The Effects of Transformational Leadership and Perceived Creativity on Innovation Behavior in the Hospitality Industry

Determinants of creative or innovative behavior among frontline employees have been examined rarely in the literature, which is unfortunate as such information may help managers to benefit from their employees’ potentials. This study first identifies conceptually transformational leadership and employee-perceived creativity as two salient determinants of innovative behavior, and then tests this using data collected from a sample of 345 hospitality frontline employees. Moreover, it is then examined whether the relationship between these two determinants and innovative behavior may be moderated by the employees’ length of time at the workplace. The results of the study indicate that both transformational leadership and employee service creativity influence innovative behavior significantly. However, as this study proposes, these effects are indeed moderated by time in that despite initially different magnitudes, they approach each other over time. Theoretical and practical implications of the study are also provided.