Opportunity enhancing human resource practices and radical innovation: The mediating role of exploration

Abstract

Aim/purpose – This study evaluates the influence of opportunity-enhancing human resource practices on radical innovation and examines the mediating role of exploration capability in this relationship. Design/methodology/approach – Hypotheses were formulated to determine the rela- tionship between opportunity-enhancing human resource practices and radical innova- tion, as well as the mediating role that exploration capability plays in this relationship. These were tested in 168 Colombian companies from the telecommunications and chem- ical-pharmaceutical sectors using Structural Equation Modeling (SEM) via the Partial Least Squares (PLS) technique. Findings – The study indicates that opportunity-enhancing human resource practices positively and significantly influence radical innovation. In addition, this relationship is mediated by exploration capability. Research implications/limitations – Organizations should implement opportunity- -enhancing human resource practices to support radical innovation development. These practices provide employees with opportunities to explore relevant knowledge and tech- nologies necessary for radical innovation. Originality/value/contribution – Identifying and testing a specific group of human resource practices that facilitate radical innovation is one of the most significant gaps in the scientific literature on the relationship between human resource practices and innova- tion. According to this article, opportunity-enhancing human resource practices facilitate radical innovation in organizations. Furthermore, previous research has not examined the relationship between opportunity-enhancing human resource practices, exploration capa- bility, and radical innovation. Keywords: exploration capability, radical innovation, opportunity-enhancing HR prac- tices, Structural Equation Modeling (SEM). JEL Classification: O3, M1.