







































Business Management Research and Applications: A Cross Disciplinary Journal 

 

 

1  

 

Managerial Competencies and Innovative Work 

Behavior in SMEs 

Salwa Hassan Ali Abdelwahed | Columbia Southern University, Orange Beach, Alabama  

Robert Goldwasser | Columbia Southern University, Orange Beach, Alabama  

Contact:  salhas5648@gmail.com 

 

 

ABSTRACT 
 

This quantitative correlational study examined the relationship between leaders’ managerial 

competencies and innovative work behaviors (IWB) in small- and medium-sized enterprises 

(SMEs). The study's target population was human resources managers in SMEs operating in the 

United States and Singapore. The theoretical foundation for this study was rooted in the 

resource-based view (RBV) and the theory of competitive advantage. The researcher utilized a 

non-experimental correlational research design and a purposive sampling method to collect data. 

The researcher used the online survey platform Centiment to recruit participants for the study. 

Centiment collected data from 126 participants (63 in the United States and 63 in Singapore). 

The participants completed a 5-point Likert survey with 5 demographic questions, 17 questions 

from the Innovative Work Behavior instrument, and 60 questions from the Managerial Skills 

Assessment Instrument (MSAI). The researcher analyzed the collected data using R Commander 

software to determine the correlation between the leaders' managerial competencies (independent 

variable) and innovative work behavior (dependent variable). The results showed a statistically 

significant positive relationship between the leader's managerial competencies and innovative 

work behavior (IWB) in SMEs, with a stronger relationship in Singapore than in the United 

States. This study provided empirical evidence regarding the relationship between managerial 

competencies and IWB in SMEs. The study's findings indicated that leaders' managerial 

competencies trigger innovation in SMEs by influencing workplace innovative behavior, and that 

collective culture has a greater impact on the significance of this relationship than individual 

cultures. Owners/managers of SMEs and policymakers can benefit from this study's findings to 

better understand the relationship between managerial competencies and IWB in SMEs, and to 

build strategies and programs accordingly to enhance innovation and IWB in SMEs. Future 

researchers in business administration who are interested in investigating leadership and 

innovation in SMEs can build on the results of this study.    

 

Keywords: small and medium enterprises (SMEs), managerial competencies, managerial skills, 

innovation, innovative work behavior (IWB), resource-based view (RBV), and competitive 

advantage.   

 

 

 

mailto:salhas5648@gmail.com


November 2025 | Volume 4, Number 3 

2  

Introduction/Background 
 

This quantitative, correlational study addresses the problem of limited resources that 

hinder SMEs' ability to grow and thrive in today’s competitive, unpredictable market. SMEs play 

a vital role in driving economic growth and creating job opportunities, particularly in emerging 

markets and developing countries, making SME development a high priority for many 

governments and development institutions worldwide. SMEs represent about 90% of businesses 

and more than 50% of employment worldwide, making SME development a high priority for 

many governments worldwide (World Bank, 2024).  

Nowadays, market volatility, recurring financial crises, and disruptive technologies put 

greater pressure on companies to innovate and adapt quickly to meet rapidly changing customer 

needs and expectations, thereby maintaining their market share and staying competitive. 

Innovation has become a necessity for any company to remain competitive in the business world. 

Competition and globalization require business leaders to explore alternative approaches to 

doing business, developing unique products and services that can enhance market share, ensure 

sustainability, and create a competitive advantage (Alshebami, 2021). However, SMEs, 

especially in developing countries, face challenges in accessing financial and physical resources 

to compete effectively in today’s dynamic market. SMEs suffer from inadequate resources for 

innovation, as they face challenges in acquiring advanced technologies or expertise and are 

constrained by their size, which limits their ability to operate at an economic scale.  A lack of 

managerial competencies in SMEs, such as adaptability and innovation, negatively impacts the 

performance of SMEs, resulting in resource loss, an unproductive workforce, and ultimately, 

bankruptcy and business closure. So, there is a need to investigate the strategic resources that 

SMEs can identify and develop internally to build a competitive advantage around their core 

competencies. Human resources are naturally unique, and when developed, they can invent new 

methods of doing business and utilize the organization's resources efficiently and effectively to 

produce differentiated products and services. Managers/Owners are leaders in SMEs, and their 

managerial competencies have a broad impact on innovation processes and on SME 

competitiveness. Managers in SMEs, as leaders of innovative processes within the company, 

play a crucial role in stimulating innovative work behavior (IWB) among employees. The 

effectiveness of this leadership depends on the managerial skills and competencies of the leaders. 

Leaders' competencies can lead to organizational success, while their incompetence can lead to 

failure in a competitive business environment (Damianus et al., 2022). Many companies that 

cannot innovate and adapt to continuous business changes due to a lack of skilled leaders and 

innovative employees have closed or lagged, losing market share. 

 

Literature Review 
 

There is limited literature regarding the relationship between the leaders’ managerial 

competencies and innovative work behavior in SMEs. Most SMEs struggle to secure sufficient 

resources to mitigate the negative impacts of a global crisis on their operations, particularly 

compared with large firms (Zutshi et al., 2021). Today, SMEs must adopt survival strategies to 

address the various global challenges that impact their performance, including international 

market competition, global financial crises, the emergence of multinational and transnational 

corporations, and trade wars (Gamage et al., 2020). While globalization poses challenges, such 

as increased competition and exposure to external economic crises, it also presents new 



Business Management Research and Applications: A Cross Disciplinary Journal 

 

 

3  

expansion opportunities and enables SMEs to reach a broader customer base (Iqbal & Khan, 

2023). Unlike large multinational companies, SMEs offer more radical innovations due to their 

innate agility and flexibility in responding to rapid market changes.  Accordingly, SMEs can 

thrive when they can identify and develop their strategic resources and adopt an innovative 

culture to offer differentiated goods and services. Adla et al. (2020) argued that human resource 

management (HRM) in SMEs tends to be centered on leaders whose personal characteristics and 

attitudes toward risk and change influence HRM and innovation within the organization.  

