Abstract
<jats:p>The growing integration of artificial intelligence (AI) into human resource management has significantly transformed the ways organizations manage employee experience and develop human capital capabilities. At the same time, increasing attention to sustainable human capital management highlights the need for HR practices that simultaneously support employee development, well-being, and long-term organizational performance. In this context, the purpose of this study is to conceptualize AI-powered employee experience as an organization’s strategic capability that enables the operationalization of sustainable human capital management principles. The study is based on a conceptual and analytical approach combining methods of theoretical generalization, comparative analysis, and systematization of contemporary research on artificial intelligence in human resource management and employee experience management. Building on these methods, the article develops an enhanced analytical framework explaining how AI technologies, employee data, and HR practices interact to create personalized, data-driven employee experiences across the employee lifecycle. The results demonstrate that AI-powered employee experience functions as a strategic enabler of sustainable human capital management by facilitating the alignment between individual employee development, well-being, and broader organizational objectives. At the same time, the study highlights the importance of human-AI complementarity, emphasizing that AI strengthens analytical and operational HR processes, while human managerial roles remain essential for relational, developmental, and value-based aspects of people management. The proposed framework contributes to the literature on AI in HRM by clarifying the role of AI-enabled employee experience in supporting sustainable human capital development and providing conceptual guidance for organizations integrating AI technologies into human-centered HR strategies.</jats:p>