Can Employee Training Improve Organizations Innovation Performance - Literature review Example

Training and Innovation [Name] [Professor Name] [Course] [Date] Introduction The resource based view argues that employees are one of the most valuable resources within an organization. This is because human capital is a useful tool of innovation. Innovation can be described as the search for, the discovery, improvement and adoption of new products, procedures, processes and organizational structures (Shavinina, 2003). Increasingly researchers and practitioners recognize that an organization’s ability to innovate new products/services helps the organization achieve competitive advantage. This particular paper seeks to evaluate the role of training in generating innovation. The paper will further evaluate whether employee training can improve organizations’ innovation performance and the training programs that can achieve this. Training plays a significant role in generating innovation. In a study conducted by Yuan et al, (2006) on the relationship that exists between Human resource management, performance and technological innovation in China, the researchers revealed that employee training has brought about a positive impact on the generation of technological innovation in China. According to Yuan et al, (2006) most high-tech companies that operate in China consider training as a significant Human resource function that assists in developing the knowledge of the employees. Consequently, as a result of the knowledge acquired from training, employees in Chinese firms have become increasingly innovative. Training also plays a significant role in enhancing innovation because it brings about an upward effect on the intensity of R& D (Beugelsdijk, 2008). R& D entails generating new knowledge and information which entails sustaining searches for technological opportunities and new markets through innovation. In general R& D assists in building the capability of the employees of being innovative through tapping prevailing knowledge. According to Beugelsdijk (2008) various studies have been undertaken to examine the link between innovation and R&D. The findings of most of the studies revealed that organizations that train their employees were able to utilize the existing technologies in order to advance their ability to generate their own technologies. In addition, employee training intensified R&D by building the capability of the employees to absorb, integrate, link, scrutinize and eventually develop knowledge or new products. Elgar (2008) highlights that training activities in most contemporary organizations are often linked to the needs and objectives of the business. One of the common objectives of most organizations as outlined by the resource based view is to obtain a competitive advantage. In order to obtain a competitive advantage innovation is a crucial element. Consequently, organizations tend to adopt training that is geared towards improving the capability of employees to innovate. For instance recent employee surveys undertaken on the Canadian workplace reveal that training of employees has played a significant role in generating innovation for many leading firms (Walsworth & Anil, 2007). This occurs specifically when autonomy training in undertaken. Whether employee training can improve organizations’ innovation performance It can be argued that training can improve organizations’ innovative performance. This is because training leads to the development of learning organizations which contributes to an organizations innovation performance. The learning organization arises from a strategic relationship that exists between training of employees and the recognition that knowledge is the answer to the many challenges that exists in the business environment. Consequently, the only technique for contemporary organizations to survive within the dynamic business environment is determined by their level of innovativeness. Based on the fact that innovativeness depends on knowledge it is imperative for employees to be trained in order for them to gain strategic knowledge that can result to innovativeness. The logical sequence can be described as: knowledge formation – innovation – competitive advantage (Vemić, 2007). Also, training can improve organizations’ innovation performance based on the fact that it improves the thinking capabilities of employees. Shavinina, (2003) highlights that; employees have divergent viewpoints that can be utilized by organizations in order to improve the organizations innovative performance. Therefore, if the Human resource department organizes training approaches that are able to improve the thinking capabilities of employees then the organization will definitely benefit from its workforce. One of the training programs that can facilitate the improvement of an organizations innovative performance is creativity training. Creativity training essentially in the business setting involves problem finding / identification, problem solving and solution implementation. Shavinina, (2003) argues that creative training can advance innovation. This is because through the process of identifying the existing problems in the business environment and finding ways of resolving and implementing them, creativity training gives employees the knowledge and skills to come up with new innovations that can resolve the existing problem in the business environment. Another training program that can improve an organizations innovative performance is the use of task oriented training. Task oriented training entails giving the trainees real life tasks with the objective acquiring new skills (Shavinina, 2003). The tasks provided should be challenging in order to make the trainees think intensely. Task oriented training can also encompass the use of technological aid in order for the trainees to be actively involved in technological innovations. According to Shavinina, (2003) several research studies indicate that innovative people are more task oriented. Consequently, providing task oriented training will improve an organizations innovative performance. Although training does improve organizations’ innovative performance, however, the existence of innovation barriers may hinder innovation within an organization. A case in point is people related barriers which can occur either at individual or group level. Although employees may be trained through the use of approaches that advance innovation. Aspects such as lack of motivation, negative perceptions, vested interests and deficient skills may hinder improvement of innovation performance within an organization (Shavinina, 2003). Conclusion From the above discussion, it has been noted that training plays a significant role in promoting innovation. One of the roles played by training is that it assists in developing the knowledge of the employees. In addition, training also brings about an upward effect on the intensity of R& D. Also training assist in meeting the core needs of the organization which is to attain competitive advantage. Training also facilitates the improvement of organizations’ innovative performance. This is because training leads to the development of learning organizations and the increase in the thinking capabilities of employees. The paper also acknowledges the fact that although training does improve organizations’ innovative performance, however, the existence of innovation barriers may hinder innovation. In conclusion, it can be stated that training plays a significant role in the development of innovation. References Beugelsdijk, S, 2008, Strategic Human Resource Practices and Product Innovation, Sage. Elgar , E, 2008, Sustainable Innovation and Entrepreneurship, New Perspectives in Research on Corporate Sustainability Series, Edward Publishing. Shavinina, L, 2003, The International Handbook on Innovation, Elsevier. Vemić, J, 2007, Employee training and development and the learning organization. Economics and Organization, 4(2), pp. 209 – 216. Walsworth, S and Anil Verma, A , 2007, Human Resource Practices and Innovation: Recent Evidence from the Canadian Workplace and Employee Survey. Journal of Industrial Relations, 46(2),p222–240. Yuan Li, Yongbin Zhao, Yi Liu, 2006, "The relationship between HRM, technology innovation and performance in China", International Journal of Human Resource, 27 ( 7), pp.679 – 697. Read More