Improving Business Innovation Management Through Artificial Intelligence

Abstract

The research aims to determine the prospects for improving innovation management in business using artificial intelligence (AI). To achieve the research goal, the author examined the international experience of 33 countries as of the end of 2023, relevant at the beginning of 2024, with reference to IMD statistics. As a result, the author developed an econometric model of innovation management in business using AI and alternative digital technologies. The model has shown that instead of risks, implementing AI generates advantages for innovation management in business. The main conclusion is that the application of AI is preferable for innovation management compared to alternative digital technologies because it makes it possible to significantly increase the results and reduce the costs of such management. Therefore, the authors proposed a new approach to innovation management in business, which achieves a high level of management automation based on AI for the first time. The theoretical significance of the obtained results and the author’s conclusions is explained by the fact that they revealed the cause-and-effect relationships of using AI in innovation management in business. The managerial significance of this research lies in the fact that the application of the new approach will increase the efficiency of innovation management in business.