Use of 4.0 (I4.

0) technology in HRM:
a pathway toward SHRM 4.0 and HR
performance
Rajasshrie Pillai, Shilpi Yadav, Brijesh Sivathanu, Neeraj Kaushik and Pooja Goel

Rajasshrie Pillai is based at Abstract

the Department of Purpose – This paper aims to investigate the use of Industry 4.0 (I4.0) technology and its barriers in
Management, Pune human resourcemanagement (HRM) for Smart HR 4.0 and its impact on HR performance.
Institute of Business Design/methodology/approach – The research has been conducted using the grounded theory
Management, Pune, India. approach. Semi-structured interviews were conducted with 122 senior HR officers of national and multi-
Shilpi Yadav is based at the national companies in India after the extensive literature review. NVivo 8.0 software was used for the
analysis of the interview data.
Pune Institute of Business
Findings – I4.0 technology is used for HRM functions by HR professionals. It is revealed that Smart HR
Management, Pune, India.
4.0 that emerged from the I4.0 technology has leveraged the HR performance. It is also found that usage
Brijesh Sivathanu is based
barriers, traditional barriers and risk barriers affect the use of I4.0 technology in HRM.
at the Department of
Originality/value – A model is developed using the grounded theory approach for HR managers to
Management, Sri Balaji understand the impact of I4.0 on HRM. This study reveals the barriers affecting the use of I4.0 technology
University, Pune, Pune, in HRM. It also provides the model for HR performance that emerged through the use of I4.0 technology in
India. Neeraj Kaushik is HR and Smart HR 4.0. The research delivered key insights for the HR professionals, marketers of HR
based at the National technology and technology developers.
Institute of Technology Keywords Barriers, Grounded theory, Industry 4.0 technology, Smart HR 4.0, HR performance
Kurukshetra, Kurukshetra, Paper type Research paper
India. Pooja Goel is based
at Shaheed Bhagat Singh
College, New Delhi, India. Introduction
Ever since the beginning of industrialization, technology has witnessed the paradigm shift
which has bought the industrial revolutions (Lasi et al., 2014). The Fourth Industrial
Revolution blurs the lines between people and technology, merging the physical, digital and
biological spheres. Hence, organizations worldwide are polarizing toward the
transformation and adoption of the advanced technologies of Industry 4.0 (hereafter simply
I4.0). The fundamental technology of I4.0 is smart factory, cyber-physical system (CPS),
smart robots and chatbots, big data, artificial intelligence (AI), internet of things (IoT),
blockchain and cloud computing (Agostini and Filippini, 2019; Ghobakhloo, 2020; King,
2016; Oztemel and Gursev, 2020; Zhu, 2020). Organizations today are making supreme
efforts to harness advanced technologies to develop new and efficient processes, products
and services by blending the physical and digital realms of the world. There has been a
significant impact with the adoption of the technologies of I4.0, providing the business
function support, realigning and redefining the business models and finding new ways of
working (Dirican, 2015; Rana, 2019; Rao and Prasad, 2018). Also, I4.0 has impacted the
various human resource (HR) functions in organizations (Imperatori et al., 2020; Vrchota
et al., 2020). I4.0 technology is automating the different functions of HR such as recruitment,
Received 28 June 2021
Revised 9 October 2021
training, performance management and saving the cost of HR operation functions as well as
Accepted 25 October 2021 eliminating repetitive tasks of human resource management (HRM) (Ahmad et al., 2020;

PAGE 708 j FORESIGHT j VOL. 24 NO. 6 2022, pp. 708-727, © Emerald Publishing Limited, ISSN 1463-6689 DOI 10.1108/FS-06-2021-0128
Hassan Onik et al., 2018; Rana and Sharma, 2019a; Ras et al., 2017; Wan and Roshidi,
2019). Using I4.0 technologies such as robots, chatbots, AI, IoT and cloud-based services
enables better HR data outcomes and decision-making (Dwivedi et al., 2019; Imperatori
et al., 2020; Nagy et al., 2018; Pillai and Sivathanu, 2021). The I4.0 technology used for HR
management supports HR managers to be more analytical and responsive by getting real-
time data of employees and enables HR to drive HR function strategically (Hecklau et al.,
2016; Rana and Sharma, 2019a; Taslim Ahammad, 2017). HR managers are trying
extensively to use I4.0 technology to improve HR performance (Rana and Sharma, 2019a;
Sivathanu, 2020). Smart HR 4.0 has emerged from I4.0 by integrating innovative digital
technologies such as AI, robotics, big data analytics and IoT with the HR functions (Hecklau
et al., 2017) and networks such as 4G/5G for the data which, can be moved faster to
manage the workforce of the modern organization (Puhovichova and Jankelova, 2020;
Sivathanu and Pillai, 2018).
HR managers’ responsibility has increased because of the emergence of I4.0 technology
and it has become imperative to align the technology with the HR functions to achieve HR
and organizational performance. HR needs to adopt these technologies and work
strategically to develop Smart HR 4.0 for achieving organizational goals (Rana and Sharma,
2019a; World Economic Forum, 2019). I4.0 is also a burgeoning topic for researchers. The
academic contributions in the literature have dramatically increased in the past few years.
While the existing contributions offer valuable insights, they primarily focus on studying the
complex nature of I4.0 and the technical and manufacturing aspects. The limited
management literature reveals that organizations struggle and face several managerial
challenges (Cimini et al., 2020; Hoyer et al., 2020; Liboni et al., 2019; Schneider, 2018) in
the transition process and sometimes even hesitate to adopt and implement I4.0 (Horva th
and Szabo , 2019). This makes it necessary to study the use of I4.0 technology and its
barriers for Smart HR 4.0 to achieve HR and organizational performance. Thus, the research
question is formed as below:
RQ. How does the use of I4.0 contribute to Smart HR 4.0 and HR performance?
The research question is answered by an extensive literature review and a qualitative survey
of HR managers. This work highlights the use of I4.0 technology toward Smart HR 4.0 and
HR performance. In addition, this work contributes to the literature of I4.0 technology used
for HRM and furnishes insights for HR managers, marketers, developers and designers of
I4.0 technology used for HRM.
The manuscript is arranged with sections as the introduction, literature review, grounded
theory, theoretical sampling, data analysis, results, implications and conclusion and future
scope of research.

