Small and Medium Enterprises (SMEs) play a crucial role in driving economic growth and innovation, yet they often struggle with limited resources, operational inefficiencies, and sustainability challenges. In this context, artificial intelligence (AI) presents a transformative opportunity for optimizing business processes, improving decision-making, and promoting sustainable practices. This review explores the integration of AI technologies to enhance efficiency and sustainability in SMEs, focusing on practical applications such as automation, predictive analytics, and intelligent resource management. By leveraging AI, SMEs can automate repetitive tasks, optimize supply chains, and streamline financial operations, leading to cost reductions and productivity gains. Additionally, AI-powered customer engagement tools, such as chatbots and personalized marketing systems, allow SMEs to better understand customer behavior and enhance service delivery. On the sustainability front, AI enables real-time monitoring of energy consumption, waste management, and resource utilization, helping SMEs align with environmental and regulatory standards. However, the adoption of AI in SMEs faces significant challenges, including data quality issues, limited budgets, and a lack of technical expertise. This review proposes a strategic approach to implementing AI solutions, emphasizing the need for tailored tools, effective data management, and employee training. By examining successful case studies, we highlight how AI-driven optimization has empowered SMEs to overcome operational hurdles and achieve sustainable growth. As the business landscape becomes increasingly competitive and sustainability-focused, integrating AI is not only beneficial but essential for SMEs seeking long-term resilience. This study aims to provide SMEs with actionable insights into adopting AI technologies, ultimately fostering efficiency, innovation, and sustainability in their operations. Keywords: Artificial intelligence, Small and medium enterprises (SMEs), Business Optimization, Review.
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