Hostname: page-component-cd9895bd7-8ctnn Total loading time: 0 Render date: 2024-12-27T05:30:33.311Z Has data issue: false hasContentIssue false
  • English
  • Français

Leaders who empower: a gateway to radical innovation

Published online by Cambridge University Press:  22 October 2019

Emilio Domínguez-Escrig Open the ORCID record for Emilio Domínguez-Escrig [Opens in a new window] ,
Francisco Fermín Mallén Broch ,
Rafael Lapiedra Alcamí  and
Ricardo Chiva Gómez
Emilio Domínguez-Escrig*
Affiliation:
Departamento de Administración de Empresas y Marketing, Universitat Jaume I, Av. Sos Baynat s/n, 12071, Castellón, Spain
Francisco Fermín Mallén Broch
Affiliation:
Departamento de Administración de Empresas y Marketing, Universitat Jaume I, Av. Sos Baynat s/n, 12071, Castellón, Spain
Rafael Lapiedra Alcamí
Affiliation:
Departamento de Administración de Empresas y Marketing, Universitat Jaume I, Av. Sos Baynat s/n, 12071, Castellón, Spain
Ricardo Chiva Gómez
Affiliation:
Departamento de Administración de Empresas y Marketing, Universitat Jaume I, Av. Sos Baynat s/n, 12071, Castellón, Spain
*
*Corresponding author. Email: edomingu@uji.es
Get access Rights & Permissions [Opens in a new window]

Abstract

The main goal of the current study is to analyze the relationship between leaders' empowerment, radical innovation and organizational performance. A total of 300 Spanish companies participated in the study. In total, 600 valid questionnaires were obtained. Structural equations were used to validate the proposed hypotheses. Two different respondents in each company were selected to provide information. All the hypotheses proposed in the theoretical model were confirmed. This research provides empirical evidence of the relationship between leaders' empowerment and organizational performance, highlighting the mediation role played by radical innovation. Leaders who empower, promote radical innovation and, in turn, performance. To our knowledge, this is the first empirical study that analyzes the effect of leader's empowerment on radical innovation. Although in the former literature there are evidences of a positive relationship between empowerment and innovation, there are no studies that differentiate between innovation typologies.

Keywords

empowermentleadershipradical innovationinnovationperformance
Type
Research Article
Information
Journal of Management & Organization , Volume 27 , Issue 5 , September 2021 , pp. 930 - 947
Copyright
Copyright © Cambridge University Press and Australian and New Zealand Academy of Management 2019

Access options

Get access to the full version of this content by using one of the access options below. (Log in options will check for institutional or personal access. Content may require purchase if you do not have access.)

