Why Not Knowledge-Based HRM? Its Direct and Indirect Effect on Innovative Service Offerings

Abstract

This article is aimed at examining the effect, direct and indirect, of knowledge-based human resource management on innovative offerings of service small and medium-sized enterprises (SMEs). Knowledge-based human resource management essentially reflects the central role played by the embedded knowledge-centric human resource management practices, which may lead to new or improved services. A cross-sectional survey was implemented involving a sample of 278 business service SMEs from Malaysia and indicated two key findings from the study. First, knowledge-based human resource management was found to positively influence innovative service offerings. Second, dynamic capability in the aspects of entrepreneurial orientation, marketing capability, and technological capability were found to mediate the knowledge-based human resource management–innovative service offerings relationship. This study espouses the potentials of creating innovative service offerings among business service SMEs through embedding knowledge perspective in human resource management practices as well as investment in dynamic capabilities.

Servant leadership and knowledge employee performance: the mediating role of employee innovative behavior in knowledge-based firms

“…They should manage knowledge employees’ performance based on their knowledge achievements and participating them in firm’s knowledge processes (). Moreover, these leaders should compensate for the participation of knowledge employees in creating and sharing their knowledge (Kianto et al ., 2017; Al-Tal and Emeagwali, 2019; Ahmad et al ., 2020).…”

The Urgency of Strategic Human Resources Planning for the Transformation of the Indonesian National Army Command and Staff College

“…This means that in a resource-based premise, competitive advantage and organizational effectiveness can be achieved by utilizing the strengths and capabilities of internal resources, including human resource competencies (Zakaria, Albart, Supriadi, Santoso, & Judijanto, 2023). Therefore, the value possessed by an organization is very important so that it is different from other organizations that value creation from human resource management in the sense of a process is very important to pay attention to in every organization so that it cannot be imitated by competitors and thus, it can become a strategic advantage (Ahmad, Imm, Aziz, & Kamal Basha, 2020;Gerhart & Feng, 2021).…”

Priority Sector of Small and Medium Enterprises Using Ahp: A Case Study of Yamaru Enterprise

“…There are several key factors that influence the development of SMEs such as human resources (Voca & Havolli, 2019); marketing and technology (Ahmad, Imm, Aziz, & Basha, 2020); government support (My, 2020); entrepreneurship; and capital (Luo, Al-Shami, & Mansor, 2019). Researchers have focused on financial, marketing, technology, human resources, and practical management factors as criteria.…”

“…Luo et al (2019) also found that human resources are a very important factor that constitute the core competitiveness of an enterprise (Luo et al, 2019). Therefore, Ahmad and Imm (2020) recommend that SMEs recruit skilled human resources and then invest in them through education and tailored training to increase their knowledge and expertise to enhance innovation (Ahmad et al, 2020). My (2020) recommends that reliable human resources in SMEs are needed to adapt an organization in today's rapidly changing digital age.…”