To address the problem of limited resources in SMEs that impact their innovation and 

success in today’s competitive market, this study poses two guiding questions: 1) “Do 

management competencies (independent variables) have a statistically significant relationship 

with innovative work behavior (dependent variable) in SMEs?” and 2) “Does the relationship 

between managerial competencies (independent variable) and innovative work behavior 

(dependent variable) differ significantly between SMEs in the USA and SMEs in Singapore?”. 

To better understand the relationship between the study variables, the researcher examined 

scholarly research material from Columbia Southern University Online Library and Google 

Scholar using keywords such as small and medium enterprises (SMEs), managerial 

competencies, managerial skills, innovation, innovative work behavior (IWB), resource-based 

view (RBV), and competitive advantage to guide database searches. The following sections 

provide an overview of the theoretical framework and key concepts employed in this study. 

 

Resource-Based View (RBV) and the Theory of Competitive Advantage  

 

The researcher employed the resource-based view (RBV) and the theory of competitive 

advantage to frame the study. RBV has become dominant within the field of strategic 

management, and its strength lies in its ability to assist researchers by revealing how 

organizations can utilize productive resources to generate economic benefits and defining the 

attributes of resources that can help generate sustainable benefits (Davis & DeWitt, 2021). The 

RBV, as proposed by Barney (1991), asserts that a company's sustained competitive advantage is 

rooted in its valuable, rare, inimitable, and irreplaceable resources. RBV states that developing 

unique capabilities and resources enables businesses to deliver superior offerings and gain a 

competitive advantage (Mashavira & Chipunza, 2021).  

Competitive advantage theory, developed by Michael Porter in 1985, suggests that 

businesses can obtain a competitive advantage and determine their market position by either 

selling products at a lower price or through differentiation (Daniela, 2014). Recently, traditional 

competitive advantage strategies, such as cost leadership and market differentiation, have been 

replaced by strategies that emphasize capabilities and resources as key factors for sustainable 

competitive advantage (Heriyanto et al., 2021). Competitive advantage is created from resources 

and capabilities owned and controlled within a specific organization (Willis et al., 2022). 

Developing key managerial competencies — such as communication, leadership, and teamwork 

— ensures business continuity (Kabii & Kinyua, 2023), enabling SMEs to enhance performance, 

foster innovation, and successfully enter international markets. Many researchers (e.g., Heriyanto 

et al., 2021; Igwe et al., 2024) have emphasized the importance of generating and implementing 

new ideas to support innovation in unstable, digital markets; otherwise, organizations will be 

overtaken by competitors that can generate novel, superior ideas.  

The theoretical foundation based on the RBV and competitive advantage theory is 

relevant to many SMEs that possess unique human capital. Developing intangible resources, 



November 2025 | Volume 4, Number 3 

4  

such as human resources, which are valuable, inimitable, non-substitutable, and non-transferable, 

enables companies to achieve a sustainable competitive advantage (Barney, 1991; Mashavira & 

Chipunza, 2021). The study by Emmanuel et al. (2023) most recently validated the resource-

based view, demonstrating that developing and capitalizing on internal, inimitable resources and 

capabilities, such as human capital, creates wealth and value, providing the organization with a 

competitive advantage. Therefore, there is a need for leaders who can create competitive 

advantage through the organization's core competencies and adapt to a rapidly changing 

competitive market (Willis et al., 2022).  

In SMEs, managers are the leaders who stimulate innovative work behavior (IWB) and 

guide their followers to try new things. Competent leaders can anticipate and meet customers' 

needs, generate new ideas to sustain the organization, and adopt technologies that benefit the 

business and boost performance (Asghar et al., 2023). In addition, an innovative culture is a 

critical component of innovative behavior, and innovation activities help SMEs grow, expand, 

and overcome the challenges posed by limited resources, especially in developing countries 

(Bokhari, 2022). Therefore, understanding the concepts of managerial competencies and IWB, 

and how the two relate, is necessary to comprehend the impact of managerial competencies on 

IWB in SMEs. 

 

Managerial Competencies 

 

There are many definitions and multidimensional views of managerial competencies in 

the management literature. Managerial competencies is a set of skills, attitudes, knowledge, and 

behavior that enable individuals to be effective in doing their jobs (Mashavira & Chipunza, 

2021). From a human resources perspective, managerial competencies encompass a manager's 

ability to determine, develop, and deploy organizational resources, converting them into valuable 

products and services that add value for organizational stakeholders (Ncube & Chimucheka, 

2019, as cited in Kabii & Kinyua, 2023). Majadibodu et al. (2023) emphasized the role of 

managerial skills, such as communication, positive working relationships, and effective 

leadership, in cultivating a culture of innovation in SMEs. In contrast, Lara et al. (2020) argued 

that managerial competencies reflect behaviors associated with human values that may be the 

same or differ among various cultures. Asghar et al. (2023) demonstrated that managerial skills 

enhance motivation and provide proper guidance for managing an organization's resources, 

ultimately leading to a competitive edge. Emmanuel et al. (2023) found that managerial 

competencies affect the performance of small-scale businesses in Nigeria. The authors concluded 

that managerial competencies are a unique strength for managers in small-scale businesses, and 

that developing these competencies would improve organizational performance. On the other 

hand, Alharbi (2021) emphasized the critical role of innovative leadership in maintaining the 

organization's competitiveness in today's uncertain and changing market. The author added that 

various characteristics of innovative leadership, such as open-mindedness, confidence, action 

orientation, delegation, and collaboration, enable leaders to inspire others and influence their 

behavior toward achieving the organization's goals. Managerial competencies can drive 

innovation by enabling managers to identify new opportunities, develop innovative offerings, 

adapt to changing market conditions, lead their teams, and encourage employees to adopt new 

processes, thereby ensuring competitiveness (Igwe et al., 2024).  