Literature review
Use of industry 4.0 technology in human resource management
The use of I4.0 technology depends entirely on the choice of the scale of its use (Parham,
2012). I4.0 technology has a significant impact on HRM. The different technologies in I4.0
have impacted HRM (Bulte, 2018; Girisha, 2020; World Economic Forum, 2019). I4.0
technology and its use in HRM functions are discussed as below:
Artificial intelligence. AI in HRM saves costs, especially in recruitment by 70% and has
provided a platform that builds a better relationship between an employer and an applicant
(Samarasinghe and Medis, 2020). AI is discussed as a concept described as “systems that
mimic cognitive functions generally associated with human attributes such as learning,
speech and problem solving” (Dwivedi et al., 2019 p. 2). HR professionals are using AI in
organizations for measuring the performance of an employee, matching the job profile with
the candidate (Tambe et al., 2019), free flow of automatic communication (Williams et al.,

VOL. 24 NO. 6 2022 j FORESIGHT j PAGE 709

 2018), giving feedback to the candidates, managing the workforce of the employees and
increasing the employee engagement (Hughes et al., 2019).
AI is used for talent acquisition with predictive tools like recruitment advertisement, which is
programmed and the algorithms find the most suitable candidate (Allen et al., 2007;
Schweyer, 2018). Various AI-enabled application tracking systems, such as Ideal Software,
Textio and Teamable, respectively, are used to pre-screen resumes while recruiting the
employees, evaluating the job descriptions of the various jobs and rewarding the employees for
the referrals made by them (The Hire Team, 2019). Interview scheduling and answering the
online applicant questions are done by the AI-enabled chatbots such as Amy and Jobpal (The
Hire Team, 2019). AI-enabled online interview mode can assess the candidates’ answers and
behavior, which helps to find a suitable match (Schweyer, 2018). AI has emerged with great
advantage and it facilitates the onboarding process (Tambe et al., 2019), which can be
customized as per the job role or requirement. HR professionals of organizations like Dell and
Marriot have facilitated the onboarding of the employees by using virtual reality (VR) tools (Bahl,
2020). HR professionals are using AI-enabled robots such as International Business Machines
Corporation (IBM) Watson candidate assistance to analyze their skills and personality
(Cmielowski and Rafal, 2020).
The onboarding process and human resource support are performed using AI-based
chatbots (Pillai and Sivathanu, 2020; The Hire Team, 2019). Chatbot-enabled surveys also
provide the patterns of the engagement level of the employees (Hughes et al., 2019). IBM
has developed AI engagement initiatives that do the sentiment analysis to know the
employee morale level (Schweyer, 2018). AI-based tools such as E-Modules/courses,
Digital avenues, Bots (McCarthy et al., 2019; Williams et al., 2018) can conduct training
programs that include planning, organizing and evaluating (Tambe et al., 2019) the training
programs in an organization. AI has made it possible to focus on the learning experience
through critical thinking and designing (Rana, 2019), which is personalized for each
employee with the help of the Intelligent Tutoring System (Schweyer, 2018). An app like
“clink” has been created using natural language processing and AI algorithms which have
been used by organizations like Klynveld Peat Marwick and Goerdeler (KPMG) for virtual
employee performance feedback (Pant, 2020). To track the key performance indicators of
the employees, AI-enabled tools like Watson Open Scale Application Monitor are used by
HR professionals (Cmielowski and Rafal, 2020). The future turnover rates in an organization
can also be predicted by using AI (Tambe et al., 2019). AI is transforming most of the
functions of HRM and contributing toward the efficiency of HRM.
Robots and robotic process automation. RPA, which is Robotic Process Automation, is a
unique way to replace an HR manager’s manual and repetitive work through technology like
a bot or a robot (Samarasinghe and Medis, 2020). Robotics Process Automation assists the
HR managers/professionals in various HR functions. Recruitment has been done using AI-
powered robots recruiter like VCV (Sen, 2020). HR professionals are using UiPath Robot for
payroll management (Ramalingegowda, 2019). Leave management and employee data
management have been performed by the RPA bots (Ramalingegowda, 2019). HR is
verifying the employment letter generation by robotic process service – People Doc
(PeopleDoc, 2019). HR operations are derived with the usage of RPA Software – RPA
Deloitte (Michelmore, 2020).
Virtual reality, augmented reality and gamification. VR is “A computer-generated,
immersive, multi-sensory information program which tracks a user in real-time” (Burdea and
Coiffet, 2003 p. 5). VR has a significant contribution to the training and development of
employees. Companies like McDonald’s have trained their employees by giving them the
tasks and converting the entire environment into a virtual game. Scores were given to
employees where they have also made mistakes but ultimately learned from them and
ended with the feedback. This practice increased the revenue of the company (Saha and
Pandita, 2017). VR is also used for sourcing candidates using tools like Talla (2020). The

