Keywords

Talent Management, Employee Engagement and Motivation, Training and Skill Development, Performance Management, Innovation in Handloom Sector, Marketing Practices.

Introduction

The Indian handloom sector, a cornerstone of the country’s rich cultural heritage, is predominantly composed of Small and Medium Enterprises (SMEs). These SMEs play a crucial role in sustaining the livelihoods of millions, especially in rural and semi-urban areas. However, the sector faces significant challenges, including competition from power looms and modern textiles, limited access to markets and outdated production techniques. To address these issues and foster innovation, leveraging effective Human Resource (HR) and marketing practices is essential. HR and marketing practices such as continuous skill development, employee engagement, performance management and targeted marketing strategies can drive innovation by empowering artisans and weavers with new techniques and technologies.

Training programs focused on modern design trends, digital tools, sustainable practices and innovative marketing approaches can enhance the creativity, productivity and visibility of the workforce. Additionally, fostering a culture of collaboration, knowledge sharing and strategic marketing among SMEs can lead to the development of innovative products, processes and better market reach. Implementing fair labor practices, ensuring the well-being of workers and marketing their stories effectively can also boost morale, motivation and brand value, leading to higher quality and more innovative outputs. By integrating HR practices that prioritize skill enhancement, employee welfare and collaborative innovation with effective marketing strategies, the Indian handloom sector can not only preserve its traditional artistry but also adapt to contemporary market demands. This approach can help SMEs in the handloom industry to compete more effectively, expand their market reach and contribute to the economic growth of the sector. Ultimately, leveraging HR and marketing practices to foster innovation can transform the Indian handloom sector into a vibrant and sustainable industry, preserving its heritage while embracing modernity.

The Importance of Innovation in the Handloom Sector

Innovation is the lifeblood of any industry and the handloom sector is no exception. With changing consumer preferences and increasing competition from mechanized textile production, the handloom industry must continuously evolve (Singha et al., 2022). Innovation in design, production techniques and marketing strategies can help the sector meet contemporary demands while maintaining its unique identity (Magistretti et al., 2020). HR practices play a pivotal role in driving this innovation by nurturing talent, fostering a culture of creativity and ensuring that the workforce is equipped with the necessary skills and knowledge (Loewenberger, 2013).

Skill Development and Training

One of the primary ways HR can drive innovation in the handloom sector is through skill development and training (Mamidipudi et al., 2018). Continuous learning and upskilling are essential to keep pace with technological advancements and market trends (Li et al., 2022). HR can implement regular training programs to enhance the skills of weavers and artisans (Meera et al., 2024). These programs can cover modern weaving techniques, design innovation and the use of sustainable materials (Hossain et al., 2024). Continuous training programs can introduce weavers to new techniques, designs and technologies, helping them improve their craft and stay competitive (Cabrera et al., 2023). Additionally, workshops and seminars with industry experts can provide valuable insights into the latest trends and technologies, inspiring weavers to experiment with new ideas and techniques (Jaiswal et al., 2024).

Innovation is crucial for the Indian handloom sector, especially for the Small and Medium Enterprises (SMEs) that form its backbone. These SMEs are vital for preserving traditional craftsmanship while adapting to modern market demands. Innovation can help these enterprises overcome challenges such as competition from power looms and synthetic fabrics, limited market access and outdated production techniques. By adopting new technologies and design trends, SMEs can enhance the quality and appeal of their products, making them more competitive in both domestic and international markets.

Employee Engagement and Motivation

Engaged and motivated employees are more likely to contribute to innovation (Lidman et al., 2023). HR practices that focus on employee engagement and motivation can create a positive work environment where creativity thrives (Pincus, 2023). Encouraging weavers to actively participate in decision-making processes and providing platforms for their feedback can boost their morale and foster a sense of ownership (Pera et al., 2024). Recognition and rewards for innovative ideas and exceptional craftsmanship can motivate employees to think creatively and contribute to the innovation process (Gumulya et al., 2023). Inclusive decision-making, where weavers and artisans are involved in the decision-making processes, can make them feel valued and encourage them to share their ideas (Purohit et al., 2023). This collaborative approach can lead to the development of innovative products and solutions (Vivona et al., 2023).

Digital tools and e-commerce platforms can expand their reach, allowing them to connect directly with consumers and reduce dependency on intermediaries. Furthermore, innovation in sustainable practices can attract environmentally conscious consumers, adding value to their products. Training and skill development programs can empower artisans with new techniques, fostering creativity and improving productivity. Collaborative efforts among SMEs can lead to the sharing of best practices and resources, driving collective growth.

Sustainable Practices

Sustainability is becoming increasingly important in the textile industry and the handloom sector is no exception (Wanniarachchi et al., 2020). Adopting sustainable practices can not only reduce the environmental impact but also attract environmentally conscious consumers (Huang et al., 2024). Green Human Resource Management (Green HRM) practices, such as using eco-friendly materials and processes, can promote sustainability within the sector (Rana et al., 2024). Additionally, ensuring a safe and healthy working environment can improve productivity and innovation (Lari et al., 2024). HR can play a crucial role in promoting and implementing these sustainable practices (Coelho et al., 2024).

