Abstract

In this study, the authors examined why employees engage in innovative behavior even though innovation is a risky behavior. Employees tend to engage in innovative behavior since they expect positive image gains. Besides, employees tend to avoid innovative behavior because it forfeits their image inside organization (expected image risks). Furthermore, the willingness to engage in innovative behavior depends on individual differences. Therefore, the authors tried to examine the role of individual differences, drawing from self-monitoring theory. The surprising findings were the quality of relationship between employees and their peers did not affect employee image risk and self-monitoring did not moderate the relationship between expected image gain and innovative work behavior.

Highlights

  • Based on prior survey conducted by Center of Innovation and Collaboration (CIC), it was found that less than 50% of companies in Indonesia are ready to implement innovation

  • The surprising findings were the quality of relationship between employees and their peers did not affect employee image risk and self-monitoring did not moderate the relationship between expected image gain and innovative work behavior

  • Social perspective assumes that people tend to perform innovative act or innovative behavior as a symbolic meaning, such as signaling innovativeness (West & Farr, 1989)

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Summary

Introduction

Based on prior survey conducted by Center of Innovation and Collaboration (CIC), it was found that less than 50% of companies in Indonesia are ready to implement innovation (www.swa.co.id). Yuan and Woodman (2010) argued that employee innovative behavior (e.g., developing new ideas, implementing new ideas) is a critical factor that enables an organization to gain competitive advantage in a dynamic business environment. Drawing from expectancy theory of motivation by Vroom (1964), it is assumed that people tend to perform certain act to gain expected consequences in the future. People tend to engage in innovative activities if these activities will enhance their expected positive image inside the organization (expected image gain) (Yuan & Woodman, 2010). Innovation is a risky behavior, no guarantee of success, when people involve in innovative behavior, the future consequences maybe detrimental to their image (expected image risks) (Yuan & Woodman, 2010)

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