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[Excerpt] Innovation has evolved from a mainly scientific activity of research and development to a complex system of interactions among various participants both inside and outside of a firm. In an economy where the innovation cycle is shrinking, characterized by disruptive innovations and changing customer needs, it is crucial for companies to keep up with emerging trends and stay on top of factors that enhance their capacity for innovation. Innovation should not be limited to new products, it can lead to new processes as well. An idea may not work for one department, project, or product, but may be a good solution for another. Innovative firms effectively work across organizational boundaries and connect great ideas with the right people. Despite the importance of innovation, managing and promoting it in a company is not easy, especially when the payoff is often multiple years away. Human Resources, through various policies and practices, can play a vital role in promoting an innovation based culture.


Suggested Citation
Lai, H., & Lundgren, A. (2017). What policies and practices can HR utilize to promote an innovation based culture and help drive business outcomes through it? Retrieved [insert date] from Cornell University, ILR School site:

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Copyright held by the authors.