HRM 5.0 and Employee performance with VIKOR under Fuzzy Environment

Abstract

Digital transformation in organizations is increasingly converging with values of human-centered work place and Human Resource Management 5.0 (HRM 5.0) is already on fire among the researchers and practitioners. This framework never considers the digital tools as independent technical solutions but as the supplements of people-oriented HR practices- responsive, inclusive and sustainable work systems are developed together. The methodology of the assessment of HRM 5.0 is difficult: a company has to measure the performance in many different parameters, which are often contradictory and cannot be measured easily. Multi-criteria decision-making techniques, especially in fuzzy environments, through VIKOR, offer systemic form of maneuvering such complexities.This paper analyses the impact of the HRM 5.0 practices on the employee performance in terms of a fuzzy VIKOR decision framework. It builds a theoretical framework where HRM 5.0 dimensions are connected to performance measures and decision science is employed to shed light on such connections. The paper presents a stepwise methodology of assessing the HR practice impact on outcomes when the conditions are disturbing by uncertainty and vague data and information gaps. The methodology of the study is the combination of fuzzy set theory and VIKOR in relation to empirical analysis and practice ranking. In addition to the theoretical input, the work provides valuable advice to managers working on human-centered digital HR and outlines new research directions in the unexplored area.