doi.org/10.1016/j.hrmr.2022.100925
Shrestha, Y.R., Ben-Menahem, S., & von Krogh, G. (2023). Artificial intelligence in management: Challenges and opportunities for organizations. Strategic Management Journal. doi:10.1002/smj.3372
Scarpi, D., & Pantano, E. (2024). “With great power comes great responsibility”: Exploring the role of Corporate Digital Responsibility (CDR) for Artificial Intelligence Responsibility in Retail Service Automation (AIRRSA). Organizational Dynamics, 53(101030), 1–10. https://doi.org/10.1016/j.orgdyn.2024.101030
Sidaoui, K., Mahr, D., & Odekerken-Schröder, G. (2024). Generative AI in Responsible Conversational Agent Integration: Guidelines for Service Managers. Organizational Dynamics, 53(101045), 1–7. https://doi.org/10.1016/j.orgdyn.2024.101045
Singh, K., Chatterjee, S., & Mariani, M. (2024). Applications of generative AI and future organizational performance: The mediating role of exploratory and exploitative innovation and the moderating role of ethical dilemmas and environmental dynamism. Technovation, 133(103021), 1–13. https://doi.org/10.1016/j.technovation.2024.103021
Sulich, A., Soloducho-Pelc, L., & Grzesiak, S. (2023). Artificial Intelligence and Sustainable Development in Business Management Context - Bibliometric Review. Procedia Computer Science, 225, 3727–3735. https://doi.org/10.1016/j.procs.2023.10.368
Scarpino, A., & Lewis, C. (2023). Managing AI risk: A strategic approach for organizations. Risk Management, 25(2), 101-119. doi:10.1057/s41283-022-00211-1
Tang, C., & Miele, G. (2023). The future of work: AI and its implications for organizational culture. Journal of Organizational Behavior, 44(6), 1100-1120. doi:10.1002/job.2647
Trzaska, R., & Sus, A. (2023). Industry 4.0 business strategic risks based on the scalability 4.0 concept. Artificial Intelligence area. Procedia Computer Science, 225, 3255–3264. https://doi.org/10.1016/j.procs.2023.10.319
Tusquellas, N., Palau, R., & Santiago, R. (2024). Analysis of the potential of artificial intelligence for professional development and talent management: A systematic literature review. International Journal of Information Management Data Insights, 4(100288), 1–9. https://doi.org/10.1016/j.jjimei.2024.100288
Wang, Y., & Hu, Y. (2023). AI-driven decision-making in management: Opportunities and challenges. Journal of Business Research, 142, 456-465. doi:10.1016/j.jbusres.2023.06.012
Zaki, M., & Boulton, D. (2023). AI-enhanced customer engagement: Strategies for business leaders. Business Horizons, 66(4), 579-591. doi:10.1016/j.bushor.2023.04.003
Copyright (c) 2025 Tovan, Mutmainah, Suwedy
This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.
