ARTIFICIAL INTELLIGENCE AND THE PERFORMANCE OF SELECTED MANUFACTURING COMPANIES IN NORTH CENTRAL NIGERIA

Abstract

In a volatile and complex business environment, new digital technologies are reshaping the economy's landscape, organisational characteristics, and the ways stakeholders interact with organisations. The development of technologies such as artificial intelligence (AI) has affected business processes. The study therefore examined the effect of artificial intelligence on the performance of manufacturing companies in North-Central Nigeria. AI is measured using machine learning and automation, while performance is proxied by growth. The study population comprised of 10,176 staff from six companies and a sample of 370 derived using the Krejcie and Morgan table (1970). However, 20% was added for an allowance for non-response, bringing a total of 444. The 444 questionnaires were distributed. However, only 407 were returned and correctly filled and returned. Regression analysis and correlation were used to test the hypotheses and identify relationships among the study variables with the aid of Jamovi 2. Findings indicated that machine learning and automation have positive and significant effects on the performance of manufacturing companies in North-Central Nigeria, with machine learning showing a greater contribution to performance. The study therefore recommended that manufacturing companies in the region should channel resources towards acquiring more advanced and larger-scale machine-learning platforms.