 

Innovative Work Behavior (IWB) 



Business Management Research and Applications: A Cross Disciplinary Journal 

 

 

5  

 

Innovative work behavior (IWB) refers to an individual's behavior that supports the 

initiation, exploration, championing, and implementation of ideas to generate innovative 

outcomes (De Jong & Den Hartog, 2010). Innovative behavior emphasizes a creative attitude and 

transitioning from traditional to advanced perspectives (Loi, 2024). IWB includes generating, 

promoting, and implementing inventions, applying new work methods, and offering improved 

services and products (Sutardi et al., 2022).  

Many studies have linked IWB to organizational performance and competitive advantage, 

as innovation enables organizations to maximize the benefits of limited resources. For example, 

Sutardi et al. (2022) noted that employees' innovative work behavior is crucial for an 

organization's competitive advantage, and there is a need to identify and improve the factors that 

influence IWB. Igwe et al. (2024) emphasized the importance of innovation as a key contributor 

to organizational competitiveness, stating that developing employees' knowledge and skills 

would enhance innovation activities within organizations. A lack of innovative employees 

hinders the organization's ability to adapt to continuous business changes, resulting in a loss of 

market share and potential failure. Innovation is essential for the survival and growth of SMEs in 

a world characterized by intense competition, rapid technological advancements, and recurring 

crises (Adam & Alarifi, 2021). On the other hand, Asghar et al. (2023) illustrated how product 

innovation contributes to organizational success and sustainability by reducing production time 

and costs, generating new ideas to offer unique goods and services that meet customers' needs, 

and improving firm performance and productivity. IWB helps organizations gain a competitive 

advantage in dynamic environments and establish sustainability by exploring solutions and 

opportunities (AlEssa & Durugbo, 2022). There is a relationship between employee perceptions 

of the organization's innovation climate and their innovative behavior, and leadership 

characteristics, such as transformational leadership, influence the organization's innovation 

climate (Newman et al., 2020). 

 

Managerial Competencies and IWB 

 

Many researchers (e.g., Afsar & Umrani, 2020; Badir et al., 2020; Shah et al., 2020) have 

provided empirical evidence that leadership style and competencies influence employees' 

innovative work behavior. Human resources management competencies lead to improvements in 

employees' IWB (Srirahayu et al., 2023) because competent leaders positively influence 

employees' creative and innovative work behavior, encouraging them to recognize opportunities 

and use creative methods to benefit their organization (Sarwoko, 2020). Therefore, organizations 

can train their supervisors to enhance their leadership competencies and improve perceptions of 

fairness, thereby stimulating idea generation and implementation among employees and 

enhancing IWBs in the workplace (Muchiri et al., 2020). The study by Grošelj et al. (2020) 

found that leaders with higher self-awareness can enhance their followers' positive psychological 

capital and increase followers’ self-confidence, enabling them to innovate and take on new 

challenges. Recently, Igwe et al. (2024) concluded from their empirical study of mobile 

telecommunication in Nigeria that managerial competencies positively moderate the relationship 

between innovation and competitiveness. On the other hand, Knezović and Drkić (2021) 

concluded that psychological empowerment, participation in decision-making, and 

organizational justice are positively associated with IWB. Furthermore, transformational leaders 



November 2025 | Volume 4, Number 3 

6  

can improve employees' attitudes toward the organization because employees often associate the 

organization's core values with their leader. 

 

Small and Medium Enterprises (SMEs) 

 

There are many definitions of SMEs worldwide. In this study, an SME is defined as an 

independent, resource-constrained company that is labeled a small firm, an SME, an 

international new venture, or a new venture (Zahoor et al., 2020). The growth of SMEs is crucial 

for advancing innovation, creating employment opportunities, and reducing poverty (Majadibodu 

et al., 2023). A lack of financial resources and limited administrative and technical capacities 

expose SMEs to numerous difficulties and challenges in a world of intense competition, rapid 

technological change, and recurring crises (Adam & Alarifi, 2021). As a result, managers in 

SMEs need to optimize their companies' innovation and agility to continue operating amid crises 

(Rahman et al., 2022). Majadibodu et al. (2023) demonstrated that SMEs in South Africa face 

difficulties surviving because they lack the resources to compete with big companies. The 

authors suggested that government support, such as training in business and managerial skills, 

would reduce the high failure rate of SMEs in South Africa. SMEs need to develop their 

managers' business management skills, including leadership and human resources management, 

through learning and networking to achieve their objectives and contribute to economic growth 

(Majadibodu et al., 2023).  

Managerial skills and competencies significantly impact knowledge acquisition and 

innovation—they are essential for anticipating and meeting customers' needs, generating new 

ideas to sustain the organization, and adopting technologies that benefit the business and boost 

performance (Asghar et al., 2023). SMEs can create a competitive advantage by boosting 

innovative behavior among their employees (Knezović & Drkić, 2021). Although SMEs are 

valuable innovators due to their flexible structure, most research has focused on IWB in large 

companies, leaving a lack of literature on this topic in SMEs, especially in developing countries 

that face the most significant innovation challenges (Knezović & Drkić, 2021).  

