See discussions, stats, and author profiles for this publication at: https://www.researchgate.net/publication/364160066 Technology Adoption and Human Resource Management Practices: The Use of Artificial Intelligence for Recruitment in Bangladesh Article in South Asian Journal of Human Resources Management · October 2022 DOI: 10.1177/23220937221122329 CITATIONS READS 0 84 5 authors, including: Abdullah Al Mamun Samina Afrin University of Chittagong University of Chittagong 4 PUBLICATIONS 9 CITATIONS 5 PUBLICATIONS 26 CITATIONS SEE PROFILE SEE PROFILE Md. Aftab Uddin University of Chittagong 91 PUBLICATIONS 892 CITATIONS SEE PROFILE Some of the authors of this publication are also working on these related projects: Resilience of Social Enterprises in Bangladesh View project Leading employees' creative engagement toward innovative behavior by their psychological empowerment View project All content following this page was uploaded by Abdullah Al Mamun on 11 October 2022. The user has requested enhancement of the downloaded file. Research article Technology Adoption and Human Resource Management Practices: The Use of Artificial Intelligence for Recruitment in Bangladesh South Asian Journal of Human ­Resources Management 1­–26 © The Author(s) 2022 Reprints and permissions: https://doi.org/10.1177/23220937221122329 in.sagepub.com/journals-permissions-india DOI: 10.1177/23220937221122329 journals.sagepub.com/home/hrm Muhaiminul Islam1 , Abdullah Al Mamun2 Samina Afrin3, G. M. Azmal Ali Quaosar4 and Md. Aftab Uddin5 , Abstract Artificial intelligence (AI) is now considered indispensable in undertaking operational activities, especially in the area of human resource analytics. However, in practice, the rate of the adoption of such modern algorithms in organisations is still in its early stages. Consequently, the primary objective of this study is to identify the main antecedents of the adoption of AI-based technologies in recruitment, using the lens of the unified theory of acceptance and use of technology (UTAUT) model, alongside perceived credibility and moderating variables, in the context of an emerging nation in South Asia, namely Bangladesh. Data were collected from 283 human resource professionals employed in different manufacturing and service firms in Bangladesh through the administration of a questionnaire, which was analysed by applying PLS-SEM. The outcomes of the study show that all the direct hypothesised relationships were found to be significant, apart from the extended variable of perceived credibility. Lecturer, Department of Organization Strategy and Leadership, University of Dhaka, Dhaka, Bangladesh 2 Assistant Professor, Department of Human Resource Management, University of Chittagong, Chattogram, Bangladesh 3 Associate Professor, Department of Human Resource Management, University of Chittagong, Chattogram, Bangladesh 4 Associate Professor, Department of Management Studies, Comilla University, Cumilla, Bangladesh 5 Professor, Department of Human Resource Management, University of Chittagong, Chattogram, Bangladesh 1 Corresponding author: Md. Aftab Uddin, Professor, Department of Human Resource Management, University of Chittagong, Chattogram, Chittagong 4331, Bangladesh. E-mail: [email protected] 2 South Asian Journal of Human Resources Management However, no moderating effect of gender or firm size was found in any of the hypothesised propositions. Finally, policy implications and recommendations for future researchers are proposed. Keywords Actual use, artificial intelligence, Bangladesh, human resource professionals, intention to use, recruiting talents, UTAUT, SEM-PLS Introduction Human resources are considered the strategic resources in business organisations and the ultimate source of sustainable competitive advantage (Black & Van Esch, 2020; Patel et al., 2019). However, recruiting the right talent is still a far cry (Vardarlier & Zafer, 2020) because LinkedIn and other traditional methods to attract and recruit the right employees have yet to be successful (Iqbal, 2018). In this context, artificial intelligence (AI) can be useful for attracting, retaining and empowering skilled workers for ensuring a win-win situation for both employers and applicants (Adikaram et al., 2021; Geetha & Bhanu, 2018; Tambe et al., 2019; Uddin et al., 2021; Vardarlier & Zafer, 2020). Compared to other methods, AI has been proven to be beneficial and effective in recruitment (Black & Van Esch, 2020; Hemalatha et al., 2021; O’Connor, 2020; Vardarlier & Zafer, 2020). In the area of recruitment, AI refers to intelligent machines and software which behave and act like humans without any human intervention (Lisa & Talla Simo, 2021; Uddin et al., 2021). With the aid of simple filtering algorithms, applicants are automatically assessed with regard to several factors, such as the university they attended, and business and industry-wide experience. This simple AI algorithm allows organisations such as Unilever (Vardarlier & Zafer, 2020), L’Oréal (Sharma, 2018) and SAT Telecom (Kmail et al., 2015), among others, to fill employee vacancies faster, economise time and effort, and source appropriate candidates capable of addressing strategic problems and developing long-term bonds with new changes (Bhalgat, 2019; Pan et al., 2022; Upadhyay & Khandelwal, 2018). Therefore, using AI can be justified, as the automated system can save time and costs in hiring the right talent and solve the problems of manual sorting (Soleimani et al., 2022; Tambe et al., 2019; Vedapradha et al., 2019). Historically, the recruitment and selection process in Bangladesh in both public and private sectors is traditional and politically motivated (Absar, 2012; Mahmood & Nurul Absar, 2015). The large supply of applications to the relatively scarce employment opportunity for managerial and non-managerial positions causes the recruiters in the private sector fall prey to nepotism (Mahmood & Nurul Absar, 2015). However, the recruitment and selection process of MNCs in Bangladesh happens based on the compliance of headquarters office’s directions (Mahmood, 2015). The strength of using AI to recruit in either cases prevents the organisations from unwanted error and violations in transparent recruitment. However, there has been minimal use of AI in Bangladesh, although together with the IoT, big Islam et al. 3 data and block chains, it is gradually gaining in popularity (Uddin et al., 2021). To remain resilient in a technology-driven economy, HR professionals need to adopt AI to recruit talents (McGovern et al., 2018; Sen, 