How and When Paradoxical Leadership Nurture Innovation: The Role of Self-Leadership and Leader-Member Exchange

This study examines the effects of paradoxical leadership on innovative work behaviours, with a focus on the mediating roles of self-leadership and work engagement and the moderating role of leader-member exchange (LMX). Utilizing a 2 × 2 between-groups quasi-experimental design, the research involved manipulating participants’ perceptions through scenario experiments related to paradoxical leadership and LMX. A sample of 288 service sector employees was randomly distributed across 4 different scenarios, with subsequent survey completion post-scenario exposure. Our findings reveal that paradoxical leadership indirectly influences innovative behaviours through enhancing followers’ self-leadership and engagement. Significantly, the impact varies with the quality of LMX: in paradoxical scenarios, higher LMX levels notably increase self-leadership and engagement, an effect absents in non-paradoxical contexts. However, LMX does not directly moderate the relationship between paradoxical leadership and innovative work behaviours. This research underscores the complex interplay between leadership styles and interpersonal dynamics, emphasizing the essential role of cultivating followers’ self-leadership and robust leader-member exchanges to enhance organisational innovation.