Sustainable AI Transformation: A Critical Framework for Organizational Resilience and Long-Term Viability

Jonathan H. Westover ()
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Jonathan H. Westover: School of Business, Western Governors University, Millcreek, UT 84107, USA

Sustainability, 2025, vol. 17, issue 21, 1-34

Abstract: This research examines how artificial intelligence is reshaping business and labor structures through a sustainability lens. Drawing on survey data from 127 organizations and 14 case studies, we quantify workforce impacts while exposing methodological limitations in current projections. Our analysis reveals implementation variations of 37% across industries and 41% higher user adoption rates for hybrid governance approaches versus centralized models. The evidence supports a three-dimensional strategic framework for sustainable organizational development: comprehensive upskilling fostering behavioral change (2.7× higher implementation success), distributed innovation enabling cross-functional ideation (3.1× more identified use cases), and strategic integration aligning systems across departments (explaining 31% of implementation success variance). Organizations deploying all three dimensions achieved a 74% AI initiative success rate versus 12% for those using none. Implementation barriers include regulatory uncertainty, organizational resistance, and ethical considerations, with data infrastructure maturity (β = 0.32), executive sponsorship (β = 0.29), and change readiness (β = 0.26) explaining 58% of implementation success variance. Our findings indicate that sustainable adaptation capacity—not merely technological investment—determines which organizations successfully navigate this transformation while maintaining long-term organizational viability, workforce resilience, and contribution to broader sustainable development goals.

Keywords: artificial intelligence; organizational transformation; workforce disruption; upskilling; strategic integration; distributed innovation; implementation barriers (search for similar items in EconPapers)
JEL-codes: O13 Q Q0 Q2 Q3 Q5 Q56 (search for similar items in EconPapers)
Date: 2025
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