Does employee engagement promote innovation? The Facilitators of innovative workplace behavior via mediation and moderation

Abstract

The demonstration of innovative behaviour by employees plays a crucial role in enabling organisations to effectively respond and adapt to the rapidly evolving business landscape. There has been an increase in research aimed at identifying the factors that contribute to the progressive development of innovative capacity, as there has been a substantial rise in interest in the comprehension of innovation mechanisms. Drawing on self-determination theory, this study aims to investigate the effect of employee engagement on innovative work behavior. The mediating role of employee voice behavior was also explored. Additionally, this study examines the potential moderating impact of perceived distributive justice on the relationship between employee engagement and innovative work behavior. A quantitative study was undertaken using a sample size of 180 participants who were employed in the manufacturing sector of Pakistan. Partial least squares structural equation modelling (PLS-SEM) was used to analyze the results of the study. The results revealed that engaged employees are more likely to exhibit innovative behavior. Furthermore, employee voice was discovered to fully mediate the relationship between employee engagement and innovative behavior, as well as to have a significant influence on both employee engagement and innovative behavior. However, the findings did not support the hypothesis that perceived distributive justice moderates the association between employee engagement and innovative behavior. Future research directions and managerial implications were also mentioned.