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screening and selection of the candidates can be made by the use of computing eyewear
by google glasses (Wordstream, 2020). HR professionals are also using augmented reality
headsets, enabling employees to access the training manuals (Biro, 2016).
Gamification is about applying the game in a non-game context (Armstrong and Landers,
2018; Simpson and Jenkins, 2015). For example, hotels such as Marriot International have
come up with the “My Marriott Hotel” virtual game, which provides the virtual experience of
the hotel, kitchen, ingredients that helps to find the best fit for the required job profile (Saha
and Pandita, 2017). In addition, HR professionals have used VR in performance
management, which is gamified performance management. It focuses on short and fast
feedback (Ahmed and Sutton, 2017).
Internet of things. IoT means the communication of objects or things with people, the
internet or other devices that are connected with the sensors (Ahmad et al., 2020; Bauk
et al., 2018). For example, IoT helps HR managers measure and track the employees’
performance, health and wellness with smart devices such as laptops, phones and
wearable devices enabled by the sensors. In addition, various wearable wristbands have
IoT sensors to collect and share employee-related data (Biro, 2016).
Cloud computing. HR professionals in various HR functions have used cloud computing
technology with the help of various tools like Software as a Service, Infrastructure as a
Service, Platform as a service (Ahmad et al., 2020). Cloud computing provides a centralized
system that integrates all internal and external systems (Munsamy and Telukdarie, 2019).
For example, “Google for Jobs” is a cloud-based job application programming interface
(API) to search the jobs nearby in nearby locations (Biro, 2016). The detailed
documentation of the employees is facilitated by tools like Oracle HCM Cloud (Mackenzie,
2020). Payroll processing is also automated using cloud-based tools such as Kronos
Workforce Ready (Mackenzie, 2020).
Human resource analytics. HR analytics has changed the way HR managers function as it
simplifies the HR data process and predictions and prevents issues such as manpower
attrition (Munsamy and Telukdarie, 2019). Big data analytics or HR analytics is used in
various functions of HR. Data visualization is performed by HR professionals using tools
such as Qlik and Tableau (Sen, 2020). There is a wide usage of HR analytics in
organizations to prepare reports and dashboards using tools – Tablue and Power Business
Intelligence (BI) (Sen, 2020). The HR data visualization helps to understand the current
scenario of HR functions and take future decisions (Pillai and Sivathanu, 2020). It is
imperative for HR professionals to predict employee turnover and to take measures to
prevent it; predicting turnover can be done by using R/Python tools by HR (Sen, 2020).
Predictive analytics has helped to use the statistical model, which can be used to evaluate
the employees’ behavior, traits and intentions, which can be used to forecast the turnover of
the employees (Schweyer, 2018).
Cyber-physical system. CPSs integrate IoT and AI, bringing reliability and efficiency to the
HR processes (Ghobakhloo, 2020). It creates a virtual representation of the physical object
(Guzman et al., 2020). CPSs help to model and access employee activities (Munsamy and
Telukdarie, 2019). CPS is integrated with sensors and robots to get real-time data of the
employees (Imperatori et al., 2020) (Table 1).

Barriers to industry 4.0 technology

I4.0 is featured with advanced and innovative technologies such as AI, Robots and
Chatbots. This is an innovative technology and acceptance of innovation is a challenge in
organizations (Chauhan et al., 2020; Kamble et al., 2018; Stentoft et al., 2021). Many
organizations develop innovative technology that is consumer-centric. However, companies
still face the failures of acceptance of innovative technologies (Danneels, 2003; Moore,
2002). Ram (1987) mentions that resistance and adoption of innovation possibly co-exist.

VOL. 24 NO. 6 2022 j FORESIGHT j PAGE 711

 Table 1 I4.0 technology in HR functions
Technology HR functions Specific technology used Reference

Artificial intelligence (AI) Analyzing skills and personalities IBM Watson candidate assistant (Cmielowski and Rafal, 2020)
Human resource support Chatbots (Pillai and Sivathanu, 2020)
Onboarding process Chatbots
To track key performance indicator Watson open scale application (Cmielowski and Rafal, 2020)
monitor
Pre-screen resumes Ideal software (ATS) (Meister, 2019)
Evaluate job description Textio (ATS) (Bersin, 2018; The Hire Team,
Reward referrals Teamable (ATS) 2019)
Interview scheduling My ally (Alex)
Answer online applicant questions Jobpal
Scheduling meetings Amy
Virtual augmented reality Scheduling meeting X AI Amy (Virtual PA) (Rao, 2017)
(VR) Source job candidates (augment HR Talla (chatbot) (Talla, 2020)
processes)
Screening and selection of candidates Google glasses (computing (Wordstream, 2020)
eyewear)
Training (manuals) AR headsets (Kroc, 2017)
Engaging virtual campus tours InstaVR (Bersin, 2018; InstaVR, 2020)
Onboarding VR (Gear VR/Google daydream)
Recruitment screening VR (gamification) (Osborne, 2020)
Recruitment AR (google cardboard) (Chirandeep, 2020)
Capability assessment VR
Internet of things (IoT) Collection of data from various sources Sensors (Biro, 2016)
Real-time behavior analysis Google glasses (computing
eyewear)
Collection and sharing of employee data Wearable wristband (IoT sensors)
Screening and selection of candidates Google glasses (computing
eyewear)
Workforce vitality Wearable fitness bands (SHRM India, 2018)
Tracking employee location and stress Sociometric badges
levels
Training (manuals) AR headsets (Biro, 2016)
Cloud computing Search nearby jobs Google for jobs (cloud job API) (Singh, 2020)
Employee attendance management SmHRty Chatbot (pocket HRMS)
Onboarding Ultipro (Mackenzie, 2020)
Post jobs on social networks ADP workforce now
Training Trinet
Detailed documentation Oracle HCM cloud
Payroll processing Kronos workforce ready
Payroll UiPath robot
Autonomous robots Leave management RPA (Vendor-Blueprism) (Ramalingegowda, 2019)
Employee data management Task bots (vendor-automation
anywhere)
Reporting RPA bots (vendor-Blueprism)
Verification of employment letter People doc (RPS) (PeopleDoc, 2019)
generation
HR operations Robots (RPA Deloitte software) (Michelmore, 2020)
Recruiting VCV (AI-powered robot recruiter) (Sen, 2020)
Big data analytics HR data visualization Qlik and Tableau (Pillai and Sivathanu, 2020; Sen,
Report preparation/dashboards Power BI 2020)
HR data analyzing SAS
Workforce data aggregation Visier
Predicting turnover R/Python

The end-users resist the innovation because of changes in the present satisfactory state or
difference from their innovation idea (Ram and Sheth, 1989). Innovation resistance is
resisting the innovation itself or not accepting the innovation. Innovation resistance theory is
developed from the innovation diffusion theory (Rogers, 2003). There are two types of

PAGE 712 j FORESIGHT j VOL. 24 NO. 6 2022

resistance to innovation – functional and psychological innovation. These factors are further
divided into image barriers, risk barriers, traditional barriers, usage barriers and value
barriers (Ram and Sheth, 1989).
HR managers and employees use I4.0 related to HRM. There is resistance to the new
innovative technologies in any organization. The HR managers and executives are
accustomed to traditional HR practices; hence, there is resistance (Pillai and Sivathanu,
2020). The usage of technology is again a barrier to HR executives. HR managers are also
worried about the confidential HR data processed with I4.0 technology (Chauhan et al.,
2020; Kamble et al., 2018; Longo et al., 2017; Pillai and Sivathanu, 2020; Stentoft et al.,
2021; Tortorella et al., 2018).

