Enabling Innovative Governance: Ethical Leadership and Dynamic Capabilities in Government Digital Transformation

As governments face unprecedented technological disruption, understanding the enablers of administrative innovation becomes crucial. This study examines how ethical leadership fosters innovative behavior within government institutions across China’s western region, focusing on the interplay between...

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Main Authors: Xiangyu Bian, Bin Wang
Format: Article
Language:English
Published: Academic Research and Publishing UG (AR&P) 2024-10-01
Series:Business Ethics and Leadership
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Online Access:https://armgpublishing.com/wp-content/uploads/2025/01/BEL_4_2024_13.pdf
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author Xiangyu Bian
Bin Wang
author_facet Xiangyu Bian
Bin Wang
author_sort Xiangyu Bian
collection DOAJ
description As governments face unprecedented technological disruption, understanding the enablers of administrative innovation becomes crucial. This study examines how ethical leadership fosters innovative behavior within government institutions across China’s western region, focusing on the interplay between leadership styles and dynamic capabilities. Data were collected through a survey targeting government officials in this region, employing a convenience sampling method. Over two months, two rounds of data collection were conducted, yielding 430 valid responses. Structural equation modeling was employed to analyze the data and test the hypotheses. The analysis reveals that ethical leadership not only directly promotes innovative behavior but also indirectly stimulates innovation by enhancing public service motivation ‒ a psychological mechanism that channels civil servants' intrinsic drive toward creative problem-solving. Moreover, the study identifies knowledge management capability, a specific dynamic capability, as a critical moderating factor. Organizations with higher levels of knowledge management capability exhibit stronger positive effects of ethical leadership on innovation, suggesting that robust digital and intelligent infrastructures amplify the leadership’s impact. By exploring these complex dynamics, the findings provide actionable insights for advancing public sector innovation, emphasizing the importance of ethical leadership and organizational readiness in navigating digital transformation.
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spelling doaj-art-da59abbf8f40446f88e5cd07804368c02025-01-15T12:30:06ZengAcademic Research and Publishing UG (AR&P)Business Ethics and Leadership2520-67612520-63112024-10-018418620010.61093/bel.8(4).186-200.2024Enabling Innovative Governance: Ethical Leadership and Dynamic Capabilities in Government Digital TransformationXiangyu Bian0https://orcid.org/0009-0009-3630-3197Bin Wang1https://orcid.org/0009-0003-9465-4231Ph.D., College of State Governance, Southwest University, Chongqing, ChinaPh.D., Professor, College of State Governance, Southwest University, Chongqing, ChinaAs governments face unprecedented technological disruption, understanding the enablers of administrative innovation becomes crucial. This study examines how ethical leadership fosters innovative behavior within government institutions across China’s western region, focusing on the interplay between leadership styles and dynamic capabilities. Data were collected through a survey targeting government officials in this region, employing a convenience sampling method. Over two months, two rounds of data collection were conducted, yielding 430 valid responses. Structural equation modeling was employed to analyze the data and test the hypotheses. The analysis reveals that ethical leadership not only directly promotes innovative behavior but also indirectly stimulates innovation by enhancing public service motivation ‒ a psychological mechanism that channels civil servants' intrinsic drive toward creative problem-solving. Moreover, the study identifies knowledge management capability, a specific dynamic capability, as a critical moderating factor. Organizations with higher levels of knowledge management capability exhibit stronger positive effects of ethical leadership on innovation, suggesting that robust digital and intelligent infrastructures amplify the leadership’s impact. By exploring these complex dynamics, the findings provide actionable insights for advancing public sector innovation, emphasizing the importance of ethical leadership and organizational readiness in navigating digital transformation.https://armgpublishing.com/wp-content/uploads/2025/01/BEL_4_2024_13.pdfdigital transformationdynamic capabilitiesethical leadershipgovernment innovationknowledge management capability
spellingShingle Xiangyu Bian
Bin Wang
Enabling Innovative Governance: Ethical Leadership and Dynamic Capabilities in Government Digital Transformation
Business Ethics and Leadership
digital transformation
dynamic capabilities
ethical leadership
government innovation
knowledge management capability
title Enabling Innovative Governance: Ethical Leadership and Dynamic Capabilities in Government Digital Transformation
title_full Enabling Innovative Governance: Ethical Leadership and Dynamic Capabilities in Government Digital Transformation
title_fullStr Enabling Innovative Governance: Ethical Leadership and Dynamic Capabilities in Government Digital Transformation
title_full_unstemmed Enabling Innovative Governance: Ethical Leadership and Dynamic Capabilities in Government Digital Transformation
title_short Enabling Innovative Governance: Ethical Leadership and Dynamic Capabilities in Government Digital Transformation
title_sort enabling innovative governance ethical leadership and dynamic capabilities in government digital transformation
topic digital transformation
dynamic capabilities
ethical leadership
government innovation
knowledge management capability
url https://armgpublishing.com/wp-content/uploads/2025/01/BEL_4_2024_13.pdf
work_keys_str_mv AT xiangyubian enablinginnovativegovernanceethicalleadershipanddynamiccapabilitiesingovernmentdigitaltransformation
AT binwang enablinginnovativegovernanceethicalleadershipanddynamiccapabilitiesingovernmentdigitaltransformation