Abstract
Artificial Intelligence (AI) is advancing its position in organizations by performing tasks historically perceived as exclusive to humans. As AI becomes more commonplace in the work environment, there is an increasing need to understand the implications of integrating AI into the fabric of organizations. This thesis investigates how AI-related dynamics are manifested in the organization and their impact on employee trust and distrust in AI. The thesis consists of three articles, each based on a unique data set, including a multinational survey, a longitudinal case study, and a field experiment. Together, the articles show that AI will not only induce continuous transformation of the organization but can also generate persistent uncertainty amongst employees. Such uncertainty can then be amplified by employees’ and managers’ limited understanding of AI functionality, resulting in distrust. The results also show that human biases, a challenge expected to be addressed using AI, manifest differently than commonly believed. Such misconceptions can create unrealistic expectations on AI, further contributing to employee uncertainty. The thesis ends with a call to increase our general knowledge regarding AI and its reliance on organizational data, followed by three suggestions for future research on the implications of integrating AI in organizations.