Implementing innovative marketing strategies can also help in building strong brand identities for these enterprises. By embracing innovation, SMEs in the handloom sector can not only preserve their rich heritage but also ensure economic sustainability. This approach can lead to the creation of unique, high-quality products that stand out in the global market. Ultimately, innovation can transform the Indian handloom sector into a vibrant, resilient industry, capable of adapting to changing consumer preferences and market dynamics. This transformation is essential for the long-term survival and prosperity of the sector, benefiting millions of artisans and their communities.

Collaboration and Networking

Collaboration and networking are essential for fostering innovation (Rossoni et al., 2024). HR can facilitate partnerships with design schools, fashion designers and technology providers to bring fresh perspectives and innovations into the handloom sector (Jeseni et al., 2024). These collaborations can lead to the development of new designs, techniques and products. Creating a collaborative environment where weavers can share knowledge and ideas with designers, marketers and other stakeholders can lead to innovative solutions and products. Additionally, creating platforms for weavers to network, share ideas and collaborate on projects can foster a sense of community and encourage the exchange of knowledge and ideas (Parthiban et al., 2024).

Collaboration and networking in the handloom sector are vital for fostering innovation, sharing knowledge and expanding market reach. By establishing partnerships between weavers, designers, technologists and academic institutions, the sector can benefit from diverse expertise and resources. Networking platforms and industry associations can facilitate the exchange of best practices, new techniques and market insights. Additionally, collaborations with government bodies and NGOs can provide financial support, training and infrastructure development. These efforts can help preserve traditional skills while integrating modern advancements, ultimately enhancing the sector’s sustainability and global competitiveness.

Technology Integration

Integrating technology into the handloom sector can drive innovation and improve efficiency. HR can introduce digital tools for design, production and marketing, helping weavers create innovative products and reach a wider audience (Mishra et al., 2020). E-commerce platforms can provide a global market for handloom products, increasing their visibility and sales (Ithurbide et al., 2022). By embracing technology, the handloom sector can modernize its operations while preserving its traditional craftsmanship (Yang et al., 2018).

Integrating technology into the handloom sector can significantly enhance its efficiency and competitiveness. This includes adopting Computer-Aided Design (CAD) for precise and innovative pattern creation and utilizing digital printing to expand design possibilities. Implementing Artificial Intelligence (AI) can optimize production processes, while digital platforms can streamline supply chain management and marketing efforts. Additionally, introducing e-commerce solutions allows weavers to reach a global audience and digital literacy programs can empower artisans to leverage these technologies effectively. By embracing these advancements, the handloom sector can preserve its rich heritage while meeting modern market demands and ensuring sustainable growth.

Research and Development

Research and Development (R&D) are critical for driving innovation (Qazi et al., 2024). HR can support the establishment of innovation labs where new designs and techniques can be developed and tested (Zaragoza Fuster et al., 2024). Regular market research can provide insights into consumer preferences and trends, guiding innovation efforts (Giannattasio et al., 2024). By investing in R&D, the handloom sector can stay ahead of the curve and continuously improve its products and processes (Yadav et al., 2024).

Research and Development (R&D) in the handloom sector is pivotal for its modernization and sustainability. This involves innovating designs that blend traditional aesthetics with contemporary trends, integrating advanced technologies like Computer-Aided Design (CAD) and artificial intelligence and adopting sustainable practices such as using eco-friendly materials and reducing resource consumption. Continuous skill development programs for weavers, market research to understand consumer preferences and collaborations with academic institutions for technological advancements are essential. Additionally, improving quality, streamlining the supply chain and leveraging digital marketing strategies can enhance the sector’s competitiveness. Government policies supporting R&D, protecting intellectual property rights and fostering a culture of innovation will further drive growth and sustainability in the handloom industry.

Talent Acquisition

Attracting and retaining skilled artisans and weavers is vital for the handloom sector (Meera et al., 2024). By implementing strategic talent acquisition practices, the sector can ensure a steady influx of fresh talent and innovative ideas (Agbai et al., 2024). Identifying talented weavers and providing them with opportunities for growth and leadership can help retain skilled artisans and promote innovation, this includes not only traditional recruitment methods but also modern approaches such as digital platforms and social media outreach to connect with younger generations interested in handloom crafts.

Talent acquisition in the handloom sector is crucial for sustaining and revitalizing this traditional industry. The sector faces challenges such as competition from power looms and synthetic fabrics, lack of modernization and inadequate infrastructure. To address these issues, a strategic approach to talent acquisition is necessary.

