Innovation is a term that suddenly everyone is talking about. The unstable and often chaotic environment within which organisations compete, is forcing organisations to be dynamic and innovative to remain competitive. Furthermore, while innovation is generally considered to be a crucial success factor in today's organisations, little is known about the organisational factors that impact upon the innovative behaviour of Small-to-medium sized enterprise (SME) employees within the service industry. Therefore, research into the organisational factors that impact upon the innovative behaviour of SME employees is imperative for organisations seeking a competitive advantage through innovation. As such, this research will add to the body of literature about the impact of some organisational factors upon the innovative behaviour of SME employees. Additionally, the research will outline implications for management that want to develop the innovative behaviour of employees.