scholarly journals Antecedents of Innovation Capability: The Role of Transformational Leadership and Organizational Learning

2018 ◽  
Vol 9 (5) ◽  
pp. 1
Author(s):  
Nguyen ThiThuy Van ◽  
Le Ba Phong ◽  
Luu Thi Loan

The paper aims to test the mediating role of organizational learning (OL) between transformational leadership (TL) and innovation. Based on the literature review, we developed a research model proposing that TL enhances innovation capability through its positive effects on four components of OL: Knowledge acquisition, knowledge dissemination, knowledge interpretation, and organization memory. Structural equations modeling (SEM) is applied to examine the influence of independent factors on dependent ones via data collected from 76 Chinese firms. The results indicated that aspects of OL act as the mediators between TL and innovation capability. Especially, the findings highlight the important role of TL practice to enhance OL and the knowledge dissemination’s significant impacts on innovation capability. The paper has provided theoretical and managerial initiatives on theory of leadership and innovation that might help firms identify a right pathway to promote their innovation capability aimed at adapting more effectively to the changes of business environment.

Kybernetes ◽  
2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Tu Ngoc Nguyen ◽  
Chao Hong Shen ◽  
Phong Ba Le

PurposeThe purpose of this study is to explore the influence of transformational leadership (TL) on a firm's radical and incremental innovation. It also deepens the understanding of appropriate mechanisms and conditions to improve specific aspects of innovation by examining the mediating role of knowledge management capability (KMC) and moderating mechanism of collaborative culture.Design/methodology/approachThis study utilized structural equation modeling (SEM) and cross-sectional design to test hypotheses in the proposed research model using survey data collected from 365 participants in 86 manufacturing and service firms.FindingsThe findings indicate that TL induces greater effect on radical innovation compared to its effect on incremental innovation. The mediating role of KMC between TL and aspects of innovation capability is also supported. Especially, the influences of KMC on specific aspects of innovation capability are different and depend on the degree of collaborative culture in an organization.Research limitations/implicationsFuture research should examine the mediating mechanisms of knowledge acquisition, knowledge sharing and knowledge application to provide deeper insight into specific roles of knowledge management's constituents in linking TL and innovation capability.Practical implicationsThe paper significantly contributes to increasing the understanding of the link between TL and specific aspects of innovation capability by highlighting the important role of KMC and positive effects of collaborative climate in an organization.Originality/valueThe paper is unique in the attempts to provide a prospective solution for firms to pursue and improve innovation based on the meaningful insights into the mediating role of KMC and moderating effect of collaborative culture in the relationship between TL and specific dimensions of innovation capability.


2020 ◽  
Vol 12 (23) ◽  
pp. 10061
Author(s):  
Mirna Kordab ◽  
Jurgita Raudeliūnienė ◽  
Ieva Meidutė-Kavaliauskienė

Organizations operating in the intensive knowledge-based sector seek efficient management approaches and sustainable development practices to perform efficiently in the dynamic business environment. Knowledge management practice and organizational learning are significant factors in order to achieve sustainable organizational performance in a rapidly changing business environment. Based on the scientific literature analysis, there is still a lack of evidence related to the mediating role of the whole knowledge management cycle, including the five knowledge management processes (knowledge acquisition, creation, storage, sharing, and application) in the relationship between organizational learning and sustainable organizational performance for organizations operating in intensive knowledge-based sectors. This study aimed to examine the impact of the whole knowledge management cycle on the relationship between organizational learning and sustainable organizational performance in intensive knowledge-based sectors, specifically the audit and consulting companies in the Middle East region. Systematic scientific literature analysis, expert evaluation (structured questionnaire), and structural equation modeling (SEM) technique were used to develop and verify the research model. Data was collected through a structured questionnaire distributed among auditing experts working in a knowledge-based sector—audit and consulting companies in the Middle East region. The research results supported the hypotheses stating that organizational learning positively affects knowledge acquisition, storage, sharing, application processes, and sustainable organizational performance. However, the results verified that organizational learning has an insignificant impact on the Middle Eastern audit and consulting companies’ knowledge creation process.


