Work

The interplay of data-driven insights and AI anxiety in shaping the impact of AI capabilities on circular economy capability

Year: 2025

Type: article

Abstract: In a world facing environmental challenges, such as climate change and resource scarcity, Artificial Intelligence (AI) is widely regarded as a powerful tool to enhance and support sustainability goals via Circular Economy Capabilities (CEC). However, the relationship between AI capabilities and CEC is not straightforward, as AI anxiety—stemming from employees' fear of job loss—limits the generation and application of data-driven insights. The purpose of this research is to examine how socio-technical factor such as data-driven insights and AI Anxiety shape the relationship between AI capabilities and CEC. Using a moderated mediation model and Partial Least Squares Structural Equation Modeling (PLS-SEM), we analyzed data from firms with moderate to high technology maturity. Our findings indicate that the direct effect of AI capabilities on CEC is not significant. However, data-driven insights mediate the relationship, and AI anxiety negatively moderates the effect of insights on CEC. This study highlights socio-technical barriers to AI adoption and their impact on sustainability goals.

Source: Journal of Industrial Information Integration

DOI: 10.1016/j.jii.2025.101019

Authors: Robinson Garcés-Marín, José Arias-Pérez, Camilo Restrepo-Estrada

Institutions: Emory University, Universidad de Antioquia

Language: English

Topic: Impact of AI and Big Data on Business and Society

Subfield: Management Science and Operations Research

Field: Decision Sciences

Domain: Social Sciences

SDGs: Industry, innovation and infrastructure, Responsible consumption and production, Climate action

Open Access status: hybrid

Estimated APC paid: $3,810