Affiliation:
1. Rajamangala University of Technology Krungthep,Thailand
2. Universitas Muhammadiyah Gresik, Indonesia
Abstract
This article delved into the intricate dynamics of talent incentive strategies, with a special focus on those implemented in free trade ports, and their profound impact on the innovation performance of employees. The research adopted a dual-focused approach, scrutinizing both the mediating role of the climate of organizational innovation and the moderating influence of organizational identification. The study integrated the organizational innovation climate category by merging classical scales, focusing on individual performance in employee innovation, and the organizational identification category (Acosta-Prado et al., 2021; Han et al., 2007; Mael & Ashforth, 1992). The research encompassed 58 high-tech firms in the Hainan Free Trade Port (HFTP), disseminated 1817 questionnaires, retrieved 1666, and validated 1262, achieving a 74.8 percent validity rate. The employed methodology was hierarchical regression analysis, a potent statistical tool enabling a nuanced comprehension of the variable relationships. The analysis findings revealed that employees’ perceptions of talent incentive policies could positively impact their innovation performance, highlighting the significance of these perceptions in determining policy effectiveness. The study uncovered that talent incentive policies influenced innovation performance, mediated by the organizational climate and amplified by employee identification with the organization. These insights can inform strategies to optimize talent incentives, cultivate an innovative culture, and boost overall performance.