Digital Transformation in HRM in Indonesia: Integration of Technology and Legal Policies for Global Competitiveness

Abstract

This study proposes a conceptual model integrating technology, legal policies, and organizational dynamics in HRM to address digital transformation challenges in developing economies like Indonesia. It highlights the balance between AI, big data, and people analytics with labor regulations to ensure ethical and efficient HR practices. Using theories such as TAM, Institutional Theory, and Socio-Technical Systems Theory, the study identifies critical factors influencing HRM, including regulatory rigidity, ethical dilemmas, and cultural dynamics. The framework contributes to digital HRM adoption in emerging markets, offering insights for organizations and policymakers to navigate digital transformation while maintaining legal compliance and ethical integrity.