Unlocking Employees Creative Potential: The Role of Self-Efficacy and Innovation in Sustainability

The concept of employee creativity in organizations has become widespread. The creative abilities and performance outcomes of employees have been studied in previous literature. From the Pakistani perspective, the current study reveals the crucial role of employees in improving sustainability, mediated by self-efficacy and innovation. The study aimed to investigate the relationship between employees’ self-efficacy and the potential for sustainable development through innovation. Data was gathered using questionnaires from 200 individuals operating in Pakistan's high-tech manufacturing industry of Hayatabad industrial state, Peshawar. The national language of Urdu was used for the questionnaires, but respondents also had the option to choose English. The questionnaire replied to questions about employees’ creative potential in fostering sustainability, mediated through self-efficacy and innovation. SPSS data analysis software was utilized for statistical analysis when processing the data. Regression is employed to test hypotheses. Research shows that talented employees have essential skills in the workplace. The results also reveal that self-efficacy and innovation mediate the relationship between employee creative potential and sustainability, providing significant insights into organizational behavior and sustainability. This study not only expands our knowledge on the mediating role of self-efficacy and innovation but also highlights the crucial role of policymakers in enhancing employees' creativity and sustainability through personal effectiveness and innovation. It underscores the urgent need for supportive policies in this area, urging immediate action.