Smart human resource 4.0

Smart HR 4.0 has emerged from the use of I4.0 technology for HRM. Smart HR 4.0 is
discussed as the use of various innovative technologies by HR managers to recruit,
onboard, train and develop the talent in an organization (Sivathanu and Pillai, 2018). Smart
HR 4.0 must have the smartness to absorb the emerging skills and competencies to
manage the millennials in the modern workforce (Liboni et al., 2019; Quest, 2019; Ustundag
and Cevikcan, 2018). Smart HR 4.0 means the usage of digital technology such as AI, big
data analytics, blockchain, robotics, IoT and various automated technologies of I4.0 for
managing next-generation human resources (Hecklau et al., 2016). Smart HR can be
achieved by showing empathy toward the employees for their problems or requirements
and giving the best possible solutions (Burmeister et al., 2016). Smart HR can drive the
organization effectively and efficiently by becoming technologically astute as it enhances
the process of engaging the talent in the organization by using the technology. Smart HR
4.0 using various tools of I4.0 technology for HR functions, which has helped increase the
organization’s productivity (Rabl et al., 2012).
For instance, Smart HR 4.0 uses AI-enabled training and development tools to identify and
analyze the employees’ skills gaps and provide the training based on the gap identified. AI-
enabled tools are used to provide feedback continuously related to training that can be
accessed from anywhere, enhancing the employees’ skills (Quest, 2019). Smart HR 4.0 is
also using various AI-enabled tools for the goal-setting of the employees. Use of IoT-
enabled wearable devices by Smart HR 4.0 measures the wellness of the employees. Smart
HR 4.0 has implemented a system of performance evaluation based on the development of
the employees. It evaluates the employees based on the behavioral traits either working
individually or in the group and gives feedback for the performance (Puhovichova and
Jankelova, 2020). This will help HR retain the high performers and identify the low
performers based on the training evaluation given each year. Smart HR 4.0 can use
customized programs to improve the performance of the employees. Smart HR 4.0 uses
people analytics to prevent unwanted attrition in an organization and take necessary actions to
retain the talent. The points mentioned above are led by Smart HR 4.0, which improves the
performance of the employees and the organization as a whole (Sivathanu and Pillai, 2018b).

Human resource performance

Smart HR 4.0 has impacted HR performance with the use of the new processes through
digitization and use of technology for the HR processes in an organization; it includes E-
Recruitment, E-selection, E-training and Development (Girisha, 2020). Smart HR 4.0 uses various
technologies for the HR processes, reducing the time for conducting onboarding, induction and
training (Puhovichova and Jankelova, 2020). AI tools like IBM Watson is used for the selection of
suitable candidates (Matsa, 2019). Smart HR 4.0 has led to the use of technology-based
gamification, which helps HR Professionals ensure employees’ learning at the workplace. It has
fastened the process of learning and development of the employees. HR can focus more on the

VOL. 24 NO. 6 2022 j FORESIGHT j PAGE 713

 strategic roles than the administrative roles because of Smart HR 4.0 (Pillai and Sivathanu, 2020;
Sivathanu and Pillai, 2018b). HR Professionals are driving their activities using Chatbots and
these technologies perform manual or menial work for HR executives (Rana, 2019), which has
eliminated redundant paper-related work (Matsa, 2019). AI is also used in scanning resumes and
eliminating non-qualified resumes in the process of recruitment which cuts the manager bias and
improves the efficiency of the recruitment function (Matsa, 2019; Wan and Roshidi, 2019). It is
also used to predict employee turnover by analyzing past data, patterns and trends in an
organization by using AI tools. This has helped HR professionals retain their talent in the
organization (McCarthy et al., 2019). Smart HR 4.0 driven organizations have flattened their
hierarchy which has helped HR to improve their accuracy and performance (Puhovichova and
Jankelova, 2020). Smart HR 4.0 has led HR to evaluate employee performance using AI, which
helps give feedback to the employees for their performance (Ras et al., 2017). Smart HR 4.0 uses
HR analytics to reduce attrition in an organization as many costs are incurred for acquiring and
developing talent. Hence, Smart HR 4.0 saves the cost by preventing the unwanted attrition of the
talent. Using the IoT-enabled wearable device helps HR professionals detect and track
employee-related information even at a distant place by recording personal information. It has
helped HR to solve their work-related problems in the organizations. Overall, Smart HR4.0
leverages cost reduction, improves efficiency, on-time performance tracking and helps predict
and achieve HR’s performance.

Research methodology
Grounded theory approach
In social science research, the grounded theory approach suggests new theory
development (Glaser and Strauss, 1967). The researcher can investigate the research topic
from various viewpoints and explore the meaning of underlying actions and beliefs using
the grounded theory perspective (Strauss and Corbin, 1994). The data collection done in
this approach is through interviews, reported incidents, observation activities and
observations wherein the generation of new theory can be derived (Corbin and Strauss,
1990). In this approach, the researcher is free to choose the sample respondent and data
collection method wherein the new phenomena can be conceptually labeled and
described. Collection of data is a continual process till the time saturation of data is occurs.
The constant comparison method is used for data analysis (Gorden, 1998). Analysis of the
data collected is done and segregated into various themes to generate the main theme
comparison of data.

