WORK SYSTEMS

This study investigates the relationship between High-Performance Work Systems (HPWS) and employee creativity in selected small-scale businesses in Benin City, Nigeria. Recognizing the crucial role of small and medium enterprises (SMEs) in economic development, the research explores how HR practices such as financial rewards, performance appraisal, training and development, and mentoring influence creative behavior among employees. The study is anchored on the Ability-MotivationOpportunity (AMO) Theory and the Componential Theory of Creativity, supported by the Social Exchange Theory, Self-Determination Theory, Job Characteristics Model, and the Resource-Based View (RBV). A quantitative research design was employed, utilizing structured questionnaires administered to employees of small-scale businesses. The data were analyzed using descriptive statistics and linear regression via SPSS to determine the significance of relationships among the variables. The findings revealed that all dimensions of HPWS financial incentives, performance appraisal, training and development, and mentoring had a positive and significant impact on employee creativity. The study concludes that effective HR systems enhance employees’ motivation, capability, and opportunity to innovate, thereby improving organizational performance and competitiveness. The research contributes to existing literature by providing empirical evidence from the Nigerian SME context and reinforcing the theoretical linkage between HPWS and creativity. It recommends that small-scale business owners adopt integrated HPWS practices that promote employee autonomy, continuous learning, fair reward systems, and supportive mentoring relationships to sustain creativity and innovation in a dynamic business environment.