The Role of Technology in Human Capital Management
Main Article Content
Riska Amelida Hasibuan*
M. Chaerul Risky
This research aims to analyse the role of technology in Human Capital Management (HCM) with a focus on efficiency, effectiveness, and challenges in implementing the technology. The research uses a qualitative method with a literature study approach. Data were collected from various secondary sources such as books, scientific journals, and relevant reports, which were analysed descriptively qualitatively to understand the contribution of technology to HCM. The results show that technologies, such as Artificial Intelligence (AI), Machine Learning (ML), Big Data, and Internet of Things (IoT), have improved the efficiency and effectiveness of various HCM functions, from recruitment, training, to performance management. These technologies enable more accurate and faster data-driven decision-making, supporting adaptation to changing work environments. However, the research also found challenges such as the risk of reliance on automated systems, data security, and workforce skills gaps. The implications of this research emphasise the importance of balancing technological automation and human elements in HCM to avoid dehumanisation. Practically, companies are advised to improve employee skills through continuous training and strengthen data security policies to maximise the benefits of technology in human resource management.
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