Journal of Economics, Entrepreneurship, Management Business and Accounting
Vol 4 No 2 (2026): Volume 4, Issue 2, March 2026

AI-Driven HRM and Employee Performance: The Mediating Role of HR Agility in Industrial Companies

Mubarok, Ade (Unknown)
Nursaimatussaddiya, Nursaimatussaddiya (Unknown)



Article Info

Publish Date
30 Mar 2026

Abstract

Purpose - This study examines the effect of AI-driven human resource management on employee performance and investigates the mediating role of HR agility in industrial companies in West Java, Indonesia. Design/methodology/approach – A quantitative explanatory design was employed using a cross-sectional survey of 214 employees from industrial firms. Data were collected through structured questionnaires and analyzed using Structural Equation Modeling with Partial Least Squares (SEM-PLS) via SmartPLS to test both direct and indirect relationships among the constructs. Findings – The results indicate that AI-driven human resource management has a positive and significant effect on HR agility and employee performance. HR agility also significantly improves employee performance. Furthermore, HR agility partially mediates the relationship between AI-driven human resource management and employee performance, indicating that the effectiveness of AI-based HR practices depends on the organization’s ability to develop adaptive and responsive HR systems. Limitations – This study is limited by its cross-sectional design, reliance on self-reported data, and focus on industrial companies in a single regional context, which may restrict generalizability. Originality/value – This study contributes to digital HRM and dynamic capability literature by positioning HR agility as a key mechanism through which AI-driven HR practices enhance employee performance in an emerging economy context.

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Journal Info

Abbrev

JEEMBA

Publisher

Subject

Economics, Econometrics & Finance

Description

Journal of Economics, Entreprenurship, Management Business and Accounting (JEEMBA) mencakup bidang ekonomi dan keuangan, manajemen bisnis dan akuntansi khususnya bidang akuntansi, manajemen, pasar modal, hukum bisnis, perpajakan, sistem informasi, serta bidang ekonomi dan keuangan lainnya. JEEMBA ...