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Kutieshat, R. New Human Resource Management Practices on Innovation Performance. Encyclopedia. Available online: https://encyclopedia.pub/entry/20906 (accessed on 05 July 2024).
Kutieshat R. New Human Resource Management Practices on Innovation Performance. Encyclopedia. Available at: https://encyclopedia.pub/entry/20906. Accessed July 05, 2024.
Kutieshat, Ruba. "New Human Resource Management Practices on Innovation Performance" Encyclopedia, https://encyclopedia.pub/entry/20906 (accessed July 05, 2024).
Kutieshat, R. (2022, March 23). New Human Resource Management Practices on Innovation Performance. In Encyclopedia. https://encyclopedia.pub/entry/20906
Kutieshat, Ruba. "New Human Resource Management Practices on Innovation Performance." Encyclopedia. Web. 23 March, 2022.
New Human Resource Management Practices on Innovation Performance
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This entry is adapted from the peer-reviewed paper 10.3390/su14052872

The conventional set of human resource management practices as an important source should create a flexible and innovative view to maintain the significant effects in unique organizational strategies that distinguish committed employees, wherever continuous innovation is essential for gaining organizational sustainability. The competitive and unpredictable situation requires new human resource practices (NHRM) to deal with problems in the organizations to enhance their climate, contribute and heighten innovation performance. This shifts the entire scenario to technological processes such as E-recruitment selection, training, reward systems, employee involvement in decision-making, and teamwork linked strongly with organizational performance and HR outcomes. Evolutionary research is required on HRM practices because different researchers have indicated that the studies are scarce, as such research examines the relationship between NHRM and innovation performance. 

COVID-19 crisis new human resource management practices (NHRM) innovation performance (IP)

1. New Human Resource Management Practices

Schuler and Jackson [1] introduced the importance of linking HRM practices and the competitive strategy of firms; strategy-based innovation needs to be created via mid-level people who take the initiative for change and solve problems with new ideas. They referred that some new HRM practices that have a wide generalization and are not entirely new but have reappeared lately. De Miranda Castro et al. [2] considered the horizontal directness among the several human resource practices to business administration leads to good quality of working life and more alignment between HR subsystems and the strategy of organizations. That E-HRM is a unique side that reflected the practices. However, NHRM has other aspects such as “flexibility” to deal with new situations. Also, strategy-based innovation, an initiative for change, and solving problems with new ideas. Researchers explained that NHRM practices are clusters that intend to produce responsibility, flexibility, creativity, autonomy, and participation in production, not being interested in traditional HRM practices such as recruiting, selection training, and career paths. Information technology integrating with NHRM practices can achieve innovative performance, thus reducing mistakes and risks. Indeed, researchers demonstrated the empirical association connecting NHRM practices and innovation performance at organizations’ planning. NHRM practices give significance to individual systems [3][4] and reduce bureaucratization. However, the inflexibility of hiring and promotion processes often diminishes employees’ opportunities to do diverse work [5]. At the same time, several systems are formed within NHRM practices to gather employees’ recommendations for gaining recent changes, decentralization of decision rights, team spirit in organizations, and quality of work [6].
Al-Harazneh and Sila [7] targeted internet and technology advancement trajectory has affected people's lives, particularly education systems. As well, as the technology has a robust consequence on human resource management (HRM) processes and practices in a new approach and handled since the 1990s that corresponds with the replacement of face-to-face HRM activities and web-based HRM digitalization through automation systems. The employee’s skills and behaviors affect organizations’ implementation outcomes and raise the value in performance, improving a firm’s effectiveness in HR-related tasks.
Furthermore, Nedumaran and Rani [8] encourage thinking innovatively using the HR technology named E-HRM to enhance accurately and effectively more flexible human resources management practices, facilitate the tasks and reshape work and life communication and behaviors. As an example on can cite E-recruitment, whereby candidates are allowed to apply online during job boards providing a database that allows searching, screening, and filtering applications for an interview. It is a conscious support tool in a modern company, using automated tool web-based online channels.
The practices go well with shifting scenarios to upskilling and digitizing the processes such as E-recruitment, especially in the present crisis [9]. However, the outsourcing of highly skilled IT workers produced a different design of HR practices. In comparison, the conventional HRM approach to recruitment aims at a lower cost and often satisfies the company’s HR needs [10].

