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The Impact of Labour Flexibility and HRM on Innovation

The Impact of Labour Flexibility and HRM on Innovation

Haibo Zhou, Ronald Dekker, Alfred Kleinknecht
Copyright: © 2010 |Pages: 12
ISBN13: 9781615206438|ISBN10: 1615206434|EISBN13: 9781615206445
DOI: 10.4018/978-1-61520-643-8.ch011
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MLA

Zhou, Haibo, et al. "The Impact of Labour Flexibility and HRM on Innovation." Innovation in Business and Enterprise: Technologies and Frameworks, edited by Latif Al-Hakim and Chen Jin, IGI Global, 2010, pp. 150-161. https://doi.org/10.4018/978-1-61520-643-8.ch011

APA

Zhou, H., Dekker, R., & Kleinknecht, A. (2010). The Impact of Labour Flexibility and HRM on Innovation. In L. Al-Hakim & C. Jin (Eds.), Innovation in Business and Enterprise: Technologies and Frameworks (pp. 150-161). IGI Global. https://doi.org/10.4018/978-1-61520-643-8.ch011

Chicago

Zhou, Haibo, Ronald Dekker, and Alfred Kleinknecht. "The Impact of Labour Flexibility and HRM on Innovation." In Innovation in Business and Enterprise: Technologies and Frameworks, edited by Latif Al-Hakim and Chen Jin, 150-161. Hershey, PA: IGI Global, 2010. https://doi.org/10.4018/978-1-61520-643-8.ch011

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Abstract

We investigate the impact of labour relations (including use of flexible labour and certain HRM practices) on a firm’s innovative output. Using firm-level data for the Netherlands, we find that active HRM practices such as job rotation, performance pay, high qualification levels of personnel, as well as making use of employees with long-term temporary contracts contribute positively to innovative output, the latter being measured by the log of new product sales per employee. Furthermore, firms that retain high levels of highly qualified personnel are more likely to introduce products that are new to the market (other than only’new to the firm’). Our findings contribute to the growing literature on determinants of innovative performance.

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