Review Reports - Marketing from Leadership to Innovation: A Mediated Moderation Model Investigating How Transformational Leadership Impacts Employees’ Innovative Behavior

Round 1

Reviewer 1 Report

Comments and Suggestions for Authors

The main research question is to examine the influence of transformational leadership on employees’ innovation mediated by intellectual agility and employees’ voice.

The article was interesting where the main discussion focus on employees’ innovation.

There were new findings suggested in the article. Employees’ innovation needs to be supported by leaders.

The conclusion was supported by the evidences and was discussed clearly.

Some suggestions:

1. Please highlight the discussion on the issues faced by SME managers in Pakistan that requires you to do this research.

2. Please discuss how samples were selected in the study and share source of reference for population size.

Comments on the Quality of English Language

Moderate

Author Response

Reviewer 1

Paper title: Marketing From Leadership to Innovation: A Mediated Moderation Model Investigating How Transformational Leadership Impacts Employees' Innovative Behavior Through Employees’ Intellectual Agility and Employee Voice, Moderated by Innovation Climate

Comment: 1. Please highlight the discussion on the issues faced by SME managers in Pakistan that requires you to do this research.

Response: Thank you for your comment. We have added this in introduction part as well as in the discussion part.

For your quick review, it is given below:

Employee voice (EMV) is characterized by the expression of employees' opinions, thoughts, concerns, and ideas concerning various aspects of their jobs, with the aim of improving the working environment and the overall functioning of the organization (Islam et al., 2019). It signifies an individual's inclination to engage in active discussions about change and generate ideas. Voice pertains to behavior that emphasizes the articulation of positive challenges aimed at achieving progress, rather than mere criticism (Lin, 2023). EMV has been acknowledged as a significant factor impacting creativity and innovation at individual, group, and organizational tiers (Selvaraj and Joseph, 2020). The examination of employee voice in relation to TL holds relevance for SMEs, given that the compact size and relational approach of these enterprises empower leadership to inspire and encourage employees to showcase innovative behaviors (Matzler et al., 2008). Examining employee voice in the context of TL remains pertinent for SMEs, as the intimate scale and relational nature of these businesses enable leaders to motivate and foster innovative behaviors among employees (Matzler et al., 2008). Researchers in organization development define employee voice as an individual's expression aimed at problem-solving. Moreover, scholars view EMV as the method through which employees can enhance an organization's operations and tackle work-related issues that impede overall innovation and performance in SMEs (Rasheed et al., 2017; Wilkinson et al., 2014).

TL serves as a catalyst, motivating employees to engage in decision-making and proactively undertake initiatives as creative ideas and deal with challenges that hinder organizational learning and innovation (Rasheed et al., 2021). However, even though EMV plays a pivotal role in fostering innovation across various organizational types, the concept continues to lack thorough theoretical exploration and comprehensive research within the context of SMEs (Gilman et al., 2015; Rasheed et al., 2021). Moreover, a scarcity of research exists concerning EMV within the contexts of developing countries. Therefore, taking these gaps and recent calls into consideration, we argue that employee voice represents a promising mechanism through which TL can wield its impact on innovation outcomes within SMEs of Pakistan.

The concept of innovation climate (INNC) involves how employees interpret and understand reward policies, practices, procedures, support, and expectations (Kuenzi and Schminke, 2009). It acts as a perceptual structure that empowers businesses and provide meaningful work environments (Yu et al., 2018). Innovation climate is defined as the shared anticipation, perceptions, or endorsement of innovation, as perceived by individuals. Further, without an innovation climate in SMEs, employees lack the motivation, resources, supportive culture, and skills necessary to engage in innovative work behavior. Establishing an environment that promotes and nurtures innovation is crucial for unlocking the creative potential of employees within SMEs (Shafique et al., 2022). INNC is considered as an investment in resources, further it plays a role in facilitating the creation and application of novel ideas, ultimately leading to the development of personal resources (Li et al., 2020). When the organization promote INNC, employees tend to display a greater inclination toward enhancing the existing work environment through innovative means (Svendsen and Joensson, 2016). The study suggests that EMV and EIAG serve as a mediating factor between TL and EIWB. Moreover, contextual elements enhance the influence of EMV and EIAG on EIWB. In presences of strong INNC prevails within a organization, employees are more likely to receive encouragement and even rewards for their innovative ideas (Yu et al., 2018). Drawing upon the Social Exchange Theory (SET) developed by Blau (1964), this study introduces a moderated mediation model. This theoretical model investigates the link through which TL influences the EIWB of employees working in SMEs. Further this study also considers the mediating roles of EIAG and EMV, which in an exchange of emotional resources (Lin et al., 2023). Furthermore, the Conservation of Resources (COR) theory by Hobfoll, (1989) is incorporated as a theoretical lens to elaborate the moderating influence of the INNC.

this study also presents significant implications for the top managers/management of the SMEs industry in Pakistan. This is particularly crucial given that the SMEs sector in Pakistan is acknowledged as a contributing factor to climate change. This is primarily due to the substantial industrial and energy-related infrastructure development in the country, especially within the context of the Pakistani SMEs.

We have also added studies relevant Pakistani context, we are sharing here for your quick review:

References

Rashid, M. A., Kalyar, M. N., & Shafique, I. (2020). Market orientation and women-owned SMEs performance: The contingent role of entrepreneurial orientation and strategic decision responsiveness. South Asian Journal of Business Studies, 9(2), 215-234.

