Algorithmic Human Resource Management: Characteristics, Possibilities and Challenges
Algorithmic Human Resource Management: Characteristics, Possibilities and Challenges

Author(s): Goran Pavlović
Subject(s): Human Resources in Economy, Socio-Economic Research
Published by: Udruženje ekonomista i menadžera Balkana
Keywords: Algorithmic human resource management; Artificial intelligence; Machine learning; Algorithm; HR Development
Summary/Abstract: In the field of human resources, algorithmic management refers to the utilization of digital technology, artificial intelligence, and big data to develop rules and procedures that enable the automated management of human resources. Algorithmic human resource management can potentially replace human resource managers in all stages and activities of staffing, thereby significantly expediting the management process and enhancing cost-effectiveness. Through the use of artificial intelligence, algorithms develop patterns and models from which they can autonomously learn and improve the quality of decision-making in employee management. However, relying exclusively on algorithmic human resource management can lead to the emer-gence of discriminatory management practices, particularly when the algorithms are based on unrepresentative or biased data. Considering these factors, this paper aims to examine the fundamental characteristics, principles, application possibilities, and challenges of algorithmic human resource management.

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