Theoretical sampling
Theoretical sampling in qualitative research means the procedure of sampling populations
and making comparisons between the responses of samples for generating theory (Allan,
2003; Butler et al., 2018). Theoretical sampling is defined as “a process of collecting data to
further explore concepts that have developed during prior analysis” (Butler et al., 2018). In
theoretical sampling, collection of the data, coding and analysis of data is performed to
examine properties and concepts which are emergent from the data (Strauss and Corbin,
1994). While the collection of the data, the sampling process is considered to be completed
when saturation of data (theoretical saturation) occurs, which reveals that there is no
information, properties and concepts are developed or emerging (Glaser and Strauss,
1967).
In consideration of the objectives of this work, a semi-structured questionnaire was
developed. The pre-test was done by interviewing the six subject matter experts of multi-
national companies in India where advanced technology is extensively used for HRM and
these experts were chief people officers and chief HR officers of the companies. These
subject matter experts provided their viewpoints and suggestions related to this

PAGE 714 j FORESIGHT j VOL. 24 NO. 6 2022

questionnaire. The questionnaire was then finalized by incorporating these suggestions and
it confirms the questionnaire’s face validity.
The data collection processes started with purposive sampling of HR managers. The HR
managers from various international and national organizations were interviewed where
some type of I4.0 technology is used for HRM. Authors ensured that selected organizations
have the usage of advanced technology for HRM. These respondents (HR managers) were
apt for this study as they were involved in decision-making related to I4.0 technology.
Recording of interviews with HR managers was done with prior permission and
confidentiality of identity and anonymity of responses were ensured. The interviews were
conducted on video conference, meeting the HR managers personally and recorded on
smartphones and laptops. The respondent (HR managers) worked in senior positions in
companies; hence, they were confident in front of the camera as they were used to such
recordings.
When the grounded theory approach is used, the questionnaire is developed using
literature and subject matter experts’ reviews. In general, questions start with whom, how
what and which (Strauss and Corbin, 1994).
䊏 The questionnaire includes the below questions:
䊏 What are the various I4.0 technologies you are using for HRM?
䊏 What are the functions in HR wherein I4.0 technologies are used?
䊏 What are the various barriers to I4.0 technology usage for HR functions?
䊏 Does adopting I4.0 technology lead to Smart HR 4.0?
䊏 What is your viewpoint on Smart HR 4.0?
䊏 How do Smart HR 4.0 practices contribute to HR performance?
Finally, There were 122 respondents and for qualitative studies, it is an appropriate sample
size (Marshall et al., 2013). The process of data collection was carried out over 10 months.
The authors stopped the data collection process at 122 interviews because of theoretical
saturation (Saunders and Townsend, 2016). The profile of the participants is depicted in
Table 2. The data was analyzed and themes emerged are provided and consequently, a
theoretical framework is proposed.

Table 2 Respondents profile

Demographic Details Respondents (122) (%)

Designation/position Chief HR officer 68 55

Chief people officer 8 6
Director HR 23 19
Head HR 12 10
HR business partner (senior executive) 11 10
Gender Female 53 43
Male 69 57
Industry Banking and Financial services industry (BFSI) 29 24
Information technology enabled services (ITeS) 19 16
Information Technology (IT) 27 22
E-commerce 16 13
Fast moving consumer goods (FMCG) 31 25
Work experience 10–20 yrs 49 40
20–30 yrs 56 46
30 yrs. and above 17 14

VOL. 24 NO. 6 2022 j FORESIGHT j PAGE 715

 Data analysis
The process of two-step coding is considered for this work wherein codes are generated
inductively from the interview data and then subsequently consent provided by the authors
and subject matter experts. Authors can use a letter, color, number or anything as per their
convenience (Gorden, 1998) to summarize the data by deciding the particular code
category. The coding process is extensively acknowledged for “meaning condensation”
(Lee and Lee, 1999, p. 89).
The coding method in this work is as follows – at first, the interview recording was listened to
carefully and written down into words and every author was part of the coding process. The
data transcription is performed in sets as 75 min was required for each interview
transcription. At one time, 2 to 3 interviews were transcribed and analyzed and it was done
instantly after data collection. To confirm inter-rater reliability, each author’s role of coder
and non-coder were done alternatively during the whole data analysis process. To define
the final code, the coder author defined, compared and discussed it independently. The
non-coder author did the record-keeping and judgment of the coding. As and when
required, clarification was sought on the passage of text coded in case of a difference of
opinion on the code. Judging of the code was done alternatively by each author. The
subject matter experts were also consulted to ensure the validity of coding during the
process of analysis of data. Analysis of data was also done using NVivo 8.0 software to
perform text search and count the instances as well as perform coding and study the code
intersections. The coding process was concluded because of theoretical saturation
(Saunders and Townsend, 2016) after 122 interviews.

Findings and results

The purpose of collecting the qualitative data from the interviews was to scrutinize the data
concerning the HR professionals and how they are leveraging the I4.0 technology to
increase the HR performance with its usage. In total, 204 quotes emerged out of the
interview analysis. There are four main themes further pulled out from the final coding. A few
sub-themes from each of the main themes were attained after the data analysis wherein the
subject matters experts and different authors have also agreed upon as shown in the
analysis in Table 3.
The data analysis provided the various themes and sub-themes that directed the authors to
develop the model with the present data analysis outcome and the current literature. The
first theme that emerged is the use of I4.0 technology in HRM with sub-themes, namely, 1.1]
AI and chatbots are extensively used for recruitment and selection (91.80%) and 22% of
overall quotes fall in this category 1.2 Use of I4.0 technology for training employees at work
(80.32%) 1.3] Big data analytics is used in understanding various HR trends and predict HR
metrics such as attrition, offer decline and quality of hire (83.60%) 1.4] AI and IoT
technology are extensively used for performance management (81.14%) 1.5] Use of I4.0
technology is leveraging Smart HR 4.0 (85.24%) and 18% of the overall quotes mentions the
same. Hence, it divulged that HR professionals are using the I4.0 technology for HR
management and it is extensively used for recruitment and selection purposes. The
interview statements customarily mentioned were:
"I4.0 technology has changed the way the HR department works. I4.0 technology such as
AI and Chatbots are extensively used for recruitment. AR, VR and Mobile learning
applications are also utilized to ensure ubiquitous training of our employees. Big data
analytics is also utilized for understanding various HR performance metrics as well as
developing predictive models for attrition and quality of hire. I4.0 technology usage
leverages the Smart HR 4.0.’’
Though I4.0 technology is a catalyst for driving HR functions, there are some barriers which
HR managers pointed out during the interviews. Barriers to the usage of the I4.0 technology

