Exploring the Impact of Leader Bottom-Line Mentality on Subordinate Learning from Work Failures: A Social Information Processing Perspective

Abstract

Learning from work failures is not only beneficial for individual development but also crucial for improving organizational performance and achieving sustainable development. We hypothesize that leader bottom-line mentality, which is commonly used by leaders to prevent profit and performance losses, may reduce subordinates learning from work failures. Drawing on social information processing theory, this paper examines how and when leader bottom-line mentality negatively affects subordinates learning from work failures. We tested our hypotheses through a three-wave survey of 245 employees from several high-tech companies in China. For data analysis, we used SPSS 26.0 and Mplus 8.0 to test the theoretical model and research hypotheses. The results indicated that leader bottom-line mentality has a negative indirect effect on subordinates learning from work failures through the mediating role of subordinates’ psychological availability. In addition, subordinate self-compassion can mitigate this negative mediating mechanism. The present study has several theoretical and practical implications for the current literature.