Determinant Factors for Managing Innovation in the Malaysian Public Sector

Abstract

Since 1991, the government has started the forces to encourage public sector to innovate in order to strengthen the capability and solve problems at workplace for the benefit of organization and its people. The focuses of this forces is to create value creation, encourage cost reduction, and provide services that meet aspirations and people's expectations through high impact ideas. However, to achieve these focuses, public sector faces few challenges that affect the management of innovation; which includes lack of leadership skills and poor innovative culture to stimulate innovation. Although there are various initiatives conducted to enhance the management innovation, the innovative performance is still less satisfactory. Therefore, this paper aims to discuss the determinant factors that affect managing innovation in the selected public sectors which consist of two categories; patron and executor agencies. Thematic approach was used to analyse the interview data. Findings from the interview suggested that in the organization, an employee especially a leader should show his full commitment towards innovative culture, he needs to be committed and supportive and communicate well with the employees and he also should provide attractive rewards to encourage the innovative culture for an effective management innovation. These determinant factors need to be considered as high significant for the public sector to develop new strategies or approaches in managing innovation towards sustaining their competitive advantages in a long term for the benefit of public.