 

Managerial Competencies and IWB in SMEs 

 

Several studies (e.g., Byukusenge et al., 2021; Loufrani-Fedida & Aldebert, 2021; Modi 

& Rawani, 2020) connect managerial competencies to innovative work behavior in SMEs. 

Strong leadership and effective managerial competencies in SMEs are essential to stimulating 

innovation and maintaining the organization’s competitiveness and growth (Majadibodu et al., 

2023). Emmanuel et al. (2023) argued that the key challenge facing SMEs in developing 

countries is the mismanagement of internal and external resources, as managers in these 

companies lack the managerial competencies, interpersonal, and cognitive that enable them to 

innovate and sustain the organization’s survival and growth.   

An empirical study by Bokhari (2022) on SMEs found that innovation culture 

significantly moderates the association between financial capital, experience, R&D, and firm 

economic performance. On the other hand, a study by Sawaean and Ali (2020) on Kuwait's 

SMEs found that entrepreneurial leadership facilitates the formulation of innovation strategies 

and processes to develop SMEs' competitive advantage. Managerial competencies and 

innovative behaviors tend to be more sensitive to prevailing national cultures in small companies 

than in large ones because the relationships between managers and their subordinates are more 



Business Management Research and Applications: A Cross Disciplinary Journal 

 

 

7  

informal. While American society is generally perceived as individualistic, Singaporeans and 

other Asian countries tend to hold collectivistic values (Ayeh et al., 2016).  

 

Methods 
 

The target population of this study was the human resources managers working in SMEs 

in the USA and Singapore. The study was conducted to determine whether there is a relationship 

between leaders' managerial competencies (independent variable) and innovative work behavior 

(dependent variable), and whether this relationship differs between SMEs in the USA and in 

Singapore. 

 

Research Questions and Hypotheses 

 

The research questions and hypothesis that drive this study are as follows: 

RQ1: Do managerial competencies (independent variable) have a statistically significant 

relationship with innovative work behavior (dependent variable) in SMEs? 

H10: Managerial competencies (independent variable) do not have a statistically 

significant relationship with innovative work behavior (dependent variable) in SMEs. 

H1A: Managerial competencies (independent variable) have a statistically significant 

relationship with innovative work behavior (dependent variable) in SMEs. 

RQ2: Does the relationship between managerial competencies (independent variable) and 

innovative work behavior (dependent variable) differ significantly between SMEs in the 

USA and SMEs in Singapore?  

H20: The relationship between managerial competencies (independent variable) and 

innovative work behavior (dependent variable) does not differ significantly in SMEs in 

the USA and SMEs in Singapore. 
H2A: The relationship between managerial competencies (independent variable) and 

innovative work behavior (dependent variable) differs significantly in SMEs in the USA 

and SMEs in Singapore. 
 

In this study, the researcher used a cross-sectional quantitative method and applied a non-

experimental correlational research design to examine the relationship between managerial 

competencies (independent variable) and innovative work behavior (dependent variable) in 

SMEs operating in the USA and Singapore. The research focuses on the managerial 

competencies of human resources managers in SMEs in the USA and Singapore and on how 

these competencies relate to innovative workplace behavior. The USA and Singapore differ in 

location, stage of economic development, and culture. Investigating the relationship between 

managerial competencies and innovative work behavior in two locations with different cultures 

is beneficial for obtaining comprehensive results and understanding how this relationship varies 

across countries with distinct cultural backgrounds.   

 

Instruments  

 

The researcher used the Innovative Work Behavior (IWB) instrument, developed by De 

Jong and Den Hartog (2010), to measure the IWB variable and the Management Skills 

Assessment Instrument (MSAI), developed by Kim S. Cameron, to measure the managerial 



November 2025 | Volume 4, Number 3 

8  

competencies variable. The researcher obtained permission from the creators of the instruments 

to use them in this study. The Innovative Work Behavior Instrument focuses on four related 

dimensions of IWB: the exploration, generation, championing, and implementation of ideas. The 

MSAI questionnaire, developed by American researchers Cameron and Quinn, is used to assess 

managerial competencies. It contains 60 descriptions of behaviors, organized into 12 

competencies, covering areas such as managing interpersonal relationships, teams, and employee 

development (Roszyk-Kowalska, 2016). The two instruments are valid and reliable, having been 

used by numerous researchers. 

 

Sample Size and Data Collection 

 

The researcher used the G*Power software to determine the required sample size for the 

study. To detect a correlation coefficient of r = 0.3 with 90% power (alpha = .05, two-tailed), 

G*Power suggests 109 participants are required to avoid committing a type I and type II. After 

receiving IRB approval, the researcher requested that Centiment, the online survey platform, 

initiate data collection from a sample of human resources managers of SMEs operating in the 

United States and Singapore. Centiment sent invitations to participate in the survey from 

November 25, 2024, to December 12, 2024, and collected 126 responses (63 from the United 

States and 63 from Singapore). Figure 1 shows that 126 participants completed the study, and the 

G*Power calculation yielded a power of 0.93, exceeding the required 0.80. 

 

Figure 1 

Post Hoc G*Power Calculation 

 

Note. Test conducted after the study. 



Business Management Research and Applications: A Cross Disciplinary Journal 

 

 

9  

Analytical Methods 

 

In this study, the researcher used R Commander software to analyze the collected data. 

The researcher used the R Commander scale reliability test to calculate the survey reliability and 

the Anderson-Darling normality test to determine if the data were normally distributed. The 

Spearman correlation coefficient was used to test the hypothesis because the two variables were 

not considered normally distributed. The researcher used correlation analysis to determine the 

relationship between the two study variables (managerial competencies and IWB).  

