Leveraging commitment- and collaboration-oriented human resource management for business model innovation in small-and-medium-sized enterprises: A dual-path perspective of knowledge acquisition and application

Abstract This study investigates the impact of commitment- and collaboration-oriented human resource management (HRM) systems on business model innovation (BMI) in small and medium-sized enterprises (SMEs), drawing on the knowledge-based view (KBV) as well as HRM and BMI literature. The findings reveal that commitment-oriented HRM systems, which focus on fostering internal trust and collaboration, enhance knowledge acquisition efficiency, thereby positively influencing BMI. Conversely, collaboration-oriented HRM systems, designed to facilitate external partnerships and boundary-spanning activities, improve knowledge application, further driving BMI outcomes. Using survey data from 192 SMEs in China, the study provides empirical validation of these relationships. Furthermore, the results show that BMI significantly enhances SMEs’ innovation performance, particularly in new product development. The research also identifies the moderating role of flow-facilitating HRM practices, which strengthen the relationship between BMI and innovation performance by promoting effective knowledge flows across the organization. These findings offer both theoretical and practical implications, demonstrating how SMEs can strategically employ HRM systems to optimize knowledge management processes and achieve sustained innovation success.