Integrity of artificial intelligence in recruitment on employee performance: the mediating role of organizational values

Abstract

Purpose – This research examines the effect of artificial intelligence (AI) integrity in the recruitment system on employee performance in state-owned enterprises, considering the role of organizational values alignment as a mediating variable. Method – This study uses a quantitative approach and a proportional stratified random sampling technique. The population consists of employees at one of the state-owned enterprises in Makassar recruited through an artificial intelligence-based system. The research sample consists of 144 respondents, who are permanent employees who have followed the AI-based recruitment process. The data used was primary data, which was collected through the distribution of questionnaires, which had previously been tested for validity and reliability, and through direct observation of the AI-based recruitment process. The method used to analyze the data in this study is structural equation modeling (SEM) with the partial least square (PLS) approach. Data processing is done through SmartPLS version 3 software. Findings – The results showed that the integrity of artificial intelligence in the recruitment process positively affects employee performance. Organizational values are proven to mediate the relationship between the use of artificial intelligence in recruitment and employee performance and directly positively affect employee performance. Implications – Theoretically, these findings enrich the recruitment and selection theory studies, especially by integrating the concept of artificial intelligence integrity and the role of organizational values. Practically, the results of this study contribute applicable guidelines for organizations in designing and implementing artificial intelligence-based recruitment systems effectively.