Artificial Intelligence and Organizational Performance: A Literature Review On Esg-Oriented Management Practices

The growing adoption of artificial intelligence (AI) is reshaping organiza-tional practices across industries, particularly in how firms pursue perfor-mance improvements while addressing environmental, social, and govern-ance (ESG) objectives. This paper presents a structured literature review ex-amining the role of AI in enhancing organizational performance through ESG-oriented management practices. By synthesizing recent academic con-tributions, the study explores how AI-driven tools and data analytics sup-port decision-making, operational efficiency, risk management, and sustain-ability-oriented strategies. The review highlights key mechanisms through which AI contributes to economic performance while simultaneously ena-bling greater transparency, accountability, and social and environmental re-sponsibility. In addition, the paper discusses emerging challenges and limi-tations identified in the literature, including ethical concerns, data govern-ance, algorithmic bias, and energy consumption. The findings contribute to a clearer understanding of the strategic implications of AI adoption in or-ganizations and identify avenues for future research on the integration of AI and ESG principles within management practice.