Artificial Intelligence (AI) has opened up tremendous opportunities in the workplace through robotics innovation, which envelops both AI and the Internet of Things (IoT). Precision, Efficiency, and Flexibility are considered the potential benefits of Industry 4.0. The implementation of Industry 4.0 requires a lot of changes, including the Human Resource (HR) function. In Industry 4.0, the HR capability is more critical and gives an upper hand to the organization. The HR capability should be more cautious and adaptable to adjust to the difficulties and requirements. We study the contributions of AI in HR digitalization and practices in Industry 4.0. 271 HR experts working in Information Technology (IT), Manufacturing, and administration are selected to participate in this review focusing on five AI applications in HR capability and three elements of HR readiness. The information collected was examined utilizing the Statistical Package for Social Sciences (SPSS) tool and Analysis of Moment Structures (AMOS). The results uncovered that hierarchical organization examination is a fundamental part of acquiring sustainable development. Adaptability and human asset capability are upheld by each of the five components of AI application areas of HR. Well-being and Safety improvement were viewed as vital components under the AI application in HR.