Transformative Impact of Artificial Intelligence on Business Decision-Making: A Comprehensive Review

The integration of Artificial Intelligence (AI) into business operations represents a paradigm shift in organizational decision-making. This comprehensive review synthesizes current literature to examine the transition from intuition-based and descriptive analytics to data-driven, predictive, and prescriptive decision-making frameworks powered by AI technologies. The paper analyzes core AI technologies—including Machine Learning, Natural Language Processing, and Computer Vision—and their specific applications across strategic, tactical, and operational business functions. Our findings indicate that AI enhances decision-making through improved speed, accuracy, and personalization while simultaneously introducing significant challenges related to algorithmic bias, explainability, and ethical governance. The concept of "augmented intelligence" emerges as the optimal framework, emphasizing synergistic human-AI collaboration rather than replacement. We conclude that successful AI integration requires robust governance frameworks, organizational culture transformation, and strategic investment in human capital development to harness AI's full potential while mitigating associated risks.