Human resource management and innovation play crucial roles in determining the performance of business enterprises. In today's fast-paced world of technological advancements and intense global competition, organizations need to continuously innovate to maintain a competitive edge. However, successful innovation is only achievable when an organization has the right talent and effective human resources management in place. Therefore, the objective of this study is to examine the interrelationships between Human Resource Management (HRM) and innovation, HRM and business enterprise performance, as well as innovation and business enterprise performance. The study focused on 104 business enterprises in Karawang regency, using purposive sampling techniques and SEM-PLS analysis. The statistical output revealed significant positive effects of HRM practices on innovation variables (effect size: 48.285 > T-table value of 1.995), and on business enterprise performance (effect size: 3.243 > T-table value of 1.995). Furthermore, innovation was found to have a significant positive impact on business enterprise performance (effect size: 3.586 > T-table value of 1.995). In summary, the study highlights the critical role of effective human resource management in fostering innovation and, consequently, improving business enterprise performance. It underscores the importance of nurturing a talented workforce and promoting innovative practices to stay competitive in today's dynamic business landscape.