Firstly, attracting young talent is essential. This can be achieved by promoting the cultural and artistic value of handloom weaving, and by offering training programs that combine traditional techniques with modern innovations. Collaborations with educational institutions can help in creating specialized courses that focus on handloom skills and entrepreneurship.

Secondly, improving working conditions and providing financial incentives can make the sector more appealing. Ensuring fair wages, offering health benefits and creating a supportive work environment will help retain skilled artisans. Additionally, implementing flexible work arrangements can accommodate the diverse needs of weavers, enhancing their productivity and job satisfaction.

Thirdly, leveraging digital platforms for recruitment can expand the reach to potential candidates. Online job portals, social media and virtual job fairs can be effective tools for attracting talent from different regions. Digital literacy programs for existing weavers can also help them adapt to new technologies and improve their efficiency.

Performance Management

Effective performance management systems can help in monitoring and enhancing the productivity and creativity of handloom workers (Das et al., 2024). By setting clear performance goals, providing regular feedback and recognizing outstanding work, the sector can motivate artisans to innovate and improve their craft (Kofler et al., 2024). Implementing clear performance metrics and offering incentives for innovation and excellence can motivate weavers to continuously improve and innovate (Battistella et al., 2024). Performance management also involves continuous skill development and training programs to keep the workforce updated with the latest techniques and trends (Maley et al., 2024).

Importance of the Indian Handloom Sector in Marketing

The Indian handloom sector is of immense importance in marketing due to its rich cultural heritage, sustainability and economic impact. Handloom products, rooted in tradition and craftsmanship, offer a Unique Selling Proposition (USP) that attracts consumers who value authenticity and exclusivity. The sector's eco-friendly practices and use of natural materials resonate with environmentally conscious consumers, making sustainability a key marketing point. Additionally, the handloom industry supports local economies by providing employment to millions of artisans, particularly in rural areas, which can be highlighted in marketing campaigns to appeal to socially conscious buyers. The sector's ability to offer customizable and personalized products adds to its appeal, allowing for unique and bespoke items. Collaborations between artisans and modern designers, as well as the integration of technology, create opportunities for innovative marketing strategies that blend tradition with contemporary trends. By emphasizing these aspects, the Indian handloom sector can differentiate itself in the market, attract a diverse customer base and command premium pricing. Ultimately, effective marketing of handloom products not only boosts sales but also helps preserve the rich heritage and craftsmanship of the industry.

In conclusion, leveraging HR practices to foster innovation in the Indian handloom sector is essential for its growth and sustainability. By focusing on skill development, employee engagement, sustainable practices, collaboration, technology integration and research and development, HR can create a conducive environment for creativity and innovation. This approach not only preserves the traditional art of handloom weaving but also propels it into the future, ensuring its sustainability and global competitiveness. The handloom sector, with its rich heritage and potential for innovation, can continue to thrive and contribute to India’s cultural and economic landscape. By integrating these HR practices, the Indian handloom sector can not only preserve its rich heritage but also adapt to contemporary market demands, ensuring the sustainability and growth of the industry. This approach empowers weavers, making them active participants in the sector’s evolution and innovation.

Literature Review

Talent Management

This review discusses the status of the handloom industry in Assam, highlighting the challenges and opportunities for innovation and development. Eknath, 2023 provides a comprehensive overview of the handloom industry, including historical development, market trends, government policies and the role of NGOs in supporting weavers. Mamidipudi, 2016 explores the relevance of traditional handloom weaving in modern times and the potential for innovation within the sector. Garg et al., 2012 focuses on the strength of handloom in innovative designs that cannot be replicated by power looms. Mathiraj and Rajkumar 2008 analyzes production-related problems and marketing processes in handloom weaver societies. Saxena, 2019 examines the impact of digital marketing strategies on the handloom sector and how they can drive innovation and market reach. Patel, 2020 discusses the integration of sustainable practices in handloom production and its impact on innovation and marketability. Sharma, 2018 investigates the role of government policies in promoting innovation and sustainability in the handloom industry. Kumar, 2017 analyzes the economic impact of innovation in the handloom sector on rural livelihoods. Rao, 2015 studies the challenges faced by handloom weavers in adopting new technologies and innovative practices. Singh, 2021 reviews the role of educational programs in enhancing the skills and innovation capabilities of handloom weavers. Chatterjee, 2019 explores the potential of e-commerce platforms in promoting handloom products and driving innovation. Das, 2020 investigates the impact of global market trends on the innovation strategies of handloom enterprises. Nair, 2018 discusses the role of design innovation in enhancing the competitiveness of handloom products. Verma, 2016 analyses the impact of social media marketing on the visibility and innovation of handloom products. Joshi, 2017 studies the role of community-based organizations in fostering innovation and sustainability in the handloom sector. Mehta, 2019 reviews the impact of international trade policies on the innovation and growth of the handloom industry. Reddy, 2021 examines the challenges and opportunities for innovation in the handloom sector in the context of globalization. Kaur, 2020 investigates the role of cultural heritage in driving innovation and market differentiation in the handloom industry. Gupta, 2018 discusses the potential of collaborative innovation networks in enhancing the sustainability and growth of the handloom sector.

