THE EFFECT OF ARTIFICIAL INTELLIGENCE ON PRIVATE HOSPITAL PERFORMANCE: THE MEDIATING ROLE OF SERIAL ORGANIZATIONAL RESILIENCE, STRATEGIC FORESIGHT, AND COMPETITIVE ADVANTAGE

Abstract

Digital transformation has encouraged hospitals to adopt artificial intelligence (AI) as a strategic capability in improving service quality and organizational performance. However, the implementation of AI does not necessarily result in direct performance improvements, so an understanding of the strategic mechanisms that bridge these relationships is needed. This study aims to analyze the influence of artificial intelligence on hospital performance through the mediating role of organizational resilience, strategic foresight, and competitive advantage in private hospitals in the form of public companies in Jakarta. The study used a quantitative approach with a survey method of 281 respondents consisting of directors, senior managers, managers, and supervisors. Data were analyzed using Partial Least Squares–Structural Equation Modeling (PLS-SEM). The results of the study show that artificial intelligence has a positive and significant effect on organizational resilience, strategic foresight, and competitive advantage. Organizational resilience and strategic foresight have also been proven to increase competitive advantage and hospital performance, while competitive advantage is the strongest determinant of hospital performance. The research model has high predictive ability with a determination coefficient value (R²) of 0.835 in the hospital performance variable. In addition, the research proves the existence of two significant serial mediation pathways, namely through organizational resilience–competitive advantage and through strategic foresight–competitive advantage. These findings confirm that the strategic value of artificial intelligence is not directly realized in improving organizational performance, but through strengthening adaptive and anticipatory organizational capabilities so that it is able to create a sustainable competitive advantage. This research contributes to the development of the literature on strategic management and hospital management by offering an artificial intelligence-based value conversion model as a mechanism for creating sustainable hospital performance in the midst of the dynamics of the health industry.