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Strategic orientation is defined by Manu and Sriram (1996, p.

79) as: How an organization uses strategy to adapt and/or change aspects of its environment for a more favourable alignment. Innovation is defined by Linder et al. (2003) as implementing new ideas that create value. Miles and Snow (1978)contend that every organisation has a dominant trait resulting from the influence of its key decision makers and their perceived view of the operating environment. The choice of whether to be proactive or reactive will, to a large extent, follow from this view. Each of the strategic orientation types represents different approaches and perceptions of the operating environment.

Eco Shoe will act as a prospectors who will welcome and thrive in innovative, dynamic environments, maximising new opportunities (Hambrick, 1983).

Prospectors are likely to be first to the market place and seek to exploit this advantage. They have a tolerance of risk and an acceptance of change, empowerment and flexibility. In todays competitive environment, the manager cant leave the nature of the HR system, the actual HR policies and practices to chance. Managers usually try to create high-performance work systems (HPWS). The HPWS is a set of HR policies and practices that maximize the competencies, commitment, and abilities of firms employees in practice. Foss (2003, p. 249) investigate the link between new HRM practices and innovation performance, arguing that HRM practices are most conducive to innovation performance when adopted, not in isolation, but as a system of mutually reinforcing practices. Human resource planning, which includes creating venture teams with a balanced skill-mix, recruiting the right people, and voluntary team assignment. This strategy analyzes and determines personnel needs in order to create effective innovation teams. Performance appraisal, which includes encouraging risk taking, demanding innovation, generating or adopting new tasks, peer evaluation, frequent evaluations, and auditing innovation processes. This strategy appraises individual and team performance so that there is a link between individual innovativeness and company profitability. Which tasks should be appraised and who should assess employees performance are also taken into account. Reward systems, which includes freedom to do research, freedom to fail, freedom to form teams, freedom to run businesses, balancing pay and pride, noticeable pay raises, dual career tracks, promoting from within, recognition rewards, and balancing team and individual rewards. This strategy uses rewards to motivate personnel to achieve an organizations goals of productivity, innovation and profitability.

Career management, which includes empowering people, leading by example, and continued education. This strategy matches employees long-term career goals with organizational goals through continuing education and training.

Reference: HAMBRICK, D.C. (1983), Some tests of the effectiveness of functional attributes of Miles and Snows strategic types, Academy of Management Journal, Vol. 26 No. 1, pp. 5-26. LINDER, J.C., JARVENPAA, S. and DAVENPORT, T.H. (2003), Towards an innovation sourcing strategy, MIT Sloan Management Review, Vol. 44 No. 4, pp. 43-9. MILES, R.E. and SNOW, C.C. (1978), Organizational Strategy, Structure and Process, McGraw-Hill, New York, NY.

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