PAGE 716 j FORESIGHT j VOL. 24 NO. 6 2022

 Table 3 Classification of the themes and sub-themes
No. of respondents % (overall)
Sr. no. Quotes falling into each theme and sub-themes (n = 122) (%) (respondents) n = 204

1 Use of I4.0 technology for HR 4.0

1.1 AI and Chatbots are extensively used for 112 91.80 22
recruitment and selection
1.2 Use of I4.0 technology for training employees at 98 80.32
work
1.3 Big data analytics is used in understanding 102 83.60
various HR trends and predict HR metrics such
as attrition, offer decline and quality of hire
1.4 AI and IoT technology are extensively used for 99 81.14
performance management
1.5 The use of I4.0 technology is leveraging Smart 104 85.24 18
HR 4.0 by optimizing the HR processes
2 Barriers to I4.0 technology
2.1 Difficulty in the usage of I4.0 technology for 94 77.04
HRM as it is new (Use Barrier)
2.2 It is not so convenient to use I4.0 for HRM as it is 97 79.50
advanced technology (Use Barrier)
2.3 I4.0 technology is good; however, traditional HR 101 82.78 19
methods are better (traditional barrier)
2.4 Old processes and policies of HRM are more 89 72.95
reliable than I4.0 (traditional barrier)
2.5 I feel that using I4.0 technology would be risky 91 74.59
as large employee data is at risk (risk barrier)
2.6 There may be mistakes by the programmers or 93 76.22
developers and HR data would be at risk (risk
barrier)
3 Smart HR 4.0
3.1 I4.0 technology has directed the emergence of 112 91.80
Smart HR 4.0 because of its fast and accurate
pace
3.2 Smart HR 4.0 is leveraged by advanced 109 89.34
technologies used for various functions of HR
3.3 Smart HR 4.0 is leveraging advanced 95 77.86
technology to make HR leaner and productive
3.4 Smart HR 4.0 is using technology to effectively 106 86.88
manage HR function and new generation
workforce
3.5 Smart HR 4.0 is driving HR performance by 110 90.16 21
optimizing the process and reducing errors
4 HR performance
4.1 Smart HR 4.0 using I4.0 technology is improving 108 88.52
HR performance
4.2 Smart HR 4.0 helps to engage and retain talent 92 75.40
with the prediction of turnover, improving HR
performance
4.3 I4.0 technology can perform the menial and 102 83.60 20
repetitive work and HR can perform the strategic
role, improving HR performance

for HRM emerged as the second theme which includes sub-themes, namely, 2.1 Difficulty in
the usage of the I4.0 technology for HRM (use barrier) (77.04%) 2.2 It is not so convenient to
use I4.0 for HRM (use barrier) (79.50%) 2.3 I4.0 technology is good; however, traditional HR
methods are better (traditional barrier) (82.78%) and overall 19% quotes are under this sub-
theme 2.4 Traditional methods of HRM are more reliable than I4.0 (traditional barrier)
(72.95%) 2.5] I feel that using I4.0 technology would be risky as large employee data is at

VOL. 24 NO. 6 2022 j FORESIGHT j PAGE 717

 risk (risk barrier) (74.59%) 2.6 There may be mistakes by programmers or software
developers and HR data would be at risk (risk barrier) (76.22%).
"I4.0 technology for HRM is good; however, there are issues which we face in using the
technology as it’s sometimes sophisticated and difficult to use. In addition, we are accustomed
to traditional methods of HR functions which we feel are more reliable than the I4.0 technology.
Also, we are at times anxious that there would be an error by the programmers, which would
provide wrong results related to data outcome. Also, since this HR data is huge at times, so it’s
risky to process the data; therefore, the HR Data might get hampered due to I4.0 technology.’’
Smart HR 4.0 was the second theme which sprung up with five sub-themes, namely, 3.1]
I4.0 technology has led to the emergence of Smart HR 4.0 (91.80%) 3.2 Smart HR 4.0 is
leveraged by advanced technologies used for various functions of HR (89.34%) 3.3 Smart
HR 4.0 is leveraging advanced technology to make HR leaner and productive (77.86%) 3.4
Smart HR 4.0 is using technology to effectively manage HR function and new generation
workforce (86.88%) 3.5 Smart HR 4.0 is driving HR performance (90.16%) and overall 21%
falls into this theme. This theme provides the effect of Smart HR 4.0 on HR performance.
The most discussed quotes in this theme are as below:
"I4.0 technology is a key driver for Smart HR 4.0. Smart HR 4.0 is leveraging technology to
make the HR department more learner and productive. This technology is also helping HR
managers to attract and retain talent. Smart HR 4.0 leverages effective management of HR
functions, new tech-savvy generation workforce.’’
The last category that surfaced was the HR performance with three sub-themes, namely,
4.1] SMART HR 4.0 using I4.0 technology improving HR performance (88.52%) 4.2] Smart
HR 4.0 helps to engage and retain the talent with the prediction of turnover that improves
the HR performance (75.40%) 4.3] I4.0 technology can perform the menial and repetitive
work so that HR can perform the strategic role, which will improve the HR performance
(83.60%) and overall, 20% of quotes are under this category. The interview statements
typically mentioned were:
"We are in the process of achieving Smart HR 4.0 by leveraging technology, enabling us to
ensure that our department is learner and HR administrative tasks are automated. Smart HR
4.0 helps HR managers to eliminate repetitive tasks and directs HR managers to work
towards the strategic objectives of the HR dept. For example, HR managers can predict
turnover and reduce it, which improves HR performance. Thus, Smart HR 4.0 is leveraging
HR performance’’.