 

Results and Discussion 
 

According to the results, the 17 questions of the IWB instrument demonstrated internal 

consistency and reliability, with an alpha reliability of 0.9185 and a standard reliability of 

0.9197. Similarly, the 60 questions of MSAI showed internal consistency and reliability, with an 

alpha reliability of 0.9731 and a standard reliability of 0.9736.  

The researcher used the Anderson-Darling test to assess deviations from normality in the 

study. The test results indicated that the two variables were not normally distributed, as 

evidenced by a p-value < 0.05 (Table 1). A p-value less than 0.05 indicates that the data are not 

normally distributed (Paramasivam et al., 2024).  

 

Table 1 

Anderson-Darling Normality Test 

Anderson Darling 

Study Variables A P-Value 

Innovative Work Behavior  0.94724 0.01608 

Managerial Competencies  1.1296 0.00568 

Note. The p-values indicate that the data for the two variables were not normally distributed. 

Correlation Test Between Managerial Competencies and IWB Variables 

 

The result of the Anderson-Darling test, as shown in Table 1, indicates that the p-value is 

less than 0.05, indicating a significant deviation from normality, and that the IWB and 

managerial competencies variables were not normally distributed. Accordingly, the researcher 

used the Spearman correlation coefficient rather than the Pearson correlation to assess the 

relationship between the study variables. Table 2 illustrates a significant positive correlation of 

0.81 between managerial competencies and IWB variables with a corresponding p-value < 0.05.  

 

Table 2 

Correlation of Variables using the Spearman Method 

  Innovative Work 

Behavior  

Managerial 

Competencies  

Innovative Work 

Behavior  

Sig. (2-tailed)  1.0 0.81 



November 2025 | Volume 4, Number 3 

10  

Managerial 

Competencies  

Spearman 

correlation 

Sig. (2-tailed) 

 

0.81 1.0 

Note. There is a positive and significant correlation of 0.81 with a corresponding p-value < 0.05  

Comparing the Correlation Between the Two Variables in the United States and Singapore 

 

The purpose of the correlation test in each country was to compare the two countries 

within the same study and determine if the relationship between the study variables in the United 

States differs from that in Singapore.  

Because the researcher used the same two variables twice in the study, the Bonferroni 

correction was applied to calculate the new type 1 and type 2 error rates for comparisons 

between the two variables in each country. The new type 1 error rate equaled .025 (0.05/2). The 

researcher used 63 participants from each country to answer the second research question, 

aiming to compare the two countries based on the value of r in each country. Figure 2 illustrates 

that 63 participants from each country completed the study. The G*Power calculation yielded a 

power of 0.57, which fell short of the required 0.80 for a correlation study. This underpower was 

one of the study’s limitations and will be discussed in the recommendation section. 

 

Figure 2 

Post Hoc G*Power Calculation 

 

Note. Test conducted after the study. 



Business Management Research and Applications: A Cross Disciplinary Journal 

 

 

11  

Table 3 and Table 4 present the results of using data from 63 participants in each group 

(Singapore and the United States) to calculate the correlation coefficient between the two 

variables (managerial competencies and innovative work behavior) for each country.  

Table 3 

Correlation of Variables in Singapore Country using the Spearman Method 

  Innovative Work 

Behavior  

Managerial 

Competencies  

Innovative Work 

Behavior  

Sig. (2-tailed)  

Spearman 

correlation 

Sig. (2-tailed) 

 

1.0 0.85 

Managerial 

Competencies  

0.85 1.0 

Note. There is a positive and significant correlation of 0.85 with a corresponding p-value < 0.05  

Table 4 

Correlation of Variables in the United States using the Spearman Method 

  Innovative Work 

Behavior  

Managerial 

Competencies  

Innovative Work 

Behavior  

Sig. (2-tailed)  

Spearman 

correlation 

Sig. (2-tailed) 

 

1.0 0.71 

Managerial 

Competencies  

0.71 1.0 

Note. There is a positive and significant correlation of 0.71 with a corresponding p-value < 0.05  

Spearman’s rank correlation coefficient was used to test the monotonic relationship 

between the study’s two variables in each country. The results indicated a positive, significant 

correlation of 0.85 in Singapore and 0.71 in the United States, with corresponding p-values < 

0.05.  Table 3 and Table 4 illustrate a strong positive correlation between the two variables across 

the two countries, with a higher correlation in Singapore. 

 

Summary of the study results  

 

There was a significant positive correlation between the variables, r (124) = 0.81, with a 

corresponding p-value < .001. Additionally, Spearman’s rank correlation coefficient, rho, was 

used to assess the relationship between managerial competencies and IWB variables for each 

group in the study (the United States and Singapore). The correlation results showed a positive, 

significant correlation between the variables in each group, with r (61) = 0.85 and p < .001 in 

Singapore, and r (61) = 0.71 and p < .001 in the United States.  

Consequently, H1A was confirmed, and the null hypothesis, H10, was rejected. There is 

sufficient evidence, at the 0.05 level of significance, to conclude that a strong positive 

relationship exists between the leader’s managerial competencies and innovative work behavior 

(IWB) in SMEs operating in the United States and Singapore. H2A was confirmed, and the null 



November 2025 | Volume 4, Number 3 

12  

hypothesis, H20, was rejected. There is sufficient evidence, at the 0.025 level of significance, to 

conclude that the relationship between the leader’s managerial competencies and innovative 

work behavior (IWB) is significant in SMEs in the USA and SMEs in Singapore, and this 

relationship in Singapore is higher than that in the United States. 

