ARTIFICIAL INTELLIGENCE ADOPTION AND SUSTAINABILITY OF SMALL AND MEDIUM SCALE ENTERPRISES IN DELTA STATE, NIGERIA

Abstract

This study investigates the relationship that exists between Artificial Intelligence (AI) adoption and sustainability of Small and Medium Scale Enterprises (SMEs) in Delta State, Nigeria. The study was based on Dynamic Capabilities Theory which affirms that AI enables firms to adapt and innovate to take advantage of business opportunities. Descriptive survey research method was employed for primary data in executing this study. Total population of the study was 150 made up of owners, managers and employees of registered SMEs in Delta State. Pearson Product Moment Correlation was employed to test the hypotheses at a 5% level of significance. Hypothesis one revealed that there is a significant positive relationship between robotics and supply chain efficiency in SMEs in Delta State, Nigeria, with r=0.675, n=150 and (p<0.05). Hypotheses two indicated that there is a statistically positive relationship between predictive analytics and business continuity planning in small and medium scale enterprises in Delta State, Nigeria with r=0.897, n=150 and (p<0.05). The study, therefore, concluded that AI adoption impacts positively on sustainability of SMEs in Delta State. Hence, among others, it was recommended that governmental and non-governmental organisations ought to establish programs to inform SMEs about the advantages and practical uses of AI-based technologies, in addition to offering training to improve their technological proficiency