Organizational innovation - a path to improve the working conditions in the knowledge economy

This paper provides an overview of the latest research, both academic and official institutions, both theoretical and empirical, on organizational innovation. Organizational innovation is a new way of organizing the business practices of the organization, inclusive in knowledge management, in workplace organization or external relations, which have never been used before by that company. Knowledge-based organizations are built on intangible assets, on the knowledge, experience and competences of high-skilled human resources, who represent the most valuable resource of these organizations. In this context, based on a review of the literature published in recent years, both in Europe and worldwide, the paper synthesizes the different approaches on innovation and knowledge economy, then to center on organizational innovation, recently called "workplace innovation" and mainly on the effects of innovative practices in the organization of work, on the employees' quality of life, as they emerge from the empirical research conducted in different organizations and countries; emphasis will be placed on identifying the extent to which these new practices have been introduced especially in organizations of KIBS (knowledge-intensive business services) sector, specific to knowledge economy, and their impact on the working conditions of highly qualified employees. Secondary data analysis we conducted showed that workplace innovation (including task variety, autonomy, participation at decision-making, teamwork, learning, self-assessment of work quality etc.) leads to employees' welfare, health and therefore to their motivation and loyalty. Unfortunately, in the last five years, the percentage of European companies that adopt new, innovative forms of organization ("discretionary learning" forms), meant to ensure better working conditions, decreased. More, in Romania, there is a lack of harmonization between legislation and the development of activities specific to the knowledge economy; that is why as conclusions, the paper propose guidelines for Romanian business environment in order to improve the "goldern collars" employees' quality of life.