IDEAS home Printed from https://ideas.repec.org/a/eme/ijppmp/ijppm-03-2021-0117.html
   My bibliography  Save this article

The impact of performance-based rewards and developmental performance appraisal on innovation: the mediating role of innovative work behaviour

Author

Listed:
  • Motasem M. Thneibat
  • Rateb J. Sweis

Abstract

Purpose - The aim of this paper is to study and empirically test the relationship between employees' perceptions of the two motivation-enhancing human resource management (HRM) practices of reward and performance appraisal and both incremental and radical innovation. The paper examines whether innovative work behaviour (IWB) mediates the hypothesised relationship. Design/methodology/approach - Data were collected from 313 unit managers in manufacturing, pharmaceutical and technology companies in Jordan. Structural equation modelling (SEM) using AMOS v27 was employed to analyse the data and test the hypotheses. Findings - The study finds that employees perceive rewards to be significant and to directly influence incremental and radical innovation. Additionally, employees perceive that performance appraisal to be significant for incremental innovation. The study also finds that IWB mediates the relationship between rewards, performance appraisal and incremental and radical innovation. No support was found for the impact of performance appraisal on radical innovation. Originality/value - Distinctively, this paper considers both incremental and radical innovation in studying the link between HRM practices and innovation. It also takes an intra-organisational perspective by considering employees' perceptions of rewards and performance in fostering innovation. Additionally, it assesses the impact of IWB in mediating the relationship between rewards, performance appraisal and innovation. IWB is rarely empirically studied in the HRM–innovation link specifically when linked with radical and incremental innovation.

Suggested Citation

  • Motasem M. Thneibat & Rateb J. Sweis, 2022. "The impact of performance-based rewards and developmental performance appraisal on innovation: the mediating role of innovative work behaviour," International Journal of Productivity and Performance Management, Emerald Group Publishing Limited, vol. 72(6), pages 1646-1666, March.
    • Handle: RePEc:eme:ijppmp:ijppm-03-2021-0117
    DOI: 10.1108/IJPPM-03-2021-0117
    as

    Download full text from publisher

    File URL: https://www.emerald.com/insight/content/doi/10.1108/IJPPM-03-2021-0117/full/html?utm_source=repec&utm_medium=feed&utm_campaign=repec
    Download Restriction: Access to full text is restricted to subscribers
    File URL: https://www.emerald.com/insight/content/doi/10.1108/IJPPM-03-2021-0117/full/pdf?utm_source=repec&utm_medium=feed&utm_campaign=repec
    Download Restriction: Access to full text is restricted to subscribers
    File URL: https://libkey.io/10.1108/IJPPM-03-2021-0117?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eme:ijppmp:ijppm-03-2021-0117. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Emerald Support (email available below). General contact details of provider: .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.