International Journal of

ADVANCED AND APPLIED SCIENCES

EISSN: 2313-3724, Print ISSN: 2313-626X

Frequency: 12
line decor
  
line decor

 Volume 11, Issue 2 (February 2024), Pages: 145-156

----------------------------------------------

 Original Research Paper

The role of employee engagement towards innovative work behavior mediated by leadership in small businesses

 Author(s): 

 Sultan Alateeg 1, *, Abdulaziz Alhammadi 2

 Affiliation(s):

 1Department of Business Administration, College of Business Administration, Majmaah University, Majmaah, 11952, Saudi Arabia
 2Business Administration Department, College of Administrative and Financial Sciences, Saudi Electronic University, Riyadh, Saudi Arabia

 Full text

  Full Text - PDF

 * Corresponding Author. 

  Corresponding author's ORCID profile: https://orcid.org/0000-0001-7791-3236

 Digital Object Identifier (DOI)

 https://doi.org/10.21833/ijaas.2024.02.016

 Abstract

This study aims to examine how employee involvement, leadership, and innovation-related actions are linked in small businesses in Saudi Arabia. As Saudi Arabia works on diversifying its economy and considers innovation essential for growth, this research seeks to identify key factors and processes that promote innovation in companies. A survey was conducted across different small businesses in Saudi Arabia to gather information from employees. Advanced statistical methods, like structural equation modeling (SEM), were used to analyze the data and understand the relationships being studied. The results show a strong, positive link between how engaged employees are and their innovation-related actions in Saudi Arabian small businesses. The study also reveals how crucial leadership is in this process, demonstrating how leaders can either encourage or hinder employees' ability to contribute to innovation. These findings are useful for small business owners and leaders in Saudi Arabia, guiding them on how to foster an environment that supports innovation and improves their competitive edge in the global market. This research is also valuable for policymakers, business leaders, and academics interested in promoting innovation and long-term growth in this vital part of Saudi Arabia's economy.

 © 2024 The Authors. Published by IASE.

 This is an open access article under the CC BY-NC-ND license (http://creativecommons.org/licenses/by-nc-nd/4.0/).

 Keywords

 Employee engagement, Leadership, Innovative work behavior, Structural equation modeling

 Article history

 Received 21 October 2023, Received in revised form 28 January 2024, Accepted 29 January 2024

 Acknowledgment 

No Acknowledgment.

 Compliance with ethical standards

 Conflict of interest: The author(s) declared no potential conflicts of interest with respect to the research, authorship, and/or publication of this article.

 Citation:

 Alateeg S and Alhammadi A (2024). The role of employee engagement towards innovative work behavior mediated by leadership in small businesses. International Journal of Advanced and Applied Sciences, 11(2): 145-156

 Permanent Link to this page

 Figures

 Fig. 1 Fig. 2

 Tables

 Table 1 Table 2 Table 3 Table 4 Table 5 

----------------------------------------------   

 References (70)

