Building Employee Agility in the AI-Enabled Workplace: Digital Leadership, AI Literacy, Digital HRM Practices, and the Moderating Role of Digital Mindset
DOI:
https://doi.org/10.70142/jbl.v3i2.71Keywords:
Employee Agility, Digital Leadership, AI Literacy, Digital HRM Practices, Digital Mindset, Dynamic Capabilities, AI-Enabled WorkplaceAbstract
This study examines the role of Digital Leadership (DL), AI Literacy (AIL) and Digital Human Resource Management (DHRM) practices in enhancing Employee Agility (EA) in AI-enabled workplaces and the moderating role of Digital Mindset (DM). Drawing on the Dynamic Capabilities (DC) viewpoint, the study conceptualises EA as an adaptable capability, which is a result of the interaction of leadership, individual technological competence, organisational systems, and employees’ cognitive orientation towards digital change. A quantitative, cross-sectional approach was used with data from 360 employees in Tangerang-Banten, Indonesia, who were exposed to digital technology and AI applications in their job. Data were analysed using AMOS, Covariance-Based Structural Equation Modelling (CB-SEM). The results showed that AIL and DHRM practices had significant positive effects on EA, whereas DL had no significant direct effect. The relationship between DL and EA was significantly moderated by DM, however, the interaction was negative. In contrast, DM did not significantly moderate the relationship between DHRM practices and EA. The model accounts for 85.8% of the variance in EA. Our findings suggest that agility in AI-enabled workplaces may be more dependent on employees’ AI-related capabilities and digitally supportive HR systems than on digital leadership alone. In addition, our findings suggest that DM may change, rather than uniformly increase, the value of digital organisational resources.
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