The Impact of Top Managers’ Human Capital on Productivity in Cultural and Heritage SMEs in the UAE: The Mediating Role of Innovation

This research investigates the relationship between human capital of top managers and productivity of cultural and heritage SMEs in UAE with mediating role of innovation. Employing a quantitative method, the research data was obtained from 243 respondents, who were SMEs in the cultural and heritage sector. The research adopts SmartPLS for validity, reliability, and Structural Equation Modeling of the posited relationships. Hence, by presenting knowledge and skills of top managers, human capital in UAE’s cultural and heritage SMEs and its relationship with innovation and productivity, the research gives understanding of how theories are applicable within context of analyzed firms. The contribution of this rsearch is that it targets cultural and heritage SMEs in the UAE, a topic that is quite limited in literature in the vast domain of management. Moreover, it extends previous research by demonstrating an indirect mediated relationship between innovation and top managers’ human capital in increasing productivity. The main managerial implications of the current research are thus important for business and political decision-makers, as well as for cultural and heritage industry stakeholders in the UAE. By identifying the significant influence of top managers’ human capital in generation of innovation then enhance productivity as well as competitiveness, capacity building and leadership advancement in SMEs. At the same time, this research provides the basis for subsequent works that can deepen the understanding of motivations for innovation in related industries.