The impact of artificial intelligence on human resource management practices: An investigation

Abstract

Orientation: This study investigates the transformative impact of artificial intelligence (AI) technologies on traditional human resource management (HRM) practices across key industries.

Research purpose: This study aims to systematically review and analyse the literature on AI’s current integration into HRM practices across industries, focusing on studies published from 2020 to 2024.

Motivation for the study: The motivation for this study was to identify both key benefits and possible limitations in the current employment of AI in HRM practices with a view to making recommendations for the optimal deployment of AI tools.

Research approach/design and method: This study utilises the PRISMA (Preferred Reporting Items for Systematic Reviews and Meta-Analyses) approach. Data sources include Google Scholar, Scopus and ScienceDirect.

Main findings: Findings reveal that while AI tools may significantly increase the efficiency and effectiveness of the hiring process, potentially enhance the accuracy and objectivity of performance appraisals and enable the implementation of more personalised training and development initiatives, several ethical implications and challenges remain. These include potential biases within AI algorithms, concerns about data privacy and over-surveillance of employees, along with exacerbating the ‘digital divide’ between those with access to technology and those without. The research also notes the limitations of concrete, quantifiable, metrics available in the literature thus far, for the extent of the benefits claimed.

Practical/managerial implications: The study offers recommendations for organisations to maximise the benefits of AI while addressing its associated challenges.

Contribution/value-add: The need for robust regulatory frameworks and best practices to ensure AI’s ethical deployment is clearly indicated. The findings aim to guide HR practitioners, policymakers and researchers in developing effective strategies for integrating AI into HRM practices ethically and responsibly while noting the current uncertainties regarding its concrete benefits and dangers.