Creativity and innovation has brought many company and organizations towards improving their business productivity and employees performance. It is not as easy as it seems in order for the organisation to create and adapt the creativityand innovation in their organization. The study examines the organizational settings in fostering creativity and innovation of the management level in TESCO (M) Sdn. Bhd. Shah Alam, Selangor. A sample of 200 employees from low and middle level management of TESCO were given questionnaire on two major issues which are organizational settings in fostering creativity and innovation, as well as settings that contributed most towards creativity and innovation. Organizational culture, organizational structure, leadership skills and resources and skills are the organizational settings in fostering creativity and innovation. The employees believed that adequate resources and proper skills are most contributors of creativity and innovation as compared to organizational culture, structure, leadership skills and resources and skills which results moderate relationship.