2018). However, the use and adoption of such technology by HR managers for recruitment is still extremely low throughout the world (Albert, 2019). Besides the low rate of adoption, there have been relatively few studies on the issue in different countries (Cruz-Jesus et al., 2018; Muduli & Trivedi, 2020; Palshikar et al., 2019; Quaosar, 2018; Salleh & Janczewski, 2019; Van Esch et al., 2019). The adoption of AI in the Asian continent is still in the early stage and slow (Mehrotra & Khanna, 2022). For example, Pillai and Sivathanu (2020) mentioned that 22% of Indian organisations are using AI to solve problems in business processes. The recent study by Hossin et al. (2021) documented the potential factors which prevent the widespread acceptance of AI in HR management practice. Despite the fact that professionals are convinced of the benefits of adopting AI, its use remains relatively rare (Hossin et al., 2021). The biggest challenge to AI adoption among professionals is their phobia regarding the replacement of humans with AI and possible widespread job cuts in the future (Babu, 2021). The potential job loss is not the whole truth of AI adoption because the WEF (2018) reported that apart from causing few job cuts (75 million jobs), AI will generate so many new job opportunities (133 million new jobs) and boost the world’s economy by saving cost and improving quality (ICTD, 2019). Notably, the lack of studies on the adoption of AI for recruitment from the company and HR manager viewpoints can be considered to be a potential research gap (Uddin et al., 2021). Moreover, there is also a dearth of studies in developing countries which identify predictors of AI adoption and consequences of the former. Therefore, this study aims to establish the predictors of behavioural intention and actual use of AI in recruiting talents by HR professionals using the unified theory of acceptance and use of technology (UTAUT) lens in an emerging country context in a moderated mechanism. The article is organised as follows. The second section covers the theoretical background and study hypotheses, while the third section explains the research methods and research and sampling design. In the fourth section, the results are considered, followed by the analytical tools, method bias, and the evaluation of the models and estimates in relation to the proposed hypotheses. Finally, the fifth section discusses the findings and presents the contributions, managerial implications and limitations of the study. Theoretical Background and Study Hypotheses The study of the adoption of and intention to use technology has been based on a variety of theories. Numerous studies have demonstrated that the use of a multitheory approach in a variety of contexts is able to develop an integrated model and increase its explanatory power (Barrane et al., 2018). However, their empirical findings show that the integration of fragmented theories to generate a holistic 4 South Asian Journal of Human Resources Management view of understanding the intention and actual use of a given technology has been unsuccessful due to the diverse assumptions and beliefs of the disjointed theories (Bhatiasevi, 2016). Therefore, Venkatesh et al. (2003) developed a new approach, UTAUT, to describe the intention to use and actual use of technology. It includes performance expectancy, effort expectancy, facilitating conditions and social influence as direct predictors of users’ intention to use, which eventually predicts the actual use behaviour (Patil et al., 2020). The advantage of UTAUT is that it describes 70% of the variance in intention to use and 50% of actual use (Venkatesh et al., 2003). Moreover, its generalizability has also been confirmed by many other studies (Jahanshahi et al., 2020; Patil et al., 2020). Considering the early stage of AI in developing countries’ context, the present study used the original UTAUT to explore the intention to use and actual use of AI. Apart from the original UTAUT, the extant literature showed that the perceived credibility is an important determinant of adopting a new technology because the security and trust issues from end users’ perspective regulate their intention to use and actual use of AI (Gupta et al., 2019). Following the prior studies, the moderating effect of gender, along with the moderating effect of firm size, was also investigated because literature shows that the large the firm’s size, the more they use AI (Pillai & Sivathanu, 2020; WEF, 2018). Thus, the original UTAUT model was employed in this study, together with the gender of the respondents and firm size, to explain the actual use of AI. Performance Expectancy and Behavioural Intention Performance expectancy refers to end users’ expectation of enhancing their functional capabilities through the adoption of technologies in a given situation (Uddin et al., 2020). Venkatesh et al. (2003) explain that it concerns the degree to which system users perceive that the use of a given technology will help them to find a solution to a problem. Several studies have shown that performance expectancy significantly influences the behavioural intention to use technologies (Dey & Saha, 2020; Suki & Suki, 2017). Alam et al. (2020) conducted a study of recruiters in Bangladesh and observed a significant impact of the predictors of UTAUT on the behavioural intention to use AI-enabled technologies in the recruitment of talent. Another study by Uddin et al. (2021) also found that the performance expectancy from AI technology improved the behavioural intention to use it. Therefore, the following hypothesis is proposed: H1: Performance expectancy influences HR professionals’ behavioural intention to use AI for recruitment. Effort Expectancy and Behavioural Intention Effort expectancy is the degree of ease in using a technology (Venkatesh et al., 2003). It concerns the user-friendly features of systems which significantly affect Islam et al. 5 users’ interest in adopting new technologies (Samat et al., 2020). Similar to the findings previously made related to performance expectancy, effort expectancy is considered to be an influencer of behavioural intention to use technology (Alam et al., 2020). Furthermore, Dey and Saha (2020) conducted a study related to human resources information system (HRIS) adoption in Bangladeshi private and public hospitals using the UTAUT model; their findings show that effort expectancy predicted the behavioural intention of HR managers to adopt HRIS. Similarly, the findings of Onaolapo and Oyewole (2018) demonstrate that effort expectancy predicted