Rasheed, M. A., Shahzad, K., Conroy, C., Nadeem, S., & Siddique, M. U. (2017). Exploring the role of employee voice between high-performance work system and organizational innovation in small and medium enterprises. Journal of Small Business and Enterprise Development, 24(4), 670-688.

Shafique, I., Kalyar, M. N., Shafique, M., Kianto, A., & Beh, L. S. (2022). Demystifying the link between knowledge management capability and innovation ambidexterity: organizational structure as a moderator. Business Process Management Journal, 28(5/6), 1343-1363.

Ur Rehman, Z., Shafique, I., Khawaja, K. F., Saeed, M., & Kalyar, M. N. (2023). Linking responsible leadership with financial and environmental performance: determining mediation and moderation. International Journal of Productivity and Performance Management, 72(1), 24-46.

It can be suggested that employees are more likely to involve in creative work that extend beyond their job roles when they perceive their leaders as creative conscious and supportive. This support includes being open to discussions about objectives, exploring innovative approaches, providing guidance on creative work concerns, and being receptive to suggestions regarding innovative work. These findings emphasizes the opportunity for organizations to use TL as a driving force to enhance their EIWB.

Comment 2. Please discuss how samples were selected in the study and share source of reference for population size.

Response: Thank you for your comment and highlighting this important issue and now we have revised the methodology section and clearly stated sampling technique which is actually the convenience sampling since the population is unknown.

Moreover, for sample size clarification, according to the Morgan and Krejcie sample size table, (1970), the sample size for population of equal or above 100000 is 384. So that is why we wanted to have greater sample size than 384. Moreover, the reason to distribute the 1200questionnaires is because of the low questionnaire return rate, we wanted to have better response rate and for that reason we distributed more than required number of questionnaires, just to avoid the low number of response rate. We are really very grateful to the reviewer for pointing it out. Moreover, we have included the we have added the references of SEMDA, (2022) and the research article as well (Al Ghazali et al., 2022). Thank you, we are really very grateful to the reviewer for pointing it out.

Passage is given below:

In this study, 550 SMEs were contacted through email, inviting them to take part. Out of these invitations, 430 SMEs agreed to participate in this study. In order to collect data, an online questionnaire was administered using a convenience sampling technique. The researchers’ chose this approach for two key reasons. First, it offers a straightforward, cost-effective, and time-efficient data collection process, as highlighted by Stratton, (2021). Given the considerable distances between various geographical regions in Pakistan, employing an online survey method proved to be a more economical and efficient choice (Rasheed et al., 2017). Second, this sampling technique has seen extensive use in the field and particularly in the SMEs, as evidenced by the studies conducted by Rashid et al., (2020), and Shafique et al., (2021). A questionnaire was electronically disseminated to a total of 1200 employees working in the 430 distinct SMEs registered with Small and Medium Enterprise Development Authority (SMEDA, 2022) as well as chambers of commerce and industry associations across Pakistan. Moreover, the survey was specifically designed to be completed by heads of departments, as they were presumed to possess a more comprehension of the prevailing top leadership style, EMV behaviors, EIAG and EIWB within the organizations. Out of the 1,200 e-mailed questionnaires, a total of 450 responses were received from 430 distinct SMEs within the span of one month. This culminated in a response rate of 37.5 percent which is align with prior research conducted in Pakistani SMEs (Rasheed et al., 2021; Al Ghazali et al., 2022). Out of 450 responses, fifteen were dropped because of the missing information and during the normality assessment of the data 20 outlier responses were also removed and usable sample size were 415 responses. Furthermore, the sample size is according to the guidelines of Krejcie and Morgan, (1970) as they recommended for population of equal or above 100000 the sample size should be the 384.

Note: We would like to thank the reviewer for his/her wonderful comments and suggestions, because of those our paper has been improved a lot. Thank you once again.

Author Response File: Author Response.pdf

Reviewer 2 Report

Comments and Suggestions for Authors

I first thought this manuscript was not worth printing because so many articles and research are printed on transformational leadership. However, careful reading of this manuscript changed my opinion. This manuscript is based on the Social exchange theory and upper Echelon Theory. It provides a deeper perception of how the relationship between transformational leadership and employees' innovative behavior is mediated by the employees' intellectual agility and employees voice. The results are achieved using appropriate and valid methods. The discussion of research encloses how attributes of transformational leadership, such as vision, support, stimulation, recognition, and communication, promote employees' voice and impact employees' behavior in SMEs. This study gives insights into innovation management frameworks within developing country's SMEs.

Comments on the Quality of English Language

It is recommended to check on spelling and technical English.

Author Response

Reviewer 2

Comment: I first thought this manuscript was not worth printing because so many articles and research are printed on transformational leadership. However, careful reading of this manuscript changed my opinion. This manuscript is based on the Social exchange theory and upper Echelon Theory. It provides a deeper perception of how the relationship between transformational leadership and employees' innovative behavior is mediated by the employees' intellectual agility and employees voice. The results are achieved using appropriate and valid methods. The discussion of research encloses how attributes of transformational leadership, such as vision, support, stimulation, recognition, and communication, promote employees' voice and impact employees' behavior in SMEs. This study gives insights into innovation management frameworks within developing country's SMEs.

Response: Thank you for your appreciation, we are highly thankful to you for your kind appreciation.

Comment: It is recommended to check on spelling and technical English.

Response: Thank you for highlighting it. We will proofread the whole manuscript.

Note: We would like to thank the reviewer for his/her wonderful comments and suggestions, because of those our paper has been improved a lot. Thank you once again.

