IMPACT OF ARTIFICIAL INTELLIGENCE (AI) ON BUSINESS OPERATIONS (A STUDY OF ABEEBI FOOD PROCESSING, OSOGBO, OSUN STATE, NIGERIA)

Abstract

 Artificial Intelligence (AI) has emerged as a transformative force in modern business operations, significantly influencing productivity, efficiency, and ethical considerations. This study examined the impact of AI on the business operations of Abeebi Food Processing, Osogbo, Osun State, Nigeria. The research employed a descriptive survey research design. The population of the study comprised 95 staff members of Abeebi Food Processing, while Krejcie and Morgan's (1970) sample size determination table was used, which recommended a sample size of 76 employees. A convenience sampling technique was adopted due to the accessibility of participants and the time-bound nature of the research. The study employed the Pearson Product-Moment Correlation Coefficient (PPMCC) and Structural Equation Modelling (SEM) to analyze the relationship between technological integration, ethical considerations, and moral considerations in AI implementation. Results indicate that AI integration significantly enhances operational efficiency (β = 0.832, p < 0.05) and positively influences ethical and moral considerations (β = 0.727, p < 0.05). The findings suggest that AI adoption improves productivity, and organizations must navigate ethical dilemmas, workforce displacement concerns, and transparency challenges. The study recommends the adoption of ethical AI frameworks, continuous employee training, and regulatory policies to optimize AI implementation in food processing.