Abstract:

Artificial intelligence (AI) is becoming deeply embedded in organisational systems, generating intertwined technical, ethical, governance, and strategic risks. Although scholarship on AI safety, digital transformation, and sustainability has expanded rapidly, these streams remain fragmented, limiting integrative organisational theorisation. This study conducts a systematic literature review combined with bibliometric mapping to examine how AI-related risks, governance mechanisms, and sustainability-oriented transformation are conceptualised and interconnected. Our study frames around three interrelated domains: AI risk architecture, governance and organisational mechanisms, and sustainability outcomes. We further synthesise the literature insights and propose an integrative theoretical framework for managing AI-related risks in organisational transformation. The paper advances dynamic capability theory by conceptualising AI de-risking governance capability as an emergent dynamic capacity and by consolidating dispersed scholarly work to establish a coherent foundation for understanding AI governance in sustainability-driven organisational transformation.

Please choose your submission type: Developmental Paper

Primary Track: Strategy

Keywords: strategy;strategic change;resources and capabilities;dynamic capabilities

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Dr. Fatima Gillani