Abstract: Software project management has evolved significantly over the last few years. With increasing software system sizes and complexity, conventional project management falls short. Artificial Intelligence (AI), including machine learning and natural language processing tools, is increasingly used to enhance software project management through automation and predictive decision support. AI contributes to improved decision-making, optimized resource utilization through data-driven insights, and proactive risk management. This paper puts forward the application of AI in software project management today. It outlines the primary tools and techniques employed, indicates the advantages that they provide, and identifies problems that project teams continue to experience. The research employs both theoretical studies and actual-world cases to gain a greater depth of knowledge about the subject. The findings highlight that AI is immensely beneficial in Agile project teams. AI may be employed in automating daily work, anticipating threats, and assisting in decision-making in real time. Nevertheless, issues like resistance to change, untrained resources, privacy of data, and having transparent AI systems persist. As much as AI produces improved results in most aspects of a project, it is researched insufficiently concerning long-term effects. The paper fills some of the gap by offering a plain explanation of how AI is applied today in software project management. It also proposes future research must emphasize responsible use of AI, human-AI collaboration, and monitoring long-term performance. Organizations should be ready to evolve and adopt robust ethical principles in order to realize the principle potential of AI.

Keywords: Artificial Intelligence, Software Project Management, AI-Driven Decision Making, Agile Development, AI Ethics, Case Studies, Predictive Analytics.

| DOI: 10.17148/IARJSET.2025.12635