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The Role of Human Resource Strategies and Practices in Developing Intellectual Capital for Innovation in Nonprofit Organizations
Abstract
Managing Nonprofit Organizations (NPOs) has become much more complex, particularly under the influence of New Public Management (NPM). Like their for-profit and public sector counterparts, NPOs need to utilize their Intellectual Capital (IC) for maintaining humanistic and social values that traditionally characterized the nonprofit sector and yet remain innovative and sustainable in the competitive environment. Today, more research has been conducted to understand the management of IC as a conceptually robust framework for NPOs. Very little research has been done to examine what constitutes the development of IC for innovation in the organizations. Through an analysis of the IC and HRM literature, this chapter argues that human resource strategies and practices play an important role in the IC development in the nonprofit context. A theoretical framework is proposed to illustrate the connections between IC and human resource strategies and practices. Finally, the chapter suggests directions for future research.
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