Examining the moderating role of data literacy in the relationship between human resource analytics and employee innovative behavior

Abstract

The practical application of business data analytics in human resource (HR) management activities is still limited and underutilized. The primary reason for this is the requirement for more analytical skills, which can be acquired through data literacy. These skills are necessary to ensure obtaining the potential benefits of human resource analytics linked to desired positive employee outcomes, such as fostering innovative behavior. To address this issue, this quantitative study has been conducted to delve into the prospective moderating role of data literacy in the interaction between human resource analytics and employees’ innovative behavior. The core objective of this study is to examine whether human resource professionals’ data literacy level significantly impacts the correlation between human resource analytics and the inclination of employees towards innovative behavior. A sample of 250 HR specialists from large companies in Jordan has been used to address this inquiry. A correlational-predictive design has been used in this study. Regression analysis using the SPSS macro-PROCESS software has been utilized to address the study hypotheses. The study reveals a positive connection between HR analytics and employees’ innovative behavior. Moreover, it uncovers a noteworthy moderating influence of data literacy on this association. These findings suggest that heightened data analysis proficiency among HR professionals amplifies the potential benefits derived from analytics, thereby enhancing employees’ innovative capabilities. As a result, the research suggests that companies upgrade their technical infrastructure for HR functions and concurrently utilize data analytics for informed HR decisions. Further, these insights do serve as necessary inputs in understanding HR analytics and their implications for prudent business strategy. In view of this dynamic nature of HR analytics, the contributions made by the study are immensely valuable; hence, further exploration is needed to fill in gaps within existing knowledge.