Abstract Human Resource Management (HRM) has undergone a paradigm shift, transitioning from traditional personnel administration to becoming a core strategic partner in organizational success. This research paper examines how modern companies integrate digital transformation, Artificial Intelligence (AI), and employee-centric models into their daily operations. By analyzing recent practices like skills-based hiring and hybrid work models, the study evaluates their impact on productivity and the challenges of maintaining engagement in a digital era. It concludes that progressive HRM practices are essential for long-term sustainability, talent retention, and fostering an inclusive corporate culture. The modern organizational landscape of 2026 demands a radical departure from the bureaucratic roots of personnel management. Human Resource Management (HRM) has successfully transitioned into a strategic lever, essential for navigating the complexities of global market shifts and technological disruption. This research paper investigates the integration of digital transformation and Artificial Intelligence (AI) as tools for operational excellence, while simultaneously emphasizing the necessity of employee-centric models. By evaluating recent practices such as skills-based hiring and the institutionalization of hybrid work, the study explores their direct correlation with organizational productivity. Furthermore, it addresses the "belonging deficit" that has emerged in the digital era, highlighting the critical balance between automated efficiency and human empathy. The findings suggest that for an organization to achieve long-term sustainability and talent retention, it must move beyond transactional interactions to foster an inclusive, progressive corporate culture that prioritizes professional growth and mental well-being.
Gasti et al. (Sat,) studied this question.
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