Effects of organizational innovative climate within organizations: The roles of Managers' proactive goal regulation and external environments

Our understanding of how and under what conditions organizational innovative climate unfolds its impact on employees' innovative behaviors remains at a nascent stage. To address these questions, this study developed a moderated mediation model of organizational innovative climate and tested it using a three-level, time-lagged design with a sample of 93 organizations, 269 working groups, and 1146 employees. The results show that organizational innovative climate is positively and indirectly related to employees' innovative behaviors through managers' proactive goal regulation. We also find that the indirect linkage between organizational innovative climate and employees' innovative behaviors via managers' proactive goal regulation only emerge in the organizations that faced highly competitive intensity, but not in those with low competitive intensity. These findings provide important insights into how organizational innovative climate diffuses within organizations and which factors may enhance or limit its impact on employees' actions.