2017 ◽  
Vol 8 (2) ◽  
pp. 73 ◽  
Author(s):  
Hui Lei ◽  
Phong Ba Le ◽  
Hanh Thi Hong Nguyen

The paper aims to clarify the influences of collaborative culture and specific aspects of organizational learning on competitive advantage. Structural equations modeling (SEM) is applied to test degree of influence of each variable has on each other through using data collected from 298 participants at 150 large manufacturing and service firms. The result shows that organizational learning act as mediating roles in the relationship between collaborative culture and competitive advantage. Our results indicate that collaborative culture practices will yield significant effects to competitive advantage directly or indirectly through improving specifics aspects of organizational learning. The findings of this study provide a theoretical basis, which can be used to analyze relationships between collaborative culture, specifics aspects of organizational learning and competitive advantage. From a practical perspective, the study brings more deeply understanding for CEOs/managers about the necessary factors to encourage and promote firm’s competitive advantage.


2018 ◽  
Vol 9 (3) ◽  
pp. 1 ◽  
Author(s):  
Lei Hui ◽  
Sengphet Phouvong ◽  
Le Ba Phong

Innovation capability is widely accepted as an important means to attain sustain competitive advantage for firms before the rapidly changing of business environment and increasingly competitive pressure. The main goal of this study is to explore an effective way to successfully improving innovation capability for firms based on examining the relationship between transformational leadership style, interpersonal trust, and innovation capability of Vietnamese firms. The authors apply Structural Equations Modeling (SEM) to test the impacts of transformational leadership, interpersonal trust on innovation capability by using data collected from 195 participants in Vietnamese firms. The result revealed that transformational leadership and interpersonal trust significantly affect innovation capability. In addition, interpersonal trust mediates the relationship between transformational leadership and innovation capability. The findings highlights the need of practicing transformational leadership to foster employee trust and finally to enhance innovation capability for firms. The findings of this study contribute to filling the theoretical gaps which call for research on antecedent factors of innovation capability.


2014 ◽  
Vol 8 (2) ◽  
pp. 84-101 ◽  
Author(s):  
Hyekyoung Kim

Purpose – The purpose of this paper is to verify the factors – word-of-mouth (WOM) information and dynamic capability – that affect industrial buyer-based relationship quality and to examine their effect on relationship continuity in business-to-business (B2B) transactions. The study also aims to examine the mediating role of relationship quality in linking WOM information and relationship continuity and in linking dynamic capability and relationship continuity. Design/methodology/approach – Two methods are used for this study: a literature review to develop a research model and an empirical study to test hypotheses. To achieve the empirical research, 267 cases were analyzed. Findings – This study verified that WOM information and dynamic capability have positive effects on industrial buyer-based relationship quality and relationship continuity in B2B transactions. In addition, relationship quality plays a partially mediating role in linking WOM information and relationship continuity and in linking dynamic capability and relationship continuity. Originality/value – WOM information plays an important role in consumers’ behavior in business-to-customer transactions and in B2B transactions; however, WOM in B2B transactions receives less attention, as it occurs by an informal process. This study suggests WOM information and dynamic capability as factors that affect industrial buyers’ perception of relationship quality and relationship continuity, and the research sought to examine the effects of relationship quality on the resulting actions, relationship continuity. This study could be useful for industrial suppliers to understand the industrial buyers’ perception on relationship quality and the results of relationship quality. Moreover, industrial suppliers could utilize the results of this study to build managerial goals to satisfy customers and to strengthen relationships with customers.


2016 ◽  
Vol 36 (11) ◽  
pp. 1601-1624 ◽  
Author(s):  
Nisha Paul Kulangara ◽  
Sherry Avery Jackson ◽  
Edmund Prater

Purpose The purpose of this paper is to investigate the interrelationship between trust, socialization, and information sharing on the buying firm’s innovation capability in the context of the buyer-supplier relationship (BSR). A nomological model is developed that examines the mediating role of relational capital (supplier trust) on the relationship between structural capital (socialization and information sharing) and innovation capability. Design/methodology/approach A survey was conducted on 357 US executives. Structural equation modeling was used to analyze the hypothesized relationships. Findings Information sharing and formal socialization activities increased the buying firm’s trust in its key supplier. However, formal socialization activities within the context of the business environment did not have a significant direct impact on buyer’s innovative capabilities; but when mediated by trust, it positively impacted innovation capabilities. Informal socialization within the context of the social environment directly impacted innovation capabilities but trust did not mediate the relationship. Information sharing impacted trust and innovation significantly and trust mediated the impact of information sharing on innovation capabilities. Originality/value This study defines the formal and informal aspects of socialization and investigates its impact on trust and buyer innovation capabilities. This is one of the few studies that highlights the mediating role of trust between firms to facilitate innovation capability.


