Key messages Innovation performance at the enterprise level depends on the ability to acquire, develop and exploit new knowledge. Human capital and technology are the principal factors driving innovation capacity. Human capital development is stimulated by appropriate human resource management practices and two ancillary services: the learning and development system, which must go beyond training and create learning cultures in enterprises; and the tertiary education system, which is playing an increasingly important role in the new learning and development systems of enterprises. The bundling of human resource practices is important in all three of the key factors involved in developing human capital for enterprise innovation: people management, knowledge management and creativity management. Developing innovative capacity in the context of human capital formation is a complex process and requires a balanced human resource management approach utilising cooperative employee team involvement and individual self-expression to achieve ‘creative ecologies’. Tom Karmel Managing Director, NCVER
Key messages Innovation performance at the enterprise level depends on the ability to acquire, develop and exploit new knowledge. Human capital and technology are the principal factors driving innovation capacity. Human capital development is stimulated by appropriate human resource management practices and two ancillary services: the learning and development system, which must go beyond training and create learning cultures in enterprises; and the tertiary education system, which is playing an increasingly important role in the new learning and development systems of enterprises. The bundling of human resource practices is important in all three of the key factors involved in developing human capital for enterprise innovation: people management, knowledge management and creativity management. Developing innovative capacity in the context of human capital formation is a complex process and requires a balanced human resource management approach utilising cooperative employee team involvement and individual self-expression to achieve ‘creative ecologies’. Tom Karmel Managing Director, NCVER
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