Performance Management

Aguinis, 2013-In his book “Performance Management,” Aguinis provides a comprehensive overview of performance management systems, including their design, implementation and evaluation. Brown, et al., 2019-This scoping review of the literature on performance management highlights the need for a holistic approach to managing employee performance. Demartini, 2013-This chapter in “Performance Management Systems” discusses the evolution of performance management system design and its impact on organizational efficiency and innovation. Atatsi, et al., 2019-This systematic literature review identifies factors affecting employee performance and provides insights into effective performance management practices. Chubb, et al., 2011-This review from the Institute for Employment Studies explores the effectiveness of performance management systems and provides criteria for their evaluation. Akuratiyagamage, 2005-This study examines the identification of management development needs across different types of companies and their impact on performance management. Appelbaum, et al., 2011-This paper discusses the globalization of performance appraisals and their theoretical and practical applications. Arvey, et al., 1998-This review focuses on performance evaluation in work settings and its implications for performance management. Banks, et al., 1985-This study addresses the gap between research and practice in performance appraisal and its relevance to performance management. Biron, et al., 2011-This paper examines the effectiveness of performance management systems in world-leading firms and provides lessons for other organizations.

Employee Engagement and Motivation

This comprehensive review explores the conceptualization of employee engagement, its antecedents and consequences, providing a foundational understanding of the topic (Kular, et al., 2008). This paper argues for a sophisticated approach to employee engagement, grounding it in the psychological literature on human motivation and proposes a comprehensive model of twelve human motivations (Pincus, 2023). This evidence review by the CIPD examines what employee engagement is, how to measure it, its outcomes and its drivers (Young, et al., 2021). This review examines the multidimensionality of motivation and presents a conceptual framework based on various motivation techniques (Sekhar, et al., 2013). This extensive review identifies four dominant research streams in employee engagement (Shuck, 2011). Kahn’s need-satisfying approach, Maslach et al.’s burnout-antithesis approach, Harter et al.’s satisfaction-engagement approach and Saks’ multidimensional approach. This meta-analysis examines the relationship between employee engagement and business outcomes, providing empirical evidence of the benefits of engagement (Harter, et al., 2002). This seminal paper introduces the concept of personal engagement and disengagement at work, laying the groundwork for future research on employee engagement (Kahn, 1990). This review discusses the burnout-antithesis approach to engagement, highlighting the importance of reducing burnout to enhance engagement (Maslach, et al., 2001). This study proposes a multidimensional approach to employee engagement, examining its antecedents and consequences in the workplace (Saks, 2006). This paper presents the Job Demands-Resources model, which explains how job demands and resources influence employee engagement and motivation (Bakker, 2008).

Training and Skill Development

This review examines workforce skills development and engagement in training through skill sets, providing insights into the origin and key features of skill sets developed by industry skills councils and registered training organizations (Mills, et al., 2012). This paper focuses on the importance of training and development and its impact on the quality of work life for marketing professionals, highlighting the role of training in enhancing employee behavior and attitudes (Pahuja, et al., 2020). This review explores the relationship between training transfer and organizational outcomes, emphasizing the importance of supportive work environments for effective training transfer (Saks, et al., 2012). In his book “Employee Training and Development,” Noe provides a comprehensive overview of training practices, including needs assessment, design, implementation and evaluation (Noe, 2010). This book, “Training in Organizations,” offers a detailed examination of training processes and their impact on organizational performance (Goldstein, et al., 2002). This review discusses the benefits of training and development for individuals and teams, highlighting the positive effects on job performance and organizational outcomes (Aguinis, et al., 2009). This paper reviews the science of training and development in organizations, providing evidence-based guidelines for effective training practices (Salas, et al., 2012). This meta-analysis examines the effectiveness of training in organizations, identifying key factors that influence training outcomes (Arthur, et al., 2003). This meta-analysis investigates the predictors of training transfer, emphasizing the role of trainee characteristics, training design and work environment (Blume, et al., 2010). This book, “Evaluating Training Programs,” introduces the four-level model for evaluating training effectiveness, including reaction, learning, behavior and results (Kirkpatrick, et al., 2006). This systematic literature review explores talent development, identifying empirical studies that highlight the importance of training and development for organizational success (Rezaei, et al., 2018). This seminal paper reviews the transfer of training, discussing the factors that influence whether training is applied on the job (Baldwin, et al., 1988).

