HRM Role in

Stimulating
Creativity &
Innovation within
Organizations?

Grenoble, France
Abstract: This log book outlines the best practices in

Patrick Favre
Human Resources Management, mainly when it comes
to triggering and stimulating creativity and innovation
within organizations. It sheds the light on what really
influences our creative thinking, and how it would
affect businesses’ products and services provided
within an innovative framework. It highlights the role
of HRM in shaping employees creativity within
organizations through having an essential role in
asserting the company’s culture, working
environment, and training programs.
HABIB ABOU SALEH
Grenoble, France
Table of Contents
Introduction ......................................................................................................................................................................................................................................... 3
What Triggers Our Creativity? ............................................................................................................................................................................................................ 4
Stimulating Creativity within Organizations ..................................................................................................................................................................................... 4
Organizational Culture ......................................................................................................................................................................................................................... 5
HRM and Organizations’ Working Environment................................................................................................................................................................................... 6
Managers’ Roles in triggering Creativity.............................................................................................................................................................................................. 7
HRM and Challenges .......................................................................................................................................................................................................................... 7
Conclusion............................................................................................................................................................................................................................................ 8
Introduction
continuously evolving situation by
We live in today’s world, where the old fashioned
embracing creative thinking (Burma 2014,
way of conducting business no longer exists.
Masnan and al. 2008, IBM Global Business
Technological advancements and globalizatio n
2015). Creative and innovative people have
have shaped our lives and the way business is
the potential and capacities to approach
conducted. New business models have replaced
problems and solutions from differe nt
the old ones in order to secure survival in today’s
perspectives, putting ideas together in new
business market, and its fierce competitio n.
combinations, and thus creating and adding
Succeeding is no longer an easy task to achieve.
more value to their work. Knowing that
It requires leading through dynamically complex
HRM is the main source of human capital
and volatile environment, where individuals and
within organizations regardless of their type
members are driven by operational excelle nce
(ex: Public, Private or even NGO),
and collaboration across different functions and
geographical location (ex: Local, or
departments within an organization, while
International), or size (ex: small, medium or
developing higher quality leadership, talents and
big), HRM can play a crucial role in creating
creativity, to unleash new innovative potentials
the adequate fertile environment for
and possibilities (Burma 2014).
creativity to constantly grow, prosper and be
If we really take a moment to look around us, stimulated toward innovative outcomes.
observe and think, we can arrive at the conclusio n
that our surroundings and every aspect of our
environment are the result of creativity and
innovative thinking. As employees are
considered the most valuable asset, Businesses,
organizations and corporations are seeking
adaptation to the

What Triggers Our
Creativity?
According to Scott Barry Kaufman (2011),
there are situational factors beyond our
personalities which play an essential role in
the type of processing styles we adopt on a
moment to moment basis. It is continuous ly
shifting without our own awareness, due to
our continuous interaction through our
senses, with the way we observe, touch, taste,
listen or even smell. They all affect our
analytical thoughts, and most importantly our
creativity, which leads to innovation. Thus
understanding our environment is a key
element to boost our creativity.
It is noted that HRM practices have a major role in
understanding the business environment from every
aspect and adapting it within suitable, fertile
framework. This is a key element in stimulating
creative and innovative behaviors, especially
within organizations. These practices, which can be
applied to every environment, organization’s type
or identity, should revolve around our environme nt
where our senses are in continuous dynamic
interaction in order to soar to new creative heights.
Stimulating Creativity within
Organizations
According to Masnan and al. (2008), IBM Global
Business (2015), Burma 2014, businesses and
organizations around the world agree that the most
valuable asset is their human capital. It contributes
to their everyday development and business
competitiveness. As a result, embracing the path of
innovation within their industries and businesses,
mainly when it comes to creating and adding values
to the products and services
provided, is a must. In addition, understanding that
the authentic outcomes of creativity are innovatio n,
organizations tend to stimulate creativity to boost
innovation among their employees. HRM can act on
three main levels when it comes assuring qualified
employees, including training and motivating them,
while ensuring proper working conditions suitable
for fostering creativity and innovation (Muscalu et
al. 2012, Lache 2010, Burma 2014, Karlsson 2013,
Marin 2012 ). These Factors can be classified into
three main paths:

Organizational culture
 Organization’s working environment
 Managerial Level
.
ORGANIZATIONAL CULTURE HRM and Corporate Structure: Selective hiring
processes are a key element in choosing
According to Martin and al. (2003), Marin diversified, well-structured teams, which have a
(2012), Stanleigh (2015) organizational culture, great influence on the level of creativity and
especially in an international environment, plays innovation that takes place within the working
a vital role in the success of any organization. It environment inside any organizatio n.
provides the necessary framework to absorb Diversified, complementary talents between
creativity, which leads to innovation in the individuals pushes creativity/innovation to
organizational culture and manage me nt different heights. Also HRM should stress the
processes. HRM has the ability to create, protect, importance of individuals’ relationships. They
and build an organizational culture as it is the should be based on respect and trust, with high
cornerstone for creativity and innovation, as all level of openness to others’ points of views, ideas
the hiring processes, and training programs, and and perspectives, no matter how different they
cultural imperatives placed on the business are can be, not to forget effective channels of
done through proper HRM practices (Stanleigh, communications (Karlsson 2013, Marin 2012).
2015). HRM can have an impact over the
organizational culture by addressing the HRM in Encouraging Creative Behavior &
following four touching points: Means of Support: It is essential to create suitable
incentives for creativity. Rewards and
HRM and Corporate Strategy: HRM can
recognition are a must but at the same time
improve and assert a proper understanding of the
rewarding systems need to be matched with each
company-shared vision and strategy which is
individuals’ personality to attain the best
future focused to motivate employees to be
outcomes (Martin and al. 2003, Karlsson 2013,
creative and innovative (Burma 2014, Karlsson
Marin 2012 ).
2013, Marin 2012 ).

