Degree

Master of Science in Management

Faculty / School

School of Business Studies (SBS)

Department

Department of Management

Date of Submission

Winter 2025-10-26

Supervisor

Dr. Muhammad Kamran Mumtaz, Assistant Professor, Department of Management, Institute of Business Administration (IBA), Karachi

Committee Member 1

Dr. Yasir Mansoor Kundi,Examiner - I, Department of Management

Project Type

MS Management Research Project

Access Type

Restricted Access

Keywords

AI adoption, Perceived AI, Innovation Performance, Organizational Culture

Abstract

In this paper, we empirically investigate the moderating and mediating relationships between Perceived Artificial Intelligence (AI) adoption level, innovation performance, absorptive capacity, organisational size and corporate culture and organisational performance. As artificial intelligence (AI) continues to influence how business functions and competes in the digital age, it is essential to understand how it can be applied and what broader implications it has. The quantitative research design was employed using the questionnaire based survey research design which saw a sample population of 350 participants. The analysis was conducted by using Hayes Process Macro (Model 9) and Model 4. The result showed that there is a positive significant relationship between perceived AI adoption and innovation performance. However, the statistical significance of the mediation role played by absorptive capacity in this relationship was insignificant. Finally, the moderating effect of organisational size and corporate culture for the relationship between perceived AI adoption and absorptive capacity was also not significant. These results shed light on the complexity of the relationship between AI and innovation and suggest the need for further research to investigate other mediating and moderating variables that may influence this relationship.

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