Given our broad definition of HPWPs, one might
question which HR practices will be best at promoting
innovation. To determine this, we rely on the
concept of goal setting for guidance. Most managers
are familiar with the idea that goal setting is an
effective way to promote employee behaviors toward
specific individual or organizational objectives.
Beyond individual factors, managers should
consider organizational factors that play a part in
successful goal attainment once goals such as innovation
are incorporated into employee job duties.
These considerations for managers should include
making sure employees have sufficient skills and
aptitude to achieve the stated objectives (ability),
are dedicated to the pursuit of the goal (commitment),
and obtain clear information regarding current
progress (feedback) (Latham, 2004). From a
goal setting perspective, innovative work outcomes
are the desired goal, and using Latham’s suggestions
for enhancing goal attainment as a guide, we identify
specific HPWPs that encourage innovation. In sum,
this approach suggests that an effective system of
HR practices designed to promote innovation must
support the selection of employees with innovative
abilities, enhance employees’ commitment to inno-
vation, and provide useful feedback so employees
have a higher probability of being innovative.
Because ability, commitment, and feedback are
key pillars for ensuring success, we use them as a
framework to communicate a system of nine specific
HPWPs that positively influence an organization’s
innovation output (see Figure 1). Though each of
these practices promotes innovation individually,
SMEs will likely obtain the best outcomes if these
practices are implemented as a cohesive system of
HPWPs that reinforce one another in cultivating a
culture of innovation. Undoubtedly, the practices
we outline can assist large firms pursuing an innovative
strategy; however, we believe these practi-
ces offer greater value for growing, yet financially
constrained businesses. We therefore focus on the
benefits of these HR practices for SMEs while acknowledging
they can apply to all innovation-driven
companies. Table 1 provides an overview of the
selected HPWPs, along with their direct implications
for organizational innovation.