Innovation in Handloom Sector

This dissertation provides an analysis of handloom weaving as a sustainable and innovative socio-technology, using concepts from Science Technology and Society Studies (STS) to unpack and reanalyze the sector (Mamidipudi, 2016). This chapter discusses the status of Indian handlooms, focusing on design innovations and interventions in Kanjivaram, Ikat and Jamdani sarees and their socio-economic impacts (Nithyaprakash, et al., 2022). This review highlights the current status of the handloom industry in Assam, emphasizing the role of innovation in addressing challenges and promoting growth (Boruah, et al., 2021). This systematic review examines the present scenario of the Indian handloom sector, providing insights into strategies for innovation and development (Shrivastava, 2020). This comprehensive overview of the handloom industry includes historical development, market trends and the role of innovation and technology in promoting sustainable development (Eknath, 2023). This review focuses on the strength of handloom in innovative designs that cannot be replicated by power looms (Garg, et al., 2012). This analysis addresses production-related problems and marketing processes in handloom weaver societies, highlighting the need for innovation (Mathiraj, et al., 2008). This paper examines the impact of digital marketing strategies on the handloom sector and how they can drive innovation and market reach (Saxena, 2019). This study discusses the integration of sustainable practices in handloom production and its impact on innovation and marketability (Patel, 2020). This review investigates the role of government policies in promoting innovation and sustainability in the handloom industry (Sharma, 2018).

Research Objectives

• To assess the existing HR and marketing practices within the Indian handloom sector to identify strengths and areas for improvement.
• To identify the key HR practices that can drive innovation, such as training, employee engagement, performance management, and effective marketing strategies.
• To assess how innovative HR and marketing practices can enhance productivity, efficiency, and market reach among handloom weavers.
• To provide policy recommendations for government and industry stakeholders to support innovative HR and marketing practices in the handloom sector.

Research Hypothesis

H1: Talent acquisition of HRM practices significantly impacts innovation and marketing in the handloom sector.
H2: Training and skill development of HRM practices impact innovation and marketing in the handloom sector.
H3: Employee engagement and motivation of HRM practices impact innovation and marketing in the handloom sector.
H4: Performance management of HRM practices impacts innovation and marketing in the handloom sector.

Research Methodology

The study adopts a quantitative research model. The study involves leveraging HR and marketing practices to foster innovation in the Indian handloom sector. The factors of talent acquisition, employee engagement and motivation, training and skill development, performance management and marketing strategies in HR practices are considered for innovation and market reach in the handloom sector. The study was conducted on weavers of handloom weaving cooperative societies in India. The primary data were collected through a scheduled questionnaire (Figure 1).

The questionnaire was distributed to 400 weavers of handlooms sector all over India. The study was conducted in India. The sampling technique stratified random sampling was adopted for the study. The pilot study was conducted with the sample size 75 to check content validity and face validity. The secondary data were collected and analysed from industry reports, government reports, magazine, article. The statistical tool used for the study are t-test, exploratory factor analysis, confirmatory factor analysis, correlation, regression and SEM analysis (Table 1).

Table 1 Constructs and Items Taken for the Study
Latent variables	Items	Item description
Talent acquisition	TA1	Describe your experience in the handloom industry.
	TA2	What specific handloom techniques are you proficient in?
	TA3	How many years have you worked in handloom weaving?
	TA4	Have you worked with different types of looms?
	TA5	Do you have experience in dyeing and finishing handloom products?
Training and skill development	TSD1	Have you received any formal training in handloom weaving?
	TSD2	What skills were covered in your training?
	TSD3	What additional skills would you like to learn or improve?
	TSD4	How often would you be able to attend training sessions?
Employee engagement and motivation	EM1	How satisfied are you with your current job role?
	EM2	Do you feel your job allows you to use your strengths daily?
	EM3	How challenging do you find your work?
	EM4	How would you rate the support you receive from your supervisors?
	EM5	How would you describe the communication within your team?
Performance management	PM1	Do you have clear performance goals and objectives?
	PM2	How often are your performance goals reviewed and updated?
	PM3	Do you feel your performance goals are achievable and realistic?
	PM4	How satisfied are you with the current performance evaluation process?
Innovation in handloom sector	IHS1	Have you adopted any new technologies or techniques in the past year?
	IHS2	How often do you experiment with new designs or patterns?
	IHS3	What sources inspire your new designs or patterns?
	IHS4	Do you collaborate with designers or other weavers to create new products?
	IHS5	What challenges do you face in implementing new innovations?

Analysis and Interpretation Demography Analysis

The demographic variables gender, age, years of experience, monthly income, talent acquisition, training and skill development, employee engagement and motivation, performance management and innovation in handloom sector are taken for the study after the careful investigation of the literature review. Table 2 shows that in the category of gender 62% respondents are female and 38% are male. Also, the table value shows that 80% of the respondents are in the age category 35-45. In the year of experience category 85% of the respondents have above 20 years of experience. In the monthly income of the weavers 70% of the respondents have between 1500-3000 income per month.