2. Organizational Innovation

According to Moohammad et al. [11], several scholars and institutions have presented definitions of innovation. For instance, it is ‘a process that involves the generation of new ideas or practices within an organization’ furthermore, they explored the fact that the propensity to practice innovation is greater if organizations are larger. In particular, surviving organizations in the fast-changing global system need to cope with the challenges of continuously progressing technological capacities. Meanwhile, Adam et al. [12]. said that innovation represents “a new ability to create wealth with resources and discuss innovation completely and systematically”. Innovation strength is in new management, technology, products, and services practices. It demands ideas to be better and executed in organizations, effectively facing environmental changes.
Waheed et al. [3] linked main trends to clarify innovation in organizations to gain a competitive advantage by the critical relation with NHRM practices to achieve innovative performances (IP). First, they focused on the practitioners of IT dexterity in organizations. Then, they implemented IT-based training, which lead to IP that previous investigations had overlooked in the use of IT ambidexterity in organizational performance. Also, their study revealed that organizations should not only focus on existing processes, technology, products and services, but need to practice different HR strategies like job rotation, autonomy, training, and development, with the most high-level (IT) system for producing an innovative performance. Moreover, organizations are headed to adapting to new circumstances, innovating to obtain space in changes in the political-economic environment and investing essentially in human capital. HRM practices positively impact organizational innovations during both employee and organizational behavior; HRM practices allow the employee to acquire skills to deal with new shifts in workplaces to work as a team to create successful innovations within organizations [13].
Technology issuance has enabled the adoption and undertaking of innovations in organizations and the influence of web-based HR on the HRM system force implemented by HR professionals of behavioral, intention, and position. Examiners studied Jordan as a developing country producing innovative pioneering changes in IT applications. The population is aimed at the telecommunications sector in Jordan. Companies include the Orange, Zain, and Umniah companies in Jordan. The authors specified the telecommunications sector because it is one of the main sectors that invests in human assets and pursues constant innovation in the Jordanian organizations telecommunication sector by studying the elements that digitize their HRM and affect organizational usefulness in different areas (Al-Harazneh and Sila [7]).

3. Innovative Work Behavior

Employees produce indispensable innovation in organizations with creative and new ideas, which are identified as innovative work behavior (IWB); moreover, it refers to ideas’ development and implementation aspects that enable employees to display merit performance [14]. Responsiveness to changes and new technology reveals the significant challenges facing organizations and employees to seek innovation; individual innovation processes are supported by HRM practices such as flexible job design [15]. However, adopting an innovative approach in the workplace may lead to paying a price and conflict, particularly with co-workers [16]. On the other hand, researchers focus on the multi-dimensional aspects linked to innovative work behavior, such as formulating, experimenting and evaluating ideas and solutions [17]. Plus, great importance for research and development professionals lies in promoting innovation amongst participants within the organization, increasing the amount of discretion allowed individuals in their job performance. These variables are cited as required boundary restrictions in patterns of creativity, even though the complexity of studying individual innovative behavior in a natural work context is still increasing. Where turbulent environments are always found, every employee’s job description is based on innovation in organizations [18]. Intrinsic motivation of responsibility and engaging IWB of employees is enhanced through leadership participation; directly, increased employee IWB helps enhance the organization’s innovative capability and innovative results [19].
Lin et al. [20] confirmed that fast technologies improved innovative work, efficiencies, talented and competent employees, changing work enhancement, enriching physical, mental, and social defenses. Technology may also guide improved recruitment, training, career management, and performance evaluations in organizations. Outcomes of the study show that abusive management has a significantly negative correlation with job performance and the quality of employees’ work behavior.

4. Innovation Performance

Innovation can be instated via individuals or organizations; it is a process that starts with an idea, progresses with the improvement, and ends with a novel output such as a process, product, or service. Organizational performance is influenced by innovation, a highly trained skilled workforce, and resource-based innovative knowledge with high-technology. Additionally, revenue growth is affected by the quality of innovation. The innovation performance relationship considers the value of recruitment outcomes and retention of employees [21]. Innovation system requirements are continuing innovation in products and processes that rely on technical skills and knowledge, particularly in educational sectors, by focusing on human resources. Work in organizations depends on employees’ capacity to tackle a complicated problem [22], like changing the business environment conditions during the COVID-19 period, raising the need for innovative activities to improve products by knowledge to enhance performance [23].