Proposed theoretical framework by grounded theorizing perspective: Use of

industry 4.0 technology in human resource management leading to smart HR 4.0
toward human resource performance
The proposed model is derived following the steps by Corbin and Strauss (1990) in which
data analysis and data collection were continuous. During theoretical sampling, data
analysis was done by developing interrelated themes and sub-themes with a constant
comparison method. Further, theoretical memos written were used for developing the
relationship between the themes. This relationship between the various themes was
developed using the current literature, discussion with subject matter experts, observations,
various interview quotes emerged through the HR managers’ interview. The model reveals
the results of the utilization of I4.0 technology for HRM drives HR performance. The
developed model supports the extant literature and the results are procured from the HR
professional’s interviews. The developed model deliberates the practice of the I4.0 technology
in HR functions materializes the Smart HR 4.0, which eventually leads to enhancing the HR
professionals’ performance by facilitating them to focus more on the strategic functions of
HRM. However, various barriers impact the usage of I4.0 for HRM, such as use barrier,
traditional barrier and risk barrier.

PAGE 718 j FORESIGHT j VOL. 24 NO. 6 2022

Overall, 24% of the HR professionals’ interview accentuates the use of I4.0 technology such
as AI and chatbots are extensively used for recruitment and selection. I4.0 technology has
led HR professionals to save costs and expedite the HR processes. Big data analytics for
predicting models for employee turnover and preventing it. The CPS helps to model and
access the employee activities (Jirasatjanukul et al., 2019; King, 2016; McCarthy et al.,
2019; Saha and Pandita, 2017; Samarasinghe and Medis, 2020), which helps to improve
the HR performance. Though I4.0 technology is extensively used, HR managers face
barriers such as usage barriers, traditional barriers and risk barriers. As managers are still
getting acquainted with the I4.0 technology and are not used to handling HR functions with
this technology; hence, they face usage barriers. HR managers are also worried about the
confidentiality of the data as they feel that HR data is enormous and would be processed
through software that may get compromised or give wrong results due to the mistakes of a
programmer. In total, 19% of quotes reveal that HR managers are accustomed to traditional
HR practices; hence, they feel that barriers exist to adopt I4.0 technology, as they believe in
traditional methods.
Smart HR 4.0 using I4.0 technology engages and retains talent (Piwowar-Sulej, 2020;
Quest, 2019; Sivathanu and Pillai, 2018b). From all the interview quotes, 18% of the quotes
of various HR professionals state that the use of I4.0 for HRM is leveraging Smart HR 4.0
and this has helped to improve the HR performance. When Smart HR 4.0 accelerated the
use of I4.0 technology, it led to acquiring talent pool and HR professionals can make the
prediction of turnover, solve employee-related issues, managing the performance, which
helps in increase the HR performance (Girisha, 2020; Piwowar-Sulej, 2020; Quest, 2019;
Rana, 2019; Verma et al., 2020; Zhu, 2020). In addition, the present studies discuss I4.0
technology can bestow HR performance (Hecklau et al., 2016; Pejic-Bach et al., 2020;
Schweyer, 2018; Shin et al., 2018). Of all the interview quotes, 21% mentioned that Smart
HR 4.0 drives HR performance. Also, 20% of quotes mention that the I4.0 technology can
perform the menial and repetitive work and HR can perform the strategic role, which will
improve the HR performance.
The outcome of this study answers the research question of how I4.0 contributes to Smart HR
4.0 and HR performance and fulfills the objective of this study by providing the theoretical
model as shown in Figure 1. The proposed conceptual model interprets the use of I4.0
technology to leverage the Smart HR 4.0 and it eventually improves the HR performance

Figure 1 Proposed conceptual model

VOL. 24 NO. 6 2022 j FORESIGHT j PAGE 719

 (Hecklau et al., 2017; Imperatori et al., 2020; Matsa, 2019; Rana and Sharma, 2019b; Saha
and Pandita, 2017; Shamim et al., 2016; Sivathanu and Pillai, 2018; Verma et al., 2020).
However, various barriers impact the usage of I4.0 for HRM, such as usage barrier, traditional
barrier and risk barrier. Therefore, the proposed model is acceptable considering the data
analysis results, Table 3, the detailed theme’s discussion and literature as discussed above.

Managerial implications
We provide the conceptual model developed using the grounded theory method and its
academic and practical implications. This model directs HR managers to achieve
performance using I4.0 technology and ensure Smart HR4.0. However, this model also
reveals that HR managers face issues such as usage barrier, risk barrier and traditional
barrier.
HR managers have pivotal insights that they can achieve Smart HR 4.0 using I4.0 technology
for HRM. HR managers can understand that Smart HR 4.0 plays a crucial role to attract,
engage and retain the talent pool in an organization by using the I4.0 technology, which
improves HR performance. This research focuses on how the HR professionals are using I4.0
technology that contributes and directs toward the Smart HR 4.0 by using the various
technologies for the different HR functions. HR professionals can ruminate on this model to
improve HR performance. Table 1 provides the list of various I4.0 technologies that HR
managers can use to improve HR performance. Table 3 provides important insights to
understand the importance and use of I4.0 technology and Smart HR 4.0 to achieve HR
performance. This study also guides the employees in various organizations to understand the
I4.0 technology used by the HR department.
In consideration of the barriers revealed in this study, HR managers are insecure regarding
the HR data processed in I4.0 technology for HRM. Developers need to ensure that there
are no bugs in the I4.0 technology and confirm the safety of the data. Marketers of I4.0
technology need to ensure the same by having data privacy and security details in the
manuals or user booklets of I4.0 technology for HRM. While using the I4.0 technology for
HRM, if any breakdown or issues occur, the vendors should promptly provide
troubleshooting, maintenance and restoration services so that HR managers do not feel the
risk of using I4.0 technology.
The marketers need to provide detailed information to HR managers while marketing the
I4.0 technology for HRM. Also, they need to deliver the information with testimonials
regarding the benefits of I4.0 technology and its usage, which can materialize Smart HR
4.0. HR managers are used to traditional practices and sometimes find it challenging to use
the new I4.0 technology for HRM. However, marketers can provide detailed training to the
HR department users, developers and designers of I4.0 technology for HRM to ensure that
new technology is in line with traditional practices and easy to use.