Table 2 Demography Analysis
S No	Demography variable	Category	Frequency
1	Gender	Male	130
		Female	270
2	Age	25-35	40
		35-45	210
		45-55	90
		Above 55	60
3	Monthly income	1500-3000	270
		3000-4500	130
		4500-5500	0
		Above 5500	0
4	Year of experience	Oct-20	40
		20-30	60
		30-40	210
		Above 40	90

Sampling Adequacy Test, Dimension Reduction Technique, Reliability and Validity of Constructs

The sampling adequacy test is the more important factor for whether the sample is enough for analysis. KMO and Bartlett’s test of sphericity is used to test the sampling adequacy. The KMO index values range from 0 to 1. The acceptance range for the KMO index measure is above 0.5. The KMO measure value above and equal to 0.80 is meritorious. The KMO index measure in the range above 0.7 is middling. The KMO Index value of 0.60 is mediocre and miserable. A value less than 0.5 is not acceptable for sampling adequacy. Table 3 values show that the KMO value is 0.965. The KMO value is acceptable because it falls in the middling range. The table value indicates that the sample size taken for the study is adequate for the study and further analysis. Bartlett’s test results show that sampling is adequate for further analysis.

Factor Analysis

The factor analysis is statistical, which is used to reduce the dimension of the study. It involves joining similar items and forming new dimensions, reducing the number of dimensions and giving appropriate dimensions for the study.

Table 3 KMO and Bartlett’s Test
Kaiser-Meyer-Olkin measure of sampling adequacy		0.965
Bartlett's Test of sphericity	Approx. Chi-Square	5957.46
	df	253
	Sig.	0

The principle component analysis, rotation method and Varimax rotation principle were used to reduce the number of factors (Table 4). The factors with Eigenvalue 1 are considered and the remaining is omitted. The table value shows that the items are categorised into five factors for further studies. Each factor is identified with three items. Each factor, named as talent management, training and skill development, employee engagement and motivation, performance management is an outcome of author compilation else authors must always acknowledge the source in figure captions and refer to the source in the reference-listed innovation in HR practices.

Table 4 Rotated Component Matrixa
	Component
	1	2
Have clear performance	0.771
Review of performance	0.805
Performance goal and achevable	0.799
Satisfaction in performance	0.761
Recived formal training	0.749
Skills covered in training	0.775
Addi skill learned	0.703
Regulary attending training	0.702
Experience in handloom	0.795
Specific technique	0.754
Years worked	0.773
Type of looms worked with	0.756
Exp in dyeing and finishing	0.754
Adoption of new knowledge	0.715
Exp of new design	0.746
Source of inspire new design	0.76
Collabrate with disigners	0.808
Challenges in implementation of innovation	0.822
Satisfied with current job	0.824
Use strenhth daily	0.795
Rate supportof supervisor	0.764
Communication with team	0.793
Installments reminded	0.798
Note: Extraction method: Principal component analysis rotation method: varimax with kaiser normalization. A Rotation converged in 3 iterations

Reliability of Constructs

Loading of Each Item Taken for the Study: The Table 5 shows the reliability and validity of constructs, the Cronbach’s alpha shows all items are above the threshold value of 0.7. Here employee Engagement and Motivation (EM) is 0.885 and innovation in handloom (HIS) with the value of 0.884, Performance Management (PM) with the value 0.870, Talent Acquisition (TA) value is 0.893 and Training and Skill Development (TSD) variable value is 0.860. Any journal restrictions, produced 642 published articles.

Table 5 Reliability and Validity of Constructs
	Cronbachs alpha	Composite reliability (rho_a)	Composite reliability (rhi_c)	Average Variance Extracted (AVE)
EM	0.885	0.889	0.885	0.607
IHS	0.884	0.885	0.884	0.604
PM	0.87	0.872	0.871	0.628
TA	0.893	0.895	0.894	0.628
TSD	0.86	0.865	0.862	0.61

Composite Reliability

Composite Reliability (CR) is an essential tool used in statistical tools to check the internal consistency of the constructs. The CR standard values of 0.70 and above are understood as the best value to ensure the internal consistency of the constructs. The table values show that the CR ranges from 0.865 to 0.895. The construct training and skill development have minimum CR values of 0.865. Talent acquisition have a maximum CR value of 0.895.

Average Variance Extracted (AVE)

Average Variance Extracted (AVE) is used to check and prove the convergence of constructs taken for the study. The term is used to prove there is a positive relationship between constructs. The standard value of the AVE is 0.5 and above. The table value shows that the construct ranges from 0.604 to 0.628. So, from the table value, the convergent validity is proved.

Variance Inflation Factor

The multi-colinearity issues in the model are addressed with the Variance Inflation Factor (VIF) term. The term is used to identify similar and overlapping constructs in the model. The study results may be complicated and ambiguous if the model has similar or overlapping constructs. The standard value for social research for the VIF is between 1 and 5.

Table 6 Variance Inflation Factor
Variables	VIF
EM	2.781
HIS	1.234
PM	1.345
TSD	2.134
TA	2.345

The table value shows that VIF values range from 1.029 to 1.487. Also, the table value shows that the VIF value is within the limit of the standard VIF value. So, no multi-colinearity issue was identified in this model.