Author Response File: Author Response.pdf

Reviewer 3 Report

Comments and Suggestions for Authors

Comments for Manuscript ID sustainability-2605839

This paper study examines the mediating effects of employees' intellectual agility and employees' voice between transformational leadership and employees innovative work behavior within the context of Small and Medium Enterprises (SMEs) Pakistan. Apart from this research contribution to the body of knowledge, it requires significant changes. The article needs to incorporate the comments given by the reviewer in each section.

Use the following guidelines for writing abstract and introduction section

Introduction

Restructure your introduction according to this pattern and need to be more comprehensive
1. State the research problem.
2. Review studies that have addressed the problem.
3. Indicate deficiencies in the studies.
4. Advance the significance of the study for particular audiences.
5. State the purpose statement

After reading introduction section I can’t find relevant work conducted in Pakistani SMEs. Only one study [85] references in the whole paper. To justify the context, you must give a clear background detail.

Research objectives
Please state your research objectives clearly.

Research Significance

- Please provide significance and highlight the research gap and explain theoretical support and justification. Please justify your study significance based on previous studies. Please include a separate section and discuss this part.

Literature Review
Please first explain and describe each variable and how you define them. Once you do then only proceed to the hypotheses development section( 2). Literature review and hypotheses development

Methodology

A questionnaire was electronically disseminated to a total of 1200 SMEs registered 409 with SMEDA, as well as chambers of commerce and industry associations across Pakistan. The paper's methodology didn’t discuss population and sampling details. Please justify on which basis you have chosen 1200 sample. And what type of sampling technique has been employed. Why Smart PLS was used as compared to other, e.g., R, M Plus, etc.

Data Analysis

Please provide smart PLS output of both measurement model and structural model. Secondly please rectify typo errors in e.g., high Cronbach's alpha scores, as presented in Table 2. But it is table 1 please amend in text.

Discussion and findings

Please expand your discussion section e.g., 6. Discussion or 6.1. Summary of the research findings. You need to compare your results and findings with other research studies relevant to yours. Not just exampling your results. Then you can discuss both theoretical and practical implications.

Conclusion

There is no conclusion section. After all you must conclude your work. Please add on details and comprehensive conclusion.

References

Please add studies relevant Pakistani context. Secondly follow numbered style. Please read sustainability journal format guidelines.

Comments on the Quality of English Language

Moderate editing of English language required

Author Response

Reviewer 3

Paper title: Marketing From Leadership to Innovation: A Mediated Moderation Model Investigating How Transformational Leadership Impacts Employees' Innovative Behavior

Comment 1: State the research problem.

Response: Thank you for your comment.

We agree with the reviewer comment and now we have revised the whole introduction and have incorporated the research problem passage in the manuscript. It

Passage

Based on the review of above studies, the research problem lies in the limited understanding and exploration of the impact of Transformational Leadership (TL) on employees' Innovative Work Behaviors (EIWB) within Small and Medium Enterprises (SMEs). Additionally, there is a lack of comprehensive research on Employee Voice (EMV) and Innovation Climate (INNC) in developing countries, specifically in Pakistan. This study aims to address these gaps by investigating the relationships between TL, Employees' Intellectual Agility (EIAG), EMV, and INNC, contributing crucial insights to the field of management literature.

Comment 2: Review studies that have addressed the problem

Response: Thank you for your comment, we have incorporated all the studies which addressed the problem. The passage has been provided for your quick review below.

References

Kaya, B., Karatepe, O.M., 2020. Does servant leadership better explain work engagement, career satisfaction and adaptive performance than authentic leadership. Int. J. Contemp. Hosp. Manag. 32 (6), 2075–2095. https://doi.org/10.1108/IJCHM-05- 2019-0438.
Hoang, G., Luu, T.T., Nguyen, T.T., Du, T., Le, L.P., 2022. Examining the effect of entrepreneurial leadership on employees’ innovative behavior in SME hotels: A mediated moderation model. Int. J. Hosp. Manag. 102 (December 2021), 103142 https://doi.org/10.1016/j.ijhm.2022.103142.
Eid, R., Agag, G., 2020. Determinants of innovative behaviour in the hotel industry: a cross-cultural study. Int. J. Hosp. Manag. 91 (July), 102642 https://doi.org/ 10.1016/j.ijhm.2020.102642.
Zhou, W., Velamuri, V.K., 2018. Key contextual success factors for employee innovative behavior: a study in a foreign manufacturing subsidiary in China. Cogent Bus. Manag. 5 (1) https://doi.org/10.1080/23311975.2018.1471770.
Zhang, Q., Abdullah, A.R., Hossan, D., Hou, Z., 2021. The effect of transformational leadership on innovative work behavior with moderating role of internal locus of control and psychological empowerment. Manag. Sci. Lett. 11, 1267–1276. https:// doi.org/10.5267/j.msl.2020.11.012.
Aryee, S., Walumbwa, F.O., Zhou, Q., Hartnell, C.A., 2012. Transformational leadership, innovative behavior, and task performance: test of mediation and moderation processes. Hum. Perform. 25 (1), 1–25. https://doi.org/10.1080/ 08959285.2011.631648.
Rees, C., Alfes, K., Gatenby, M., 2013. Employee voice and engagement: connections and consequences. Int. J. Hum. Resour. Manag. 24 (14), 2780–2798. https://doi.org/ 10.1080/09585192.2013.763843.
King, C., So, K.K.F., DiPietro, R.B., Grace, D., 2020. Enhancing employee voice to advance the hospitality organization’s marketing capabilities: a multilevel perspective. Int. J. Hosp. Manag. 91 (September), 102657 https://doi.org/10.1016/ j.ijhm.2020.102657.
Zhang, Y., Zheng, J., & Darko, A. (2018). How does transformational leadership promote innovation in construction? The mediating role of innovation climate and the multi-level moderation role of project requirements. Sustainability, 10(5), 1506. doi:10.3390/su10051506.
Alavi, S., Abd. Wahab, D., Muhamad, N., & Arbab Shirani, B. (2014). Organic structure and organizational learning as the main antecedents of workforce agility. International Journal of Production Research, 52(21), 6273–6295. doi:10.1080/00207543.2014.919420.
Dabi_c, M., Stoj_ci_c, N., Simi_c, M., Potocan, V., Slavkovi_c, M., & Nedelko, Z. (2021). Intellectual agility and innovation in micro and small businesses: The mediating role of entrepreneurial leadership. Journal of Business Research, 123(1), 683–695. doi:10.1016/j.jbusres.2020.10.013.
Svendsen, M., Joensson, T.S., 2016. Transformational leadership and change related voice behavior. Leadersh. Organ. Dev. J. 37 (3), 357–368. https://doi.org/10.1108/ LODJ-07-2014-0124.

