ABSTRACT

Innovation has become a significant determinant of organizational continuity and attainment of sustainable competitive edge. Firms, which are not innovative, run the risk of becoming obsolete and extinct. Innovation plays an important role in organizational competitiveness (Shalley, Gilson, & Blum, 2009). Given the close link between the knowledge possessed by the employees and the services and products offered by the firm (Penrose, 1959), it is difficult to achieve innovation without the employees of the organization (Kozlowski & Klein, 2000). Innovation interventions are strongly dependent on employees’ human capital and behavior at work as key inputs in the value creation process (Chen & Huang, 2009).