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Purpose This study developed and tested an integrated moderated mediation model that investigates the impact of digital human resource management (HRM) system capabilities, governance mechanisms and sustainability-oriented HRM on strategic HRM effectiveness. Design/methodology/approach A quantitative and explanatory research design was adopted using survey data from 493 valid responses from executive managers, HR managers, line managers and HR specialists in medium- to large-sized organisations. Structural equation modelling approach using Smart-PLS 4.0 and an artificial neural network approach were used to analyse linear and non-linear relationships. Findings Digital HRM capabilities, governance mechanisms and sustainability-oriented HRM have a significant impact on HR analytics usage and strategic HRM effectiveness. HR analytics usage was confirmed as a partial mediator. Meanwhile, an organisational culture that supports digital transformation promotes both direct and indirect relationships, ensuring solid support for the moderated mediation hypotheses. Practical implications The findings reveal the need for HR leaders and policymakers to invest in data analytics-based HRM systems, integrate governance and sustainability into HRM functions and reinforce their organisational culture to support strategic HRM effectiveness. Originality/value This study blends three main theories, namely resource-based view, corporate governance theory and socio-technical systems theory, to provide a theoretical discourse on how governance-based digital HRM transformation improves organisational innovation, accountability and sustainability.
Mo'men Hani Mahmoud (Tue,) studied this question.