The Impact of Digital Transformation onHuman Resource Management Practicesand Performance

Sammanfattning

This research examines the significant impact of digital transformation on human resource management (HRM), focusing on areas such as employee experience, satisfaction, talent acquisition, and performance management, along with the integration of artificial intelligence (AI) in HR practices. Over the past two decades, digital technologies have redefined traditional HR functions, leading to the rise of digital HRM, which enhances employee productivity, engagement, and alignment with organizational strategies. Key areas of impact identified include recruitment, training, and performance management. Digital tools have revolutionized talent acquisition by streamlining communication, improving candidate assessments, and making recruitment more efficient. Similarly, digital training platforms have enabled continuous learning, thereby boosting employee knowledge and service delivery. In performance management, the shift from annual reviews to continuous feedback through digital tools has fostered a culture of ongoing improvement, increasing transparency and aligning individual performance with organizational goals. The study also discusses the integration of AI in HRM, which, despite concerns about job displacement, offers significant benefits like automating recruitment and enhancing decision-making with data-driven insights. However, the research highlights challenges in implementing digital HRM, noting a gap between the potential benefits and actual adoption in organizations. Many struggle with integrating digital technologies, affecting employee engagement, talent management, and overall success. The study emphasizes the need for better digital literacy among HR professionals, investment in infrastructure, and a culture that embraces change. Through a critical review of existing literature and empirical studies, the research identifies gaps in current knowledge, particularly concerning the link between digitized HRM and employee experience. The study concludes by offering recommendations for effectively leveraging digital transformation in HRM to enhance organizational performance and provides a foundation for future research.