Abstract
Considering the cutthroat competition in IT organizations, public and state-based organizations are trying to develop strategies to promote innovation in the organizations. However, due to monopolistic structure, employee rigidness, and lack of innovation climate, employees are reluctant to perform innovatively in such organizations. New HRM practices (NHRM) can enrich the talented, motivated, committed, and innovative staff to enhance innovation. However, empirical evidence to prove this relationship is insufficient. Therefore, this study aims to analyze the effect of NHRM practices on innovation performance with the mediating role of organizational innovation and the moderating role of the innovation climate. Data collected from semi-government IT-based organizations provide results that there is a significant positive relationship between NHRM practices and innovation performance. The mediating role of organizational innovation was also found. Moreover, the results of the moderated-mediation show that the mediating role of organizational innovation is also strong if the organizational climate is more innovative. These results provide managerial guidelines to promote NHRM practices to enhance innovation performance in the semi-government IT-based organizations of Pakistan.
Highlights
Considering the globalized rivalry situation, public and state government organizations have not realized pressure to innovate due to having monopolistic power of providing services [1]
All the key variables, such as new human resource management (HRM) (NHRM) practices, innovative climate, organizational innovation, and innovation performance of this research were analyzed by the statistical software of IBM Statistical Package of Social Science (SPSS) version 21.0
The term NHRM practices create positive effects on innovation performance and organizational innovation forms an important role between NHRM practices and innovation performance
Summary
Considering the globalized rivalry situation, public and state government organizations have not realized pressure to innovate due to having monopolistic power of providing services [1]. Organizations have been confronted to perform efficiently and effectively just like private organizations. In this scenario, governments are trying to develop strategies to promote innovation within organizations through hiring skilled staff, improving operating systems, or selling tradition infrastructure and properties [2]. Since it is evident that the traditional methods to operate the organization are less effective in the motivation and development of employees’ creativity, which contributes in the modern era by facing rapid changes and uncertainty, those organizations need to transform their methods and techniques to perform innovatively [3]
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