Comment: 3 Indicate deficiencies in the studies.

Response: Thank you for your comment and highlighting this issue. We have included the studies with the reference and highlighted the deficiencies as well. Thank you once again.

Aryee et al., (2012); Zhang et al., (2021); Hoang et al., (2022); Kaya and Karatepe, (2020), investigated different leadership styles with innovation and lacking the mediating mechanisms, similarly, Dabic et al., 2021 conducted study on the Intellectual agility and innovation in micro and small businesses and investigated the entrepreneurial leadership, their findings are limited to small businesses only. In addition to that, Alavi et al., (2014) investigated the two organizational characteristics, namely organizational learning and an organic structure as the antecedents of workforce agility, however, their study focused on structure of the organization. Similarly, Zhang et al., (2018) found the TL impact on innovation though multi level moderation. Additionally, King et al., (2020), explored the relationship between TL and INNIC in hospitality industry and their findings are limited to hospitality industry, further another study by Rees et al., 2013 investigated only the relationship between employee voice and engagement, lacking the leadership style impact particularly TL. When the organizational innovation climate is strong, employees are more likely to enhance the existing work environment through innovative practices (Svendsen and Joensson., 2016), this study lacks the moderating role of innovation.

Comment: Advance the significance of the study for particular audiences

Response: Thank you for your comment and highlighting this, now the new passage has been added to the introduction part.

"In the rapidly evolving business landscape, this study holds significance for managers. By understanding the pivotal role of Transformational Leadership (TL), managers can inspire employees to engage in innovation, driving meaningful organizational change. This research study sheds light on specific mechanisms, such as fostering Employee Voice (EMV) and cultivating a positive Innovation Climate (INNC), which empower managers to cultivate the creative potential of their employees and teams. Furthermore, the study highlights the importance of recognizing and nurturing employees' Intellectual Agility (EIAG) to identify innovation opportunities effectively. Moreover, with these insights, managers can build a culture of innovation, enhance employee engagement, and ultimately contribute to organizational success in today's competitive environment.

Comment 5: State the purpose statement

Response: Thank you for your comment and highlighting the important point. In one paragraph we have mentioned in introduction which indicate both the problem statement and the purpose statement as well.

For your quick review the passage is given below:

Problem statement: Based on the review of above studies, the research problem lies in the limited understanding and exploration of the impact of Transformational Leadership (TL) on employees' Innovative Work Behaviors (EIWB) within Small and Medium Enterprises (SMEs). Additionally, there is a lack of comprehensive research on Employee Voice (EMV) and Innovation Climate (INNC) in developing countries, specifically in Pakistan.

purpose statement: This study aims to address these gaps by investigating the relationships between TL, Employees' Intellectual Agility (EIAG), EMV, and INNC, contributing crucial insights to the field of management literature.

Comment: After reading introduction section I can’t find relevant work conducted in Pakistani SMEs. Only one study [85] references in the whole paper. To justify the context, you must give a clear background detail.

Response: Thank you for your comment and highlighting the important point. we have added the following references which are related to the Pakistani SMEs context.

It is given below here as well.

References

Rashid, M. A., Kalyar, M. N., & Shafique, I. (2020). Market orientation and women-owned SMEs performance: The contingent role of entrepreneurial orientation and strategic decision responsiveness. South Asian Journal of Business Studies, 9(2), 215-234.

Rasheed, M. A., Shahzad, K., Conroy, C., Nadeem, S., & Siddique, M. U. (2017). Exploring the role of employee voice between high-performance work system and organizational innovation in small and medium enterprises. Journal of Small Business and Enterprise Development, 24(4), 670-688.

Shafique, I., Kalyar, M. N., Shafique, M., Kianto, A., & Beh, L. S. (2022). Demystifying the link between knowledge management capability and innovation ambidexterity: organizational structure as a moderator. Business Process Management Journal, 28(5/6), 1343-1363.

Ur Rehman, Z., Shafique, I., Khawaja, K. F., Saeed, M., & Kalyar, M. N. (2023). Linking responsible leadership with financial and environmental performance: determining mediation and moderation. International Journal of Productivity and Performance Management, 72(1), 24-46.

Research objectives

Please state your research objectives clearly.

Response: Thank you for your comment and highlighting the important point. In introduction section, In passage where we discussed the problem statement and purpose statement, we have clearly stated the problem and aim of the study which reflects the research objectives.

For your quick review we are sharing here below as well.

