Artificial Intelligence (AI) is transforming modern management by enhancing team effectiveness through advanced decision-making, seamless communication, automation, and performance optimization. AI-powered tools equip managers with predictive analytics, real-time collaboration features, and workflow automation, fostering greater efficiency and data-driven strategies. However, AI integration also presents challenges, including trust concerns, ethical dilemmas, job displacement anxieties, and difficulties in addressing human emotions and creativity. This paper provides a critical analysis of AI’s influence on team effectiveness by reviewing existing literature, outlining its key advantages and challenges, and identifying future research opportunities. The findings underscore the significance of human-AI collaboration, ethical AI governance, and the development of AI systems designed to augment human capabilities rather than replace them.

Artificial Intelligence (AI), ethical AI governance, development of AI systems

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