Abstract
Sustainable innovation is the origin of business development. Sustainable change and innovation are exceptionally fundamental for organizations to survive. To keep up the change mantra, undertakings must enhance their procedure and items, build up their innovation capacity, and progressively bolster their business. However, creating conditions for sustainable innovation requires effective leadership skills.
Thus, it is recognized that sustainable innovation is a necessity for business ventures. Sustainable innovation is essential, however, there is no accord on the determinants of sustainable innovation, which brings inconvenience for further reviews. Thus, we seek to review the leadership imperative as a factor that creates conditions for sustainable innovation in an organization. The paper evaluated the responses of DP World, a leading marketing company in marine services, products, and logistics. The results reveal that leadership behaviors facilitate the conditions for sustainable innovation in an organization.
Methods of Creating the Conditions for Sustainable Innovation with regard to the Leadership Imperative
Sustainable innovation is the origin of business development. In the market rivalry, relying on consistent innovation can grow and sustain a business enterprise. Innovation is the heart of financial development, and this acknowledgment has spurred inquire about the determinants of innovation in recent decades (Boons & LĂĽdeke-Freund 2013, p. 13). Financial stuns, leadership imperative, innovation changes, rivalry, social patterns, governmental issues, and the consistent evolving workforce have affected all organizations, including the Dubai Port World.
The principal reason for the organization is to serve the general population by giving access logistics, port terminal, and marine services. Today, rivalry from other investors has spurred the need for sustainable innovation. Confronting, the risk of noticeably excess turned out to be both inescapable and vital. Boons & LĂĽdeke-Freund (2013, p. 13) have said that for an organization to stay afloat, they need to either adjust or acknowledge change by making an organizational atmosphere that will grasp innovation. One is the approach of changing the organization towards a learning situation.
The other is the approach of changing the organization into one with an atmosphere for innovation. Boons & LĂĽdeke-Freund (2013, p. 15) have considered both methodologies as proactive strategies for adapting to change in organizations. In today’s society, sustainable innovation has been the essential objective of business organizations. Generally, researchers concur that investors can constantly actualize innovation, and they trust that any organization can effectively do it. Nevertheless, because innovation has great dangers and requirements, few firms are unwilling to attempt innovation inspired by a paranoid fear of dangers. Li (2014, p. 455) expounded the view that if organizations can enhance their adjustment to the outside condition and fortify their intensity, they can exist and grow in the furious rivalry.
Li (2014, p. 455) proposed a venture life cycle hypothesis. He clarified that, like other natural animals, organizations have an existence cycle. As a result, organizations can keep sustainable advancement and expand their reality in the market.
Since the proposition of innovation hypothesis by steady reviews and various rehearses, researchers and experts concur that the main tip for businesses to make persistent benefits is innovation. Constant innovation exercises add to advancing the increment of big business monetary advantages and development. The essential thought process and a single way for ventures to accomplish sustainable advancement is sustained innovation. Porter noticed that the business condition of organizations was variable and difficult to control. As it were, contingent on conventional exercises, for example, streamlining the organization, lessening cost, or rebuilding process would ensure the long haul presence of endeavors. By persistently executing innovation, can endeavors construct their upper hands over the long haul and be versatile to changing market conditions.
Along these lines, sustainable innovation is the main way for ventures to develop and grow. The significance of sustainable innovation is more obvious, especially for undertakings, sustainable presence, client fulfillment, and innovation change. Sustainable innovation is a brilliant control for organizations to survive in aggressive conditions (Hargreaves & Fink 2012). Sustainable change and innovation are exceptionally fundamental for organizations to survive.
To keep up the change mantra, undertakings ought to constantly enhance their procedure and items, build up their innovation capacity, and progressively bolster their key business. However, creating conditions for sustainable innovation requires effective leadership skills. Thus, it is recognized that sustainable innovation is a necessity of ventures. Sustainable innovation is essential, however, there is no accord on the determinants of sustainable innovation, which brings inconvenience for further reviews. Thus, we seek to review the leadership imperative as a factor that creates conditions for sustainable innovation in an organization.
