Digital Innovation : International Journal Of Management
Vol. 2 No. 2 (2025): Digital Innovation : International Journal of Management

Data-Driven Management : Utilisation of Big Data in HR Decision Making in the Digital Age

Ivan Widjaja (Unknown)
Budi Eko Soetjipto (Unknown)



Article Info

Publish Date
24 Apr 2025

Abstract

The development of digital technology has encouraged organisations to adopt big data analytics in human resource management (HRM), but there are still challenges in leveraging it for effective decision-making. This study aims to investigate the effect of big data utilisation on the quality of HR decision-making and identify the supporting and inhibiting factors for its implementation. A quantitative method with purposive sampling survey was conducted on 100-150 respondents from companies that have implemented big data-based management information systems and HR analytics. Data were analysed using Structural Equation Modeling (SEM) with AMOS software. The results showed that big data analytics significantly improved the quality of HR decision-making, with HR digital competencies and organisational culture as important mediating factors. However, challenges related to cultural resistance and limited expertise were found to affect the effectiveness of implementation. The practical implications of this research emphasise the importance of HR digital capacity building and ethical data governance to support the transformation of HRM into an adaptive strategic function in the digital era. This research also contributes to the development of data-driven management theory with a holistic approach that integrates technical, human, and ethical aspects.

Copyrights © 2025






Journal Info

Abbrev

DigitalInnovation

Publisher

Subject

Decision Sciences, Operations Research & Management

Description

Topics in this Journal relate to any aspect of management, but are not limited to the following topics: Human Resource Management, Financial Management, Marketing Management, Public Sector Management, Operations Management, Supply Chain Management, Corporate Governance, Business Ethics, Management ...