 

Implications/Recommendations and Conclusions 
 

In this study, the researcher aimed to fill the gap in the literature by investigating the 

relationship between leaders' managerial competencies and innovative work behavior in SMEs, 

through the lens of the resource-based view (RBV) and competitive advantage theory. The study 

validated the assumptions of the resource-based view (RBV) and the competitive advantage 

theory, which posits that identifying and developing strategic resources that are valuable, rare, 

inimitable, and irreplaceable can lead to a sustainable competitive advantage within an 

organization. Developing core competencies in SMEs, such as managerial competencies, would 

enhance the quality of human resources within the organization and optimize their contribution 

to the organization's success and growth.  

The findings of this study suggest that leaders' managerial competencies stimulate 

innovation in SMEs by influencing innovative work behavior in the workplace. Future 

researchers in business administration can build on the results of this study, and 

owners/managers of SMEs can benefit by understanding the key factors that stimulate innovative 

behavior in the workplace and by designing programs and training to improve managerial 

competencies. The findings of this study also highlight the impact of national culture on the 

relationship between leaders' managerial competencies and innovative work behavior in SMEs, 

indicating that this relationship is stronger in Singapore, where a collectivist culture prevails. 

Cultural dimensions, including individualism and collectivism, impact innovative work behavior 

(Yang et al., 2024).  

 

Theoretical Implications 
 

This study contributes to the business administration literature by advancing 

understanding of the relationship between leaders' managerial competencies and IWB in SMEs 

operating in two countries with distinct economic development and cultural contexts (the United 

States and Singapore). The findings of this study provide empirical evidence of a statistically 

significant positive relationship between managerial competencies and IWB in SMEs in the 

United States and Singapore, with the relationship being stronger in Singapore. This study 

enriches the limited body of literature that relates leaders' managerial competencies to innovative 

work behavior in SMEs and responds to the calls from previous researchers who emphasized the 

need for further studies to examine how leadership relates to innovation and innovative work 

behavior, particularly in SMEs (e.g., Alharbi, 2021; Castillo-Vergara & Lema, 2022; Muchiri et 

al., 2020).  

This study contributed to RBV and the competitive advantage theory. RBV is relevant to 

many SMEs that possess valuable, rare, and irreplaceable human capital. According to the 

competitive advantage theory, companies can create a competitive advantage by enhancing the 

value of their resources and internal capabilities (Daniela, 2014). Developing human resources 

enables companies to gain a competitive edge. Developing employees' knowledge and skills 

enhances innovation in organizations, a key contributor to organizational competitiveness (Igwe 



Business Management Research and Applications: A Cross Disciplinary Journal 

 

 

13  

et al., 2024). Emmanuel et al. (2023) noted that developing and leveraging internal inimitable 

resources and capabilities, such as human capital, would add value to the organization and create 

a competitive advantage. 

This study validated that intellectual internal resources, such as managerial competencies, 

are key drivers of innovative work behaviors in SMEs, leading to continuous innovation and a 

sustainable competitive advantage. Leaders' actions and behaviors significantly impact 

innovation within an organization by encouraging followers to think critically and by allowing 

new ideas to flow across business units, ultimately leading to a competitive advantage (Alblooshi 

et al., 2021). 

This study also demonstrated that internal organizational resources, such as managerial 

competencies, innovative work behavior, and culture, are the most important factors in 

organizational success, particularly in SMEs. The study illustrated that the relationship between 

leaders' managerial competencies and IWB is significant in individual and collective cultures. 

However, this relationship is more significant in collective cultures where leaders are more 

supportive and emphasize collective interests over individual interests. This study provides 

empirical evidence that national culture significantly affects the relationship between leaders' 

managerial competencies and IWB in SMEs, and that collectivistic cultures strengthen this 

relationship more than individualistic cultures. Leaders' collectivist orientation has a significantly 

positive effect on employees' innovative behavior (Yang et al., 2024). Leaders with a collectivist 

orientation tend to prioritize their team members' collective interests, focus on collective goals, 

and motivate their employees to engage in innovative activities that contribute to organizational 

competitiveness and growth (Yang et al., 2024). In collectivistic cultures, leaders tend to focus 

more on collective achievements than in individualistic cultures, and they encourage 

collaboration among team members and the exchange of ideas to develop novel products and 

services in the organization's best interest. The findings of this study thus enrich the literature on 

business administration and can guide researchers interested in continuing research on the 

relationship between managerial competencies and innovation in SMEs.  

 

Implications for Professional Practice 

 

The results of this study suggest a significant positive relationship between leaders' 

managerial competencies and IWB in SMEs. The findings of this study can thus assist 

owners/managers of SMEs in understanding the company's unique resources and how 

innovations can achieve sustainable competitive advantage by leveraging these resources 

creatively. Owners/managers of SMEs must understand the key managerial competencies that 

stimulate innovation and innovative behavior within their organizations to create a competitive 

advantage and ensure survival and growth in an ever-changing, competitive market environment. 

Organizational leaders must enable their employees' innovative behavior to deliver innovative 

services, products, and work processes, thereby sustaining their organization's competitiveness in 

global markets (Tan et al., 2021). Leaders can influence and drive innovation in SMEs, and their 

skills and leadership impact employees' tendencies to experiment and adopt innovative practices 

(Modi & Rawani, 2020).  

The findings of this study suggest that SMEs can overcome their financial resource 

constraints by investing in human capital. Developing leaders' managerial competencies in SMEs 

is crucial to creating a productive, innovative workforce that ensures the organization's survival 

and growth. Leaders' managerial competencies are essential for stimulating innovation. The lack 



November 2025 | Volume 4, Number 3 

14  

of competent leaders within an organization can result in a lack of innovative work behavior and 

unmotivated, unproductive employees, which in turn affects the organization's ability to cope 

with continuous business changes and can lead to a loss of market share and organizational 

failure.  

