LSC UoS BA Business Studies: AI in Contemporary Management Issues

This essay explores the role and impact of Artificial Intelligence (AI) in contemporary management issues within business organizations. It highlights how AI influences business planning, workforce management, talent acquisition, and organizational development. The essay discusses the challenges faced by businesses, such as competition and technological advancements, and how AI can assist in communication, hiring, training, and managing the workforce, especially during crises like the COVID-19 pandemic. It emphasizes the importance of talent acquisition, learning and development, and adapting management strategies to enhance business performance. The report concludes that AI is crucial for the growth and development of companies, but it should be complemented by focusing on training and development techniques to improve efficiency.

Contemporary
Management Issues

Table of Contents
INTRODUCTION................................................................................................................................2
MAIN BODY ......................................................................................................................................3
The function and the effects of the Artificial intelligence over the business planning and how it
manages the workforce of the company. ........................................................................................3
The importance of talent acquisition, learning development and the management changes...........4
CONCLUSION....................................................................................................................................4
REFERENCES.....................................................................................................................................4

INTRODUCTION
Artificial intelligence may be defined as the human based intelligence or ability which use to work
with the help of machines and the advanced technology or systems. It works much faster than the
human intellect. It performs its functions by allowing the computer based systems to think like
human brains but in a precocious way. That is beyond the limit to which the human brains can
think. Basically it is a technology which is smart enough to maintain the works and tasks in an easy
and defined manner(Brennen, 2018). The AI techniques are configured according to the various
activities it will going to be used for. The word contemporary management refers to the task of
bringing off the operations of the business corporations which encompasses engagement of the
employees in the business activities, safety of the employees, working environment of the
enterprise, work culture of the company, etc. There are various problems which the company faces,
the major challenges are, the expectation of the employees from the management of the company,
alteration in the administration of the company, growth and development opportunities, maintaining
a balance between the employees and the employers, making plans and strategies in a better way so
that it may lead towards the target decided by the company. This report states that what is the role
of Artificial intelligence in the management of the business enterprise and how it effects the
business plannings and the strategies of a company. Further it talks about the value of talent
acquisition.

MAIN BODY
The function and the effects of the Artificial intelligence over the business planning and how it
manages the workforce of the company.
The theory of Human Capital helps in examining the role of productivity, skills, growth and
development of human resource, qualification and knowledge the employees posses in a business
organization. Majority of the business enterprises are facing the problems regarding cut throat
competition in the market, speedy growth in the technology advancements, modifications in the
requirements of the business organization in terms of skills and knowledge of the individuals
working with a particular company, training and development of skills, etc. The reason behind all
this is that every business organization requires certain particular skills, knowledge and the
experience for a proper functioning of the business activities. The drastic alterations in the field of
technology especially during the period of the pandemic that is Covid 19, various business
enterprises are needed to choose the new techniques for operating the business functions. Because
this is the only way which can help a company to stay in the intense competition of the market. The
AI also plays a crucial part in the communication process among the individuals surviving in the
world of business(FossoWamba, et.al, 2021).
There is another structure named as Human resource value chain which helps in understanding
the effect of the human resource in the business corporations. It also assists in the formation of the
best human resource practices in an organization. The Guest model in furtherance to the above
mentioned framework evaluates the growth and development aspects of the human resource
management in the different types of businesses by concentrating on an individual rather then
focusing on the groups. For every business organization, human resource are considered to be one
of the important assets in terms of carrying out the business activities. So, it is important for an
organization to undertake such practices which can leads to the proper utilization of the workforce
in order to achieve the set goals of the company. But in the situation where corona virus took over
the world, the strategy of work from was constituted with the help of the artificial intelligence. AI
provides an assistance to the companies to hire the employees in the grievous state of the pandemic
situation(Gbadamosi, 2019). It also helped the business enterprises to manage the workforce,
providing them with training, etc. These circumstances has proved the importance of AI which has
changed the way of carrying on the business activities by impacting the organisational structure of
the company. For the purpose of administering the business activities from home, digitalization and
the AI were utilized in order to operate various activities of the business organization in an effective
and efficient manner.
Organizational growth or development is affected by the various elements that is R&D

