Digital Leadership’s Influence on Individual Creativity and Employee Performance: A View through the Generational Lens

Abstract

Today’s digitalized business atmosphere places significant emphasis on digital leadership, as digital transformation can only be successful for leaders who are capable of overseeing the entire digitalization process. In this study, we examine the employee-level outputs of digital leadership in terms of individual creativity and employee performance. Based on the data of 348 employees and by using PLS-SEM, we find that (i) digital leadership is a significant antecedent of individual creativity, and (ii) individual creativity fully mediates the relationship between digital leadership and employee performance. When digital leadership abilities are a matter of concern, it becomes necessary to mention the importance of generational differences between those leaders, as OB studies also underline the generational differences toward new technologies. Hence, we also conducted a multigroup analysis (MGA) to determine if those interrelationships among digital leadership, individual creativity, and employee performance differ due to the generations of the managers. Surprisingly, the MGA results reveal minor differences. The findings of this study highlight the importance of embracing digital leadership in fostering a creative and high-performing work environment and provide insights for organizations aiming to harness the unique strengths and talents of their multigenerational workforce. Digital leaders who foster a culture of innovation, adaptability, and open communication can inspire employees to think creatively and come up with novel ideas. By leveraging digital tools and providing a supportive environment, digital leaders can also enhance employee creativity and performance.

Building Micro-Foundations for Digital Transformation: A Moderated Mediation Model of the Interplay between Digital Literacy and Digital Transformation

“…This is further supported by the work of Ming-Hsiung Hsiao [160], who offers a conceptual framework for understanding the process of digital transformation through resource integration and organizational capabilities for enhanced firm performance. By analytically representing the positive influence of DL on DGT outcomes, the research extends the RBV framework, a notion that is echoed in the findings of Volkan Öngel et al [161], who examined the significant antecedent role of digital leadership on individual creativity and employee performance. The study enriches the theoretical understanding of DCT by elucidating the mediator of DGR in the association between DL and DGT, a concept that finds resonance in Abdelhak Senadjki et al's [162] investigation into the impact of digital leadership on the performance of a firm through digital transformation.…”

“…The theoretical contributions of this research lie in its ability to integrate insights from multiple theoretical perspectives, namely RBV and DCT, to provide a complete understanding of the mechanisms underlying DGT in medium-and large-sized firms in Turkey. Ming-Hsiung Hsiao [160] tested theoretical ideas in the real world, and Volkan Ongel et al [161] and Abdelhak Senadjki et al [162] looked into the dynamics of leadership competency, organizational readiness, and TMT cohesion. Both of these studies add to the theoretical discussion in the field of DGT.…”