Innovation-Enhancing High-Performance Work Practices in Malaysian R&D Organizations: Myth Or Reality?

• Main Authors: Mohd Hanafi, Mohd Shafiq, Asmawi, Arnifa, Chew, Kok Wai, Yang, Chia Yen
• Format: Article
• Language: English
• Published: Universiti Utara Malaysia Press 2024
• Subjects: HF Commerce
• Online Access: https://repo.uum.edu.my/id/eprint/30372/1/IJMS%2031%2001%202024%2035-60.pdf; https://doi.org/10.32890/ijms2024.31.1.2; https://repo.uum.edu.my/id/eprint/30372/; https://e-journal.uum.edu.my/index.php/ijms/article/view/14770; https://doi.org/10.32890/ijms2024.31.1.2
• Institution: Universiti Utara Malaysia

Numerous Malaysia policies underscore the need to build exceptional R&D capabilities as the key economic driver. This study acknowledges the influence of high-performance work practices (HPWP) on R&D innovativeness. Underpinned by social exchange theory, this study investigates the implementation of innovation-enhancing HPWP in Malaysian R&D organisations and their relationship with project performance. Survey data on R&D project performance and six dimensions of innovation-enhancing HPWP were collected from 210 project leaders and members. Results suggested that innovation-enhancing HPWP implementation is still low as HPWP might be a relatively unknown practice in the R&D sector. Nevertheless, four HPWP dimensions were significant predictors of R&D project performance: employee recruitment, performance appraisal, reward and compensation, and employee participation. These findings will guide managers in developing relevant HPWPs to foster innovativeness. This includes a comprehensive audit of existing R&D people, processes, and products, and how these three `Ps’ can be streamlined into an innovation-enhancing HPWP.