Roles of leadership styles and relationship-based employee governance in open service innovation: Evidence from Malaysian service sector

Abstract

Purpose

The purpose of this paper is to investigate the relationship of leadership styles (paternalistic, authentic and democratic) with relationship-based employee governance and open service innovation.

Design/methodology/approach

Data were collected using a structured questionnaire from 422 medical professionals working in the Malaysian healthcare sector.

Findings

Results of several statistical analyses showed that the three leadership styles positively influence relationship-based employee governance and open service innovation. Results also confirmed the mediating role of relationship-based employee governance in the relationships between the three leadership styles and open service innovation.

Research limitations/implications

This research used a cross-sectional study design; use of a longitudinal research design in future research can provide a better interpretation of the underlying causality. A policy insight can be drawn from this research to generate awareness about effective leadership styles and the role of relationship-based employee governance in the successful implementation of open service innovation in the Malaysian healthcare sector.

Originality/value

This paper contributes to leadership, open innovation, and organizational governance literature by highlighting how leadership styles affect relationship-based employee governance and open innovation. It also offers policy insights to practitioners in the Malaysian healthcare sector on how to enhance open service innovation outcomes.

Citation

Ahmed, F., Naqshbandi, M.M., Kaur, S. and Ng, B.K. (2018), "Roles of leadership styles and relationship-based employee governance in open service innovation: Evidence from Malaysian service sector", Leadership & Organization Development Journal, Vol. 39 No. 3, pp. 353-374. https://doi.org/10.1108/LODJ-08-2017-0225