Artificial Intelligence in Human Resource Management: A PRISMA-based Systematic Review

Abstract

Background: Artificial intelligence (AI) is rapidly transforming human resource management (HRM) by automating essential functions such as recruitment, employee performance evaluation and workforce planning. Despite the growing adoption of AI-driven tools, organizations face numerous challenges, including resistance from HR professionals, ethical concerns and data privacy issues. This transformation has sparked significant academic interest, yet several gaps remain in understanding how AI affects HRM practices and organizational outcomes. Objective: This study aims to explore the integration of AI in HRM by analysing its potential opportunities and challenges. Additionally, it investigates how human-AI collaboration can enhance HR functions and drive organizational performance. Methods: A systematic literature review approach was adopted, focusing on 141 recent peer-reviewed articles from Scopus-indexed journals. This review focused on studies published between 2019 and 2025. The analysis was structured around three key dimensions: AI-driven opportunities, challenges associated with AI adoption and its transformative impact on HRM practices. Results: The findings reveal that AI offers significant benefits in HRM, such as improving efficiency, reducing bias and enhancing employee engagement. However, challenges remain regarding ethical decision-making, data security and maintaining human interaction in HR processes. The study also highlights the importance of augmenting, rather than replacing, human roles with AI tools to achieve optimal outcomes. Conclusion: AI has the potential to reshape HRM by streamlining processes and enhancing decision-making. Nevertheless, its successful implementation requires addressing critical challenges such as resistance to change, ethical concerns and legal risks. Organizations should focus on fostering human-AI collaboration to unlock the full potential of AI-driven HRM.