The Role of Artificial Intelligence in Strategic Human Resource Management: A Case of the Banking Sector in Ibadan, Nigeria

This study examines the role of AI adoption in Strategic Human Resource Management
(SHRM) in Nigeria's banking sector, determine the current state of AI adoption and its impact
on human resource functions and organizational performance in the banking sector in Ibadan,
Nigeria. A descriptive research design was used for this study. Data collection was carried out
using primary data source via closed-ended questionnaire design. The study is anchored on
Resource-Based View (RBV) theory. While a stratified random sampling method was used for
selecting 150 respondents as a sample size using Slovin formula on population 250 staff of the
selected banks operating within the Ibadan Metropolis in Nigeria. Data were analyzed using
descriptive techniques such as frequency, percentage, mean and inferential statistics such as
regression was employed to assess the extent to which AI adoption SHRM in the banking sector
independently influenced organizational performance. Result shows that AI adoption in SHRM
significantly influenced Nigeria’s banking sector with F-statistic (F (1, 148) = 63.983, p <
0.01). Additionally, result show that AI adoption and HR functions and organizational
performance in the banking sector have insignificant correlation with r (148) = 0.009, r2= 0.917,
p>0.05. Subsequently the study recommends that the management of banking sectors should
learn AI skills and collaborate with IT professionals to implement AI-based HR systems to
unlock the full potential of AI and to maximize organizational performance.