The advantage of sustainable leadership is that it does not rely on previous models. Instead, sustainable leadership focuses on the behaviors and initiatives that can be developed to influence the sustainability of a particular business. Sustainable leadership implies that the responsibility is shared, human and financial resources should not be depleted, and continuous improvement is necessary (Hargreaves & Fink 2012).
Communication, creativity, teamwork, learning, and adaptation to change are factors that leaders take into account. Previously, leadership implied obedience, and punctuality. Today, leadership is about learning and human communication (Hargreaves & Fink 2012). With this approach, it is possible to ensure new creative innovations. Without it, human and financial resources will not be able to provide the needed results.
Since markets are influenced by human behavior, they cannot remain the same. Sustainable leadership has become a widespread and discussed imperative; the best companies in the world engage this approach in transforming the existing business models. DP World (Dubai Port World), a major company in maritime, engages different techniques and conditions that positively influence innovation. The aim of the paper is to explore these creative conditions provided by leaders of the company that nurture innovation among employees.
Theory and Hypotheses
In theory, if leadership, innovation behaviors, and techniques are applied more often, it should also result in their distribution. Thus, the hypothesis will be applying innovation, leadership behaviors, and techniques to create conditions that foster and ensure repeatable and sustainable innovation.
Research Question
It is essential to understand whether leadership behaviors and techniques can sustain innovation. Therefore, the research question is how well leaders perform in the “key innovation behaviors” to sustain creative innovation and drive employee innovation?
Research Location
DP World is a main empowering influence of worldwide exchange and an essential piece of the production network. The organization provides services from marine and inland terminals, sea administrations, and auxiliary administrations to innovation driven trade arrangements. The organizations have an arrangement of 78 working marine and inland terminals bolstered by more than 50 related organizations in 40 nations with over six main lands with a huge nearness in both high-development and develop markets. DP World has more than 36,500 workers from 103 nations and long-standing associations with governments, shipping lines, merchants, exporters, groups, and numerous other essential constituents of the worldwide production network, to include esteem and give quality administrations.
In 2016, DP World dealt with 64 million TEU (twenty-foot proportionate units) over our portfolio. With its submitted pipeline of advancements and extensions, the present gross limit of 84.6 million. By anticipating change, the firm plans to make the most beneficial, proficient, and safe trade arrangements. The methodology of the company amplifies shareholder esteem through excellent foundation resources to reinforce the supply and create feasible financial development.
Literature Review
Leadership is an idea that has a wide range of implications, and there is not a solitary, mutually utilized definition as indicated by Yukl (2002). If we investigate different definitions about leadership, there is a consistency around a couple of components which leadership at any rate is about, in particular ‘impact’, “gathering” and “objective”
Leadership is the way toward affecting others to guide, structure, encourage exercise, and connections in a gathering or association towards some sort of fancied result. There are ways to deal with leadership and a wide range of leadership styles are distinguished in previous literatures. Scholars concentrated on the qualities and behaviors of leaders, however, the focus has shifted to employees and the way of leadership (Lindgren & Abdullah 2013, p. 125).
Many researchers concentrated on various sorts of leadership styles, for example, employee leadership, compelling leadership, value-based leadership, and transformational leadership. These sorts of leaders have a hands-off mindset and include people to settle on an official choice. The disadvantage of this hypothesis is the way it creates the minimal efficiency among employees.
The style approach (behaviorist hypothesis), situational, transformational and value-based hypothesis are considered to best clarify the level of leadership viability (Lindgren & Abdullah 2013, p. 125). After the ’80s, there was an enthusiasm for another sort of leadership; the new leadership approach, under which we can put the transformational and value-based hypothesis of leadership. Plainly, the association amongst the leadership and the innovativeness’ of workers can be classified by utilizing four leadership hypotheses, which include the transformational, value-based, participative, and the exchange hypothesis. Hence, it is valuable and vital that we illustrate every leadership style independently and distinguish which sort of behaviors of scientific classification matches with what sort of leadership style.
