The AI-Driven Transformation of Human Resource Management in India: Trends, Cultural Nuances, and Strategic Imperatives

Abstract

This paper offers a thorough look at the on-going change in human resource management (HRM) driven by AI in India. It combines data from recent studies to outline the growth of the Indian HR tech market, explain how AI integrates into the employee lifecycle, and explore the complex relationship between technology, company culture, and employee views. The report shows a two-sided reality. While AI provides significant efficiency improvements and many employees are optimistic about it, its successful use faces unique ethical and cultural challenges. These include traditional hierarchies, a relationship-focused work culture, and the need to tackle algorithmic bias, especially concerning Indian demographics. The findings highlight the important change in the HR professional’s role from being an administrative expert to becoming a strategic partner and technologist. This research suggests a human-focused approach for adopting AI, arguing that lasting success depends not just on technological skill but also on a clear strategy that enhances human abilities, fosters a culture of psychological safety, and addresses the non-technical issues of skills, roles, and mind-set.