Comment: Research Significance

- Please provide significance and highlight the research gap and explain theoretical support and justification. Please justify your study significance based on previous studies. Please include a separate section and discuss this part.

Response: Thank you for the comment, because of your comments, our work has improved a lot. Let us explain the way we incorporated your recommendations and suggestion. For this particular comment, actually, we made the flow as you instructed us and in different paragraphs, we have included all of your recommendations and suggestions, the reason why we have not made the separate headings is to just avoid the too many headings because then it may appear as thesis, so we tried our best to mention the problem statement, purpose statement and significance of the study in detail but not given as a separate heading just to avoid too many headings. I hope that addresses your concerns. Thank you sir/mam.

Moreover, we have added the paragraph to highlight the significance of the study moreover, we have also highlighted the different studies which are limited based on certain elements and based on those studies we have justified our study need and fulfilling the gap of this study.

Both paragraphs are shared for your quick review. (Significance and previous studies review in terms of gaps and limitations in their studies)

Aryee et al., (2012); Zhang et al., (2021); Hoang et al., (2022); Kaya and Karatepe, (2020), investigated different leadership styles with innovation and lacking the mediating mechanisms, similarly, Dabic et al., 2021 conducted study on but the Intellectual agility and innovation in micro and small businesses and investigated the entrepreneurial leadership, their findings are limited to small businesses only.In addition to that, Alavi et al., (2014) investigated the two organisational characteristics, namely organizational learning and an organic structure as the antecedents of workforce agility, however, focused on structure of the organization. Similarly, Zhang et al., (2018) found the TL impact on innovation though multi level moderation. Additionally, King et al., (2020), explored the relationship between TL and INNIC in hospitality industry and their findings are limited to hospitality industry, further another study by Rees et al., 2013 investigated only the relationship between employee voice and engagement, lacking the leadership style impact particularly TL.

Comment: Literature review: Please first explain and describe each variable and how you define them. Once you do then only proceed to the hypotheses development section (2). Literature review and hypotheses development

Response: Thank you for your comment and highlighting the important point. Now we have developed the 2.1 section in literature review and defined all the variables. The passages are given below for your quick review. Thank you.

Transformational leadership (TL) is characterized by five essential elements: vision, inspirational communication, supportive leadership, intellectual stimulation, and personal recognition, as outlined by Rafferty and Griffin (2004). Vision entails articulating an idealized future aligned with organizational values. Inspirational communication involves conveying positive and motivating messages about the organization, fostering motivation and confidence (Rafferty & Griffin, 2004, p. 332). Supportive leadership includes demonstrating concern for followers and addressing their individual needs. Intellectual stimulation encompasses enhancing employees' interest in and awareness of problems, encouraging innovative problem-solving approaches (Rafferty & Griffin, 2004, p. 333). Lastly, personal recognition entails acknowledging and rewarding efforts, such as praising accomplishments and acknowledging progress towards specific goals (Rafferty & Griffin, 2004, p. 334).

Reference

Rafferty, A. E., & Griffin, M. A. (2004). Dimensions of transformational leadership: Conceptual and empirical extensions. The Leadership Quarterly, 15(3), 329–354. https://doi.org/10.1016/j.leaqua.2004.02.009

EIWB

In the present study, the researcher emphasizes the significance of generating novel ideas as the fundamental starting point for innovation, aligning with Kanter's perspective (2009). Within the SMEs sector, innovative work behavior has emerged as a pivotal source of competitive advantage (Kumar et al., 2022). This behavior encompasses various activities aimed at identifying, refining, altering, embracing, and executing ideas, as highlighted by De Jong and Den Hartog (2010). It essentially refers to the proactive initiative of employees who, after analyzing work-related challenges or solutions, apply their newfound ideas, ultimately leading to innovative outcomes, as suggested by Chen et al. (2020). To excel in today's swiftly evolving landscape and enhance their operational performance, SMEs establishments must embrace innovative work behavior, a necessity underscored by Hoang et al. (2022a). This approach is essential for delivering superior services and ensuring sustained business growth.

In this study, employee voice is defined as a thoughts, concerns, and ideas that employees share regarding their job-related matters, aiming to improve the working environment and overall organizational functioning (Islam et al., (2019). It signifies an individual's inclination to actively engage in discussions about change and contribute novel ideas. More precisely, "voice" signifies behavior that emphasizes the expression of constructive challenges with the goal of facilitating progress, rather than mere criticism (Van Dyne and LePine, 1998, p. 109).

Intellectual agility is a facet of intellectual capital that is often considered a synonym for the wider concept of organizational agility. While organizational agility refers to the ability of firms to create new value by adjusting organizational strategies and resources (Cegarra-Navarro and Martelo-Landroguez, 2020; Grass, et al., 2020), intellectual agility is about creating an appropriate environment within organizations in which staff can invest their efforts in the formulation of responses to organizational challenges through the modification of existing structures and the creation of innovative strategies.

In this study, Intellectual agility involves establishing a conducive environment within organizations, enabling employees to channel their energy into developing responses to organizational challenges. This process involves modifying existing structures and devising innovative strategies. Furthermore, intellectual agility represents a new aspect of human capital that significantly enhances a company's innovativeness. It encompasses employees' ability to adapt their thinking patterns, proactively acquire new knowledge, and generate distinctive solutions to cope with both present and future challenges (Tierney & Farmer, 2002).

References

Farmer, S. M., & Tierney, P. (2017). Considering creative self-efficacy: Its current state and ideas for future inquiry. In The creative self(pp. 23-47). Academic Press.

