Artificial intelligence and innovation ambidexterity in advanced manufacturing firms: a knowledge-management perspective

Purpose Artificial intelligence (AI) leverages vast datasets, continuously evolving algorithms and powerful computational capabilities to influence firms' innovation ambidexterity. However, few studies have examined the intrinsic mechanisms through which AI exerts its influence from a knowledge-based view. Design/methodology/approach This study examines AI's effect on innovation ambidexterity using a sample of 254 advanced manufacturing firms listed on Chinese stock exchanges from 2009 to 2020. Findings Grounded in the knowledge-based view, this study reveals a positive correlation between AI and innovation ambidexterity. Specifically, we show that AI promotes ambidextrous innovation by improving knowledge-management practices, including external knowledge search, absorption, and integration. Originality/value This study's findings can help manufacturing firms leverage their internal knowledge base through the use of AI, thereby enhancing their organizational ambidexterity and providing valuable managerial insights for business leaders.