Exploring HR practices to build business model innovation capabilities in the new normal

Abstract

In the New Normal, the business environment continuously change. Business review and evaluate the value delivery model and can change the business model through Business Model Innovation (BMI), as a response to these environmental changes. The business model changes are initiated internally, and through BMI capabilities manage to identify the opportunity, and change the business model accordingly. Human Resource (HR) architecture enables the development of BMI capabilities, and provides the strategic ability for business to respond to disruptions and change. A qualitative exploratory research was conducted to determine what HR practices supported the HR architecture, and how these HR practices complimented and reinforced one another. With a different HR architecture lens, a revised BMI capability matrix was developed and proposed. The research found, that development orientated HR systems are mainly responsible to develop BMI capabilities. Secondly, was the addition of organisational culture to the revised BMI capability matrix, providing a link between BMI capabilities and organisational culture.