Human Resource Professionals’ Use of Artificial Intelligence Tools and Perceived Organisational Performance

The Mediating Role of Organisational Trust

The use of Artificial Intelligence (AI) in Human Resource Management (HRM) has emerged as a strategic approach to enhance organisational performance. However, empirical evidence on how the use of AI tools influence organisational performance especially in the developing countries is still limited. This study used Technology Acceptance Model (TAM) to examine the use of AI tools in human resource management and its effect on organisational performance. The study used quantitative approach and cross-sectional design to collect data from 230 HR professionals working in public and private organisations in Tanzania using a structured questionnaire which was administered electronically. Structural Equation Modeling was used to test the hypothesized relationships. The findings indicate that perceived ease of use significantly influences perceived usefulness and organisational trust. Further, both perceived ease of use and perceived usefulness were found to be significant predictors of organisational trust, which in turn influenced perceived organisational performance. Notably, perceived usefulness does not directly influence perceived organisational performance rather its influence is mediated by organisational trust. On the other hand, perceived ease of use had both direct and indirect effect to perceived organisational performance which indicates partial mediation. The study extends TAM beyond technology adoption behaviour by demonstrating that organisational trust functions as an important psychological mechanism that link the use of AI tools among HR professionals to perceived organisational performance. The study highlights the importance of usability and trust building initiatives in the use of AI tools to achieve better organisational outcomes.