Artificial Intelligence (AI) is transforming organizations by reshaping leadership, organizational culture, employee development, decision-making, and change management practices. As organizations embrace digital transformation, Organizational Development (OD) has evolved beyond traditional change initiatives to focus on building agile, innovative, and resilient organizations capable of adapting to technological disruptions. AI enables organizations to enhance operational efficiency, improve workforce planning, support data-driven decision-making, and strengthen organizational effectiveness. However, the adoption of AI also presents challenges related to employee resistance, ethical concerns, workforce reskilling, organizational culture, and data privacy. This study examines the opportunities and challenges of integrating Artificial Intelligence into Organizational Development using a qualitative research approach based on secondary data. The findings suggest that organizations successfully combining AI technologies with human-centric Organizational Development practices achieve higher organizational agility, employee engagement, innovation, and sustainable organizational performance. The study concludes that AI should complement rather than replace human capabilities, with Organizational Development serving as a strategic mechanism for managing digital transformation and organizational change.