The Effects of Artificial Intelligence on Management Education

The emergence of generative AI tools capable of matching human performance in business school assignments challenges fundamental assumptions about management education. This paper explores how AI could fundamentally reshape business schools, suggesting the authors may be entering a “third epoch” of management education following the practice-oriented era of the early 1900s and the research-focused transformation of the 1960s. As AI begins to rival core analytical capabilities taught in business programs, schools must reconsider their unique value proposition and educational approach. Through the primary lens of a value-based strategy framework, they analyze how AI could reshape demand patterns, teaching methods, and operational models. The paper identifies key uncertainties and strategic priorities, exploring how business schools could leverage their research strengths to guide this transformation. The potential decline of traditional business education could weaken the foundation of informed and ethical business practices, making adaptation imperative. While AI presents significant challenges to current educational models, it also offers compelling opportunities for schools to reinvent management education for an AI-augmented future.