Innovation and Human Resource Management: the Greek Experience

Abstract

The purpose of this paper is to investigate the pathways leading from innovation to organisational performance by using structural equation modelling. Specifically, we used this analytical tool to test a research framework that is constituted by a set of causal relationships between organisational contingencies, innovation, HRM policies (resourcing, training, rewards, relations), HRM outcomes (skills, attitudes, behaviour), and organisational performance. Employing data from organisations operating in the Greek manufacturing sector, results indicate that the impact of innovation on organisational performance is positive and mediated through HRM policies and HRM outcomes, and moderated by organisational context (management style, organisational culture).