Transformational Leadership
Innovators embracing a transformational leadership style bring more proactive issues to light, to accomplish uncommon objectives (Mittal 2015, p. 30). Transformational leadership is a relationship of shared incitement and height that proselytes devotees into leaders and may change them into good operators. Transformational leadership is just an alternative when there is cooperation between individuals, which will bring about an expansion in the level of inspiration of a person. This style is observed as an intensification of the value-based leadership hypothesis (transactional leadership).
The transformational leadership hypothesis comprises four fundamental components, otherwise called the 4I’s: admired impact, persuasive inspiration, individualized thought, and scholarly stimulation (Mittal 2015, p. 30). The main component, admired impact (allure) has an inseparable tie to the path in which a leader connects the workers in the association. The appeal of the leader, his certainty, and energy to impact the representatives such that they can recognize themselves with the fundamental objectives, qualities and vision of the organization. Instability exists regardless of whether transformational leadership and charming leadership can be classified as one and a similar leadership style.
The second part of transformational leadership, which is persuasive inspiration, describes how to motivate the employees and different adherents and how to create and enhance the awareness of complementary objectives (Mittal 2015, p. 30). Individualized thought is the third segment of this leadership style and concerns tutoring and instructing workers. To stimulate the advancement of employees, it is suggested that the accentuation focus on individual contrasts and needs (Lindgren & Abdullah 2013, p. 125).
The last segment of this hypothesis, scholarly motivation is thought to be the most viable in the event that you need to simulate and affect the creative behavior of workers due to the reality that intellectual incitement supports an expanded characteristic inspiration. The adjustment of this leadership style exceptionally relies on the vision of the association and the powers and amendments that happen in the outer environment (Christensen 2013).
Transactional Leadership
The value-based hypothesis describes the exchange or value-based connection between the employee and the executive (Christensen 2013). By implication, the value-based leadership style is a solution for average quality, if the executive depends on the uninvolved administration by exemption, interceding with his or her employees when strategies and guidelines for fulfilling undertakings are not achieved (Calik & Bardudeen 2016, p. 452). This leadership style can be described by desires, objectives, contracts, and work performance dictated by the manager in return for prizes for the employees in the event that they satisfy the prerequisites (Calik & Bardudeen 2016, p. 452). An effective leader can either remunerate the employee or punish them using the negative administration by-exception.
This leadership style gets the most scrutinize concerning creative work behavior of workers, since this style does foster employee imagination and productivity. In any case, the mix of transformational and value-based leadership can influence employee’s performance because the mix of these two concentrates on the operations and connection of the leader and employees Thus, transformational leadership brings the best impact, however, a combination of two leadership styles improves employee performance, productivity, and creativity.
Participative Leadership
The participative leadership hypothesis is utilized to explore the association between leadership traits and employee’s inventive behavior and includes the utilization of different basic leadership strategies (Yukl 2002). This methodology evaluates the degree a representative can influence the choices being made by the manager and are self-sufficient in task performance. Calik and Bardudeen (2016, p. 452), discovered observational support for the outcome of this leadership style on innovation. The researchers conducted a study on the behavior of chiefs in the consultancy-area and inferred that designation of duties and staff reward created the conditions for innovation.
LMX Hypothesis
This sort of leadership hypothesis, especially concentrate on the sort of connection between the leader and the representative. As presumably appears to be consistent, the sort of connection between a manager and a worker decides the level of fulfillment, the general execution, employee productivity, performance, and commitment.
Innovation
To comprehend what the inventive behavior of a worker really implies, it is vital to characterize innovation. Innovation is the formation and execution of new mixes, identified with new items, administrations, work procedures, or markets.
Employee Innovativeness
Clearly, innovation and staff innovativeness have something in like manner. The inventive behavior of workers can be described as an adaptation paradigm, since it covers a wide range of behaviors. Notwithstanding this meaning of inventiveness and innovation, the accentuation is on an entire procedure or action whose point is to create, convey, respond, and change thoughts.
Phases of Creative Behavior of Workers
The hypothesis accessible to innovation states that the activity-stage model portrays the procedure of innovation. This model considers two periods of the innovation procedure, which include start and usage, because these stages are the most critical when you associate it with leadership behaviors (Padgett & Moura-Leite 2012, p. 65). The starting stage provides recommendations for diverse sort of innovation and the implementation stage concentrates on the improvement and induction of the innovation.
