AI-DRIVEN PROJECT MANAGEMENT TRANSFORMATION: STRENGTHENING SAUDI ARABIAS CONSTRUCTION SECTOR AS A CATALYST FOR ECONOMIC DIVERSIFICATION

This study investigated the transformative impact of Artificial Intelligence (AI) on project management within Saudi Arabia’s construction sector, examining its role as a catalyst for economic diversification under Vision 2030. A qualitative research approach was adopted, utilizing case studies of three flagship projects; NEOM, Qiddiya, and Red Sea Global.The analysis demonstrated that AI integration enhances project planning, risk management, performance monitoring, sustainability optimization, and workforce transformation. Findings reveal that AI-driven practices improve efficiency,reduce cost overruns, strengthen environmental compliance, and facilitate high skill workforce development, aligning operational outcomes with national strategic objectives.At the macroeconomic level, AI adoption contributes to non-oil GDP growth, industrial diversification, and the creation of knowledge-intensive employment opportunities. Challenges such as digital readiness disparities, high infrastructure costs, and evolving regulatory frameworks remain,underscoring the need for policy intervention and capacity building initiatives.The study concludes that AI is not merely a technological enhancement but a strategic enabler, positioning Saudi Arabias construction sector as a key driver of Vision 2030s innovation led, sustainable, and economically diversified future.