Ecosystem-driven adoption of human resource analytics: institutional mechanisms and perceived organizational performance in Indonesia

Human resource analytics (HRA) has become a strategic capability for organizations navigating volatile and uncertain environments. This study examines the drivers of HRA adoption and the role of adoption in translating contextual conditions into perceived organizational performance in Indonesia using an extended Technology–Organization–Environment framework. Survey data from 112 HR professionals across multiple industries were analyzed using Partial Least Squares Structural Equation Modeling. The findings show that environmental factors, specifically external support and competitive pressure, are the strongest drivers of HRA adoption, surpassing traditional organizational determinants. Technological factors, such as relative advantage and data quality also play meaningful roles, while organizational readiness shows no significant influence. These results challenge conventional assumptions by showing, in the Indonesian context, that ecosystem-based normative and mimetic pressures shape adoption more strongly than internal capability building. HRA adoption further mediates the relationship between contextual factors and perceived organizational performance, indicating that favorable performance perceptions arise when technological, organizational and environmental conditions are institutionalized through analytics adoption. The study offers practical guidance for firms pursuing digital HR transformation, emphasizing the importance of ecosystem engagement, data governance and competitive benchmarking in emerging markets.