Examining the impact of social exchange relationships on innovative work behaviour

Abstract

Purpose – This paper concurrently examines the antecedents, moderator as well as mediator of innovative work behavior (IWB). Design/methodology/approach – The paper reports a quantitative study of 510 managers from two service organizations based in western India. The focus of the paper is to examine the predictive ability of leader–member exchange (LMX), perceived organizational support (POS) and engagement on employees' IWB. Role of LMX as moderating variable (in POS–IWB relationship) and work engagement as the underlying mechanism explaining the relationship between predicting variables (LMX and POS) and IWB is tested. Findings – Results suggest that LMX, POS and work engagement positively relate to innovative employee behavior; LMX moderates the relationship between POS and innovative employee behavior. Additionally, work engagement mediates the relationship of LMX and POS with IWB. Research limitations/implications – Although this study is cross-sectional in nature, its findings have implications for contemporary leadership and organizational psychology research. Originality/value – This study significantly contributes to four different bodies of knowledge–work engagement, LMX, POS and IWB. The study also contributes in terms of its context. With increasing multinational opening their business in India, an understanding of employee motivation has become an important concern. This research is one of the rare attempts to examine engagement levels of Indian managerial employees.