Through effective communication and interaction with team members, leaders can 

understand customers' pain points, demands, and expectations, and then direct their team 

members to creatively and innovatively solve business problems, thereby maintaining the 

company's competitive advantage. A competent leader can also identify team members' skills 

and synthesize them through effective communication, knowledge sharing, and collaboration to 

develop new ways of working and deliver innovative products and services. The findings of this 

study also help owners/managers of SMEs, especially those operating in developing countries 

where access to financial resources is difficult, to identify and develop internal resources that can 

accumulate in the organization to create a competitive advantage. Investing in human capital 

generates greater benefits than investing in other resources because it leads to an innovative, 

productive workforce that can maximize the organization's resources through creativity and 

innovation. Policymakers, especially in developing countries, can also benefit from this study's 

findings and adopt strategies to develop leaders' managerial competencies in SMEs, thereby 

enhancing innovation and increasing their ability to grow locally and globally, ultimately leading 

to greater economic growth and new employment opportunities. 

 

Recommendations for Future Research 

 

Future studies are needed to examine the relationship between the study variables using 

different methods and analyses. Replicating the study across different contexts and locations can 

yield more comprehensive and up-to-date results. This study also has limitations that may 

influence the interpretation of the results and impact the ability to generalize the study findings. 

Discussing these limitations may help future researchers to consider expanding on this study by 

examining different variables, geographic locations, and demographics. For example, using the 

same sample size to answer both study questions resulted in an underpowered correlation 

analysis for the second question, as 102 participants per country were required to achieve a 

minimum power of 0.80. This underpower was one of the study's limitations, which the 

researcher could not avoid, as the study's primary question was to determine if there is a 

relationship between managerial competencies and IWB in SMEs operating in the United States 

and Singapore. The purpose of the correlation test in each country was to answer the second 

question of the study: to compare the two countries and determine whether the significance of 

the relationship between the study variables in Singapore differs from that in the United States. 

Therefore, future research is needed to test the significance of the relationship between the 

study’s variables in each country, using a sample size that achieves a minimum power of 0.80 for 

correlation analysis, thereby yielding more rigorous results. There is also a need for further 

research to replicate the study in other contexts and regions, to better understand how culturally 

specific attitudes and behaviors, which vary across countries, impact innovative work behaviors 

in SMEs and how cultural differences influence managerial skills and decision-making. 

Using a correlational design to examine the relationship between two variables in this 

study provided the researcher with the direction and strength of the relationship. However, a 

correlation design cannot generate predictions. Therefore, future researchers can use regression 

analysis to examine the relationships among the study's variables and to generate predictions. 



Business Management Research and Applications: A Cross Disciplinary Journal 

 

 

15  

Similarly, although a quantitative approach was most appropriate for the purpose and scope of 

this study, a qualitative approach in future studies could allow researchers to gain a deeper 

understanding of the relationship between leaders' managerial competencies and innovative work 

behavior and to answer questions about thoughts and experiences.  

The present study adopted a cross-sectional research design, limiting its ability to draw 

causal inferences. So, Future studies could focus on longitudinal or experimental research 

designs. This study provides a reference for subsequent research examining how emerging 

technologies and AI adoption reshape the managerial competencies required of SME leaders in 

the digital era. Advanced technologies, such as artificial intelligence (AI), machine learning, 

blockchain, cloud computing, and data analytics, are becoming increasingly indispensable for 

SMEs to succeed and grow in a competitive market. Advanced technologies, for instance, enable 

organizations to operate efficiently, improve decision-making, drive innovation, and respond 

quickly to customer and market demands. Advances in technologies also impact behaviors and 

relations in the workplace. Therefore, further research can investigate how the adoption of 

advanced technologies and AI affects the relationship between managerial competencies and 

IWB in SMEs.  

  

Recommendations for Practice 

 

This study provided empirical evidence of a significant positive relationship between 

leaders' managerial competencies and innovative work behavior in SMEs. Therefore, 

owners/managers of SMEs should prioritize recruiting and retaining competent leaders with the 

necessary education, skills, and experience to positively influence innovative work behavior 

within SMEs, thereby maximizing the organization's resources. Today, innovation is essential in 

the current business environment, and creating an IWB is more than asking employees to 

generate and implement new ideas; it is about fostering a culture of creativity and a healthy work 

environment where people feel engaged, empowered, and rewarded for their innovative efforts. 

Moreover, competent leaders hold the key to unlocking the creative potential of their employees, 

especially in SMEs, where leaders are more closely connected to their subordinates and, through 

their skills, actions, and behaviors, influence their subordinates' tendency to generate, implement, 

and champion new creative and innovative ideas.  

SMEs can effectively leverage their internal intellectual resources, such as leaders' 

managerial competencies, to enhance innovative behavior and create a competitive advantage. 

This study suggests that managerial competencies serve as strategic resources in SMEs. 

Therefore, Human resources departments in SMEs must engage in continuous learning and 

improvement to address the current and potential challenges facing the business environment. 

SME owners/managers need to regularly assess their managerial competencies and design 

training programs to bridge the gap between existing and required managerial competencies. 

They should also develop their leaders' skills and competitiveness to adapt to technological and 

market changes. Leaders in SMEs must also offer a healthy example for their teams and create a 

positive work environment where people can perform at a high level, embrace experimentation, 

generate innovative ideas, and achieve organizational goals. In SMEs, leaders act as coaches and 

mentors to foster IWB among their followers, encouraging them to pursue new and valuable 

initiatives at work without fear or resistance (Tan et al., 2021).  Additionally, leaders' skills and 

characteristics significantly influence business resilience and adaptation during turbulent periods. 

