Abstract
Abstract This study focuses on the impact of empowering leadership and challenges work environment on both sale employee’s creativity and innovative work behavior in the Vietnamese banking industry. An empirical test, a structural equation model comprising a sample of 319 sale employees in 15 banks, indicates a strong relationship between sales staff creativity and innovative work behavior. Moreover, the findings indicate that both an empowering leadership and a challenging work environment can trigger sale employees’ creativity. Finally, innovative work behavior has a positive impact on innovative output. In general, this study contributes with some suggestions for bank managers to identify appropriate methods in order to stimulate the creativity and innovative work behavior of employees with the objective of achieving strong and sustainable business performance.
Highlights
According to Drucker (1993) any organization refusing to innovate will see its decline culminating in its downfall
Conclusion and implications for managers This study is completely consistent with the actual situation in the current bank in Ho Chi Minh City - Vietnam, for the following reasons
Critical thinking for creativity is the most important factor affecting the improved behavior of employees at work
Summary
According to Drucker (1993) any organization refusing to innovate will see its decline culminating in its downfall. Innovation is essential for long - term organizational prosperity. This is especially true in dynamic markets (Patterson et al, 2009). Lin and Liu (2012) concluded that innovation was a crucial factor that could bring sustainable competitive advantages which could be used to deal business environment in rapid change. Many scholars confirmed that innovations come from the creative ideas of employees – a vital factor of organizational creativity (Woodman et al, 1993). Stimulating the creative ability of employees is one of the decisive factors bringing success to an organization (Walton, 2003). West (2002) stated that creativity can be regarded as an important factor for innovative work behavior.
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