Examining the Hybrid Digitalization of HRM in Jordanian Banks: A Structural Equation Modeling Approach

Abstract

Despite the recent accelerated use of virtual practices, hybrid digitalization of Human Resource Management practices inside the banking industry remains an important strategic consciousness for enhancing organizational effectiveness and competitiveness. Previous studies show that several factors affect banking performance. This study focused on Jordanian banks and used Structural Equation Modeling to investigate the impact of hybrid digitalization on bank performance. In particular, the extent to which the traditional HRM practices (recruitment and employee relations) and digital HR tools (HR software for recruitment and digital employee communications platforms) affect bank performance. Furthermore, the study examined the mediating impact of employee engagement and satisfaction on the association between hybrid digitalization and bank performance. Thus, the study concluded that there are positive correlations between the study variables in Jordanian banks, and all hypotheses were accepted.