2020 ◽  
Vol 12 (3/4) ◽  
pp. 205-222
Author(s):  
Phong Ba Le

PurposeGiven the important role of innovation capability in helping firms to innovate and adapt to a fast-paced and unpredictable environment, the purpose of this study is to investigate and deepen knowledge of how transformational leadership affects radical and incremental innovation via the mediating role of positive psychological capital.Design/methodology/approachThe paper used structural equation modeling and cross-sectional design to test proposal hypotheses based on the empirical data collected from 379 participants in 89 manufacturing and service firms.FindingsThe results of this study revealed the positive and significant influence of transformational leadership on radical and incremental innovation. The findings highlighted the mediating role of individual psychological capital in the relationship between transformational leadership and aspects of innovation capability.Practical implicationsOrganizations should invest and stress on practicing transformational leadership style for their managers/directors to foster and enhance individual psychological capital and innovation capabilities.Originality/valueThe paper has extended theory of innovation management by discussing and highlighting the important role of transformational leadership and psychological capital in fostering specific aspects of innovation namely radical and incremental innovation.


2020 ◽  
Vol 17 (5) ◽  
pp. 605-625
Author(s):  
Jnaneswar K ◽  
Gayathri Ranjit

PurposeEncouraging employees to bolster their performance in today's turbulent business environment is an important priority for all types of organizations. Even though few studies reported the impact of transformational leadership (TL) on job performance (JP), the role of mediators namely corporate social responsibility (CSR) in this relationship is not given due attention. The purpose of this paper is to assess the mediating role of CSR in the relationship between TL and JP in the Indian context.Design/methodology/approachData from 306 full time employees working in the manufacturing industry in India were collected through an online survey. The manufacturing organizations were selected on the basis of their active participation in CSR activities and robustness of HR practices. Three structured questionnaires were used for eliciting data from the employees, and AMOS software was used for testing the validity of the hypothesized model. PROCESS macro was used for testing the mediating role of CSR.FindingsTL impacted both JP and CSR. Additionally, CSR showed a positive relationship with JP of employees. The pivotal finding of the study is the partial mediation of CSR in the TL–JP relationship.Originality/valueBased on neo-charismatic paradigm theory, TL theory, stakeholder theory and social identity theory, this paper enriches the literature by demonstrating the mediation mechanism driving TL and JP relationship.


2020 ◽  
Vol 41 (4) ◽  
pp. 481-499 ◽  
Author(s):  
Hui Lei ◽  
Lathong Leaungkhamma ◽  
Phong Ba Le

PurposeThis paper aims to investigate the effects of transformational leadership on individuals and organization’s innovation capability via the mediating role of employees' positive psychological capital (Psy-Cap) namely self-efficacy and optimism.Design/methodology/approachStructural equation modeling (SEM) is used to test proposal hypotheses through the empirical data collected from 330 participants at 90 firms in Vietnam.FindingsThe research findings revealed that self-efficacy and optimism significantly mediate the relationship between transformational leadership and innovation capabilities. In addition, self-efficacy has a greater impact on innovation capabilities compared with the effect of optimism.Practical implicationsThe findings highlight the important role of practicing transformational leadership style to nurture and foster both employees' positive psychology sources and firms' innovation capability.Originality/valueThe paper has significantly advanced and deepened our understanding of how transformational leaders connect with employees to nurture and develop one of the most special aspects of human resource in contemporary working environment called employees' positive Psy-Cap for stimulating firm's innovation capabilities.


Innovation capability is regarded the fundamental factor for firms to survive and achieve competitive advantage in the context of increasing competitive pressure. The purpose of this paper is to elaborate the impacts of transformational leadership (TL) on innovation product via mediating role of a certain form of organizational culture namely collaborative culture. The paper used Structural Equations Modeling (SEM) to examine the relationship among these latent factors using survey data gathered from 215 participants of 61 medium and small-sized firms in Vietnam. The findings of this study highlight the significant impact of TL on product innovation compared to the impact of collaborative culture on product innovation. This study reveals that collaborative culture significantly serves as a crucial mediator in linking the effects of TL on product innovation. Importantly, the findings of this study have advanced the understanding and brought new initiatives on key antecedents by which CEOs and managers should follow and focus their efforts to improve product innovation capability for Vietnamese SMEs. Keywords: Transformational leadership; Organizational culture; Collaborative culture; Product innovation; Innovation capability


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