5. Human Resource Management Practices, Innovation Performance, Educational Sector, and the COVID-19 Pandemic

Future sustainability challenges that refer to population and employment are based on education, the key for sustainable development and human development. Innovations in education affect governance and policy by upholding laws and regulations. Presently, these are being reconstructed by new digital technologies such as artificial intelligence and the internet in flexibility and creative work [24], developing skills among students and higher efficiency with enhanced teaching and learning [25].
During the COVID-19 pandemic, organizations must act effectively and efficiently using relevant knowledge and innovation by utilizing information technology to manage the resources to remain sustainable [23]; starkly, the pandemic revealed the importance of fundamental changes in HRM practices for dealing with people [26]. HRM performed a significant function during the digital shift such as teaching and helping employees to handle digital platforms. Globally, the crisis required employees to have technological skills to perform their work remotely. Also, managers were required to obtain the skills to motivate and regulate their employees in this new scenario [27]. Laursen and Foss [28] have referred to the complementarities among several technologies and learning while addressing NHRM practices and innovation performance. Decision-makers need to respond immediately, considering crises are opportunities [29]. Moreover, HR professionals should channel their energies towards enhancing and up skilling employee’s transformation to adapt to changed workplace practices to be flexible and lying on new innovative technology, such as digitizing the recruitment process to deal with contemporary or future predicaments [9]. Furthermore, to expand the process of innovation, government, communities, and educational institutions should share schools in managing the knowledge sources like providing exceptional training and attending workshops to attain organizational learning full of spark innovation [30], such as using current skillsets to infer new methods that facilitate a learning environment [31], plus, the use of EdTech innovation to follow up-to-date trends to obtain effective outcomes in colleges and schools. The findings showed positive effects on learning outcomes in one of the Jordanian universities [32]. The Jordanian educational system introduced personal computers two decades ago in collaboration with the British government, which was a significant innovation challenge which faced the educationalists [33]. E-Learning as a teaching method was tested during the COVID-19 pandemic in the educational sector in Jordan, and the research found that the influence of E-learning education has both positive and negative aspects, and proper training is needed to achieve the proper benefits; this also guides the government to enhance E-learning as a teaching system even after COVID-19 [34]. Also, more readiness and contingency plans are needed in Jordan to develop an education system that supports distance learning [35]. Besides, the time has come for educational organizations to continue to attract quality human capital and achieve a competitive advantage [36].
The COVID-19 emergency pandemic shifted the attitudes of learning to the online style. In this study, Jordan, a Middle Eastern country with a 10 million strong population, showed good potential in the 2000s in using and applying information and communication technology (ICT) applications at moderate prices for ADSL and fiber-optics. The conventional face-to-face teaching and learning pattern was the norm. In sum, it is no longer optional to follow with online learning but a necessity because of the COVID-19 E-learning trial. Jordan is described as a limited resources country where the educational systems enjoy a great reputation. The education sector and institutions lead by using communication technology, establishing their infrastructure. Therefore, E-learning should be supported continuously by training and gaining technological skills for all staff and students [37]. Grencikova et al. [38] described the importance of creative HR practices linked with the performance in organizations. Their study argued the biggest challenge that faced HRM practices was dealing with the deficit of qualified, skilled, and motivated people in the global labor market. Researchers suggested creating an age-diverse group of employees participating in the distinct ideas of talented young people and senior’s work experience to be as trainers for other employees’ systematic training and development processes to introduce professionals in their knowledge, skills, and abilities to get the successful performance in their jobs and meet fluctuations in circumstances and requirements of their jobs in organizations.
NHRM practices have flexibleness and inventiveness to deal with complexity and accelerated varieties of the environment. Scholars have revealed a significant positive relationship linking NHRM practices and innovation performance in semi-government organizations based on IT- techniques [39][3]; further, organizational sustainability depends on constant innovation. Innovation appears as is a significant technological tool that can upgrade in a new context over time [39], During the COVID-19 period in the educational sector [40]. 

6. Organizational Innovation as a Mediator

Besides the above literature, NHRM practices associate innovation performance mediating by organizational innovation; although earlier studies’ results acknowledging the organizational innovation as a mediator, it cannot be practiced in IT in public and private organizations [39].

7. Innovative Work Behavior as a Mediator

The findings of Sanz-Valle and Jiménez-Jiménez [41] defined innovation as “the introduction of a new or significantly improved product (good or service), process, marketing method or new organizational method in the internal practices of the business, workplace organization or external relations”. Their results establish that there is strong proof of the effect of the system of human resource management practices on both employee’s IWB and product innovation. Moreover, employees’ IWB mediates the relationship between HRM and product innovation. Over and above, the innovative climate in organizations is boosted by innovative behavior requirements and NHRM practices [39]. Also, a relationship between HRM practices and IWB was found [14].

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