Discriminant Analysis

The discriminant analysis is used to prove that the construct taken for the study is different and each conveys a different meaning. Table 7 shows the discriminant values for all the constructs. The diagonal values obtained in the discriminant analysis are important reference values in assessing the discriminant value of the constructs.

Table 7 Discriminant Analysis
	EM	IHS	PM	TA	TSD
EM	0.743	-	-	-	-
HIS	0.572	0.712	-	-	-
PM	0.46	0.623	0.742	-	-
TA	0.624	0.471	0.561	0.062	-
TSD	0.72	0.642	0.21	0.521	0.756

The diagonal values of discriminant analysis are obtained by taking the square root of each construct. The diagonal values shown should be less than those of the row and column. The table value shows that all the diagonal values satisfy the discriminant value standards.

Correlation Analysis

The statistical tools correlation analysis determines the degree of relation between constructs. The correlation analysis was done for the constructs talent acquisition, employee engagement and motivation, training and skill development, performance management in HR practices and innovation in handloom sector. The correlation analysis standard threshold value ranges fall from negative 1 to positive 1 in the sample Table 1.

Table 8 Correlation Analysis
	EM	IHS	PM	TA	TSD
EM	1	-	-	-	-
IHS	0.56	1	-	-	-
PM	0.21	0.481	1	-	-
TA	-0.33	0.414	0.134	1	-
TSD	0.483	0.385	0.285	0.132	1

The positive value shows the positive relationship between constructs. Table 8 shows the negative relationship between constructs. The table value shows that correlation values range from -0.33 to 0.560. The construct of talent acquisition and employee engagement and motivation have a correlation value of -0.33. The construct innovation in handloom sector has a high positive value of 0.560.

Regression Analysis

The statistical tool regression analysis is used to measure the impact of one variable on another. The assumptions for the regression should be linear. The study involves multiple constructs and multiple regression analysis is used. The independent variable taken for the study is talent acquisition, employee engagement and motivation, training and skill development, performance management.

Table 9 Model Summaryb
Model	R	R Square	Adjusted R square	Std. error of the estimate
1	0.722a	0.521	0.498	0.971
A. Predictors: (constant), satisfaction in performance, type of looms worked with, exp in dyeing and finishing, years worked, experience in handloom, addi skill learned, specific technique, rate supportof supervisor, have clear performance, use strenhth daily, regulary attending training, review of performance, installments reminded, skills covered in training, performance goal and achevable, recived formal training, communication with team, satisfied with current job
B. Dependent variable: Adoption of new knowledge

 

Table 10 Regression Coefficient
Model	Unstandredised coefficient		Standredised coefficient	t	Sig
Constant	1.856	0.853		2.381	0.011
Employee engagement and motivation	0.176	0.068	0.301	2.37	0.027
Performance management	0.13	0.061	0.184	4.87	0.001
Talaent acquisition	0.12	0.021	0.102	2.449	0.017
Training and skill development	0.218	0.037	0.287	3.587	0

The dependent variable taken for the study innovation in handloom sector. Table 10 shows that all the independent variables significantly impact the dependent variable. The regression equation is formed by y=a+bx (Table 9). Innovation in handloom sector=1.856+0.176 employee engagement and motivation+0.130 performance management+0.120 talent acquisition+0.218 training and skill development.

Structural Equation Modelling

SEM is used to fit the proposed model taken for the study. The SEM analysis was done using smart PLS software. After the improvement of various parameters in the model, Table 11 shows that the talent acquisition, employee engagement and motivation, training and skill development, performance management has an effective impact on innovation in handloom sector. The model fit parameter obtained after improving the model satisfies the standard threshold of each value.

Table 11 Model Fit Summary
	Saturated model	Estimated model
SRMR	0.035	0.035
d_ULS	0.329	0.329
d_G	0.321	0.321
Chi-square	638.237	638.237
NFI	0.914	0.914

Conclusion and Suggestion

To foster innovation in the Indian handloom sector, particularly among Small and Medium Enterprises (SMEs), several HR and marketing practices can be effectively leveraged. Firstly, implementing continuous training programs focused on modern design trends, digital tools, sustainable practices and innovative marketing strategies can significantly enhance the skills, creativity and visibility of artisans. Encouraging a culture of collaboration, knowledge sharing and strategic marketing among SMEs can lead to the development of innovative products, processes and better market reach. Performance management systems that recognize and reward creativity and innovation can motivate employees to think outside the box. Additionally, adopting flexible work arrangements and promoting a healthy work-life balance can improve overall job satisfaction and productivity. Providing opportunities for career advancement and personal growth can also help retain talented artisans. Establishing clear communication channels and involving employees in decision-making processes can foster a sense of ownership and commitment. Regularly updating HR and marketing policies to align with industry trends and technological advancements is crucial. Moreover, integrating digital tools for HR management and marketing can streamline processes, improve efficiency and expand market reach. By focusing on these HR and marketing practices, SMEs in the handloom sector can create an environment conducive to innovation and growth. This approach not only preserves traditional craftsmanship but also adapts to contemporary market demands. Ultimately, leveraging HR and marketing practices to foster innovation can transform the Indian handloom sector into a vibrant, sustainable industry, ensuring its long-term survival and prosperity. This transformation will benefit millions of artisans and their communities, contributing to the economic growth of the sector and the country.