It also highlight the importance of being


HRM and Effective Communication: HRM
can highlight, build and supervise the
implementation of open, transparent
communication policies based on trust and
respect, which have a great influenc e,
motivating and stimulating creativity and
innovation. Open door policies without any
hierarchical barriers open the flow of ideas
and creative thinking, thus leading to
innovative outcomes.
These elements once merged together in a
fruitful frame, built through effective HRM
within the organization, help in creating a
genuine organizational culture that triggers
creativity, leading to innovation within
organizations and societies.
and limit creativity and innovation to a great
HRM AND ORGANIZATIONS’ WORKING
extent. So in order to keep employees engaged,
ENVIRONMENT
and clear petty obstacles from their way so they
According to Richard Branson, the author and
shine, HRM can emphasize the negative effect
founder of Virgin Group, a “healthy company
bureaucracy has on creativity and innovatio n
culture starts with treating your employees the
within organizations, by addressing such an
way you want to be treated”. From this
issue with top senior management and
perspective, and according to Richard Florida
presenting them with new processes and tools,
and Jim Goodnight (2005), it is important to
since such change should start all the way from
value the work over tools by helping employees
top-down.
show their best through efficient HRM practices
to stimulate their minds, reward their excelle nce HR Role in Stimulating Minds: Superior
with challenges rather than materialistic performance is the consequence of energized
incentives, and minimize hassles at work. mental abilities. Proper effective HRM training
programs, processes and practices can lead to
HRM and Bureaucracy: Creative and innovative
major understanding of methodology of
people at work are mainly driven by two key
continuous learning and challenges involved to
elements: passion and challenges. Regardless of
motivate employees and stimulate their minds
their daily functional tasks or the department they
by putting them in challenging working
belong to, they crave the feeling of
environments, faced with new dilemmas and
accomplishment once the task is completed. They
interesting tasks. Training programs can
starve for another challenge due to their inner
provide them with the necessary tools, while
energy, which is wrapped with passion for the job
putting them in the right direction for
they do or the function they occupy. Most
innovation (Lache 2010, Burma 2014, Marin
researchers, and among them Hirst, G. et al
2012, and Karlsson 2013).
(2011), agree that bureaucratic practices constrain

HRM is important at this point as it
understands each employees’ mind set,
capabilities and potentials which is also
essential in addressing the type and level of
training programs and processes required
to help employees realize their goals.
In Place Performance Evaluation Systems:
According to Davidson 2011, HRM can
play a strategic role by helping their
organization stimulate and build up
creative and innovative thinking. This is
why HR leaders should realize the
importance of creativity and innovation in
building up a comparative advantage for
the organization they work for. One way is
through putting in place an effective
feedback process (ex: feedback 360o )
Burma 2014, Karlsson 2013). In addition, foreseeing
through the implementation of effective
and recruiting what is needed ahead of time can
performance evaluation systems that
facilitate the working process and eliminate some
measure individual behaviora l
obstacles, which waste time, money and effort.
performance.
Also, helping managers in understanding that
MANAGERS’ ROLES IN TRIGGERING avoiding penalizing employees for making innocent
CREATIVITY: According to Amabile and honest mistakes can help them and the
(1998), managers play a vital role in organization in promoting creativity.
ensuring company culture and boosting
creativity as they are the link between top HRM and Challenges
management and employees. Company
There are many challenges that HRM faces when it
vision, strategies, policies and procedures
comes to stimulating creative thinking and
are communicated through them in order to
innovation. This is a difficult task to achieve,
promote the organization culture. They
otherwise everyone would be implementing it.
have the power to bring people together,
Three major challenges are summarized as follows:
and facilitate the exchange of ideas. HRM
 Lack of proper leadership style and support
can play an important role in matching
as innovation is driven by time and money.
suitable people for managerial positions to
Organizations try to avoid such a waste as
the right roles. Arranging feedback and
they operate in a dynamic environment.
questions & answer sessions might also
 Absence of tangible culture and strategy for
have a great influence. Furthermore,
innovation and creativity.
continuous managerial training programs
 Employees on every level of the hierarchy
such as Leadership Development Programs
do not fully commit and embrace change as
for managers can help them stay in track ,
humans are resistant to change by nature, as
spur and capture creativity (Lache 2010,
many uncontrollable factors are involved.
Conclusion
The creative business world has emerged and it
is here to stay. HRM is essential in stimula ting
creativity and innovation on a first level and
then managing it. It is a key factor in securing
a competitive advantage and standing out in the
rising, competitive world. Proper HRM can
help organizations achieve more innovatio ns,
create a culture to support innovative thinking,
and to hire, train and reward, which is a major
undertaking. It can seem daunting to know
where to begin. However, the most important
first step is to start with the first step. It is a
large and exciting change process. Even a small
initiative can help demonstrate the possibilities
of a more robust effort.
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