An Analysis of the Contribution of e-HRM to Sustaining Business Performance

There is currently a proliferation of digital analytics and machine/artificial intelligence productivity tools for creating and sustaining competitive advantage through strategic flexibility. Transformational e-HRM enables organizations to achieve and sustain competitive advantage through exploitation of these new productivity tools and approaches. However, it has been observed that many organizations have not been able to realize this. Using findings from an empirical exploration of e-HRM’s contribution to sustaining business performance, derived through an interpretative phenomenological analysis of a single case study, we propose in this chapter that for organizations to leverage the productivity gains of implementing Transformational e-HRM, HR and frontline managers require access to readily available artificial intelligence productivity tools. For e-HRM to contribute to sustaining business performance, we add to strategic flexibility theory that this can be realized by using e-HRM to enable strategic flexibility and adaptive capability. As we propose that it will be about organizations using the strategic capability derived by using Transformational e-HRM to create flexible and adaptive organizations. Its implications for practice are stated.