Do knowledge-oriented leadership and knowledge management capabilities help firms to stimulate ambidextrous innovation: moderating role of technological turbulence

Abstract

Purpose

Given the decisive role of knowledge-oriented leadership (KOL) in boosting organizational innovation capacities, the research intends to investigate the effect of KOL on ambidextrous innovation with the mediating effect of knowledge management capability (KMC). Furthermore, technological turbulence (TT) is regarded as a moderator in the relationship between KMC and ambidextrous innovation.

Design/methodology/approach

The data obtained from 122 Pakistani manufacturing firms were used to evaluate the proposed relationships using the partial least square structural equation modeling approach.

Findings

The empirical findings demonstrate that KOL positively affects both aspects of ambidextrous innovation, namely exploitative innovation (EII) and exploratory innovation (ERI), with a higher effect on EII. Additionally, knowledge management process capability (KMPC) partially mediates the association between KOL and both dimensions of ambidextrous innovation (EII and ERI). Similarly, knowledge management infrastructure capability (KMIC) mediates the link between KOL and ERI but does not mediate the relationship between KOL and EII. The impacts of the KMPC and KMIC on EII are also significantly moderated by TT, although the link between the two components of the KMC (KMPC and KMIC) and ERI is unaffected.

Practical implications

The research provides useful knowledge and a novel strategy for policymakers to foster KOL and invest in KMC to improve the capabilities of Pakistani manufacturing firms in terms of innovation.

Originality/value

The research has contributed significantly to the resources-based view and knowledge-based view (KBV) literature by examining the various mediation moderation mechanisms and offering greater insights into the relationship between KOL and firms, KMC, and ambidextrous innovations.

Citation

Riaz, M., Jie, W., Ali, Z., Sherani, M. and Yutong, L. (2023), "Do knowledge-oriented leadership and knowledge management capabilities help firms to stimulate ambidextrous innovation: moderating role of technological turbulence", European Journal of Innovation Management, Vol. ahead-of-print No. ahead-of-print. https://doi.org/10.1108/EJIM-08-2022-0409