The Intersection of Digitalization and Human Resources Management (HRM): Insights from a Systematic Literature Review

Digitalization, particularly within the framework of Industry 4.0, has profoundly transformed human resource management (HRM) in the manufacturing sector. Technological innovations, including robotics and digital tools, have replaced many traditional labor-intensive tasks in production processes. This shift has created new requirements for workforce management, necessitating changes in talent acquisition, job design, and staff training and compensation methods (Zhao et al., 2024). While numerous studies have explored the impact of digitalization on operational efficiency and productivity (Li et al., 2023), little attention has been given to how these changes specifically affect HRM practices. The existing literature on the relationship between digitalization and HRM remains scattered and fragmented, lacking a comprehensive and holistic perspective on how HRM should adapt to these technological advancements (Cantamessa et al., 2012; Klaser et al., 2023). Organizations now face the challenge of balancing technology investments with social sustainability goals related to employee and talent development, it is crucial to develop effective HRM strategies that can manage the complexities introduced by digitalization.
This systematic literature review aims to examine the key areas of HRM that are changing due to digitalization. It will identify the transitions and innovations in HRM strategies and practices prompted by technological advancements. The review will provide insights into how HRM can adapt to the challenges and opportunities presented by digitalization, while addressing gaps in the current literature.