AI Based Decision Making: Combining Strategies to Improve Operational Performance

Abdulrahman Al-Surmi, Mahdi Bashiri, Ioannis Koliousis

Research output: Contribution to journalArticlepeer-review

2 Citations (Scopus)
18 Downloads (Pure)

Abstract

This study investigates the strategic alignment between marketing and information technology (IT) strategies and provides production and operations decision makers a model for improving operational performance. Based on a comprehensive literature review, the combined strategies were used to develop a novel decision-making framework. The hypothesised relationships of an SEM model are validated with data collected from 242 managers from various industries. An artificial intelligence (AI)–based method is developed using artificial neural networks (ANN) feeding into a decision-making framework which explores the optimality of the combined strategies. The results indicate that (a) IT strategy is positively mediated by marketing strategy on performance and (b) the organisational structure moderates the mediation of marketing strategy on performance. The analysis confirms that the extracted strategies based on the proposed framework have superior performance compared to existing strategies. This paper contributes to the literature by conceptualising and empirically testing the mediation role of marketing strategy on IT strategy, performance and operational decision-making. The use of a novel three-phase decision-making framework which uses AI processes improves operational efficiency, increases insights and enhances the decision accuracy of complex problems at the strategic
level in industries such as manufacturing. It could help operations executives to apply effective decisions
Original languageEnglish
Pages (from-to)4464-4486
Number of pages23
JournalInternational Journal of Production Research
Volume60
Issue number14
Early online date30 Aug 2021
DOIs
Publication statusPublished - 18 Jul 2022

Bibliographical note

Publisher Copyright:
© 2021 The Author(s). Published by Informa UK Limited, trading as Taylor & Francis Group.

Keywords

  • AI based decision making
  • SEM
  • neural network
  • operational strategies
  • optimal strategy selection

ASJC Scopus subject areas

  • Strategy and Management
  • Management Science and Operations Research
  • Industrial and Manufacturing Engineering

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