This study focuses on developing a Human Resource (HR) Plan for integrating Artificial Intelligence in HR management across selected manufacturing companies. It evaluated the AI literacy of HR employees, their perceptions of AI's usefulness and ease of use, the challenges they face with AI integration, and how AI is being developed within HR management. Employing a mixed-method design, the study gathered data from forty-eight (48) HR employees using a researcher-made questionnaire and conducted thematic analysis on interviews with 10 selected participants. The findings revealed that HR employees are generally literate in AI and believe it enhances their work productivity and performance. Interestingly, their general knowledge of AI did not significantly affect their perceptions of its usefulness or ease of use. The main challenges identified included the cost of technology, integration difficulties, data privacy and security issues, and the need for further capacity building. The study resulted in a comprehensive Human Resource Plan designed to guide the integration of AI into HR practices. The plan is recommended for broader implementation, with suggestions for evaluating its effectiveness, engaging in partnerships, conducting cost-benefit analyses, and formulating continuous learning plans. It advises companies to develop their own AI strategies that prioritize ethical practices, continuous learning, and a culture of innovation and security.
Artificial Intelligence, compensation management, employee relationships, responsible artificial intelligence usage, usefulness and ease of use
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This work is licensed under a Creative Commons Attribution (CC BY 4.0) International License.