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The Development Of Competitive Capabilities In Modern Organizations Through Artificial Intelligence Algorithms

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  • Marian STOICA

    (Bucharest University of Economic Studies, Bucharest, Romania)

  • Andreea SOCOL

    (Bucharest University of Economic Studies, Bucharest, Romania)

Abstract

In the last decade, artificial intelligence (AI) has evolved from a technological innovation into a strategic factor, essential for the development of the competitive capabilities of modern organizations. Emerging AI‑based technologies, such as large language models (LLMs), machine learning (ML), conversational intelligence and robotic process automation (RPA), offer companies the possibility to optimize operational processes, improve managerial decision‑making and stimulate innovation. Although most existing studies treat AI as a technological tool, only few examine the direct impact of intelligent algorithms and systems on organizational competitiveness. This paper analyzes the role of artificial‑intelligence algorithms in strengthening the competitive advantage of organizations within the knowledge‑based economy. Through a conceptual approach complemented by relevant case studies, the main technological factors contributing to enhanced organizational performance are identified, while the challenges associated with integrating intelligent systems throughout the organization, across managerial and non-managerial processes alike, are highlighted. The results emphasize the need to maintain a balance between technological efficiency, ethical responsibility and the essential role of the human factor in the implementation of AI‑based strategies.

Suggested Citation

  • Marian STOICA & Andreea SOCOL, 2025. "The Development Of Competitive Capabilities In Modern Organizations Through Artificial Intelligence Algorithms," Business Excellence and Management, Faculty of Management, Academy of Economic Studies, Bucharest, Romania, vol. 15(5), pages 211-224, December.
    • Handle: RePEc:rom:bemann:v:15:y:2025:i:5:p:211-224
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    References listed on IDEAS

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    2. David J. Teece, 2007. "Explicating dynamic capabilities: the nature and microfoundations of (sustainable) enterprise performance," Strategic Management Journal, Wiley Blackwell, vol. 28(13), pages 1319-1350, December.
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