  1. Afsar B and Umrani WA (2020). Transformational leadership and innovative work behavior: The role of motivation to learn, task complexity and innovation climate. European Journal of Innovation Management, 23(3): 402-428. https://doi.org/10.1108/EJIM-12-2018-0257   [Google Scholar]
  2. Afsar B, Badir YF, and Saeed BB (2014). Transformational leadership and innovative work behavior. Industrial Management and Data Systems, 114(8): 1270-1300. https://doi.org/10.1108/IMDS-05-2014-0152   [Google Scholar]
  3. Ahmad I, Gao Y, Su F, and Khan MK (2023). Linking ethical leadership to followers' innovative work behavior in Pakistan: The vital roles of psychological safety and proactive personality. European Journal of Innovation Management, 26(3): 755-772. https://doi.org/10.1108/EJIM-11-2020-0464   [Google Scholar]
  4. AlEssa HS and Durugbo CM (2022). Systematic review of innovative work behavior concepts and contributions. Management Review Quarterly, 72(4): 1171-1208. https://doi.org/10.1007/s11301-021-00224-x   [Google Scholar]
  5. Alshahrani I (2023). Integration of innovative work behavior through transformational leadership in the Saudi healthcare sector: A systematic review. Arab Gulf Journal of Scientific Research. https://doi.org/10.1108/AGJSR-02-2023-0078   [Google Scholar]
  6. Alsughayir A (2017). The effect of leader-member exchange on innovative work behavior in the Saudi hospitality. International Journal of Business and Management, 12(6): 189-195. https://doi.org/10.5539/ijbm.v12n6p189   [Google Scholar]
  7. Alt D, Kapshuk Y, and Dekel H (2023). Promoting perceived creativity and innovative behavior: Benefits of future problem-solving programs for higher education students. Thinking Skills and Creativity, 47: 101201. https://doi.org/10.1016/j.tsc.2022.101201   [Google Scholar]
  8. Amabile TM (1988). A model of creativity and innovation in organizations. Research in Organizational Behavior, 10: 123-167.   [Google Scholar]
  9. Anderson N, Potočnik K, and Zhou J (2014). Innovation and creativity in organizations: A state-of-the-science review, prospective commentary, and guiding framework. Journal of Management, 40(5): 1297-1333. https://doi.org/10.1177/0149206314527128   [Google Scholar]
  10. Avkiran NK and Ringle CM (2018). Partial least squares structural equation modeling: Recent advances in banking and finance. Volume 239, Springer, Cham, Switzerland. https://doi.org/10.1007/978-3-319-71691-6   [Google Scholar]
  11. Ayoub AEAH, Almahamid SM, and Al Salah LF (2023). Innovative work behavior scale: Development and validation of psychometric properties in higher education in the GCC countries. European Journal of Innovation Management, 26(1): 119-133. https://doi.org/10.1108/EJIM-04-2021-0176   [Google Scholar]
  12. Baafi F, Ansong A, Dogbey KE, and Owusu NO (2021). Leadership and innovative work behaviour within Ghanaian metropolitan assemblies: Mediating role of resource supply. International Journal of Public Sector Management, 34(7): 765-782. https://doi.org/10.1108/IJPSM-01-2021-0005   [Google Scholar]
  13. Basadur M (2004). Leading others to think innovatively together: Creative leadership. Leadership Quarterly, 15(1): 103-121. https://doi.org/10.1016/j.leaqua.2003.12.007   [Google Scholar]
  14. Bos-Nehles A, Bondarouk T, and Nijenhuis K (2017). Innovative work behaviour in knowledge-intensive public sector organizations: the case of supervisors in the Netherlands fire services. The International Journal of Human Resource Management, 28(2): 379-398. https://doi.org/10.1080/09585192.2016.1244894   [Google Scholar]
  15. Bysted R (2013). Innovative employee behaviour: The moderating effects of mental involvement and job satisfaction on contextual variables. European Journal of Innovation Management, 16(3): 268-284. https://doi.org/10.1108/EJIM-09-2011-0069   [Google Scholar]
  16. Caniëls MC and Veld M (2019). Employee ambidexterity, high performance work systems and innovative work behaviour: How much balance do we need? The International Journal of Human Resource Management, 30(4): 565-585. https://doi.org/10.1080/09585192.2016.1216881   [Google Scholar]
