Enhancing Organizational Effectiveness Through Digital HR Transformation

Abstract

This paper aims to investigate how digital technologies affect HR processes and their influence on organizational effectiveness. The fast progression of digital technology has greatly changed HR tasks like recruitment and onboarding, performance management, employee engagement and Communication, learning and development, and administrative efficiency. Through the utilization of digital platforms, companies can improve operational efficiency, streamline decision-making processes. Data were collected from 284 HR professionals and managerial staff using a structured questionnaire, adopting a quantitative, cross-sectional research design. Preliminary diagnostics were conducted in SPSS, and Structural Equation Modeling (SEM) analysis was run in Smart-PLS. The results show that Digital HR Transformation has a substantial and statistically significant positive impact on Organizational Effectiveness (β = 0.778, p < 0.001). Talent acquisition, management, learning, and development were the most influential dimensions of digital transformation efforts. They significantly impacted digital transformation, while data-driven decision-making, cybersecurity, and data privacy contributed marginally. Digital Practices Human Resource Management Practices: implications for Organizational Agility, innovation, and Performance This research further emphasizes the strategic role of digital HR practices in fostering organization agility, innovation, and performance. This paper offers theoretical and practical insights by demonstrating that integrated digital HR systems enable organizational sustainability, especially in emerging and technology-based sectors.