Cegarra-Navarro, J. G., & Martelo-Landroguez, S.(2020). “The effect of organizational memory on organizational agility: Testing the role of counter-knowledge and knowledge application”. Journal of Intellectual Capital. https://doi.org/10.1108/JIC03-2019-0048.

Grass, A., Backmann, J., & Hoegl, M. (2020). From Empowerment Dynamics to Team Adaptability—Exploring and Conceptualizing the Continuous Agile Team Innovation Process. Journal of Product Innovation Management. 37(4):324–351.

Innovation climate can be characterized as “the extent to which an organization’s values and norms emphasize innovation” (King, 2007, p. 632). In this study, Innovation climate can be described as the shared expectations, perceptions, or encouragement for innovation as perceived by individuals. Put simply, it represents an employee's outlook on the procedures, policies, and behaviors that promote the creation and implementation of new ideas in the workplace (der Vegt et al., 2005).

Reference

King, E.B., De Chermont, K., West, M., Dawson, J.F., Hebl, M.R., 2007. How innovation can alleviate negative consequences of demanding work contexts: The influence of climate for innovation on organizational outcomes. Journal of occupational and Organizational Psychology 80 (4), 631–645.

der Vegt, G.S., Van de Vliert, E., Xu, H., 2005. Location-level links between diversity and innovative climate depend on national power distance. Acad. Manag. J. 48 (6), 1171–1182.

Methodology

A questionnaire was electronically disseminated to a total of 1200 SMEs registered 409 with SMEDA, as well as chambers of commerce and industry associations across Pakistan. The paper's methodology didn’t discuss population and sampling details. Please justify on which basis you have chosen 1200sample. And what type of sampling technique has been employed. Why Smart PLS was used as compared to other, e.g.,R, M Plus, etc.

Response: Thank you for your comment and highlighting this important issue and now we have revised the complete methodology section as per your kind instructions and clearly stated sampling technique which is actually the convenience sampling since the population is unknown. Moreover, for sample size clarification, according to the Morgan and Krejcie sample size table, (1970), the sample size for population of equal or above 100000 is 384. So that is why we wanted to have greater sample size than 384. Moreover, the reason to distribute the 1200questionnaires is because of the low questionnaire return rate, we wanted to have better response rate and for that reason we distributed more than required number of questionnaires, just to avoid the low number of response rate. Moreover, we have included the we have added the references of SEMDA, (2022) and the research article as well (Al Ghazali et al., 2022). Thank you, we are really very grateful to the reviewer for pointing it out.

Passage is given below:

Moreover, references related to support the convenience sampling and in SMEs context are also included to support this study.

References

Stratton, S. J. (2021). Population research: convenience sampling strategies. Prehospital and disaster Medicine, 36(4), 373-374.

Forza, C. (2002), “Survey research in operations management: a process-based perspective”,
International Journal of Operations & Production Management, Vol. 22 No. 2, pp. 152-194.

Rasheed, M. A., Shahzad, K., Conroy, C., Nadeem, S., & Siddique, M. U. (2017). Exploring the role of employee voice between high-performance work system and organizational innovation in small and medium enterprises. Journal of Small Business and Enterprise Development, 24(4), 670-688.

Rashid, M. A., Kalyar, M. N., & Shafique, I. (2020). Market orientation and women-owned SMEs performance: The contingent role of entrepreneurial orientation and strategic decision responsiveness. South Asian Journal of Business Studies, 9(2), 215-234.

Shafique, I., Kalyar, M. N., Shafique, M., Kianto, A., & Beh, L. S. (2022). Demystifying the link between knowledge management capability and innovation ambidexterity: organizational structure as a moderator. Business Process Management Journal, 28(5/6), 1343-1363.

Comment: Why Smart PLS was used as compared to other, e.g.,R, M Plus, etc.

Response: Thank you for your comment and highlighting the important point. Actually, to test the hypotheses, PLS-SEM was employed because PLS technique is considered as good to meet assumptions of regression (Gefen et al., 2000) and to ensure robustness of the analysis for constructs (Coltman et al., 2008). Through smart PLS software the objective of this study achieved appropriately. Moreover, this software is widely used in social science.

Hair, J. F., Risher, J. J., Sarstedt, M., & Ringle, C. M. (2019). When to use and how to report the results of PLS-SEM. European business review, 31(1), 2-24.

Gefen, D., Straub, D., & Boudreau, M. C. (2000). Structural equation modeling and regression: Guidelines for research practice. Communications of the association for information systems, 4(1), 7.

Hair, J. F., Ringle, C. M., & Sarstedt, M. (2011). PLS-SEM: Indeed a silver bullet. Journal of Marketing theory and Practice, 19(2), 139-152.

Aboramadan, M., Crawford, J., Turkmenoglu, M. A., & Farao, C. (2022). Green inclusive leadership and employee green behaviors in the hotel industry: Does perceived green organizational support matter?. International Journal of Hospitality Management, 107, 103330.

Shafique, I., Kalyar, M. N., Shafique, M., Kianto, A., & Beh, L. S. (2022). Demystifying the link between knowledge management capability and innovation ambidexterity: organizational structure as a moderator. Business Process Management Journal, 28(5/6), 1343-1363.

Ur Rehman, Z., Shafique, I., Khawaja, K. F., Saeed, M., & Kalyar, M. N. (2023). Linking responsible leadership with financial and environmental performance: determining mediation and moderation. International Journal of Productivity and Performance Management, 72(1), 24-46.

Comment: Secondly please rectify typo errors in e.g., high Cronbach's alpha scores, as presented in Table 2. But it is table 1 please amend in text.

Response: Thank you for your comment and highlighting the important point. We have rectified it and revised in manuscript.

