An Empirical Study to Evaluate the Impact of Ethical Leadership on Organizational Citizenship and Innovative Behavior: Mediated by Psychological Empowerment at the Workplace

Abstract

Purpose:This study aims to identify the impact of ethical leadership on organizational citizenship behavior and innovative behavior Methodology:The self-explanatory questionnaires were distributed to the real-time employees of the services sector (more specifically university employees) in Pakistan. 350 questionnaires were distributed using the convenience sampling technique and 280 returned fully answered. The response rate was 80 percent. Findings:The findings of the study suggest the strong influence of ethical leadership on organizational citizenship behavior, innovative behavior, and psychological empowerment. Psychological empowerment was studied to have a strong impact on organizational citizenship behavior but a mild impact on innovative behavior. Partial mediation was identified between both the mediation paths of the model. i.e., ethical leadership - organizational citizenship (EL → PE → OCB) and ethical leadership – innovative behavior (EL → PE → IB). Conclusion:It is concluded that organizations must develop ethical leadership approach to maximize the organizational citizenship behavior as well as innovative behavior at the workplace. Moreover, it is also suggested that employers must also consider PE as an essential predictor for developing a culture packed with better citizenship and innovative behavior. Practical Implications: The role of leaders in the services sector is significant to enable members to come up with innovative behaviour and behave more organized and well suited to the organizational culture to make sure they have adopted the hot spots of the organizational citizenship behavior standards at the workplace.