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The influence of individual HR practices on innovation in service organizations

Bouius, Manon (2012) The influence of individual HR practices on innovation in service organizations.

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Abstract:This research explores the relationship between innovation and Human Resource Management (HRM) in service organizations. The reason for this is that both within the service sector and within HRM important shifts can be identified. The two shifts show that there is a need for more scientific research, because of the opportunities the service sector offers and the role HRM can play in seizing those opportunities. The main question in this research is therefore: “HOW DO INDIVIDUAL HR PRACTICES STIMULATE INNOVATION IN SERVICE ORGANIZATIONS?” To provide insight in this relationship the HR practices staffing, training and development, appraisal, compensation and planning have been chosen to investigate, because the research of Jiménez-Jiménez and Sanz-Valle (2005) and the work of Boselie, Dietz and Boon (2005) show that these are the most commonly used practices. To see if the proposed relationships actually exist, six interviews were conducted within three service organizations. In each organization, one interview took place with a HR-manager and one with a manager from another department. Based on the data obtained, it can be stated that it is likely that hiring from outside has a positive influence on innovation in service organizations. However, this only applies when experts are hired. When temporary agency workers are used to fill staff shortages, this is not considered as potential for innovation. For team based training as well as for flexible compensation the proposed relationships were justified. In this research, the relationship between results-oriented appraisal and innovation was not supported. Finally, a relationship between job rotation and innovation could not be justified, because no organization applied this HR practice. In conclusion it can be stated that HR practices indeed encourage innovation. The way in which they do this in practice, is different from what is assumed in literature.
Item Type:Essay (Bachelor)
Faculty:BMS: Behavioural, Management and Social Sciences
Subject:85 business administration, organizational science
Programme:Business Administration BSc (56834)
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