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Linking ethical leadership to administrative innovation in Ethiopian banks: the mediating role of knowledge process capabilities

Linking ethical leadership to administrative innovation in Ethiopian banks: the mediating role of... This paper aims to examine the mediating role of knowledge process capability (KPC) between ethical leadership (EL) and administrative innovation (AI) in the banking sector of Ethiopia.Design/methodology/approachThe study was conducted by a standardized questionnaire survey to collect the data from 266 employees of Commercial Bank of Ethiopia in 93 branches. The study employed structural equation modeling approach with Analyzing Moment of Structures 23.0 to test the hypothesized mediation model.FindingsThe results of this investigation disclose that EL has a significant and direct effect on AI and KPC. KPC also influences AI significantly.Originality/valueThe study revealed that KPC plays a partial mediating role in linking EL to AI, which is a new contribution to the existing literature of EL. This dimension can provide new dimensions to design organizational leadership which is based on sustainability paradigm. This can strengthen the organizational capabilities aiming to increasing innovative behaviors in order to have a deep-seated strategy. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png Journal of Management Development Emerald Publishing

Linking ethical leadership to administrative innovation in Ethiopian banks: the mediating role of knowledge process capabilities

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Publisher
Emerald Publishing
Copyright
© Emerald Publishing Limited
ISSN
0262-1711
DOI
10.1108/jmd-04-2020-0124
Publisher site
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Abstract

This paper aims to examine the mediating role of knowledge process capability (KPC) between ethical leadership (EL) and administrative innovation (AI) in the banking sector of Ethiopia.Design/methodology/approachThe study was conducted by a standardized questionnaire survey to collect the data from 266 employees of Commercial Bank of Ethiopia in 93 branches. The study employed structural equation modeling approach with Analyzing Moment of Structures 23.0 to test the hypothesized mediation model.FindingsThe results of this investigation disclose that EL has a significant and direct effect on AI and KPC. KPC also influences AI significantly.Originality/valueThe study revealed that KPC plays a partial mediating role in linking EL to AI, which is a new contribution to the existing literature of EL. This dimension can provide new dimensions to design organizational leadership which is based on sustainability paradigm. This can strengthen the organizational capabilities aiming to increasing innovative behaviors in order to have a deep-seated strategy.

Journal

Journal of Management Development – Emerald Publishing

Published: Aug 10, 2021

Keywords: Ethical leadership; Knowledge process capability; Administrative innovation; Structural equational modeling

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