References

Abukhait, R. M., Bani-Melhem, S., & Zeffane, R. (2019). Empowerment, knowledge sharing and innovative behaviours: Exploring gender differences. International Journal of Innovation Management, 23(1), 1950006.10.1142/S1363919619500063CrossRefGoogle Scholar
Alexander, L., & Van Knippenberg, D. (2014). Teams in pursuit of radical innovation: A goal orientation perspective. Academy of Management Review, 39(4), 423–438.CrossRefGoogle Scholar
Amabile, T. M. (1988). A model of creativity and innovation in organizations. Research in Organizational Behavior, 10(1), 123–167.Google Scholar
Amundsen, S., & Martinsen, Ø. L. (2015). Linking empowering leadership to job satisfaction, work effort, and creativity: The role of self-leadership and psychological empowerment. Journal of Leadership & Organizational Studies, 22(3), 304–323.CrossRefGoogle Scholar
Anderson, J. C., & Gerbing, D. W. (1988). Structural equation modeling in practice: A review and recommended two-step approach. Psychological Bulletin, 103(3), 411.CrossRefGoogle Scholar
Aragón-Correa, J. A., García-Morales, V. J., & Cordón-Pozo, E. (2007). Leadership and organizational learning's role on innovation and performance: Lessons from Spain. Industrial Marketing Management, 36(3), 349–359.CrossRefGoogle Scholar
Audenaert, M., & Decramer, A. (2018). When empowering leadership fosters creative performance: The role of problem-solving demands and creative personality. Journal of Management & Organization, 24(1), 4–18.10.1017/jmo.2016.20CrossRefGoogle Scholar
Avery, D. R., Wang, M., Volpone, S. D., & Zhou, L. (2013). Different strokes for different folks: The impact of sex dissimilarity in the empowerment–performance relationship. Personnel Psychology, 66(3), 757–784.10.1111/peps.12032CrossRefGoogle Scholar
Avlonitis, G. J., Papastathopoulou, P. G., & Gounaris, S. P. (2001). An empirically based typology of product innovativeness for new financial services: Success and failure scenarios. Journal of Product Innovation Management, 18(5), 324–342.10.1111/1540-5885.1850324CrossRefGoogle Scholar
Aydogmus, C., Camgoz, S. M., Ergeneli, A., & Ekmekci, O. T. (2018). Perceptions of transformational leadership and job satisfaction: The roles of personality traits and psychological empowerment. Journal of Management & Organization, 24(1), 81–107.CrossRefGoogle Scholar
Baron, R. M., & Kenny, D. A. (1986). The moderator–mediator variable distinction in social psychological research: Conceptual, strategic, and statistical considerations. Journal of Personality and Social Psychology, 51(6), 1173–1182.CrossRefGoogle ScholarPubMed
Behrendt, P., Matz, S., & Göritz, A. S. (2017). An integrative model of leadership behavior. The Leadership Quarterly, 28(1), 229–244.CrossRefGoogle Scholar
Bessant, J., Öberg, C., & Trifilova, A. (2014). Framing problems in radical innovation. Industrial Marketing Management, 43(8), 1284–1292.10.1016/j.indmarman.2014.09.003CrossRefGoogle Scholar
Bhatnagar, J. (2012). Management of innovation: Role of psychological empowerment, work engagement and turnover intention in the Indian context. The International Journal of Human Resource Management, 23(5), 928–951.CrossRefGoogle Scholar
Biron, M., & Bamberger, P. A. (2011). More than lip service: Linking the intensity of empowerment initiatives to individual well-being and performance. The International Journal of Human Resource Management, 22(02), 258–278.10.1080/09585192.2011.540150CrossRefGoogle Scholar
Büschgens, T., Bausch, A., & Balkin, D. B. (2013). Organizing for radical innovation – A multi-level behavioral approach. The Journal of High Technology Management Research, 24(2), 138–152.CrossRefGoogle Scholar
Camisón, C., & Villar-López, A. (2014). Organizational innovation as an enabler of technological innovation capabilities and firm performance. Journal of Business Research, 67(1), 2891–2902.CrossRefGoogle Scholar
Chandy, R. K., & Tellis, G. J. (2000). The incumbent's curse? Incumbency, size, and radical product innovation. Journal of Marketing, 64(3), 1–17.CrossRefGoogle Scholar
Chang, W., Franke, G. R., Butler, T. D., Musgrove, C. F., & Ellinger, A. E. (2014). Differential mediating effects of radical and incremental innovation on market orientation-performance relationship: A meta-analysis. Journal of Marketing Theory and Practice, 22(3), 235–250.CrossRefGoogle Scholar
Chang, Y. C., Chang, H. T., Chi, H. R., Chen, M. H., & Deng, L. L. (2012). How do established firms improve radical innovation performance? The organizational capabilities view. Technovation, 32(7–8), 441–451.CrossRefGoogle Scholar
