Unleashing Leaders' Innovative Work Behavior in Energy Company: The Role of Business Acumen and Innovative Self-Efficacy

Innovation is crucial for the sustainability of a company, hence innovative work behavior among its members, including leaders, is key. It is posited that an individual's comprehension of the various business dimensions of their job can lead them to exhibit innovative work behavior. Previous research indicates that innovative self-efficacy is a strong predictor of such behavior. This study aims to examine the role of innovative self-efficacy in mediating the effect of business acumen on innovative work behavior. Participants in this study were leaders at PT A, the company in the energy sector that is also tasked with overseeing the energy transition in Indonesia (n = 244). The result shows that innovative self-efficacy partially mediates the effect of business acumen on innovative work behavior. These findings can provide alternative directions for developing more precise innovation-oriented leadership preparation programs.