Abstract
Purpose
This article examines how artificial intelligence (AI)-enabled digitalization changes managerial decision-making in municipal waste management. It focuses on a central paradox: digital tools improve operational visibility and efficiency, while simultaneously redefining what counts as a “good” managerial decision by introducing new accountability pressures, behavioral distortions and equity concerns.
Design/methodology/approach
The study adopts a practice-based mixed-method analysis of Alia Servizi Ambientali's rollout of smart-bin telemetry and digital service operations, combining container-level telemetry, service records and qualitative operational feedback.
Findings
Digital visibility improved route efficiency, predictive maintenance and service responsiveness, but also generated risks of contamination, dumping displacement and digital exclusion. These outcomes depended on governance choices, especially tariff design, communication and assisted access channels.
Practical implications
Managers should sequence implementation around four actions: validate data quality, pilot differentiated service standards, align pricing and communication and monitor dark-side indicators alongside efficiency key performance indicator (KPIs).
Originality/value
The article shows how managers use digitalization in essential public services not simply to optimize operations, but to reconfigure the criteria through which they prioritize problems, allocate resources, design incentives and exercise judgment under conditions of increased visibility and traceability.