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    STUDY OF THE IMPACT OF ARTIFICIAL INTELLIGENCE IN HUMAN RESOURCE MANAGEMENT PRACTICES ON ORGANIZATIONAL PERFORMANCE: EVIDENCE FROM WORKING EMPLOYEES IN SRI LANKAN MANUFACTURING FIRMS
    (Department of Human Resource Management, Faculty of Commerce and Management Studies, University of Kelaniya, Sri Lanka., 2025) Rahunath, N.; De Alwis, A.C.
    This study examines the impact of artificial intelligence (AI) on human resource management (HRM) practices and its influence on organizational performance in Sri Lankan manufacturing firms. The study highlights how technological advancements, particularly AI and robotics, are redefining HRM frameworks and reshaping workplace dynamics.A cross-sectional quantitative research design was employed, with data collected from working employees in Sri Lankan manufacturing firms through a structured questionnaire. A random sampling technique was used to ensure representative participation. The collected data were analyzed using statistical methods, including correlation and regression analyses, to evaluate the relationships among AI adoption in HRM, employee performance, and organizational performance.Findings indicate a significant positive impact of AI-driven HRM practices on both employee and organizational performance. AI applications in HRM—such as automated recruitment, workforce analytics, personalized training, and performance monitoring—enhance operational efficiency, employee engagement, and managerial decision-making. The study also confirms that AI contributes to employee satisfaction by streamlining HR processes and improving workplace experiences.The research concludes that AI is a strategic enabler of HRM transformation, offering competitive advantages to manufacturing firms. Organizations must adopt and develop AI-driven HRM strategies to maximize workforce efficiency, optimize talent management, and sustain long-term performance improvements.From a practical perspective, the findings offer insights for business leaders, HR professionals, and policymakers on integrating AI into HRM frameworks to enhance organizational success. However, the study is limited to manufacturing firms in Sri Lanka, restricting its generalizability to other industries and global contexts. Future research could extend the study to diverse sectors and employ longitudinal methodologies to assess the long-term impact of AI-driven HRM on organizational performance.