Creativity, innovation and employment growth in sub-Saharan Africa

Abstract

PurposeAlthough employees' creativity is vital for firm innovation and overall performance, little is done to examine the potential association between creativity and employment. This paper investigates the contribution of employees' creativity, process and product innovations to firm-level employment growth.Design/methodology/approachThe authors use data from World Bank Enterprise Survey and Innovation Follow-up Survey on 9503 firms covering the period 2012–2015 in 11 countries from sub-Saharan Africa and Heckman's two-stage estimation model.FindingsThis study's results indicate a positive role of creativity on firm-level employment growth. In addition, the authors find evidence for a complementary effect arising from the combination of creativity with managerial experience, staff level of education and their associated skills, in contrast, combining creativity with internal or external R&D results in a substitution effect. Interestingly, these synergy effects are pronounced for SMEs but absent for large firms.Practical implicationsPolicy makers in developing economies of sub-Saharan Africa should stimulate company management to use free time offered to employees to be creative in the workplace as one of their key strategies to stimulate employment growth. This strategy is expected to be particularly fruitful among SMEs having some managerial experience and skilled stuff.Originality/valueIn contribution to innovative work practices and workforce creativity, the authors demonstrate that providing employees with free time could be an alternative way to enhance the focal firms' performance.

Guest editorial: The new economy and employment in Africa: an introduction

“…The selected papers have positively and constructively accommodated comments from the editors and referees, which have led to substantial improvements of the original versions of the manuscripts, so that the corresponding manuscripts are critically positioned on the extant contemporary literature, theoretically informed, empirically robust and policy-worthy. The nine selected articles represent distinct or standalone contributions to knowledge, which can be discussed in more perspective in four main strands, notably (1) ICT adoption and employment (Osabohien, 2024; Asongu and Odhiambo, 2024); (2) creativity and innovation (Medase and Savin, 2024; Otache, 2024); (3) job creation, satisfaction and career advancement (Ayimah et al , 2024; Fitong Ketchiwou and Naong, 2024; Gollagari et al , 2024) and (4) institutional and economic growth perspectives of employment and entrepreneurship (Gómez and Irewole, 2024; Hossain et al , 2024).…”

“…These critical ICT thresholds are provided and discussed. Medase and Savin (2024) in the second strand have improved understanding of the potential nexus between creativity and employment, particularly because of the corresponding literature on the subject is sparse on SSA. Hence, the authors examine the how firm-level growth in employment is affected by employees' process and product innovation.…”