AI-ENABLED HRM PRACTICES & EMPLOYEE INNOVATIVE WORK BEHAVIOR: MEDIATING ROLE OF PSYCHOLOGICAL EMPOWERMENT

Abstract

While growing use of human resource management artificial intelligence is revolutionizing HRM, less attention has been paid to its consequences for employee innovative work behavior. Based on self-determination theory, this study aims to explore how AI-Enabled HRM practices are related to employees' innovative work behavior & how psychological empowerment functions as a link between these two variables. Data was collected from 325 managerial and HR employees from multinationals in Pakistan using quantitative, cross-sectional methodology. The exploratory factor analysis, reliability analysis, correlation analysis and Hayes' PROCESS Model-4 with bootstrapping were used to analyze data. From results, it can be concluded that relationship between AI-Enabled HRM practices and psychological empowerment and innovative work behavior is positive. The psychological empowerment shows significant relationship to innovative work behavior, and partially mediates amid AI-Enabled HRM practices and innovative work behavior. The findings add to burgeoning research upon AI-HRM, by finding how AI-powered HR practices lead to emotional empowerment that stimulates innovative employee behaviors as well as give some tips on designing AI-powered HR system that help empower, rather than diminish employee creativity.