This study aims to provide an understanding of the role of green transformational leadership (GTL) and green innovation practices in organizations through cognitive processes: green thinking and creative process engagement (CPE). Using a survey questionnaire, we collected data from 342 respondents from high-tech industries located in China. The data were examined through structural equation modeling (variance-based) to analyze the hypotheses. The findings of the study show that GTL has a substantial effect on green thinking, CPE, and green innovation. The findings further reveal that green thinking and CPE mediate the relationship between GTL and green innovation. Green thinking and creative processes have become instrumental tools in fostering green innovation. Thus, this investigation provides novel insights into how to promote GTL and cognitive processes in organizations to solicit green innovation.
The sustainable organizational innovation is of paramount importance for enhancing productivity in firms and provides organizations with the strategic direction needed to allow them to perform at an international level. The leadership styles play a key role in their firms’ potential to consistently innovate. Using data from a time-lagged design with three waves, CEOs of Chinese small and medium-sized enterprises (SMEs) participated in the study. The findings reveal that psychological empowerment mediated the relationship between transformational leadership and sustainable organizational innovation. Organizational learning was found to indirectly effect the relationship between transformational leadership and sustainable organizational innovation. It also demonstrated that psychological empowerment had a positive impact on organizational learning. The findings indicate the strategic significance of transformational leadership and its influence on sustainable organizational innovation for SMEs. Theoretical contributions and practical implications were also discussed.
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