Role of artificial intelligence in human resource to achieve sustainable organizational performance

Abstract

This study explores the impact of artificial intelligence (AI) on human resource management (HRM) practices and organizational performance. It aims to examine the role of AI-driven HR constructs, including artificial intelligence in human resources, strategic HRM, and technological competence, in enhancing sustainable organizational performance. A cross-sectional study design was adopted, and data were collected from 366 respondents using a convenience sampling technique. Path analysis was employed to investigate the relationships between AI-driven HR constructs and organizational performance. The study provides empirical insights into the role of AI in transforming HRM practices. The results indicate significant positive relationships between artificial intelligence in human resources, strategic HRM, technological competence, and sustainable organizational performance. The study highlights the transformative potential of AI in HRM, emphasizing the need for organizations to develop technological competence among employees to maximize AI’s benefits. The findings reinforce the strategic importance of AI integration in HRM, demonstrating its role in driving innovation, efficiency, and sustainable growth. AI-driven HRM enhances decision-making, workforce capabilities, and long-term organizational success in the digital era. This study provides valuable insights for organizations seeking to integrate AI into HRM practices. It underscores the necessity of strategic HR management and technological expertise to leverage AI’s full potential, ensuring sustainable organizational performance and competitive advantage.