the behavioural intention to use smartphones in postgraduate distance learning. In addition, various studies have shown similar relationships in technology adoption, such as in mobile banking (Ghalandari, 2012); enterprise resource planning (ERP; Rajan & Baral, 2015) and internet use (Isaac et al., 2019). In the context of Bangladesh, Alam et al. (2020) and Uddin et al. (2021) found that effort expectancy significantly influenced the behavioural intention to use AI to recruit talents. Therefore, the following relationship can be hypothesised: H2: Effort expectancy predicts HR professionals’ behavioural intention to use AI in recruitment. Social Influence and Behavioural Intention Social influence refers to the expectation or pressure on technology adopters which comes from social factors, subjective norms and perceived images of the use of new technologies. It can be considered as the level of belief of an individual regarding the actual use or non-use of such technologies (Alam & Uddin, 2019; Venkatesh et al., 2003). Individuals’ intentions can be influenced by different social entities, such as friends, peers, relatives and neighbours. In addition, the literature also acknowledges that the adoption of new technologies depends on normative judgements and expectations of the user’s surroundings (Uddin et al., 2020). In the African context, a study on the behavioural intention to use technologies in the adoption of social networking sites reported that social pressure affected the behavioural intention to use SNS (Kaba & Touré, 2014). Furthermore, the research findings of Shiferaw and Mehari (2019) on Ethiopian electronic medical recording systems revealed that the behavioural intention to use AI was positively affected by the social influence perceived by doctors and nurses. Likewise, studies in Bangladesh on recruiters have shown that social influence has a significant effect on the behavioural intention to use AI to recruit employees (Alam et al., 2020; Uddin et al., 2021). Therefore, we hypothesise that: H3: Social influence affects HR professionals’ behavioural intention to use AI. Facilitating Conditions and Behavioural Intention Venkatesh et al. (2003) reported in the UTAUT that facilitating conditions significantly affected the behavioural intention to use technology, including the 6 South Asian Journal of Human Resources Management availability of technical and organisational infrastructures. Researchers have argued that without adequate technical and infrastructural support, along with knowledge sharing and physical resources, it is highly likely that ambiguity will be generated at the time of technology acquisition and implementation (Dey & Saha, 2020; Mamun, 2022; Rajan & Baral, 2015; Suki & Suki, 2017). Dwivedi et al. (2017) conducted a study on e-government adoption from an Indian perspective; their findings show a positive association between the facilitating conditions and the behavioural intention to use. In addition, another study highlighted that to predict the behavioural intention to use AI of recruiters, facilitating conditions fuel the adoption of AI-based software in Bangladesh (Alam et al., 2020). Furthermore, similar research findings have been made in the studies of Shiferaw and Mehari (2019) and Uddin et al. (2020), respectively. The following hypothesis is therefore posited: H4: Facilitating conditions influence the behavioural intention to use AI in recruitment. Perceived Credibility and Behavioural Intention Perceived credibility concerns systems users’ perceived belief in the privacy, security and credibility of new systems, including the trustworthiness of technologies and the ability to perform operational activities and transactions with business partners (Argyris et al., 2021; Cukurova et al., 2020). It creates a sense of faith and dependency in the minds of users, whereas its absence leads to the creation of worries regarding the leakage of confidential information without the knowledge of clients (Gupta et al., 2019; Wang et al., 2003). Related research has highlighted the association between perceived credibility and behavioural intention to use online banking, e-payment systems and mobile apps (Gupta et al., 2019; Palau-Saumell et al., 2019; Yu, 2012). In addition, a recent cross-cultural study based on bank customers in Pakistan and Turkey and their acceptance of online banking showed that perceived credibility influenced their behavioural intention to use it (Khan et al., 2021). However, no studies have considered such relationships in the adoption of AI-based software by HR professionals. Therefore, this research gap motivated us to develop a further hypothesis by extending the UTAUT model: H5: Perceived credibility influences the behavioural intention to use AI in recruitment. Behavioural Intention and Actual Use The behavioural intention to use measures the degree of subjective probability and willingness of system users to employ new technologies; it is treated as a sustainable and consequential forecaster of actual use (Venkatesh & Davis, 2000; Venkatesh et al., 2003). Previous studies have demonstrated from different Islam et al. 7 perspectives that the actual use of technologies is significantly influenced by the behavioural intention to use them (Alam et al., 2020; Rajan & Baral, 2015; Suki & Suki, 2017). The study of Alam et al. (2020) found a conclusive association between behavioural intention to use and actual use of AI among recruiters in Bangladesh. Therefore, we propose the following direct hypothesis: H6: Behavioural intention to use has a significant relationship with actual use in the adoption of AI in recruitment. Gender as a Moderator In previous technology adoption research, gender has been considered as a significant control variable in exploring the relationship between constructs other than AI adoption in recruitment. It has been found that males are more taskorientated, have a greater interest in innovation and novelty, have less anxiety over technology use, focus more on online purchases and feel less perceived social pressure than females in the adoption of technologies (Venkatesh & Davis, 2000; Venkatesh et al., 2003; Yu, 2012). On the other hand, female users place more emphasis on their achievement needs, consider the opinions of those surrounding them, have more technology anxiety, and perceive more risk in online transactions than male users in relation to technology adoption and implementation (Venkatesh & Davis, 2000; Venkatesh et al., 2003; Yu, 2012). Alam et al. (2020) conducted a study of 296 respondents