This study explores the important issue of how leadership facilitates employee innovation behaviors in SMEs. Ambidextrous leadership is introduced to the SME literature by investigating the influence of opening and closing leadership behaviors on employee's explorative and exploitative innovation behaviors. Using surveygenerated data from 98 high technology SMEs in the UK and by means of regression analyses, our findings reveal that opening and closing leadership behaviors predicted employee explorative and exploitative innovation behaviors respectively above all control variables. The combination of both leadership behaviors (ambidextrous leadership) also predicted employee ambidextrous innovation behaviors above all other leadership behaviors. A significant revelation was that the effect of ambidextrous leadership behaviors on employee ambidextrous innovation behaviors is mediated by adaptive/flexible leadership behavior. This study indicates that ambidextrous leadership is important for SMEs seeking to enhance employee innovative work behaviors.
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