Cheong, M., Yammarino, F. J., Dionne, S. D., Spain, S. M., & Tsai, C. Y. (2019). A review of the effectiveness of empowering leadership. The Leadership Quarterly, 30(1), 34–58.CrossRefGoogle Scholar
Conger, J. A., & Kanungo, R. N. (1988). The empowerment process: Integrating theory and practice. Academy of Management Review, 13(3), 471–482.10.2307/258093CrossRefGoogle Scholar
Correia de Sousa, M., & van Dierendonck, D. (2014). Servant leadership and engagement in a merge process under high uncertainty. Journal of Organizational Change Management, 27(6), 877–899.10.1108/JOCM-07-2013-0133CrossRefGoogle Scholar
Crossan, M. M., & Apaydin, M. (2010). A multi-dimensional framework of organizational innovation: A systematic review of the literature. Journal of Management Studies, 47(6), 1154–1191.CrossRefGoogle Scholar
Dinh, J. E., Lord, R. G., Gardner, W. L., Meuser, J. D., Liden, R. C., & Hu, J. (2014). Leadership theory and research in the new millennium: Current theoretical trends and changing perspectives. The Leadership Quarterly, 25(1), 36–62.10.1016/j.leaqua.2013.11.005CrossRefGoogle Scholar
Domínguez-Escrig, E., Mallen Broch, F. F., Chiva Gomez, R., & Lapiedra Alcami, R. (2016). How does altruistic leader behavior foster radical innovation? The mediating effect of organizational learning capability. Leadership & Organization Development Journal, 37(8), 1056–1082.CrossRefGoogle Scholar
European Innovation Scoreboard (2017). Retrieved from http://ec.europa.eu/growth/industry/innovation/facts-figures/scoreboards_es.Google Scholar
Eva, N., Robin, M., Sendjaya, S., van Dierendonck, D., & Liden, R. C. (2019). Servant leadership: A systematic review and call for future research. The Leadership Quarterly, 30(1), 111–132.10.1016/j.leaqua.2018.07.004CrossRefGoogle Scholar
Faraj, S., & Sambamurthy, V. (2006). Leadership of information systems development projects. IEEE Transactions on Engineering Management, 53(2), 238–249.CrossRefGoogle Scholar
Fornell, C., & Larcker, D. F. (1981). Evaluating structural equation models with unobservable variables and measurement error. Journal of Marketing Research, 18(1), 39–50.CrossRefGoogle Scholar
Gao, L., Janssen, O., & Shi, K. (2011). Leader trust and employee voice: The moderating role of empowering leader behaviors. The Leadership Quarterly, 22(4), 787–798.CrossRefGoogle Scholar
Gatignon, H., Tushman, M. L., Smith, W., & Anderson, P. (2002). A structural approach to assessing innovation: Construct development of innovation locus, type, and characteristics. Management Science, 48(9), 1103–1122.CrossRefGoogle Scholar
Gomes, C., Curral, L., & Caetano, A. (2015). The mediating effect of work engagement on the relationship between self-leadership and individual innovation. International Journal of Innovation Management, 19(1), 1550009.CrossRefGoogle Scholar
Hancock, G., & Liu, M. (2014). Bootstrapping standard errors and data-model fit statistics in structural equation modeling. In: Hoyle, R. H. (Eds.), Handbook of structural equation modeling (S. 296–306). New York: Guilford.Google Scholar
Hayes, A. F. (2009). Beyond Baron and Kenny: Statistical mediation analysis in the new millennium. Communication Monographs, 76(4), 408–420.CrossRefGoogle Scholar
Hsiao, C., Lee, Y. H., & Hsu, H. H. (2017). Motivated or empowering antecedents to drive service innovation? The Service Industries Journal, 37(1), 5–30.CrossRefGoogle Scholar
Hughes, D. J., Lee, A., Tian, A. W., Newman, A., & Legood, A. (2018). Leadership, creativity, and innovation: A critical review and practical recommendations. The Leadership Quarterly, 9(5), 549–569.10.1016/j.leaqua.2018.03.001CrossRefGoogle Scholar
Keupp, M. M., & Gassmann, O. (2013). Resource constraints as triggers of radical innovation: Longitudinal evidence from the manufacturing sector. Research Policy, 42(8), 1457–1468.10.1016/j.respol.2013.04.006CrossRefGoogle Scholar
Kim, Y., & Lui, S. S. (2015). The impacts of external network and business group on innovation: Do the types of innovation matter? Journal of Business Research, 68(9), 1964–1973.CrossRefGoogle Scholar
Ko, Y. J., & Choi, J. N. (2019). Overtime work as the antecedent of employee satisfaction, firm productivity, and innovation. Journal of Organizational Behavior, 40(3), 282–295.CrossRefGoogle Scholar
Konczak, L. J., Stelly, D. J., & Trusty, M. L. (2000). Defining and measuring empowering leader behaviors: Development of an upward feedback instrument. Educational and Psychological Measurement, 60(2), 301–313.CrossRefGoogle Scholar
Leifer, R., O'Connor, G. C., & Rice, M. (2001). Implementing radical innovation in mature firms: The role of hubs. The Academy of Management Executive, 15(3), 102–113.Google Scholar