activities(Research and development) which is being undertaken by the different business
organizations. There are some internal and external constituents which also influence the
development of the organization and it depends upon the activities of the various departments of a
business organization(Plastino and Purdy, 2018). The factors that affects the development of
organization are work culture, business environment, nature of the business, political aspects,
financial conditions, changing in the technology and advancements, dis balance in the
environmental activities, etc. The aforesaid mentioned elements could be effectively dealt with the
help of AI. The various alterations or changes takes place in the organization could be known with
the help of organizational growth and development theory, principle of general system and strategic
contingency theory. These fundamental theories also assist in instrumentation of the various
methods in order to handle the changes that takes place in the business organization with a positive
approach. Artificial intelligence along with the manual exertions can be proved one of the best ways
which reduces the problems of the business structures which are complex in nature by providing the
desirable solutions for the same.
The importance of talent acquisition, learning development and the management changes.
Various business organizations use to go through with the process of talent acquisition in which
they are required to hire the workforce or the human resource in order to meet the daily business
requirements in terms of the different business activities that are held in a company. The procedure
of talent acquisition helps in fill the places in different departments of the organization. The human
resource holds a great importance in a business enterprise in order to achieve aims and objectives of
the company within a specified period of time. It is accountable in maintaining the brand name of
the company by raising its goodwill in the market whether national or international. It also helps in
raising the efficiency and effectiveness of the business administration. The business enterprise
needs large amount of funds for communicating with the individuals for the hiring process.
Investing more at the initial stage will helps in reducing the recruitment cost. Appointing valuable
human resource adds worth to the business organization. The intellect of the workforce helps an
organization to stand in the competition with the other companies. This process of hiring and
recruitment requires a lot of time in order to select the best candidates for the organization but it
seems to be worthy when it comes to the performance of the company (Ployhart, Weekley and
Dalzell, 2018).
The procedure of learning and development includes the process of developing the skills,
techniques and training among the individuals hired in the organization in order to train them to
perform the various activities of the organization according to their capacity. After getting a proper
training, the workforce of a company will be able to perform the tasks in an efficient way. The

organization must get updated with the new techniques of training process which is needed for the
effective management of the company. It is much more important in the cases where the company
recruits the freshers. Because they posses totally different perspective than the experienced
workforce(Singh and Awasthi, 2019). The reputation of the company is wholly dependent upon its
employees.
The companies are required to adopt the different effective techniques that can result in the growth
and development of the organization. They must change their strategies and process of planning to
increase the productivity of the business. In the situation of the pandemic, the business
organizations switch towards the digitalization by using AI in their business operations. Because
first of all they need to meet the requirement of their customers in the global market and second,
they are focused in upgrading the level of their performance(Vogl, et.al, 2020).
CONCLUSION
The report talks about the role and importance of Artificial intelligence in the business organizations
which is important for carrying out the various business activities in the company. It ensures the
growth and development of the company. It is suggested that instead of focusing on the innovation,
the business enterprises must concentrate towards the training and development techniques which
helps in increasing the efficiency of the business. The report also talks about the shifts in the
business structures of the various organizations due to the involvement of the contemporary
development factors. It also covers the importance of the workforce or the human resource in the
business organization. Further the report defines the importance of the talent acquisition,
management changes and the process of learning and development in the light of AI.
REFERENCES
Brennen, J., 2018. An industry-led debate: How UK media cover artificial intelligence.
Fosso Wamba, S., et.al, 2021. Industry experiences of artificial intelligence (AI): benefits and
challenges in operations and supply chain management. Production Planning & Control,
pp.1-13.
Gbadamosi, A., 2019. Contemporary issues in marketing: Principles and practice. Sage.
Plastino, E. and Purdy, M., 2018. Game changing value from artificial intelligence: eight
strategies. Strategy & Leadership.
Ployhart, R.E., Weekley, J.A. and Dalzell, J., 2018. Talent without borders: Global talent

acquisition for competitive advantage. Oxford University Press.
Singh, K. and Awasthi, A., 2019. ROLE OF STRATEGIC MANAGEMENT IN TALENT
ACQUISITION PROCESS. IMPACT: International Journal of Research in Business
Management (IMPACT: IJRBM), 7(3), pp.11-14.
Vogl, T.M.,et.al, 2020. Smart technology and the emergence of algorithmic bureaucracy: Artificial
intelligence in UK local authorities. Public Administration Review, 80(6), pp.946-961.