This study aims to analyze the influence of human capital on innovation strategies. The design of this study was a descriptive research. Data were collected SMEs in manufacturing enterprises in Makassar City. Using convenience sampling, as many as 180 SME owners/managers participated in the study. Descriptive analysis followed regression were employed. The results reveleal that human capital in the dimensions of skills has a direct positive effect on innovation strategies on the dimensions of exploration innovation, exploitation innovation.

Keywords : Human Capital; Innovation; Strategy; Indonesia.