Mardia, K. V. (1970). Measures of multivariate skewness and kurtosis with applications. Biometrika, 57(3), 519–530.CrossRefGoogle Scholar
Martínez-León, I. M., & Martínez-García, J. A. (2011). The influence of organizational structure on organizational learning. International Journal of Manpower, 32(5/6), 537–566.CrossRefGoogle Scholar
Marvel, M. R., & Lumpkin, G. T. (2007). Technology entrepreneurs’ human capital and its effects on innovation radicalness. Entrepreneurship Theory and Practice, 31(6), 807–828.CrossRefGoogle Scholar
McLaughlin, P., Bessant, J., & Smart, P. (2008). Developing an organisation culture to facilitate radical innovation. International Journal of Technology Management, 44(3–4), 298–323.10.1504/IJTM.2008.021041CrossRefGoogle Scholar
Mokhber, M., Khairuzzaman, W., & Vakilbashi, A. (2018). Leadership and innovation: The moderator role of organization support for innovative behaviors. Journal of Management & Organization, 24(1), 108–128.CrossRefGoogle Scholar
Moulang, C. (2015). Performance measurement system use in generating psychological empowerment and individual creativity. Accounting & Finance, 55(2), 519–544.CrossRefGoogle Scholar
Naqshbandi, M. M., Tabche, I., & Choudhary, N. (2019). Managing open innovation: The roles of empowering leadership and employee involvement climate. Management Decision, 57(3), 703–723.CrossRefGoogle Scholar
Naranjo-Gil, D. (2009). The influence of environmental and organizational factors on innovation adoptions: Consequences for performance in public sector organizations. Technovation, 29(12), 810–818.CrossRefGoogle Scholar
Nunnally, J. C. (1978). Psychometric theory. New York: McGraw-Hill.Google Scholar
Para-González, L., Jiménez-Jiménez, D., & Martínez-Lorente, A. R. (2018). Exploring the mediating effects between transformational leadership and organizational performance. Employee Relations, 40(2), 412–432.CrossRefGoogle Scholar
Pentareddy, S., & Suganthi, L. (2015). Building affective commitment through job characteristics, leadership and empowerment. Journal of Management & Organization, 21(3), 307–320.10.1017/jmo.2014.93CrossRefGoogle Scholar
Pihlajamaa, M. (2017). Going the extra mile: Managing individual motivation in radical innovation development. Journal of Engineering and Technology Management, 43, 48–66.CrossRefGoogle Scholar
Randolph, W. A., & Kemery, E. R. (2011). Managerial use of power bases in a model of managerial empowerment practices and employee psychological empowerment. Journal of Leadership & Organizational Studies, 18(1), 95–106.CrossRefGoogle Scholar
Rodríguez-Carvajal, R., de Rivas, S., Herrero, M., Moreno-Jiménez, B., & Van Dierendonck, D. (2014). Leading people positively: Cross-cultural validation of the Servant Leadership Survey (SLS). The Spanish Journal of Psychology, 17, 1–13CrossRefGoogle Scholar
Rodríguez-Sánchez, A., Guinot, J., Chiva, R., & López-Cabrales, Á. (2019). How to emerge stronger: Antecedents and consequences of organizational resilience. Journal of Management & Organization, 1–18.Google Scholar
Rubera, G., & Kirca, A. H. (2012). Firm innovativeness and its performance outcomes: A meta-analytic review and theoretical integration. Journal of Marketing, 76(3), 130–147.CrossRefGoogle Scholar
Satsomboon, W., & Pruetipibultham, O. (2014). Creating an organizational culture of innovation: Case studies of Japanese multinational companies in Thailand. Human Resource Development International, 17(1), 110–120.CrossRefGoogle Scholar
Schultz, J. R. (2014). Creating a culture of empowerment fosters the flexibility to change. Global Business and Organizational Excellence, 34(1), 41–50.10.1002/joe.21583CrossRefGoogle Scholar
Seibert, S. E., Silver, S. R., & Randolph, W. A. (2004). Taking empowerment to the next level: A multiple-level model of empowerment, performance, and satisfaction. Academy of Management Journal, 47(3), 332–349.Google Scholar
Seibert, S. E., Wang, G., & Courtright, S. H. (2011). Antecedents and consequences of psychological and team empowerment in organizations: A meta-analytic review. Journal of Applied Psychology, 96(5), 981–1003.CrossRefGoogle ScholarPubMed
Shevchenko, A., Lévesque, M., & Pagell, M. (2016). Why firms delay reaching true sustainability. Journal of Management Studies, 53(5), 911–935.CrossRefGoogle Scholar
Slater, S. F., Mohr, J. J., & Sengupta, S. (2014). Radical product innovation capability: Literature review, synthesis, and illustrative research propositions. Journal of Product Innovation Management, 3(3), 552–566.10.1111/jpim.12113CrossRefGoogle Scholar