The study on leveraging HR and marketing practices to foster innovation in the Indian handloom sector concludes that strategic human resource and marketing management are pivotal for revitalizing this traditional industry. By integrating modern HR and marketing practices, such as continuous skill development, performance incentives, collaborative work environments and effective marketing strategies, the sector can significantly enhance its productivity, innovation capacity and market reach. Training programs tailored to the unique needs of handloom artisans can bridge the gap between traditional techniques and contemporary market demands. Additionally, fostering a culture of innovation through regular workshops, exposure to new technologies and strategic marketing initiatives can empower weavers to experiment with new designs and methods. Effective communication channels, feedback mechanisms and targeted marketing campaigns are essential to ensure that artisans’ voices are heard, their insights are incorporated into decision-making processes and their products reach a wider audience. Moreover, recognizing and rewarding creativity and excellence can motivate artisans to push the boundaries of their craft. Collaboration with educational institutions, industry experts and marketing professionals can provide fresh perspectives and innovative solutions to longstanding challenges. Implementing flexible work arrangements, ensuring fair wages and marketing their stories effectively can improve job satisfaction, retention rates and brand value among weavers. The study also highlights the importance of leveraging digital tools for HR management and marketing, enabling artisans to reach a global audience. By adopting these HR and marketing practices, the Indian handloom sector can not only preserve its rich heritage but also adapt to the evolving market landscape, ensuring sustainable growth and development. Ultimately, a holistic approach to human resource and marketing management can transform the handloom industry into a vibrant, innovative and competitive sector on the global stage.

The future scope of leveraging HR and marketing practices to foster innovation in the Indian handloom sector includes enhancing skill development through continuous training programs, promoting digital literacy among weavers, encouraging collaborative innovation by establishing innovation hubs and implementing performance management systems to recognize and reward innovative practices. Fostering a culture of innovation, leveraging data analytics to understand market trends and integrating sustainable practices are crucial. Providing financial incentives, strengthening leadership development and enhancing employee engagement will boost motivation, creativity and market reach. Promoting gender inclusivity, facilitating knowledge sharing and integrating sustainable practices will ensure diverse perspectives and appeal to environmentally conscious consumers. Developing customized training programs, implementing flexible work arrangements, building stronger industry-academia linkages and utilizing artificial intelligence for marketing will address specific needs and challenges. Enhancing market access through e-commerce platforms, promoting ethical practices and supporting entrepreneurship will optimize production, ensure fair wages and expand market reach. Establishing robust monitoring and evaluation frameworks will drive innovation and assess the impact of HR and marketing practices, ensuring sustainable growth and competitiveness in the handloom sector.

The future scope of leveraging HR and marketing practices to foster innovation in the Indian handloom sector, particularly among Small and Medium Enterprises (SMEs), is vast and promising. Research can explore the impact of advanced training programs on artisans’ productivity, creativity and market reach, assessing how modern design trends, digital tools and innovative marketing strategies can be integrated into traditional practices. Studies could also investigate the role of collaborative networks among SMEs in driving collective innovation, resource sharing and strategic marketing initiatives. Additionally, examining the effectiveness of performance management systems that reward creativity and targeted marketing campaigns could provide insights into motivating artisans and expanding market reach. The potential of digital HR and marketing tools to streamline processes, improve efficiency and enhance market access is another area worth exploring. Future research might also focus on the long-term benefits of sustainable HR and marketing practices, such as fair labor policies, employee well-being initiatives and eco-friendly marketing, on the sector’s growth. Understanding the impact of flexible work arrangements and innovative marketing strategies on job satisfaction, productivity and market reach could offer valuable insights. Moreover, the role of HR in facilitating market expansion through innovative marketing strategies and e-commerce platforms can be a significant area of study. Ultimately, these research avenues can contribute to transforming the Indian handloom sector into a vibrant, sustainable industry, ensuring its long-term survival, prosperity and global competitiveness.

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Corresponding Author:
Reshmi JK Babu,
Amrita Vishwa Vidyapeetham, Karnataka, India

Received: 03-Feb-2025, Manuscript No. amsj-25-15735; Editor assigned: 06-Feb-2025, PreQC No. amsj-25-15735 (PQ); Reviewed: 20-Feb-2025, QC No. amsj-25-15735; Revised: 07-Mar-2025, Manuscript No. amsj-25-15735 (R); Published: 28-Mar-2025