Artificial Intelligence in Human Resource Management: A Systematic Review of Adoption, Impact, and Challenges

Year 2025, Volume: 5 Issue: 2, 1 - 19, 31.12.2025

Shah Mehmood Wagan , Sidra Sidra

https://doi.org/10.61725/abj.1786837

Abstract

The systematic review in question focuses on the altering way artificial intelligence (AI) may transform human resource management (HRM) across contemporary organizations. The review considers 22 empirical studies that have been published since 2016 and were designed to respond to three primary questions to comprehend the scope of the AI adoption in the HRM tools and potential implementation aspects, possible areas of AI introduction, its possible points and restrictions, and impact of AI use on the performance and satisfaction of employees and organizational effectiveness. According to the results, the AI is most likely to be popular in recruitment, learning, and development, performance management, and engagement, but it is also associated with improved efficiency, objectivity, and individualization. Still, such ethical aspects as the mechanistic bias, worker woes, and lack of talent remain critical challenges. However, such ethical concerns, as the bias in the algorithms, tribulations of the employees, the review also adds the differences in regions and industry areas where AI is implemented and the need to develop exclusive strategies. And shortage of skills remains significant challenges. According to key findings, AI becomes a disruptive technology in HRM profession, Nonetheless, it must be targeted in a moderate manner considering the technological revolution and human-relatedness values. The paper contributes to the literature about the issue and can be used as a recommendation piece to firms that are forced to accept the need to adopt the concept of AI in HRM.

Keywords

Artificial intelligence , Human resource management , Recruitment , Performance management , Employee engagement

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