Bridging Technological Innovation and Human Resource Practices: an Empirical Study of Operational Performance in Cooperative and Private Sugar Factories
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Abstract
Technological innovation and human resource (HR) practices are increasingly viewed as complementary drivers
of organizational performance, yet their joint effect remains under-examined in traditional agro-processing
settings. This study examines the relationship between technological innovation adoption, HR practices, and
operational performance among 393 employees across six cooperative and private sugar factories in Western
Maharashtra, India. Using a validated 120-item questionnaire and a cross-sectional design, three hypotheses were
tested via Pearson correlation, multiple regression, and one-way ANOVA. Innovation adoption showed a strong
positive relationship with operational efficiency (r = .647, p < .001), HR practices a moderate positive relationship
with innovation adoption (r = .529, p < .001), and integrated HR-innovation practices a strong positive relationship
with organizational performance (r = .626, p < .001). A combined regression model explained 47.0% of the
variance in organizational performance, with innovation adoption as the dominant predictor (β = .602). Ownership
structure did not significantly differentiate any of the four constructs, suggesting innovation-HR dynamics operate
similarly across governance forms. The study proposes an integration framework linking HR practices and
innovation adoption, offering practical implications for sugar-industry managers and policymakers aiming to
strengthen performance through coordinated HR and technology strategies.
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