AI-DRIVEN HRM FOR SUSTAINABLE ORGANIZATIONS

Abstract This thesis examines how artificial intelligence (AI) is reshaping human resource management (HRM) in organisations that pursue sustainability as a strategic priority. Building on an integrated review of contemporary HRM, sustainable HRM, and AI governance literature, the research develops an analytical framework centred on three questions: (1) what changes when HR functions adopt AI, (2) how organisations use AI-enabled HRM to advance environmental, social, and governance (ESG) outcomes, and (3) what risks arise and which controls are required to mitigate them. Using a comparative secondary-data case study of Vodafone, Enel, and Unilever, the analysis identifies consistent patterns across recruitment, skills development, workforce planning, and internal mobility. The findings show that AI strengthens HRM primarily by improving data quality, analytical speed, and decision consistency, enabling more inclusive hiring, targeted reskilling, and forward-looking workforce planning—provided that reliable HRIS foundations and transparent governance structures are in place. Across the cases, AI contributes to sustainability by supporting capability building, widening access to opportunities, and aligning workforce decisions with environmental and social objectives. However, the evidence is largely descriptive, and high-stakes HR decisions continue to require human oversight, robust fairness testing, and clear accountability mechanisms. The thesis concludes that AI-enabled HRM can enhance sustainable organisational performance when implemented as a socio-technical system grounded in rights-based governance, responsible data practices, and mature HR processes, while emphasising the need for stronger measurement and sector-specific evidence in future research. Keywords: AI – HRM – Sustainable Organisations – Ethical AI in HR