from Bangladeshi m-Health service providers using the extended UTAUT model and found a significant effect of gender on m-Health service adoption. In other studies, gender was shown to significantly predict mobile banking adoption in the context of Taiwan (Yu, 2012) and students’ behavioural intention to use animation and storytelling in Malaysia (Suki & Suki, 2017). In terms of AI adoption in talent acquisition, the effects of such kinds of control variables are yet to be explored by researchers with reference to UTAUT. Such research findings motivated the researchers to test the moderating effect of gender on the adoption of AI. Therefore, we propose the following hypotheses. Gender moderates the relationship between performance expectancy and behavioural intention to use (H7); between effort expectancy and behavioural intention to use (H8); between social influence and behavioural intention to use (H9); between facilitating conditions and behavioural intention to use (H10); between perceived credibility and behavioural intention to use (H11); and between behavioural intention to use and actual use (H12) in the adoption of AI. Firm Size as Moderator Firm size is considered to be an influential predictor in technology adoption (Pan et al., 2022), but few research studies were found which apply it as a moderator, especially using the UTAUT model. Previous studies have evidenced that in 8 South Asian Journal of Human Resources Management general, large firms hold a significant amount of financial, human, physical and information resources compared to small and medium-sized enterprises (SMEs; Jacobsen, 2018; Senarathna et al., 2018). This leads to significant investment in technological advancement and innovation, whereas small firms suffer from a lack of resources (Ahmadi et al., 2018). Salah et al. (2021) conducted a study on SMEs operating in Palestine to identify the dominant factors affecting customer relationship management with the moderation influence of firm size; they reveal that it significantly influenced the adoption of customer relationship management. On the contrary, the study of Alhammadi et al. (2015) showed that firm size had no significant impact on cloud computing adoption in Saudi Arabia. A recent study by Pan et al. (2022) tested the effect of firm size in AI adoption in Chinese recruitment but found no significant impact. The consequences of firm size have also been explored in numerous studies in the area of e-commerce (Ramayah et al., 2016), ICT adoption (Alshamaila et al., 2013), e-marketing (El-Gohary, 2012) and ERP (Uddin et al., 2020). However, no empirical studies have explored the ramifications of firm size as a moderator by extending the UTAUT model. We therefore hypothesise the following. Firm size moderates the relationship between performance expectancy and behavioural intention to use (H13); between effort expectancy and behavioural intention to use (H14); between social influence and behavioural intention (H15); between facilitating conditions and behavioural intention to use (H15); between perceived credibility and behavioural intention to use (H17); and between behavioural intention to use and actual use (H18) in the adoption of AI. Methods Research Design The researchers designed a quantitative study in which deductive reasoning was employed to investigate the hypothesised relationships. According to Saunders et al. (2009), the deductive technique based on a positivist philosophy is justified in the testing of any theory. A cross-sectional survey with multi-item instruments was employed to collect the data. For ease of response, it was translated into native Bangla using the back-translation approach, strictly adhering to Brislin (1970). In addition, the survey instruments were sent to academics and industry professionals for face and content validity. Subsequently, some modifications were made to allow for better comprehension by the respondents, who were native Bangladeshis. Data Collection Procedure A variety of organisations in Bangladesh, both service and manufacturing-based ones, which have made considerable use of AI were targeted for the study. The convenience sampling technique was followed to identify HR professionals Islam et al. 9 working in those organisations who have been working at Chattogram, the commercial capital and financial hub of Bangladesh (Azim et al., 2019). The rationale for using HR professionals was their direct attachment to the recruitment process, so those with no role in recruitment talents were excluded. Notably, 74.44% professionals responded that they were using a few features of AI, such as application tracking systems, sourcing talents and targeted advertising. The data were collected through mailed questionnaires sent to each organisation’s HR department, together with a cover letter and a self-addressed stamped envelope. From the 390 questionnaires, 283 replies were received, a response rate of 72%. Among these responses, 13 were deleted due to outliers or incompletion. Therefore, the final number of responses was 270, which was deemed sufficient to run the PLS path model (Azim et al., 2019; Fan et al., 2019). The data were gathered from a varied set of recruiting professionals in terms of gender, age, tenure, educational background, and firm size and type. Surprisingly, the majority were male (80%), with ages ranging from 23 to 60, and a mean age of 33.33, indicating that the HR profession is in the infancy stage. In addition, most respondents (80%) had completed postgraduate education, and their average service length was 6.07 years. Moreover, the study covered all types of organisations, including small (22), medium (98) and large (150) ones. The majority of these were service-oriented (65%), with the remaining 35% manufacturing-based. Measures Measurement tools from previous research were employed, and all the items were scored on a 5-point Likert scale (from 5 = ‘strongly agree’ to 1 = ‘strongly disagree’). Modifications were made to ensure the respondents’ face validity, particularly error-free meaning (Rubel et al., 2019). The items for measuring performance expectancy, effort expectancy, facilitating conditions, social influence and behavioural intention to use were adapted from Venkatesh et al. (2003) and Venkatesh et al. (2012), whereas those for perceived credibility and actual use were adopted from Nisha et al. (2019) and Rajan and Baral (2015). Results Analytical Tools Smart PLS-3 was chosen to analyse the data in the structural equation modelling (SEM). Gudergan et al. (2008) stated that PLS-based SEM is a second-generational regression tool for assessing complicated cause and effect relationships in management research. Moreover, due to the goodness of the results, the researchers chose this approach over basic regression as it examines the entire model rather than just one path (Azim et al., 2019; Uddin et al., 2019). 