Transformational Leadership, Innovation Climate, Creative Self-Efficacy and Employee Creativity: A Multilevel Study

Abstract

Highlighting the implications of transformational leadership, the study examines the role of transformational leadership in predicting employee creativity. The study also investigates the mediating role of innovation climate and moderating role of creative self-efficacy. A study was carried out on a sample included a dyad of 372 employees and their immediate supervisors. The findings indicate that transformational leaders can foster a climate for innovation that promotes employee creativity. Further, a significant moderating role of creative self-efficacy was found in the relationship between innovation climate and employee creativity. The findings reveal that employees with high creative-self-efficacy resort to creative behavior when they receive a supportive innovation climate.

Keywords: Employee creativity, Transformational leadership, Innovation climate, Creative self-efficacy

JEL Classification: D23