  17. Csikszentmihalyi M and Csikszentmihalyi IS (1992). Optimal experience: Psychological studies of flow in consciousness. Cambridge University Press, Cambridge, UK.   [Google Scholar]
  18. Demircioglu MA, Hameduddin T, and Knox C (2023). Innovative work behaviors and networking across government. International Review of Administrative Sciences, 89(1): 145-164. https://doi.org/10.1177/00208523211017654   [Google Scholar]
  19. Erhan T, Uzunbacak HH, and Aydin E (2022). From conventional to digital leadership: Exploring digitalization of leadership and innovative work behavior. Management Research Review, 45(11): 1524-1543. https://doi.org/10.1108/MRR-05-2021-0338   [Google Scholar]
  20. Farr J and Ford C (1990). Individual innovation. In: West M and Farr J (Eds.), Innovation and creativity at work: Psychological and organizational strategies: 63–80. Wiley, Chichester, UK.   [Google Scholar]
  21. Gielnik MM, Barabas S, Frese M, Namatovu-Dawa R, Scholz FA, Metzger JR, and Walter T (2014). A temporal analysis of how entrepreneurial goal intentions, positive fantasies, and action planning affect starting a new venture and when the effects wear off. Journal of Business Venturing, 29(6): 755-772. https://doi.org/10.1016/j.jbusvent.2013.09.002   [Google Scholar]
  22. Henseler J, Ringle CM, and Sinkovics, RR (2009). The use of partial least squares path modeling in international marketing. In: Cavusgil T, Sinkovics RR, and Ghauri PN (Eds.), New challenges to international marketing: 277-319. Volume 20, Emerald Group Publishing Limited, Bingley, USA. https://doi.org/10.1108/S1474-7979(2009)0000020014   [Google Scholar]
  23. Heuer A and Liñán F (2013). Testing alternative measures of subjective norms in entrepreneurial intention models. International Journal of Entrepreneurship and Small Business, 19(1): 35-50. https://doi.org/10.1504/IJESB.2013.054310   [Google Scholar]
  24. Howell JM and Higgins CA (1990). Champions of change: Identifying, understanding, and supporting champions of technological innovations. Organizational Dynamics, 19(1): 40-55. https://doi.org/10.1016/0090-2616(90)90047-S   [Google Scholar]
  25. Hoyle RH (1999). Statistical strategies for small sample research. SAGE, Thousand Oaks, USA.   [Google Scholar]
  26. Huang Y (2022). Spiritual leadership and job engagement: The mediating role of emotion regulation. Frontiers in Psychology, 13: 844991. https://doi.org/10.3389/fpsyg.2022.844991   [Google Scholar] PMid:35496230 PMCid:PMC9046577
  27. Hussain T and Zhang Y (2023). The influences of cross-cultural adjustment and motivation on self-initiated expatriates' innovative work behavior. Personnel Review, 52(4): 1255-1272. https://doi.org/10.1108/PR-05-2021-0320   [Google Scholar]
  28. Janssen O (2000). Job demands, perceptions of effort-reward fairness and innovative work behaviour. Journal of Occupational and Organizational Psychology, 73(3): 287–302. https://doi.org/10.1348/096317900167038   [Google Scholar]
  29. Javed B, Naqvi SMMR, Khan AK, Arjoon S, and Tayyeb HH (2019). Impact of inclusive leadership on innovative work behavior: The role of psychological safety. Journal of Management and Organization, 25(1): 117-136. https://doi.org/10.1017/jmo.2017.3   [Google Scholar]
  30. Kahn WA (1990). Psychological conditions of personal engagement and disengagement at work. Academy of Management Journal, 33(4): 692-724. https://doi.org/10.5465/256287   [Google Scholar] PMid:23843868
  31. Kanter RM (1988). When a thousand flowers bloom: Structural, collective and social conditions for innovation in organization. Research in Organizational Behavior, 10: 169-211.   [Google Scholar]
  32. Karimi S, Ahmadi Malek F, Yaghoubi Farani A, and Liobikienė G (2023). The role of transformational leadership in developing innovative work behaviors: The mediating role of employees’ psychological capital. Sustainability, 15(2): 1267. https://doi.org/10.3390/su15021267   [Google Scholar]
  33. Khalili A (2016). Linking transformational leadership, creativity, innovation, and innovation-supportive climate. Management Decision, 54(9): 2277-2293. https://doi.org/10.1108/MD-03-2016-0196   [Google Scholar]
