The effect of entrepreneurial leadership on firm innovation through innovative work behavior Yen Efawati (a*), Eeng Ahman (b), Disman (b), Kusnendi (b), Harmon Chaniago (c)
Universitas Pendidikan Indonesia
Abstract
This study aims to investigate the relationships between entrepreneurial leadership capability with innovation and the mediation effects of innovative work behavior. A conceptual model is designed and hypotheses are constructed. To order to test the hypotheses, structural equation modeling is performed for the data collected from 120 respondents from 60 Muslim fashion industries in Indonesia. The results of the analysis highlight that entrepreneurial leaders have a significant influence on firm innovation and this effect is mediating by innovative work behavior. The findings of this study suggest, first, that entrepreneurial leadership has a significant impact on firm innovation. Second, innovative work behavior mediated the relations between entrepreneurial leadership and firm innovation. This research highlights the effective role of promoting individual innovation behavior in management practices. Furthermore, commitment to the innovative work behavior of all company members needs to be nurtured, as this is the key to achieve long term sustainability and competitive advantage.
Keywords: Entrepreneurial leadership; Innovative work behavior; Firm innovation; Small to medium-sized entreprises; Bandung-Indonesia
