The Impact of HRIS Implementation on HR Management Efficiency in Indonesian Start-ups

Candra Sukma Wijaya and Ivan Septiawan
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Candra Sukma Wijaya: Widyatama University, Bandung, Indonesia.
Ivan Septiawan: Widyatama University, Bandung, Indonesia.

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Abstract: This study aims to analyse the effect of Human Resource Information System (HRIS) implementation on human resource management efficiency in start-up companies in Indonesia and to examine the role of employee digital literacy as a moderating variable. The study employed a quantitative approach with an explanatory design. Data were collected through a questionnaire distributed to 200 employees and human resource staff who had used HRIS for at least six months. Respondents were selected using purposive sampling. The research instrument used a five-point Likert scale, while data analysis was conducted using the Partial Least Squares Structural Equation Modelling (PLS-SEM) method via SmartPLS 4 software. The results indicate that HRIS implementation has a positive and significant effect on HR management efficiency, with a path coefficient of 0.531. Employee digital literacy also has a positive and significant effect on HR management efficiency, with a coefficient of 0.247. In addition, the interaction between HRIS implementation and digital literacy yields a coefficient of 0.116, indicating that digital literacy strengthens the impact of HRIS on HR management efficiency. These findings suggest that the benefits of HRIS are determined not only by system quality, data integration, and automation levels but also by users' ability to operate and utilise the technology. Therefore, start-ups need to develop HRIS systems tailored to organisational needs while simultaneously enhancing employees' digital competencies through continuous training and mentoring.

Date: 2026-07-23
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Published in Asian Journal of Economics, Finance and Management , 2026, 8 (1), pp.689-700. ⟨10.56557/ajefm/2026/v8i1397⟩

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Persistent link: https://EconPapers.repec.org/RePEc:hal:journl:hal-05704608

DOI: 10.56557/ajefm/2026/v8i1397

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