  34. Kim MS and Koo DW (2017). Linking LMX, engagement, innovative behavior, and job performance in hotel employees. International Journal of Contemporary Hospitality Management, 29(12): 3044-3062. https://doi.org/10.1108/IJCHM-06-2016-0319   [Google Scholar]
  35. King N and Anderson N (2002). Managing innovation and change: A critical guide for organizations. Thomson, London, UK.   [Google Scholar]
  36. Kleysen RF and Street CT (2001). Toward a multi‐dimensional measure of individual innovative behavior. Journal of Intellectual Capital, 2(3): 284-296. https://doi.org/10.1108/EUM0000000005660   [Google Scholar]
  37. Koednok S and Sungsanit M (2018). The influence of multilevel factors of human resource practices on innovative work behavior. The Journal of Behavioral Science, 13(1): 37-55.   [Google Scholar]
  38. Krueger Jr NF (2000). The cognitive infrastructure of opportunity emergence. Entrepreneurship Theory and Practice, 24(3): 5-24. https://doi.org/10.1177/104225870002400301   [Google Scholar]
  39. Kwon K and Kim T (2020). An integrative literature review of employee engagement and innovative behavior: Revisiting the JD-R model. Human Resource Management Review, 30(2): 100704. https://doi.org/10.1016/j.hrmr.2019.100704   [Google Scholar]
  40. Le PB (2020). How transformational leadership facilitates radical and incremental innovation: The mediating role of individual psychological capital. Asia-Pacific Journal of Business Administration, 12(3/4): 205-222. https://doi.org/10.1108/APJBA-04-2020-0129   [Google Scholar]
  41. Leguina A (2015). A primer on partial least squares structural equation modeling (PLS-SEM). International Journal of Research and Method in Education, 38(2): 220–221. https://doi.org/10.1080/1743727X.2015.1005806   [Google Scholar]
  42. Leong CT and Rasli A (2014). The relationship between innovative work behavior on work role performance: An empirical study. Procedia-Social and Behavioral Sciences, 129: 592-600. https://doi.org/10.1016/j.sbspro.2014.03.717   [Google Scholar]
  43. Lu X and Guy ME (2014). How emotional labor and ethical leadership affect job engagement for Chinese public servants. Public Personnel Management, 43(1): 3-24. https://doi.org/10.1177/0091026013512278   [Google Scholar]
  44. Ma X and Jiang W (2018). Transformational leadership, transactional leadership, and employee creativity in entrepreneurial firms. The Journal of Applied Behavioral Science, 54(3): 302-324. https://doi.org/10.1177/0021886318764346   [Google Scholar]
  45. Mansoor A, Farrukh M, Wu Y, and Abdul Wahab S (2021). Does inclusive leadership incite innovative work behavior? Human Systems Management, 40(1): 93-102. https://doi.org/10.3233/HSM-200972   [Google Scholar]
  46. Masood M and Afsar B (2017). Transformational leadership and innovative work behavior among nursing staff. Nursing Inquiry, 24(4): e12188. https://doi.org/10.1111/nin.12188   [Google Scholar] PMid:28150910
  47. Mumford MD (2003). Where have we been, where are we going? Taking stock in creativity research. Creativity Research Journal, 15(2and3): 107-120. https://doi.org/10.1080/10400419.2003.9651403   [Google Scholar]
  48. Oldham GR and Cummings A (1996). Employee creativity: Personal and contextual factors at work. Academy of Management Journal, 39(3): 607-634. https://doi.org/10.5465/256657   [Google Scholar]
  49. Park S and Jo SJ (2018). The impact of proactivity, leader-member exchange, and climate for innovation on innovative behavior in the Korean government sector. Leadership and Organization Development Journal, 39(1): 130-149. https://doi.org/10.1108/LODJ-09-2016-0216   [Google Scholar]
  50. Rowley J, Baregheh A, and Sambrook S (2011). Towards an innovation‐type mapping tool. Management Decision, 49(1): 73-86. https://doi.org/10.1108/00251741111094446   [Google Scholar]
  51. Rožman M and Štrukelj T (2021). Organisational climate components and their impact on work engagement of employees in medium-sized organisations. Economic Research-Ekonomska Istraživanja, 34(1): 775-806. https://doi.org/10.1080/1331677X.2020.1804967   [Google Scholar]