Nevertheless, the starting stage is utilized as a critical phase in innovation cycle. Hence, this review portrays stages of the innovation procedure. The starting point is the recognizable proof of issues, which is the stage for the era for new ideas. The cycle of thought era works best when an employee takes part in behaviors to investigate conceivable opportunities for the organization. Consequently, the employee distinguishes holes and tries to concoct conceivable answers for the current issues. It is of high significance to choose if the new idea will achieve its maximum capacity within the organization.
The contribution of a new idea prompts the advancement of operations and services. The assessment of an innovation enables the organization to comprehend the reasonableness and effectiveness of the innovation, the degree of and routes in which the innovation can be executed, and the prerequisites for positive performance including assets, individual power, and changes in organizational procedures (Klewitz & Hansen 2014, p. 70).
Innovative Comparison
Leaders at the highest point of the most creative organization list carry on imaginatively. Nevertheless, putting trailblazers at abnormal states is insufficient to make and maintain an innovation premium. It is vital, however, not adequate for organizational achievement. The paper found that effective leaders transform the organization and see how innovation occurs and they attempt to engrave their behaviors as procedures and theories in their organization. For example, Marc Benioff, CEO of Salesforce.com proffers new ideas for systems administration with youthful business visionaries, similar to Drew Houston, organizer of Dropbox, and Max Levchin, originator of Slide. Salesforce.com is a leading organization in sustainable innovation. Benioff’s ability as a trailblazer has helped Salesforce produce a high innovation premium.
Additionally, Jeff Bezos encircles himself with individuals at Amazon who are imaginative. When the CEO asks all employment competitors whether they have never designed new products, it sends capable flag that creation is normal and esteemed. It is an underestimated component of Amazon’s corporate culture. Bezos is likewise an incredible experimenter with leadership skill that creates conditions for sustainable innovation.
Please note that Benioff and Bezos do not simply create innovation themselves, they deliberately duplicate their innovative abilities through their organizations. Most importantly, leaders of creative organizations intentionally set the case by displaying innovative behaviors and engraving them as procedures in their organizations. A CEO’s behavior sends a genuine signal that innovation must matter to others. Mac’s execution under Steve Jobs, versus different leaders, outlines the significance of creative leadership. Amid Job’s underlying residency at Apple, the organization’s innovation premium rose to 37 percent. Without Jobs, Apple’s premium dropped far beneath zero. In any case, with Job’s resurgence raised Apple innovation premium to 50 percent. The example reveals the leadership traits of the world’s leading companies in sustainable innovation.
Materials and Method
The research methodology will include qualitative research of the leadership behaviors and techniques at the chosen company (DP World). To evaluate them, questionnaires with be distributed to leaders and employees of the company to understand the leadership and behavior pattern. By implication, the study will evaluate staff behavior patterns based on the contribution to job performance and creativity. This will be the primary data for the research. Consequently, the opinions of the leaders and employees will be compared. In accordance with research validity, face-face interview will be conducted on four leaders and three employees of the organization.
Data Collection
The interviews will be via phone or face-to-face interviews that allow gathering accurate data. The survey will include 38 leadership categories, 46 employees, three leaders in the organization and interviews with two employees. The responses will be sampled and evaluated based on leadership styles. The advantages of face-to-face interviews include gathering comprehensive responses and the ability to help the interviewee to understand the question.
Respondents
To evaluate which initiative style and practice is by all accounts most fitting to fortify the imaginative conduct of employees, the interview will include the CEO of the association. The members will be picked based on the researcher’s digression. As a result, the sample will be homogenous and additionally have similitudes identified with the motivation behind this study. In light of privately concurrences from members and the threat of one-sided responses, participant confidentiality is enforced in accordance with research ethics. The secondary data will include articles on innovation, leadership behaviors, sustainable innovation, employee inclusion in change leadership, and other similar topics. The sources for the articles must be credible to avoid biased analysis.
