Relationship Between Leader-member Exchange and Organisational Innovation: Role of Intrinsic Work Motivation and Technological Turbulence

In the era of technology, along with friendly leader-member exchange (LMX), employees' intrinsic work motivation (IWM) and technological turbulence (TT) as external factors are also associated with organisational innovation (OI). This study looks at the mediation effect of IWM and the moderation impact of TT between LMX and OI. The hypotheses were tested with data (N = 217) collected from the employees of various service and manufacturing firms using convenient and snowball sampling approaches. The result shows that IWM has full mediation and TT has no moderation influence on the association between LMX and OI. However, TT has a significant negative, moderated influence on the relationship between IWM and OI. While, TT has a significant negative, moderated influence on the relationship between IWM and OI. This study builds on social exchange theory and the resource-based view (RBV), demonstrating how LMX, reciprocity, and trust motivate employees to participate in OI. In practice, managers should be aware of TT in the presence of relevant internal constructs that substantially affect OI. This study concludes by highlighting its key limitations and pinpointing directions for future research.