LOCAL VENTURES’ SHARED LEADERSHIP PERSUASION: HOW KNOWLEDGE SHARING AND INTERACTIVE WORK CULTURE INFLUENCE EMPLOYEES’ INNOVATION

Abstract

This research investigates the effect of shared leadership on employee innovation and the mediating and moderating roles of knowledge-sharing and interactive work culture in the relationship between shared leadership and employee innovation. A total of 840 respondents from 120 local beverage companies in three provinces in Indonesia were selected using purposive sampling. The survey instruments were initially tested for validity and reliability as a preliminary analysis. Data obtained during the survey were then analyzed using the hierarchical regression method with Statistical Package for the Social Science (SPSS). This research reveals that shared leadership positively affects knowledge sharing and employee innovation. In addition, knowledge sharing partially mediates the relationship, while interactive work culture moderates the relationship between shared leadership and employee innovation behavior. This study is among the first to discuss the relationship between shared leadership and employees’ innovative behavior using knowledge sharing as a mediator and interactive work culture as a moderator in the context of local beverage companies in Indonesia.