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Practice Paper—AI-Driven Behavioral Nudges for Organizations: An Integrative System for Sustainable Resource Management

  • Christopher Amaral*
  • , Ceren Kolsarici
  • , Iina Ikonen
  • , Nicole Robitaille
  • *Corresponding author for this work

Research output: Contribution to journalArticleAcademicpeer-review

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Abstract

In today’s business environment, organizations face increasing pressure to manage resources efficiently while meeting financial and sustainability goals. This paper presents a novel integrative approach that combines artificial intelligence-driven forecasting with behavioral interventions to help businesses optimize energy consumption under critical peak pricing schemes, reduce costs, and align with sustainability initiatives. We conducted a multiphase longitudinal study with large organizations leveraging neural network time-series modeling to improve peak energy demand predictions and behaviorally informed communications leveraging planning prompts to enhance compliance with curtailment recommendations. The proposed intervention reduces energy consumption during critical peaks by 42%, yielding average net annual savings of approximately $230,000 per organization. Through a nationwide rollout, we estimate that hourly peak-period carbon dioxide emissions could be reduced by approximately 6,500 tonnes, equivalent to roughly 1 million Canadian households’ daily energy consumption. The results demonstrate significant financial savings and reduced environmental impact, benefiting organizations, regulators, service providers, and society. We contribute to research on resource management, systems thinking, and nudging in an organizational context by aligning technological tools with human processes. This work offers a practical, business-oriented solution to real-world challenges, creating value for multiple stakeholders and positioning firms for long-term success in an increasingly resource-constrained world.
Original languageEnglish
JournalMarketing Science
DOIs
Publication statusE-pub ahead of print - 23-Dec-2025

Keywords

  • sustainability
  • artificial intelligence
  • behavioral nudging
  • dynamic pricing
  • critical peak pricing
  • energy consumption

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