Building A Climate For Organizational Innovation Through Human Resource Practices: An Empirical Study

Organizational innovation has been viewed as an essential weapon for organizations to compete in this competitive business environment. The aim of this study is to explore how human resource Practices (HRP) will enable firms to be innovative. It also aims to develop a theoretical framework and conduct an empirical study across pharmaceutical sector to investigate the relationship between Human Resource Practices and organizational innovation. The research utilizes causality models and suggests a conceptual schema subsequent to a comprehensive analysis of the literature linked to organizational innovation field. A sample of 120 managers and employees of Algerian pharmaceutical company is used. The SEM is used to analyze and approve the proposal of the conceptual schema. The Results of the empirical research show that Human Resource Practices is positively and significantly related to organizational innovation.