  52. Saks AM (2006). Antecedents and consequences of employee engagement. Journal of Managerial Psychology, 21(7): 600–619. https://doi.org/10.1108/02683940610690169   [Google Scholar]
  53. Saks AM (2019). Antecedents and consequences of employee engagement revisited. Journal of Organizational Effectiveness: People and Performance, 6(1): 19-38. https://doi.org/10.1108/JOEPP-06-2018-0034   [Google Scholar]
  54. Saks AM, Gruman JA, and Zhang Q (2022). Organization engagement: A review and comparison to job engagement. Journal of Organizational Effectiveness: People and Performance, 9(1): 20-49. https://doi.org/10.1108/JOEPP-12-2020-0253   [Google Scholar]
  55. Sattabut T (2012). A study of competency needs of human resource staff for industry sector. Veridian E-Journal, 5(2): 426-448.   [Google Scholar]
  56. Scott SG and RA Bruce (1994). Determinants of innovative behavior: A path model of individual innovation in the workplace. Academy of Management Journal, 38: 1442-1465.   [Google Scholar]
  57. Shalley CE, Zhou J, and Oldham GR (2004). The effects of personal and contextual characteristics on creativity: Where should we go from here? Journal of Management, 30(6): 933-958. https://doi.org/10.1016/j.jm.2004.06.007   [Google Scholar]
  58. Shane SA (1994). Are champions different from non-champions? Journal of Business Venturing, 9(5): 397-421. https://doi.org/10.1016/0883-9026(94)90014-0   [Google Scholar]
  59. Shane SA (2003). A general theory of entrepreneurship: The individual-opportunity nexus. Edward Elgar Publishing, Aldershot, UK. https://doi.org/10.4337/9781781007990   [Google Scholar]
  60. Shanker R, Bhanugopan R, Van der Heijden BI, and Farrell M (2017). Organizational climate for innovation and organizational performance: The mediating effect of innovative work behavior. Journal of Vocational Behavior, 100: 67-77. https://doi.org/10.1016/j.jvb.2017.02.004   [Google Scholar]
  61. Slåtten T and Mehmetoglu M (2011). Antecedents and effects of engaged frontline employees: A study from the hospitality industry. Managing Service Quality: An International Journal, 21(1): 88-107. https://doi.org/10.1108/09604521111100261   [Google Scholar]
  62. Stoffers JM, Van der Heijden BI, and Notelaers GL (2014). Towards a moderated mediation model of innovative work behaviour enhancement. Journal of Organizational Change Management, 27(4): 642-659. https://doi.org/10.1108/JOCM-05-2014-0105   [Google Scholar]
  63. Sundaray BK (2011). Employee engagement: A driver of organizational effectiveness. European Journal of Business and Management, 3(8): 53-59.   [Google Scholar]
  64. Tidd J and Bessant JR (2018). Managing innovation: Integrating technological, market and organizational change. John Wiley and Sons, Chichester, UK.   [Google Scholar]
  65. Van de Ven AH (1986). Central problems in the management of innovation. Management Science, 32(5): 590-607. https://doi.org/10.1287/mnsc.32.5.590   [Google Scholar]
  66. Veenendaal A and Bondarouk T (2015). Perceptions of HRM and their effect on dimensions of innovative work behaviour: Evidence from a manufacturing firm. Management Revue, 26(2): 138-160. https://doi.org/10.5771/0935-9915-2015-2-138   [Google Scholar]
  67. Vithayaporn S and Ashton AS (2019). Employee engagement and innovative work behavior: A case study of Thai Airways International. ABAC ODI Journal Vision Action Outcome, 6(2): 45-62.   [Google Scholar]
  68. West MA (2002). Sparkling fountains or stagnant ponds: An integrative model of creativity and innovation implementation in work groups. Applied Psychology: An International Review, 51(3): 355-387. https://doi.org/10.1111/1464-0597.00951   [Google Scholar]
  69. West MA and Farr JL (1990). Innovation and creativity at work: Psychological and organizational strategies. Wiley, Chichester, UK.   [Google Scholar]
  70. Yuan F and Woodman RW (2010). Innovative behavior in the workplace: The role of performance and image outcome expectations. Academy of Management Journal, 53(2): 323-342. https://doi.org/10.5465/amj.2010.49388995   [Google Scholar]