Analyzing how AI use in project staffing enhances project performance: The role of perceived organizational justice

Abstract

The objective of this study was to identify if the use of artificial intelligence in project staffing has a bearing on employees’ fairness perceptions and project performance. From an equity theory perspective, this study examines how the use of Artificial Intelligence in project staffing, specifically, recruitment, selection, and appointment of project staff, influences project performance. It further identifies if employees’ perceptions of organizational justice explain this effect of AI-based project staffing on project performance. Based on a quantitative survey-based design and validated measures, results from our sample of 200 respondents confirmed our hypotheses. Specifically, our findings indicated that AI-based recruitment (β=0.61), selection (β=0.52), and appointment (β=0.46), is positively associated with perceptions of organizational justice. Additionally, justice perceptions mediate the relationship between AI-based recruitment (β=0.82), selection (β=0.74), and appointment (β=0.64) and project performance. Our findings show that the use of AI use in recruitment, selection, and appointment is positively associated with project performance by enhancing project staff’s perception of organizational justice. The study holds implications for the success of projects that adopt AI in their HR systems, particularly in their staffing function.