10 South Asian Journal of Human Resources Management Common Bias Method To ensure that bias remained within a fair spectrum, procedural integrity was strictly maintained. The survey was entirely voluntary, and those who participated were assured that their identity would remain anonymous. Moreover, the questionnaire was constructed using multiple reverse-coded items, considering the respondents’ monotonous tendencies. Additionally, Harman’s one-factor test showed that the first factor explained 27.07% of the total variance, which is lower than the 50% threshold. Furthermore, since the research employed the PLS–SEM approach, Kock’s (2015) suggestion was also considered for assessing and controlling method bias (CMB). According to Kock (2015), when a variance inflation factor (VIF) exceeds 3.3, it indicates extreme collinearity and that the model is affected by CMB. All the total collinearity variance inflation factor (VIF) values were lower than 3.3, indicating that there was no concern about CMB issues. Measurement Issues The two-step procedure mentioned in Henseler et al. (2009) was followed to analyse the data. The measurement model was evaluated with average variance extracted (AVE), composite reliability (CR) and discriminant validity (Henseler et al., 2009). CR refers to the indications of model reliability, with any value of 0.7 or greater showing a sufficient degree of reliability (Chin, 2010). The CR values of all the constructs are shown in Table 1, where it can be seen that they exceed the threshold value of 0.7, hence demonstrating adequate reliability. In general, validity is categorised into conceptually different segments: convergent validity and discriminant validity. Convergent validity reflects whether or not the item truly represents the underlying construct, as assessed through AVE and outer loadings, whereas discriminant validity indicates the constructs’ distinctiveness, in line with Fornell and Larcker’s criterion, the HTMT ratio and cross-loadings (Hair Jr et al., 2017). A construct’s AVE score which exceeds 0.5 represents convergent validity (Hair Jr et al., 2017), even if any factor loading is equal to or greater than 0.5 (Byrne, 2016). As shown in Table 1, the AVE scores of all the constructs ranged from 0.582 to 0.771, thus confirming convergent validity. In addition, the Fornell and Larcker criterion and HTMT ratio were considered to examine discriminant validity. According to Fornell and Larcker (1981), each construct’s square root of AVE must be higher than its correlation with the remaining constructs—likewise, HTMT values lower than 0.8, as recommended by Henseler et al. (2015). Table 2 shows that the square root of each construct’s AVE (represented by the diagonal scores in italics) is higher than the values below it, while Table 3 shows that all the constructs’ HTMT scores are below 0.85. Therefore, there is no issue with validity, and the model is both reliable and valid for subsequent analysis. 11 Islam et al. Table 1. Convergent Validity: Measurement Items with Factor Loading, AVE, CR. Construct Effort expectancy Facilitating condition Performance expectancy Social influence Perceived credibility Behavioural intention Actual use Item Loading EE1 0.740 EE2 0.821 EE3 0.812 EE4 0.668 FC1 0.846 FC2 0.904 PE1 0.810 PE2 0.849 PE3 0.799 PE4 0.688 SI1 0.826 SI2 0.785 SI3 0.806 SI4 0.715 PC1 0.855 PC2 0.810 PC3 0.873 BI1 0.793 BI2 0.813 BI3 0.871 AU1 0.849 AU2 0.912 AU3 0.873 CR AVE 0.847 0.582 0.868 0.767 0.868 0.622 0.864 0.614 0.883 0.716 0.866 0.683 0.910 0.771 Source: The authors. Note: Two items from facilitating conditions were deleted to confirm convergent validity; CR = composite reliability; AVE = average variance extracted. Table 2. Discriminant Validity with Fornell and Larcker Criterion. Latent Variable 1 2 3 4 5 6 1. Actual behaviour 2. Behavioural intention 0.406 3. Effort expectancy 0.260 0.696 4. Facilitating condition 0.577 0.625 0.599 5. Perceived credibility 0.039 0.260 0.328 0.217 6. Performance expectancy 0.282 0.646 0.724 0.450 0.308 7. Social influence 0.423 0.551 0.519 0.601 0.266 Source: The authors. 0.517 7 12 South Asian Journal of Human Resources Management Table 3. Discriminant Validity with HTMT Ratio. Latent variable 1 2 3 4 5 6 7 1. Actual behaviour 2. Behavioural intention 0.406 3. Effort expectancy 0.260 0.696 4. Facilitating condition 0.577 0.625 0.599 5. Perceived credibility 0.039 0.260 0.328 0.217 6. Performance expectancy 0.282 0.646 0.724 0.450 0.308 7. Social influence 0.423 0.551 0.519 0.601 0.266 0.517 Source: The authors. Evaluation of the Structural Model The model’s explanatory power can be assessed by two widely used approaches, namely R2 and Q2, and SRMR (standardised root mean residual; Rabiul & Yean, 2 2021). Cohen (1977) postulated that R v� alues of 0.10, 0.25 and 0.30 should be considered as small, moderate and significant, respectively. However, Hair Jr 2 et al. (2014) state that an R value above 0.20 is acceptable in behavioural 2 science. As illustrated in Figure 1 and Table 4, the R value of behavioural intention to use is 0.459, indicating that 45.9% of it can be explained by independent variables, whereas that for actual use is 0.129, indicating that 12.9% of it can be explained by behavioural intention to use. Any SRMR value below 0.080 is desirable (Hair et al., 2017); in this case, it is 0.071, as shown in Table 4, 2 indicating a good model fit. Additionally, Q works as a measure to project the model’s predictive value beyond its sample. Table 4 reports a low-to-moderate predictive relevance (Hair et al., 2017). VIF is a collinearity indicator, and any value greater than 3 leads to a greater error in regression weight (Mahmood et al., 2019). The largest VIF in this study, as shown in Table 4, is 1.675 (effort expectancy), indicating that the study has no multicollinearity issue. Moreover, the inclusion of control variables, such as age, gender, education, experience and industry type, showed their insignificant influence on the actual use of AI. Testing of the Direct Effects Consistent bootstrapping was employed to test the hypotheses, using 5,000 samples of the reflective measurement model, as suggested by Dijkstra and Henseler (2015), while leaving other conditions as default. Regarding the direct effects, five hypotheses (H1: β = 240; p = .001; H2: β = 0.217; p = .000; H3: β = 0.249; p = .000; H4: β = 0.128; p = .049; and H6: β = 0.336; p = .00) are supported (p < .05; Figure 1 & Table 5). However, perceived credibility does not have a significant effect on behavioural intention to use (β = 0.021, p = .639 or p > .05). Therefore, H5 is not supported because the respondents believed that technology was more reliable as it performs in a bias-free manner. 