This paper examines the concept of Dharma across Vedic traditions, including the Dharmasastras, Upanishads, Mahabharata, and Ramayana, while comparing these with Western ethical frameworks such as Aristotelian Virtue Ethics, Kantian Deontology, and Utilitarianism, and incorporating them in supporting ethical decision-making. Dharma is presented in the Dharmasastras as an open architecture for ethical decision-making, providing flexibility for moral relativism based on context and circumstances, while also embracing universal principles of righteousness (Doniger in The Hindus: an alternative history. Penguin Books, Westminster, 2020). In contrast, the Upanishads prioritize spiritual liberation and self-realization (Ganeri in The self: naturalism, consciousness, and the first-person stance. Oxford University Press, Oxford, 2019). The Mahabharata introduces moral relativism through its nuanced portrayal of situational ethics, where individuals face dilemmas without clear-cut solutions (Schroeder in Virtue ethics and the emotions. Oxford University Press, Oxford, 2018). The Ramayana, however, adopts a more absolutist stance on Dharma, illustrating strict adherence to ethical principles despite personal cost. We present a simple Dharma Matrix to integrate these perspectives along two dimensions to facilitate ethical decision-making. AI can facilitate ethical decision-making by providing data-based insights and resources for every cell of the Dharma Matrix. AI’s analytical and generative capabilities can support ethical reasoning by suggesting potential outcomes, personalized ethical guidance, and mapping Dharma’s seven modes of determining ethical action—scripture, tradition, conscience, reason, guidance from wise individuals, examples of virtuous people, and divine inspiration—to specific contexts. AI can significantly enhance the application of Dharma by offering context-specific guidance, expanding access to virtuous role models, and supporting ethical and spiritual decision-making. Yet, it is crucial to ensure that AI complements rather than replaces the human capacity for reflection, conscience, and personal growth, maintaining the open architecture of Dharma that allows for both moral relativism and universal ethical principles in an ever-evolving world. Using two hypothetical moral situations across domains such as workplace ethics and academic integrity, this paper demonstrates the synergy between AI and Dharma for more adaptive, context-sensitive solutions (Clooney in Hindu God, Christian God: how reason helps break down the boundaries between religions. Oxford University Press, Oxford, 2013; Miller in Ethics and the multicultural classroom: challenges and opportunities for pluralistic pedagogy. Routledge, London, 2020). We suggest future research to examine how Dharma’s open architecture can navigate complex moral landscapes in today’s increasingly AI-driven world, while maintaining a coherent ethical foundation (Srinivas in The postcolonial Indian state and the transformation of Dharma. Cambridge University Press, Cambridge, 2021).