Comment: Discussion and findings

Response: Thank you for your comment and your suggestions and recommendations, we have completely revised the discussion section and incorporated your recommendations and suggestions.

The present study investigates the impact of TL on promoting EIWB through EMV enhancement of EMV and of their intellectual agility. Across both direct and indirect effects, all the hypothesized relationships align with the descriptions found in existing literature. In addition to the establishment of INNC relationship which played a moderating role in the mediated relationship between TL and EIWB through the pathways of EIAG and EMV. Furthermore, the data unveiled substantial coefficients of determination, underscoring the robustness of the model in explicating EIWB within the context of TL. Further, the results indicated that TL possessed the ability to directly amplify the EIWB of SMEs employees (H1), and indirectly encouraged it through the mediation of EIAG and EMV (H2 and H3) as compared to the studies by Aryee et al., (2012); Zhang et al., (2021); Hoang et al., (2022); Kaya and Karatepe, (2020), they investigated different leadership styles with innovation and lacking the mediating mechanisms. Moreover, the indirect link between TL and EIWB, is in line with previous study findings of Amankwaa et al. (2019). Their research similarly suggested that TL can influence EIWB by engaging various mediating mechanisms. Similarly, Dabic et al., 2021 conducted study on the Intellectual agility and innovation in micro and small businesses and investigated the entrepreneurial leadership, their findings are limited to small businesses only as compared to this study the findings presented the empirical evidences from Small and medium enterprises particularly through TL which is lacking in the literature. Furthermore, the results indicated that the INNC found to be a substantial moderating influence, impacting the link between EIAG and EMV/EIWB. Moreover, it strengthened the mediating impact of EMV/EIWB in the relationship TL and EIWB. The above-mentioned relationships exhibited greater strength in instances where the innovation climate was more pronounced, as opposed to situations with a less pronounced innovation climate. This study considered the moderating role of INNC as compared to the study conducted by Svendsen and Joensson., (2016), their study advocated that when the organizational innovation climate is strong, employees are more likely to enhance the existing work environment through innovative practices but their study lacks the investigation of moderating role of INNC between the TL and EIWB. While, our findings presented the empirical evidences which were lacking in the previous studies Moreover, the outcomes concerning the moderating role of the INNC between EIAG and EIWB were like Yu et al., (2018). Similarly, H5 findings are in line with study findings of Afsar and Umrani, (2020), and found the moderating role of INNC between TL and EIWB. Finally, this study further revealed the moderating function of the INNC in the relationship between EMV and EIWB. This finding aligns with the findings of Chen and Hou (2016), who concluded that the INNC acts as a moderator in the mediated link between ethical leadership and creativity through the EMV (H6). It can be suggested that employees are more likely to involve in creative work that extend beyond their job roles when they perceive their leaders as creative conscious and supportive. This support includes being open to discussions about objectives, exploring innovative approaches, providing guidance on creative work concerns, and being receptive to suggestions regarding innovative work. These findings emphasizes the opportunity for organizations to use TL as a driving force to enhance their EIWB.

Comment: There is no conclusion section. After all you must conclude your work. Please add on details and comprehensive conclusion.

Response: Thank you’re the comment. We have added the “conclusion” section in the paper. Thank you for highlighting this important issue and improving our paper quality.

Conclusion

This study thoroughly examined the influence of TL on enhancing EIWB, focusing on the amplification of EMV and EIAG. The research confirmed both direct and indirect effects, aligning with existing literature in the field. Further, this study established the pivotal role of INNC as a moderator, significantly impacting the relationship between TL and EIWB. The findings provided the empirical evidences that TL not only directly stimulated innovation among SME employees but also indirectly encouraged it through the mediation of EIAG and EMV. Unlike previous studies that explored diverse leadership styles in innovation without considering these specific mediating mechanisms, this research provided empirical evidence from SMEs which were previously ignored, this study addresses a significant gap in the existing literature. Additionally, this study results indicated that the strength of these relationships was particularly distinct in contexts with a more substantial INNC role as a moderator. This research contributes valuable insights, shedding light on the complex interplay between TL, INNC, and EIWB, thus enriching our understanding of organizational dynamics in fostering innovation within SMEs.

Comment: Please add studies relevant Pakistani context. Secondly follow numbered style. Please read sustainability journal format guidelines.

Response: Thank you for your comment. We have added multiple studies relevant to the Pakistani context. Some of the studies are given below for your quick review. Thank you.

References

Rashid, M. A., Kalyar, M. N., & Shafique, I. (2020). Market orientation and women-owned SMEs performance: The contingent role of entrepreneurial orientation and strategic decision responsiveness. South Asian Journal of Business Studies, 9(2), 215-234.

Rasheed, M. A., Shahzad, K., Conroy, C., Nadeem, S., & Siddique, M. U. (2017). Exploring the role of employee voice between high-performance work system and organizational innovation in small and medium enterprises. Journal of Small Business and Enterprise Development, 24(4), 670-688.

Shafique, I., Kalyar, M. N., Shafique, M., Kianto, A., & Beh, L. S. (2022). Demystifying the link between knowledge management capability and innovation ambidexterity: organizational structure as a moderator. Business Process Management Journal, 28(5/6), 1343-1363.

Ur Rehman, Z., Shafique, I., Khawaja, K. F., Saeed, M., & Kalyar, M. N. (2023). Linking responsible leadership with financial and environmental performance: determining mediation and moderation. International Journal of Productivity and Performance Management, 72(1), 24-46.

