The Role of Digital HRM: Contribution to the Improvement of Business Sustainability

ABSTRACT

The role of Digital Human Resources Management (DHRM) in the era of globalization, especially in the COVID-19 pandemic, has made a major contribution to sustainable business performance. This is interesting to study considering that the DHRM work process will take place through mobile, electronic media, social media via the internet, and also with the help of IT (information technology). This research aims to analyze the role of Digital Human Resource Management (DHRM) in contributing to the improvement of sustainable business performance in companies in DKI Jakarta. The importance of the role of DHRM is investigated because DHRM is able to do human work through software and several applications, which are supported by the internet network. Digitalization in HRM will enable companies to operate more efficiently and relevantly in the future. This type of research is qualitative which involved managers working in oil companies and transportation companies in DKI Jakarta who used DHRM in the companies where they worked. This study analyzed the data using the triangulation method through documentation, interviews and direct observation in the field with case studies. The results of the study explain that several digital HRM practices have been carried out in several companies, but other practical activities have not been carried out optimally. This is because the support from the system and the digitization of business processes that are included in HR practices are not yet optimal. However, the company realizes that DHRM is able to improve business performance in a sustainable manner. © 2023, The Author(s), under exclusive license to Springer Nature Switzerland AG.