The Transformation of Human Resource Management and Its Impact on Overall Business Performance: Big Data Analytics and AI Technologies in Strategic HRM

Abstract

Digitization in the workplace has already affected working methods and the working environment. The digital transformation of Human Resource Management (HRM) is one of the most discussed topics in recent academic studies. In that context, this chapter investigates the transformation of strategic HRM by big data and artificial intelligence (AI) technologies and the impact on business performance. First, we discuss the impact of digital technologies on SHRM and how big data and AI technologies enhance the strategic development of HR. Secondly, the role of technology in HR evolution from 1945 to the present is explored. It can be seen that as technology develops, business also changes the way it manages human resources. Third, the importance of the use of big data and AI technologies in HR functions is discussed. Finally, the ways in which HR contributes to business performance as a result of the digital transformation of HR are discussed. Suggestions and future directions are provided for both HR professionals and researchers to support overall business performance by transforming SHRM into digital SHRM.