PurposeThe purpose of this study is to explore the effects of transformational leadership on learning organization and nurses' innovative behavior. Furthermore, this study aims to explore the mediating role of learning organization in the relationship between transformational leadership and nurse innovative behavior in the healthcare context. As there is a paucity of research examining these relationships, this study bridges the research gaps in the literature.Design/methodology/approachA cross-sectional survey was used. Using convenience sampling, the data of 228 nurses from 5 public hospitals in Vietnam were collected via questionnaires. A structural equation model (SEM) was used to empirically test the hypotheses.FindingsThe findings show significant positive effects of transformational leadership on learning organization and nurses’ innovative behavior. Furthermore, a significant positive relationship between learning organization and nurses’ innovative behavior was also supported. Finally, the partial mediating role of learning organization is significant in this study.Originality/valueTo the best of the author's knowledge, this article is the first of its kind to identify the minimal literature available on the impact of transformational leadership on learning organization and nurses’ innovative behavior. This article also contributes to extending knowledge about the mediating role of learning organization in the healthcare context. Highlighting the importance of transformational leadership, the findings offer guidance for healthcare organizations that aim to strengthen nurses’ innovative behavior.