Slåtten, T., Svensson, G., & Sværi, S. (2011). Empowering leadership and the influence of a humorous work climate on service employees’ creativity and innovative behaviour in frontline service jobs. International Journal of Quality and Service Sciences, 3(3), 267–284.CrossRefGoogle Scholar
Spreitzer, G. M. (1995). Psychological empowerment in the workplace: Dimensions, measurement, and validation. Academy of Management Journal, 38(5), 1442–1465.Google Scholar
Srivastava, A. P., & Dhar, R. L. (2016). Impact of leader member exchange, human resource management practices and psychological empowerment on extra role performances: The mediating role of organisational commitment. International Journal of Productivity and Performance Management, 65(3), 351–377.10.1108/IJPPM-01-2014-0009CrossRefGoogle Scholar
Sun, L. Y., Zhang, Z., Qi, J., & Chen, Z. X. (2012). Empowerment and creativity: A cross-level investigation. The Leadership Quarterly, 23(1), 55–65.CrossRefGoogle Scholar
Thomas, K. W., & Velthouse, B. A. (1990). Cognitive elements of empowerment: An interpretive model of intrinsic task motivation. Academy of Management Review, 15(4), 666–681.Google Scholar
Tippins, M. J., & Sohi, R. S. (2003). IT competency and firm performance: Is organizational learning a missing link? Strategic Management Journal, 24(8), 745–761.CrossRefGoogle Scholar
Tipu, S. A. A., Ryan, J. C., & Fantazy, K. A. (2012). Transformational leadership in Pakistan: An examination of the relationship of transformational leadership to organizational culture and innovation propensity. Journal of Management & Organization, 18(4), 461–480.CrossRefGoogle Scholar
Vaccaro, I. G., Jansen, J. J., Van Den Bosch, F. A., & Volberda, H. W. (2012). Management innovation and leadership: The moderating role of organizational size. Journal of Management Studies, 49(1), 28–51.CrossRefGoogle Scholar
Van Dierendonck, D., & Nuijten, I. (2011). The servant leadership survey: Development and validation of a multidimensional measure. Journal of Business and Psychology, 26(3), 249–267.CrossRefGoogle ScholarPubMed
Van Dierendonck, D., & Patterson, K. (2015). Compassionate love as a cornerstone of servant leadership: An integration of previous theorizing and research. Journal of Business Ethics, 128(1), 119–131.10.1007/s10551-014-2085-zCrossRefGoogle Scholar
Vecchio, R. P., Justin, J. E., & Pearce, C. L. (2010). Empowering leadership: An examination of mediating mechanisms within a hierarchical structure. The Leadership Quarterly, 21(3), 530–542.CrossRefGoogle Scholar
Xerri, M. J., & Brunetto, Y. (2013). Fostering innovative behaviour: The importance of employee commitment and organisational citizenship behavior. The International Journal of Human Resource Management, 24(16), 3163–3177.CrossRefGoogle Scholar
Yidong, T., & Xinxin, L. (2013). How ethical leadership influence employees’ innovative work behavior: A perspective of intrinsic motivation. Journal of Business Ethics, 116(2), 441–455.CrossRefGoogle Scholar
Yildiz, B., Uzun, S., & Coşkun, S. S. (2017). Drivers of innovative behaviors: The moderator roles of perceived organizational support and psychological empowerment. International Journal of Organizational Leadership, 6, 341–360.CrossRefGoogle Scholar
Yukl, G. (1971). Toward a behavioral theory of leadership. Organizational Behavior and Human Performance, 6(4), 414–440.CrossRefGoogle Scholar
Yukl, G. (1989). Managerial leadership: A review of theory and research. Journal of Management, 15(2), 251–289.CrossRefGoogle Scholar
Yukl, G. (2012). Effective leadership behavior: What we know and what questions need more attention. The Academy of Management Perspectives, 26(4), 66–85.CrossRefGoogle Scholar
Yung, Y. F., & Bentler, P. M. (1996). Bootstrapping techniques in analysis of mean and covariance structures. In Marcoulides, G. A. & Schumacker, R. E. (Eds.), Advanced structural equation modeling: Issues and techniques (pp. 195–226). Mahwah, NJ: Erlbaum.Google Scholar
Zhang, X., & Bartol, K. M. (2010). Linking empowering leadership and employee creativity: The influence of psychological empowerment, intrinsic motivation, and creative process engagement. Academy of Management Journal, 53(1), 107–128.CrossRefGoogle Scholar
Zhou, K. Z., & Li, C. B. (2012). How knowledge affects radical innovation: Knowledge base, market knowledge acquisition, and internal knowledge sharing. Strategic Management Journal, 33(9), 1090–1102.CrossRefGoogle Scholar
Zhu, Y. Q., & Chen, H. G. (2016). Empowering leadership in R&D teams: A closer look at its components, process, and outcomes. R&D Management, 46(4), 726–735.Google Scholar