Abstract Summary/Description
Artificial intelligence (AI) has been highlighted as promoting significant improvements in firm operations. Healthcare is a key domain in which operational improvements are a core objective. However, it is evident that the adoption of AI across hospitals is uneven. This begs the question: What influences hospitals to adopt AI? This is a crucial question because of the huge resources needed to adopt AI. While researchers have been focused on understanding the factors driving AI adoption across various industries, thus far, there has been limited identification of the factors influencing hospitals to adopt AI. In this study, we identified these factors. We used the Behavioral Theory of Firms to rationalize the hospital characteristics that influence AI adoption. Based on our analysis of data from hospitals in the USA in 2022, we discovered that hospitals invest in AI because they had a culture of investing in technology in the past. Also, hospitals registered with the American Hospital Association (AHA) tend to invest in AI more than those not registered with AHA. Our study further suggests that the number of beds in a hospital is positively related to AI adoption. Our study explains AI adoption in healthcare through the Behavioral Theory of Firms lens and adds to our understanding of what we know about AI adoption in healthcare.