13 Islam et al. Effort Expectancy β=0.240 p=0.001 Facilitating Condition β=0.217 p=0.000 Performance Expectancy Behavioral Intention R2 = 0.459 β=0.249 p=0.000 β=0.336 p=0.000 Actual Behavior R2 = 0.129 β=0.021 p=0.639 Perceived Credibility β=0.128 p=0.049 Experience Social Influence Figure 1. Structural Model with Path Estimates. Source: The authors. Table 4. Quality of the Model and Fit Indices. Construct R2 VIF Q2 SRMR Actual behaviour 0.129 – 0.084 0.071 Behavioural intention 0.459 1.000 0.272 – Effort expectancy – 1.675 – – Facilitating condition – 1.395 – – Perceived credibility – 1.104 – – Performance expectancy – 1.567 – – Social influence – 1.433 – – Source: The authors. Table 5. Test Statistics of the Direct Effects. β CI 0.24 (0.105, 0.372) 3.484 .001 Supported FC → BI 0.217 (0.111, 0.318) 4.101 .000 Supported PE → BI 0.249 (0.108, 0.384) 3.517 .000 Supported 0.128 (0.004, 0.260) 1.966 .049 Supported PC → BI 0.021 (–0.067, 0.104) 0.47 .639 Not supported BI → AU 0.336 6.49 .000 Supported Hypothesis Relation H1 H2 H3 H4 H5 H6 EE → BI SI → BI (0.231, 0.432) T Value P Value Decision Source: The authors. Note: EE = effort expectancy; FC = facilitating condition; PE = performance expectancy; SI = social influence; PC = perceived credibility; BI = behavioural intention; AU = actual use. 14 South Asian Journal of Human Resources Management Testing of the Moderating Effects In line with the hypothesised research model, we examined the moderating effect of firm size and gender on the predictors of AI adoption, behavioural intention to use and actual use. Since firm size and gender were employed as moderator variables, multi-group analysis was used to examine the relationship (Hair et al., 2017; Sarstedt et al., 2011). We divided responses into two mutually exclusive groups based on gender: male (215, 80%) and female (55, 20%). Table 6 shows the moderating effect of gender on effort expectancy, facilitating conditions, perceived credibility, performance expectancy and social influence on behavioural intention to use, together with the influence of behavioural intention to use on actual use. The results of the multi-group analysis shown in the table reveal that gender has an insignificant impact on all the relationships between effort expectancy and behavioural intention to use (male: β = 0.252; p = .001; female: β = 0.169; p = .273); performance expectancy and behavioural intention to use (male: β = 0.213; p = .001; female: β = 0.256; p = .057); social influence and behavioural intention to use (male: β = 0.225; p = .005; female: β = 0.399; p = .005); facilitating conditions and behavioural intention to use (male: β = 0.213; p = .001; female: β = 0.256; p = .057); perceived credibility and behavioural intention to use (male: β = 0.041; p = .406; female: β = –0.024; p = .834); and behavioural intention to use and actual use (male: β = 0.358; p = .000; female: β = 0.266; p = .101). Moreover, we also conducted multi-group analysis between firms, such as small and medium organisations and large organisations. Since each respondent represented a distinct organisation and each organisation was counted as a sample, the researchers divided the respondents into two mutually exclusive groups based on firm size: large organisations (150, 56%) and medium to smallsized organisations (120, 44%). Table 7 shows that firm size has an insignificant effect on all the relationships between effort expectancy and behavioural intention to use (large organisations: β = 0.258; p = .003; small and medium-sized organisations: β = 0.253; p = .023); performance expectancy and behavioural intention to use (large organisations: β = 0.247; p = .002; small and mediumsized organisations: β = 0.218; p = .065); social influence and behavioural intention to use (large organisations: β = 0.134; p = .089; small and mediumsized organisations: β = 0.187; p = .046); facilitating conditions and behavioural intention to use (large organisations: β = 0.243; p = .002; small and mediumsized organisations: β = 0.137; p = .119), perceived credibility and behavioural intention to use (large organisations: β = –0.020; p = .757; small and mediumsized organisations: β = 0.040; p = .540); and behavioural intention to use and actual use (large organisations: β = 0.336; p = .000; small and medium-sized organisations: β = 0.358; p = .000). Therefore, it can be concluded that organisations of all sizes share a similar perspective towards the adoption of AI for recruiting personnel. PE → BI SI → BI FC → BI PC → BI BI → AU Relationship EE → BI Men STDE 0.078 0.08 0.074 0.061 0.05 0.057 B 0.252 0.225 0.127 0.213 0.041 0.358 0.005 0.087 0.000 0.406 0.000 P 0.001 0.399 0.096 0.256 –0.024 0.266 B 0.169 0.143 0.118 0.132 0.115 0.16 Women STDE 0.151 0.005 0.417 0.053 0.834 0.097 P 0.263 –0.175 0.031 –0.042 0.066 0.092 Difference 0.083 .288 .83 .741 .593 .562 P Value .61 Not supported Not supported Not supported Not supported Not supported Decision Not supported Relationship EE → BI PE → BI SI → BI FC → BI PC → BI BI → AB B 0.253 0.218 0.187 0.137 0.040 0.358 SME STDE 0.112 0.114 0.093 0.088 0.066 0.08 P 0.023 0.055 0.045 0.120 0.540 0.000 B 0.258 0.247 0.134 0.234 –0.02 0.336 LO STDE 0.088 0.080 0.091 0.074 0.063 0.067 P 0.003 0.002 0.140 0.001 0.757 0.000 Difference 0.004 0.029 –0.053 0.098 –0.060 –0.022 P Value .98 .837 .683 .392 .513 .828 Decision Not supported Not supported Not supported Not supported Not supported Not supported Note: EE = effort expectancy; FC = facilitating condition; PE = performance expectancy; SI = social influence; PC = perceived credibility; BI = behavioural intention; AU = actual use; SME = small and medium-sized enterprise; LO = large organisation; STDE = standard error. Source: The authors. Hypothesis H7 H8 H9 H10 H11 H12 Table 7. Moderating Effect of Firm Size on Hypothesised Relationships. Note: EE = effort expectancy; FC = facilitating condition; PE = performance expectancy; SI = social influence; PC = perceived credibility; BI = behavioural intention; AU = actual use; SME = small and medium-sized enterprise; LO = large organisation; STDE = standard error. Source: The authors. H14 H15 H16 H17 H18 Hypothesis H13 Table 6. Moderating Effect of Gender on the Hypothesised Relationships. 