Abstract
This paper presented the AI–Human Capital Co-Augmentation (AHCA) Framework for Knowledge Economies, positioning knowledge economies as the enduring constant while organizational value creation evolved through human–AI synergy. Using structural equation modeling (SEM), the study examined how AI Enablement (algorithmic capacity, data infrastructure, generative-AI applications) and Human Capital Quality (skills depth, learning agility, ethical literacy) jointly enhanced Knowledge Flow Quality (codification, sharing, reuse), which in turn strengthened Dynamic Capabilities (sensing, seizing, reconfiguring) and drove Sustainable Organizational Performance (innovation, stakeholder value, ESG alignment). The model further incorporated Culture of Learning and Responsible Governance as moderators, hypothesizing that culture amplified the effects of AI and human capital on knowledge flows, while governance reinforced the pathway from knowledge flows to dynamic capabilities. Data were collected from a multi-industry sample of managers and professionals (n=500) across knowledge-intensive organizations. CB-SEM (AMOS/LISREL) was used to test the hypothesized relationships, while PLS-SEM (SmartPLS) was applied for robustness. Measurement reliability and validity were assessed through Cronbach’s α, composite reliability, AVE, and discriminant validity (HTMT), while global model fit was evaluated via χ²/df, CFI/TLI ≥ .90, RMSEA ≤ .08, and SRMR ≤ .08. Multigroup analysis explored sectoral differences. The results supported a serial mediation mechanism—AI and human capital enhanced knowledge flows, which built dynamic capabilities, ultimately sustaining organizational performance. Culture and governance emerged as force multipliers. The findings provided a portable diagnostic for leaders to align AI adoption and human capital development with the enduring value of knowledge economies.
Presenters
Daniel Dasig, Jr.Research Director, Research and Development Office, Philippine Women's University, Philippines
Details
Presentation Type
Paper Presentation in a Themed Session
Theme
KEYWORDS
Knowledge economies, AI enablement, Human capital, Knowledge flows, Dynamic capabilities
