Does inclusive leadership influence employee innovation? A multilevel investigation

Abstract

Purpose

The purpose of this research is to investigate the cross-level effects and mechanisms of inclusive leadership on employee innovation in team contexts, and further explore the boundary conditions of inclusive leadership.

Design/methodology/approach

This study collected data from 237 leader-member dyads in 60 teams of Chinese firms. The research utilized multilevel linear models and multilevel structural equation models in the R language to test the hypothesized model.

Findings

The findings suggest that inclusive leadership has a positive impact on both employee incremental and radical innovation. Team psychological safety and employee role breadth self-efficacy mediate the effects. Employee risk avoidance propensity negatively moderates the mediating role of role breadth self-efficacy in the relationship between inclusive leadership and incremental innovation.

Practical implications

Leaders should pay attention to team psychological safety, employee role breadth self-efficacy and employee individual risk avoidance propensity that influence employee innovation to maximize the effectiveness of inclusive leadership.

Originality/value

This research expanded the level of analysis from individual to team, exploring cross-level effects and mechanisms of inclusive leadership on employee innovation in team contexts, and clarified the effectiveness conditions of inclusive leadership.

Citation

Bao, P., Liao, Z. and Li, C. (2024), "Does inclusive leadership influence employee innovation? A multilevel investigation", Cross Cultural & Strategic Management, Vol. ahead-of-print No. ahead-of-print. https://doi.org/10.1108/CCSM-09-2023-0187