16 South Asian Journal of Human Resources Management Discussion Among IT-based HRM technologies, AI has grown rapidly in the recruitment industry, and system experts are claiming that its adoption and implementation will be the most appropriate strategic weapon to incorporate talent hunting programmes in the future. This study has analysed the major factors which are essential in endorsing AI-supportive technologies in employee recruitment by applying the extended UTAUT model in a developing country context. To ensure the originality and robustness of the findings, the moderation effects of firm size and gender were tested in all the hypothesised relationships. The results show that performance expectancy, effort expectancy, social influence and facilitating conditions have a significant impact on behavioural intention to use, and that behavioural intention to use subsequently influences the actual adoption of AI-based technologies in recruitment. However, our findings also indicate that perceived credibility has no significant effect on behavioural intention to use. Surprisingly, the moderation effect (Tables 6 & 7) shows that none of the moderating variables makes a significant intervention in regulating the adoption of AI in recruitment. In the adoption of technology, users’ perceived belief relating to their ability to solve any given problems is referred to as performance expectancy, meaning that the perceived functional capability of the system has predicting agility in behavioural intention to use. In our study, the hypothesised relationship between performance expectancy and behavioural intention to use is supported and is consistent with the studies of Uddin et al. (2021), Alam et al. (2020) and Alam and Uddin (2019). Therefore, the study endorses that AI-enabled technologies in Bangladesh can assist organisations to conduct talent acquisition effectively and can replace traditional recruitment processes. The study also supports the proposed relationship in which the extent of the user-friendly characteristics of AI-facilitated technologies perceived by Bangladeshi HR professionals has an influential impact on the behavioural aspects. This implies that if professionals believe that the adoption of AI-based technologies is difficult, they may exhibit repulsive behaviour; this is in line with the findings of Onaolapo and Oyewole (2018) and Ghalandari (2012). In our study, the hypothetical relationship between social influence and behavioural intention to use AI in the context of HR professionals in Bangladesh indicates that social influence significantly leads to behavioural intention to use, which implies that AI acquisition and adoption are backlashed by HR professionals’ peers, colleagues, supervisors and friends. Similar results were obtained in the studies of Kaba and Touré (2014) and Shiferaw and Mehari (2019). Moreover, the adoption of AI-enabled technologies calls for facilitating conditions, meaning infrastructural and technical support from top management, vendors, users, importers or suppliers. Our study supports the tenets of facilitating conditions and behavioural intention to use, which indicate that when recruiters in Bangladesh receive sufficient technological support in the adoption of AI for Islam et al. 17 talent acquisition, their motivation will increase; our findings are in line with those of Uddin et al. (2020). The extended construct, perceived credibility, is not supported in our study, which shows that HR professionals in Bangladesh do not consider it to be an influential factor in adopting AI in recruitment. This finding is contrary to those of Gupta et al. (2019), Khan et al. (2021) and Alam et al. (2020). Naturally, the present generation in Bangladesh enjoys the formal learning opportunities provided by technology in educational institutions and social groups, which proxies their absorption capacity to reshape their attitudes and perception to overcome techno-centric obstacles. They strongly believe that their tech-directed knowledge encourages them to adopt AI-based technologies in changing situations (Jilani et al., 2022). Regarding the moderation effect, it is noticeable that none of the moderating variables was found to be significant. First, gender does not have a significant effect in the relationships between performance expectancy, effort expectancy, social influence, facilitating conditions, perceived credibility and behavioural intention to use, and between behavioural intention to use and actual use. These findings are contrary to those of Venkatesh et al. (2003), Venkatesh et al. (2012), Tsourela and Roumeliotis (2015) and Alam et al. (2020). One possible reason for the discrepancy is that the majority of respondents were male, with low participation of female HR professionals, which prevented the distinctive moderation effect of gender on the adoption of AI-centric technologies. Second, similar to the moderation effect of gender, the effect of firm size shows no interaction effect on performance expectancy, effort expectancy, social influence, perceived credibility or behavioural intention to use, nor on behavioural intention to actually use. This finding is contrary to the studies of Salah et al. (2021) and Wang et al. (2018) but consistent with that of Pan et al. (2022). The reason behind the inconsistency might be that the majority of respondents represented medium and large firms. As a result, the intervening effect of firm size is not evident in any of the hypothesised relationships. Theoretical Contributions of the Study The study makes several notable contributions. It sheds light on the use of AI to recruit talents using the lens of the UTAUT model. This model has been previously used in the study of the adoption of AI, but mostly in advanced countries. Therefore, this study is original as it is from the developing country perspective which will undoubtedly contribute to advancing the current body of knowledge of AI adoption to recruit talents. Moreover, this study extends the original UTAUT model with the inclusion of perceived credibility as a predictor variable, and gender and firm size as moderators. Surprisingly, the study echoes and validates the results of original UTAUT adoption in previous studies and disproves the use of perceived credibility and moderators such as gender and firm size. Another important contribution is the methodological novelty of using the