Elevating the Influence of HR Analytics on Organizational Performance: An Empirical Investigation in Hi-Tech Manufacturing Industry of a Developing Economy

Abstract

This study examines the influence of HR analytics on organizational performance by empirically evaluating the relationship between HR analytics, evidence-based management (EBM), and firm performance in the Hi-Tech manufacturing industry of a developing economy. Data was collected from HR managers via random sampling from Hi-Tech manufacturing firms. Using partial least squares analysis, the study reveals that HR technology plays a pivotal role in enabling HR analytics. Evidence-based management (EBM) was identified as a mediator in the positive relationship between HR analytics and organizational performance. However, the study finds that the Hi-Tech manufacturing industry faces challenges in adopting a data-driven culture, limiting the full potential of HR analytics and EBM. This research emphasizes the significance of HR technology in facilitating HR analytics and provides empirical evidence of its positive influence on firm performance through EBM mediation. It highlights the potential for organizations to achieve a sustainable competitive advantage through data-driven HR decision-making.