Impact of digital leadership on open innovation: a moderating serial mediation model

Purpose This study aims to examine the relevant but overlooked intervening role of knowledge sharing and innovation capability between digital leadership and open innovation. This study hypothesizes that top management knowledge value (TMKV) can strengthen the relationship between digital leadership and knowledge sharing. In line with the resource- and knowledge-based views, the serial mediation model explains how organizations can achieve open innovation through knowledge sharing and innovation capability development under digital leadership. Design/methodology/approach The research hypotheses were tested with survey data collected in four different rounds, separated by three to four weeks each, from 250 employees working in telecom and IT companies. The statistical analyses relied on the PROCESS macro, which enabled a simultaneous estimation of the direct, mediation and moderated mediation effects that underpin the proposed theoretical framework. Findings Results showed good support for the serial mediation model. TMKV was found a significant factor to improve knowledge sharing among employees. Practical implications The role of leadership is inevitable in the journey of organizational performance, and digital leadership has become a significant phenomenon in this regard. To achieve open innovation, organizations need digital leadership that induce knowledge sharing and innovation capability. Originality/value This study contributes to extant research by explaining how digital leadership induces knowledge sharing and innovation capability to achieve open innovation that is highly important to compete and outperform the rivals.