Note: We would like to thank the reviewer for his/her wonderful comments and suggestions, because of those our paper has been improved a lot. Thank you once again.

Author Response File: Author Response.pdf

Reviewer 4 Report

Comments and Suggestions for Authors

The research explores the interrelationship between transformational leadership and employees' innovative behavior, considering the mediating effects of employees' intellectual agility and employees' voice. This novel approach introduces fresh insights into the field of leadership and sustainability in organizations, addressing a knowledge gap related to the impact of employees' intellectual agility (individual level) on organizational innovative performance (organizational level). This topic is original and highly relevant to the field of Sustainability in Organizational Change and Leadership Development.

The research employs an appropriate methodology, utilizing well-established validated questionnaires for data collection. The sample size is suitable for drawing valid conclusions. The research findings align with the presented evidence and arguments, effectively addressing the primary research question and hypotheses. The reference list comprises 95 relevant sources, demonstrating a comprehensive coverage of the topic.

Congratulations to the authors for their thorough research and for writing a comprehensive article. A few comments on how the paper could be improved and made clearer:

Firstly, the authors should define in the text what Innovative Work Behaviour is, as there is currently no definition, although it is one of the important variables in the study.

Secondly, the abbreviations used in the text, such as INNC , TL , EIWB and others, are not typical and well established in the literature. Therefore, I would strongly suggest that the full names of the variables be used throughout the text rather than abbreviations. This is particularly true in the discussion section.

Thirdly, there are some technical errors in the text, e.g. in line 375 the second word is capitalised, in line 561 the first word starts with a lower case.

Author Response

Reviewer 4

Paper title: Marketing From Leadership to Innovation: A Mediated Moderation Model Investigating How Transformational Leadership Impacts Employees' Innovative Behavior

Comment: The research explores the interrelationship between transformational leadership and employees' innovative behavior, considering the mediating effects of employees' intellectual agility and employees' voice. This novel approach introduces fresh insights into the field of leadership and sustainability inorganizations, addressing a knowledge gap related to the impact of employees' intellectual agility (individual level) on organizational innovative performance (organizational level). This topic is original and highly relevant to the field of Sustainability in Organizational Change and Leadership Development.

Response: Thank you for your appreciation, we are highly thankful to you.

Comments: Congratulations to the authors for their thorough research and for writing a comprehensive article. A few comments on how the paper could be improved and made clearer:

Firstly, the authors should define in the text what Innovative Work Behaviour is, as there is currently no definition, although it is one of the important variables in the study.

Response: Thank you for your appreciation, we are really grateful to you. We have included the definitions of all variables along with new references in the start of the literature review (2.1 section). For your quick review we have given the definition here as well.

Passage:

Reference

Rafferty, A. E., & Griffin, M. A. (2004). Dimensions of transformational leadership: Conceptual and empirical extensions. The Leadership Quarterly, 15(3), 329–354. https://doi.org/10.1016/j.leaqua.2004.02.009

EIWB

References

Farmer, S. M., & Tierney, P. (2017). Considering creative self-efficacy: Its current state and ideas for future inquiry. In The creative self(pp. 23-47). Academic Press.

Cegarra-Navarro, J. G., & Martelo-Landroguez, S.(2020). “The effect of organizational memory on organizational agility: Testing the role of counter-knowledge and knowledge application”. Journal of Intellectual Capital. https://doi.org/10.1108/JIC03-2019-0048.

Grass, A., Backmann, J., & Hoegl, M. (2020). From Empowerment Dynamics to Team Adaptability—Exploring and Conceptualizing the Continuous Agile Team Innovation Process. Journal of Product Innovation Management. 37(4):324–351.

Reference

King, E.B., De Chermont, K., West, M., Dawson, J.F., Hebl, M.R., 2007. How innovation can alleviate negative consequences of demanding work contexts: The influence of climate for innovation on organizational outcomes. Journal of occupational and Organizational Psychology 80 (4), 631–645.

der Vegt, G.S., Van de Vliert, E., Xu, H., 2005. Location-level links between diversity and innovative climate depend on national power distance. Acad. Manag. J. 48 (6), 1171–1182.

Comment: Secondly, the abbreviations used in the text, such as INNC, TL, EIWB and others, are not typical and well established in the literature. Therefore, I would strongly suggest that the full names of the variables be used throughout the text rather than abbreviations. This is particularly true in the discussion section.

Response: Thank you for your comment. The reason behind taking the new abbreviation is because to avoid the plagiarism as many studies in different literature mentioned it in same way and we try to differentiate from those studies a bit. Thank you for your suggestion.

Comment: Thirdly, there are some technical errors in the text, e.g. in line375 the second word is capitalised, in line 561 the first word starts with a lower case.

Response: Thank you for your comment. We have rectified the highlighted points and we made sure to address this everywhere in the whole manuscript. Thank you for improving our work.

Note: We would like to thank the reviewer for his/her wonderful comments and suggestions, because of those our paper has been improved a lot. Thank you once again.

Author Response File: Author Response.pdf

Round 2

Reviewer 3 Report

Comments and Suggestions for Authors

Please include measurement and structural model figures in the analysis of smart pls output.

Comments on the Quality of English Language

Please Proofread your manuscript.

Author Response

Reviewer

Comment: Please include measurement model and structural model figures in the analysis of the smart pls output.

Response: Thank you for your comment because of your comments our paper improved a lot, all of the authors are really grateful for your positive feedback and comments.

We have included the measurement model and structural model in the paper, figure 2 represents the measurement model and figure 3 represents the structural model. Moreover, we have mentioned in the text as well.

Thank you once again for your contribution.