Data Analysis
In the wake of completing the meetings, the interview interpretations will be evaluated and respondents will be reached to confirm their position regardless of whether they had any remarks or changes in their expressions. Consequently, the results with be transcribed and coded using standard coding techniques. The inclusion criteria for the research will cover various areas of leadership style, employee perceptions, attitudes, and creative capabilities. Along these, responses will be classified in accordance with scientific categorization of administrative practices.
Company Profile of the Study Location: DP World
DP World is a main empowering influence of worldwide exchange and an essential piece of the production network. The organization provides services from marine and inland terminals, sea administrations, and auxiliary administrations to innovation driven trade arrangements. The organizations have an arrangement of 78 working marine and inland terminals bolstered by more than 50 related organizations in 40 nations with over six mainlands with a huge nearness in both high-development and develop markets.
DP World has more than 36,500 workers from 103 nations and long-standing associations with governments, shipping lines, merchants, exporters, groups, and numerous other essential constituents of the worldwide production network, to include esteem and give quality administrations.
In 2016, DP World dealt with 64 million TEU (twenty-foot proportionate units) over our portfolio. With its submitted pipeline of advancements and extensions, the present gross limit of 84.6 million. By anticipating change, the firm plans to make the most beneficial, proficient, and safe trade arrangements. The methodology of the company amplifies shareholder esteem through excellent foundation resources to reinforce the supply and create feasible financial development.
Results and Analysis
This segment condenses the key discoveries of the interview to evaluate the linkage with the current position on leadership and employee innovativeness. The exclusion criteria were used to align the responses with the research objectives. Responses that created hate among employees and their leaders were removes for the result. Thus, changes were made using scientific categorization by Yukl (2002). The table gives an impression on the leadership behaviors that are associated with imaginative work behavior of employees. The progressive scientific classification of leadership behaviors demonstrated a three-factorial structure of an integrative model of leadership, in particular behaviors that are errand-situated, link-oriented and change-oriented.
Table 1, Scientific classification of leadership behaviors
Table 1 displayed the scientific classification proposed by Yukl (2002) and the three-factorial structure which considers the leadership behaviors that are material in this review. The leadership categories include task-oriented, link-oriented, and change mandate. The components of leadership categories include consult, identification, development, task assessment, innovation model, employee support, and visionary change. The responses were assigned to various categories based on the clarification characteristics.
As for behaviors studied, there are three primary aims such as assigning work tasks, establishing and maintaining effective relationships, and defining necessary changes. The responses of the participants were analyzed and it was possible to notice prevalence of certain behaviors in respondents (primarily related to the second group).
The result revealed that leadership traits affect business innovations. By implication, an effective leader can create conditions for sustainable innovation. The conditions include employee reward for productivity, disciplinary action for inefficiency, and employee inclusion in the decision-making process to mention a few.
The clarification in Fig. 1 identifies two most vital phases of the innovation procedure, which include the start, and usage stages. Behavior 1 (clearing up parts/errand task), 5 (advancement) and 6 (giving of vision) allude to the starting phases in the innovative procedure of employees.
Counseling is about acting chivalrous and demonstrating sympathy towards workers and support when somebody is befuddled or vexed about something. Likewise, in an upsetting circumstance, or when somebody needs to satisfy a troublesome undertaking, the leader must give the worker bolster and should attempt to empower him or her however much as could be expected. It was very striking that a large portion of the respondents expressed similar views where asked about their leadership skill. Most employees saw themselves as servants not worthy of leadership roles. It was very striking that the vast majority of respondents believed that a decent concordance amongst them and the representatives was the most vital link.
One respondent illustrated the significance of a decent connection between the leader and a worker. Another response of a respondent demonstrates that a leader gets some information about their suppositions, which are brought up in the weekly and monthly meetings with the board. A leader utilizes the contribution of workers to make adjustments and innovative decisions. Thus, employee inclusion in the decision-making process creates conditions for sustainable innovation.
