Artificial Intelligence Adoption and Employee Productivity in Vietnam’s Technology Sector: Evidence From Telecommunications and IT Firms

This study investigates the impact of artificial intelligence (AI) adoption on employee productivity within Vietnam’s technology sector, with a particular focus on telecommunications and information technology firms. Using survey data collected from 710 employees, Python-based structural equation modeling (SEM) was applied to evaluate both the measurement and structural models. Reliability and validity analyses confirmed that all constructs satisfied the required thresholds, demonstrating robust internal consistency, convergent validity, and discriminant validity. The results reveal that AI adoption exerts a strong positive effect on employee productivity and organizational performance. Mediation analyses indicate that employee engagement, well-being, and knowledge sharing play significant roles in transmitting the benefits of AI adoption to productivity gains. In addition, moderation tests show that digital literacy enhances, while resistance to AI weakens, the effect of AI adoption on productivity. At the outcome level, employee productivity mediates the relationship between AI adoption and customer satisfaction, underscoring its pivotal role in delivering value from technological investments. By situating the analysis in Vietnam’s telecommunications and IT firms, this study contributes to the emerging literature on AI adoption in developing economies. Vietnam, as one of the fastest-growing digital economies in Southeast Asia, provides a particularly relevant setting to understand how firms in emerging markets leverage AI to enhance both employee and organizational outcomes. It emphasizes that realizing the full benefits of AI requires not only technological readiness but also proactive management of employee capabilities and attitudes.