Organizational Innovation, Job Satisfaction, and Service Quality: HRM Practices as a Moderator in Vietnam’s Hotels

Abstract

The hospitality industry operates in a dynamic environment where organizational innovation (OI) plays a critical role in maintaining competitiveness. This study examines the relationship between OI, employee job satisfaction (JS), and service quality (SQ), with a particular focus on the moderating role of human resource management (HRM) practices. Grounded in Schumpeter’s Theory of Innovation, Herzberg’s Two-Factor Theory, and the SERVQUAL model, this study employs a quantitative research approach, utilizing survey data from 423 employees across 70 international tourist hotels in Vietnam. The findings confirm that both technological and managerial innovations are positively associated with JS and SQ. Furthermore, HRM practices significantly strengthen the relationship between technological innovation and JS but have a limited moderating effect on managerial innovation. These insights provide theoretical and managerial implications, emphasizing the need for hotels to align HRM strategies with innovation to enhance service quality and employee engagement. As the research design is cross-sectional, the results should be interpreted as correlational rather than causal. Future research should explore longitudinal designs to establish causal relationships and expand HRM dimensions for a more comprehensive analysis.