Role of Emotional and Artificial Intelligence in Employee Performance: A Perspective from the Indian Service Industry

Abstract

Artificial intelligence (AI) and emotional intelligence (EI) are primary game changers in Industry 4.0. To ensure growth, organisations look to technological advances for support but should remain focused on developing people and resources that power organisations and drive it forward. This study attempts to combine these two concepts. This research investigates the impact of EI and AI on employee performance with focus on the Indian service industry. The data was collected from different service industry employees. Employee performance has been observed through internal and external services provided to customers and co-workers, respectively. Descriptive statistics and PROCESS macro were used to test the mediation (Model 4) and moderation model (Model 1). Both EI and AI significantly impact employee performance. All the bivariate correlations were significant at the 0.01 level. Correlations between the dimensions of EI and dimensions of employee performance were higher as compared to dimensions of AI and employee performance. To conclude, EI has a major impact on employee performance, while AI moderates the relationship between EI and employee performance.