STRATEGIC HUMAN RESOURCE MANAGEMENT IN INDUSTRY 5.0 WITH REFERENCE TO INDIA

Abstract

Industry 5.0 marks a significant transition from purely automation-driven industrial systems to organizational models that prioritize human-centricity, resilience, sustainability, and intelligent collaboration between people and advanced technologies. In this emerging context, Strategic Human Resource Management (SHRM) assumes a pivotal role because the success of digital and cyber-physical transformation depends not only on technological deployment but also on workforce preparedness, adaptability, and alignment with long-term organizational strategy. Although scholarly discussion on Industry 5.0 has grown rapidly, empirical studies that connect SHRM with employee adaptability, technological readiness, and organizational performance remain limited, especially in the Indian context where industrial modernization is unfolding unevenly across sectors.

The present study addresses this gap by examining the role of SHRM in enabling Industry 5.0 transformation in India. The study adopts a quantitative research design and draws on primary data collected from 450 employees working in manufacturing and information technology organizations across major Indian cities. A structured questionnaire was used to measure SHRM practices, employee adaptability, technological readiness, and organizational performance. Structural Equation Modeling (SEM) through AMOS was employed to test the proposed conceptual relationships.

The results indicate that SHRM exerts a strong positive influence on employee adaptability (β = 0.71) and technological readiness (β = 0.66). Both adaptability (β = 0.60) and technological readiness (β = 0.62) significantly enhance organizational performance, while the indirect path confirms that SHRM contributes to performance through these mediating variables. The model demonstrates satisfactory fit and measurement quality, with CFI = 0.958, RMSEA = 0.043, AVE above 0.50, and CR above 0.70. The study contributes to theory by integrating Industry 5.0 principles into SHRM literature and provides practical guidance for organizations seeking to build future-ready, human-centered, and technologically resilient work systems.