responses from 18 South Asian Journal of Human Resources Management HR professionals, which play an important role during the recruitment process. Finally, it suggests the necessity to restructure the function of human resources, especially in the recruitment of talent. It is also expected that the conceptual and practical insights of the study will boost the adoption rate of AI in terms of both frequency and appropriateness in developing countries. Moreover, the study highlights the adoption of AI from the HR professionals’ perspective, and is not limited to any particular sector, which is also a significant contribution to advancing understanding of AI adoption using the tenets of UTAUT. Managerial Implications of the Study The outcomes of the study provide a number of insights for AI system designers, developers, importers, vendors and HR professionals concerning the adoption of AI-enabled technologies in organisations. First, system designers and developers should concentrate more on the functional capability of AI-enabled technologies in the context of emerging economies in South Asia, such as Bangladesh. Table 5 demonstrates that the value of the beta coefficient is high for the constructs of performance expectancy (β = 0.249) and effort expectancy (β = 0.240) among the four dependent variables of the original UTAUT model. In brief, importers, vendors and HR business partners should concentrate more on individual-level variables rather than group or organisational-level ones. Second, the findings of the study provide important insights for the practising HR professionals who are directly involved with recruitment and selection. Findings of this study will assist them to construct and use AI at their organisation by considering the antecedents of intention to use and actual use of AI. Moreover, the study will pave the way for strategic HR leaders to analyse HR training needs and identify gaps based on the different antecedents of AI adoption in employee recruitment. Henceforth, the results of this study will assist them in designing the appropriate training and development programmes to reshape the behavioural patterns of employees, which in turn may accelerate the adoption rate of AI in Bangladesh. Third, the moderation effect in the study shows that AI-enabled system developers, designers and vendors need not consider either gender or firm size in the development phase; rather, they should concentrate more on the social influence and facilitating conditions of AI-enabled technologies. Finally, the study enriches the literature in the area of information system, especially in technology acceptance, giving academics, researchers, entrepreneurs and students comprehensive conceptualisation of AI-based technologies. Limitations and Future Research Directions The study is not without its limitations, despite its original contributions to the body of knowledge. First, it attempts to examine the behavioural intention to Islam et al. 19 use and actual use of AI for talent recruitment in Bangladesh, an approach which is still in its infancy, thus implying the possibility of national bias. Second, the respondent pool was confined to HR professionals from various firms in Bangladesh, the majority of whom were male and on average 33 years old, raising concerns about generalizability and industry comprehensiveness. Third, rather than relying on the three key moderators in the original UTAUT model in addition to gender, firm size was used as a moderator. However, the respondents were predominantly from service organisations (68%), limiting the generalizability of the findings. The same holds true for the intervening effect of gender, as the participants were overwhelmingly male (80%). Moreover, the cross-sectional data raise concerns about the credibility of the study. Therefore, adopting longitudinal and repeated longitudinal approaches with a larger sample size and even distribution of respondents’ demographic characteristics in similar contexts may be a viable avenue for future researchers. In addition, the territorial restrictions of the study provide opportunities for further investigation in other emerging regions. In conclusion, although the predictive power of the behavioural intention of the model is satisfactory (41.5%), several potential elements (e.g., self-efficiency and technology trust) could be included to improve its explanatory power. Conclusion The present study provides useful insights into AI adoption for recruiting talents in the context of a developing country, Bangladesh, using the lens of UTAUT which was not addressed elsewhere. Particularly, the research attempted the original UTAUT model with few modifications, including the relevant control variables, for AI adoption. The results obtained showed that all the predictor variables of original UTAUT variables are found significantly associated and the influence of perceived credibility on behavioural intention to use is not supported. Moreover, the multi-group analysis showed that there is no moderating influence of gender and organisational size. The findings of the study imply that the original UTAUT model explains the adoption of AI technology in recruiting talents in the Bangladesh context. However, future researchers are recommended to attempt UTAUT2 and other models with different research designs if the attempted findings bring any difference in theory and practice. Declaration of Conflicting Interests The authors declared no potential conflicts of interest with respect to the research, authorship and/or publication of this article. Funding The authors received no financial support for the research, authorship and/or publication of this article. 20 South Asian Journal of Human Resources Management ORCID iDs Muhaiminul Islam Abdullah Al Mamun https://orcid.org/0000-0002-5927-3762 https://orcid.org/0000-0001-9042-8163 G. M. Azmal Ali Quaosar Md. Aftab Uddin https://orcid.org/0000-0001-9125-7378 https://orcid.org/0000-0002-9101-7451 References Absar, M. M. N. (2012). Recruitment & selection practices in manufacturing firms in Bangladesh. Indian Journal of Industrial Relations, 47(3), 436–449. Adikaram, A. S., Priyankara, H. P. R., & Naotunna, N. P. G. S. I. (2021). Navigating the crises of COVID-19: Human resource professionals battle against the pandemic. South Asian Journal of Human Resources Management, 8(2), 192–218. https://doi. org/10.1177/23220937211018021 Ahmadi, H., Nilashi, M., Shahmoradi, L., Ibrahim, O., Sadoughi, F., Alizadeh, M., & Alizadeh, A. (2018). 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