Theoretical implications
This work contributes to the theory by uniquely providing a conceptual model for HR
performance through I4.0 technology and emphasizes the importance of Smart HR 4.0
emerged from the usage of I4.0 technology (Rana, 2019; Samarasinghe and Medis, 2020;
Sivathanu and Pillai, 2018). This work contributes to the literature on the advanced
technology used for HRM and Smart HR 4.0 as this is a thrust area of research in many
organizations. This work responds to the thrust area of literature regarding I4.0 and its
adoption for HRM by revealing its contribution to HR performance (Cimini et al., 2020;
Horvath and Szabo, 2019; Hoyer et al., 2020; Schneider, 2018).
The study intends to build a bridge between the existing knowledge and elaborate scientific
discussion about the barriers, namely, usage barrier, traditional barrier and risk barrier that

PAGE 720 j FORESIGHT j VOL. 24 NO. 6 2022

revolve around the implementation of I4.0 for HRM in organizations as expressed by the
viewpoints of the senior HR professionals. The present study explores the pivotal role of
barriers in I4.0 technology toward Smart HR 4.0 implementation for improving HR
Performance. It provides a novel contribution to the literature by taking a step forward to
establish a linkage between the usage of I4.0 technology and its barriers toward Smart
HR4.0 and HR performance in organizations. This work contributed to the extant literature of
I4.0 and Smart HR 4.0 by providing the list of technology in Table 1 and unique themes that
emerged after data analysis in Table 3. Furthermore, this study contributes to the literature
of various verticals of HRM by discussing the use of I4.0 technology use in various verticals
of HR such as recruitment, Performance management and training.

Conclusion and future scope of the research

The interview data of HR professionals revealed the various themes and subthemes. The
qualitative data process of open and axial coding helped us interlink themes and develop
the model proposed in this work. The data triangulation helped to ensure the validity of this
work. The current literature, analysis of data and results fulfill the research objective – to
understand the use I4.0 contributes to use of I4.0 contributes to Smart HR 4.0 and HR
performance and also to explore the barriers.
The model provided in this work accomplish the research objectives and it reveals that
HR performance can be achieved by leveraging I4.0 technology through Smart HR 4.0
(Blazquez-Resino et al., 2020; Munsamy and Telukdarie, 2019; Piwowar-Sulej, 2020;
Puhovichova and Jankelova, 2020; Verma et al., 2020; Vrchota et al., 2020; Wan and
Roshidi, 2019). The model also reveals the barriers faced by the HR managers while
using the I4.0 technology – usage barrier, risk barrier and traditional barrier. To
summarize, by leveraging Smart HR 4.0, HR performance can be achieved using the
I4.0 technology in HRM.
The data which is gathered by the HR professionals’ interviews in this research has a
limitation as it is derived and based upon their viewpoints. The sample size is also limited in
the study. However, all the protocols were being followed by the researcher for the analysis
of the data collected from the interview. The researchers also ensured data triangulation;
this makes the findings reliable. Here the use of the grounded theory approach was done,
which is a qualitative technique. This implies that empirical testing can be carried out in
future research and different quantitative methods can be used to validate the model
proposed in the study. Further research can be conducted to understand the HR manager’s
satisfaction using I4.0 technology. The limitations of the study include the qualitative
explorative approach, which requires quantitative validation. Further research may discuss
these concepts in more depth and statistically validate them through questionnaires and
interviews in different sectors and countries in the future.

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About the authors

Dr Rajasshrie Pillai is working as a Professor; HOD – Human Resource Management at
Pune Institute of Business Management, Pune Maharashtra, India. She is a life member of
the Indian Society of Training and Development (ISTD) and the National HRD Network
(NHRD). Her current research interests include information systems, technology adoption,
education management, HR analytics, AI, IoT and its applications across various industries.
She has more than 15 years of experience. She has published 25 research papers.
Rajasshrie Pillai is the corresponding author and can be contacted at: rajasshrie1@gmail.
com

Ms Shilpi Yadav is a research scholar – Human Resource Management at Pune Institute of

Business Management, Pune. She has presented research papers at various international
conferences.
Brijesh Sivathanu is working as a Professor in the Department of Management at Sri Balaji
University, Pune, Maharashtra, India. He is a life member of All India Management
Association (AIMA), Computer Society of India (CSI), Indian Society for Technology
Education (ISTE), Indian Commerce Association (ICA), Indian Science Congress
Association (ISCA) and Analytics Society of India (ASI). His current research interests

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include marketing analytics, information systems, technology adoption, AI, IoT and its
applications across services industries.
Dr Neeraj Kaushik is working as Associate Professor and HOD at the Department of
Business Administration, National Institution of Technology, Kurukshetra, Haryana, India.
His research interest areas are Services Marketing, Marketing Research, Operations
Research, Statistics. He has more than 20 years of experience. He has published 56
research papers. He has conducted more than 150 works on SPSS, PLS-SEM and Amos.
Dr Pooja Goel is working as an Assistant Professor in the Department of Commerce,
Shaheed Bhagat Singh College, University of Delhi. She received her PhD from Kurukshetra
University. Her area of specialization is consumer behavior and research methodology. She
has more than 13 years of teaching and research experience and is well-versed in handling
various administrative as well as academic positions. She has more than 20 paper
publications to her credit in national and international journals including ABDC/SI indexed
publications.

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