Delegating and Empowerment
Based on the review of literature, there is a connection between the two phases of the innovation procedure (initiation and implantation phase). Additionally, the respondents revealed that they were allowed to decide autonomously how to carry out their job descriptions. Thus, one attribute of sustainable innovation is freedom to perform assigned duties. When the questioner asked the respondent (Why did you demonstrate this behavior?), the respondent believed it was intriguing to perceive how the worker would deal with the circumstance.
Based on the outcome of the interview, we can summarize that the organization has a high rating in sustainable innovation with leadership skills. By implication, the organization scored 73% for its innovative capabilities. However, some respondents believe that the organization leadership was abnormal and require change. Twenty seven percent of the respondents did not agree with the decision of the management based on individual perception and attitude.
Fig. 2 shows the percentage of participants with leadership traits as categorized in the study. The leadership behaviors include consulting, delegating, recognizing, development, task assignment, role model, and innovative thinking. The results showed that 75% of respondents have the ‘development’ leadership behavior. However, the highest rating was the ‘delegating leadership behavior’. By implication, firm’s employees and leaders understood the importance of innovation and brand differentiation.
Discussion of Result
Innovation is unquestionably fundamental for the present condition in which associations are occupied operations. A route, in which these associations can be inventive, is to simulate the creative work conduct of its staff. The essential target of this review was to explore these creative conditions provided by leaders to the company that nurture innovation among employees. The research focused on the two critical phases of the individual development process; start and execution. Thus, leadership behaviors support practices that invigorate the inventive capabilities of employees in the organization.
According to it, delegating, consulting, clarifying roles, and development were among the most common behaviors demonstrated by the respondents. As for possible reasons of such prevalence, the given practices may be regarded as ones strengthening the links between the team members and, therefore, increasing work efficiency. The research recommends that leaders must apply this sort of conduct to crease an environment for sustainable innovation.
An open and positive environment between the leaders and staff appeared to be vital in the decision making process of the organization. This matches with the LMX hypothesis, which underscores the connection between the leaders and worker. Some of the sample interview questions that were used during the phase of data collection in order to identify leadership behaviors in respondents include:
- How frequently do you lead your workers in an entrepreneurial way (routinely or occasionally)? Would you be able to give an unpleasant rate?
- In which conditions do lead your representatives in an entrepreneurial way, when do you think it is generally valuable? What degree is such conduct valuable?
- In which conditions do you think it is not valuable
- How critical is social insight – sympathy, social mindfulness, and abilities – for driving representatives in an entrepreneurial way?
- How has your experience impacted you in driving your workers in an entrepreneurial way? Has your supposition changed after some time on this matter and if so why/when?
- Would you be able to give a current case of when you did not act in an entrepreneurial way towards your representatives and why?
- How might you portray your administration as a rule?
As it can be seen, the questions touch upon different aspects of work such as relationships with employees and representatives; each question is supposed to encourage the respondents to reflect upon practices that they use quite often.
Lessons Learned and Study Challenges
The report provided a platform for critical evaluation of leadership behaviors. The study revealed the importance of sustainable innovation in business performance. As a result, a leader can organize, manage, and provide a blueprint for organizations that require my consultation. The main challenge of the project is limited time in conducting the research. Data collection was a challenge during the research. Most of the participants were unwilling to release personal information about the organization.
The last challenge is the information accessibility. Most respondents did not have concrete information that required critical analysis. Another important lesson learnt refers to the assumptions expressed by interviewed employees – most of them supposed that were not worthy of leading others. If compared to leaders, employees demonstrated decreased assertiveness, and it can indicate a necessity for providing additional education to them.
Conclusion
Sustainable innovation is the origin of business development. Sustainable change and innovation are exceptionally fundamental for organizations to survive. To keep up the change mantra, undertakings ought to constantly enhance the procedure and items, build up their innovation capacity, and progressively bolster their key business. However, creating conditions for sustainable innovation require an effective leadership skill.
Sustainable innovation is essential; however, there is no accord on the determinants of sustainable innovation, which brings inconvenience for further reviews. In reference to recommendations that can be given, they include paying an increased attention to measures supporting sustainability and innovation within the context of relationships within the company and aligning leadership styles used with the vision of the company.
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