For example, entrepreneurial leaders can foster an innovative atmosphere in their organization by 



November 2025 | Volume 4, Number 3 

16  

reinforcing creativity and implementing new ideas to develop novel products (services) that 

create a competitive advantage (Ishak et al., 2021). 

Rapid technological changes significantly impact business management and the way 

people act and behave. Disruptive technologies affect the relationship between leaders' 

managerial competencies and innovative work behavior. In the current competitive market 

environment, leaders need to develop their managerial competencies, including communication, 

networking, and collaboration, to enable their teams and organizations to adapt quickly and 

effectively cope with changing market conditions. Building stronger relationships with 

employees in all units and fostering innovation among them would enable SMEs to maintain and 

increase their market share in a competitive market.  

Today, competent and skilled leaders can harness the full potential of advanced 

technologies and AI innovations, integrate them into business decision-making processes, and 

create an environment conducive to successful digitization. Leaders play a crucial role in driving 

and implementing digital transformation (DT) and AI technologies within their organizations, 

leveraging their ability to influence organizational culture, allocate resources, and align 

technological advancements with business objectives (Bevilacqua et al., 2025). In addition, 

disruptive technologies like AI enable leaders to automate repetitive tasks, focus more on 

interpersonal relationships, and spend more time motivating, supporting, and guiding their team 

members. Adaptation and transformation skills for leaders in SMEs can help build business 

networks and collaborative partnerships that facilitate the acquisition of advanced technologies, 

optimize resource use, foster innovation, and enable adaptation to evolving markets without 

straining the organization's budget. Collaboration with suppliers, customers, universities, and 

international competitors is a key source of knowledge, facilitating innovation in SMEs 

(Audretsch et al., 2023). 

SMEs need to adopt survival strategies, develop strategic resources, such as managerial 

competencies, and cultivate an innovative culture to offer differentiated goods and services that 

exceed customers' expectations, thereby navigating rapid market changes and maintaining the 

organization's competitiveness. Therefore, owners/ managers of SMEs need to invest heavily in 

human resources to acquire the competencies necessary to stimulate creativity and innovation, 

thereby reducing the high failure rate of SMEs. It is essential to cultivate an innovative culture 

before adopting new technologies, as implementing them requires leaders who are innovative, 

transformational, and adaptive to drive change within the organization. Managers/owners of 

SMEs must focus on factors that positively impact IWB to create an environment that facilitates 

innovation (Marampa et al., 2024). In addition, leaders who embrace and encourage innovation 

would contribute positively to their nation's domestic income and create a lasting positive impact 

on communities by offering new products and services to meet customers' changing demands, 

utilizing innovative methods that conserve limited natural resources, reduce air and water 

pollution, and preserve the environment.  

Policymakers need to adopt strategies and design training programs that improve leaders' 

managerial competencies in SMEs operating in their countries. Enhancing leaders' managerial 

competencies would boost creativity and innovation in SMEs, making them more effective in 

contributing to economic growth and creating new job opportunities, thereby achieving social 

stability and welfare for both local and global communities.     

 

Conclusion 
 



Business Management Research and Applications: A Cross Disciplinary Journal 

 

 

17  

The results of this study indicate a statistically significant positive relationship between 

leaders' managerial competencies and innovative work behavior (IWB) in SMEs in the United 

States and Singapore. Notably, this relationship is more pronounced in Singapore than in the 

United States. The findings of this study fill a gap in the business administration literature and 

serve as a reference for future researchers interested in leadership and innovation in SMEs. The 

knowledge and findings of this study benefit practitioners, such as owners/ managers of SMEs, 

and policymakers interested in enhancing the performance of SMEs, particularly those operating 

in developing countries.  

Today, innovation is the work of effective teams. SMEs that cultivate competent leaders 

and innovative employees are more likely to overcome the problem of insufficient resources and 

create a competitive advantage to succeed and grow in today’s competitive and dynamic market. 

Investing in developing leadership will yield greater benefits than investing in physical 

resources, because human resources, due to their uniqueness, can optimize the benefits generated 

by other resources and transform them into valuable products and services that better satisfy 

customers' demands and expectations than competitors'. Competent leaders can foster a positive 

culture among their team members and unlock their innovative potential, thereby enhancing 

SME performance and ultimately contributing to economic growth and community well-being. 

 

REFERENCES 

 

Adam, N. A., & Alarifi, G. (2021). Innovation practices for survival of small and medium 

enterprises (SMEs) in the COVID-19 times: The role of external support. Journal of 

Innovation and Entrepreneurship, 10(1), 15. https://doi.org/10.1186/s13731-021-00156-6 

Adla, L., Gallego-Roquelaure, V., & Calamel, L. (2020). Human resource management and 

innovation in SMEs. Personnel Review, 49(8), 1519-1535. https://doi.org/10.1108/PR-09-

2018-0328 

Afsar, B., & Umrani, W. A. (2020). Transformational leadership and innovative work behavior: 

The role of motivation to learn, task complexity and innovation climate. European 

Journal of Innovation Management, 23(3), 402-428. https://doi.org/10.1108/EJIM-12-

2018-0257 

Alblooshi, M., Shamsuzzaman, M., & Haridy, S. (2021). The relationship between leadership 

styles and organisational innovation: A systematic literature review and narrative 

synthesis. European Journal of Innovation Management, 24(2), 338-370. 

https://doi.org/10.1108/EJIM-11-2019-0339 

AlEssa, H. S., & Durugbo, C. M. (2022). Systematic review of innovative work behavior 

concepts and contributions. Management Review Quarterly, 72(4), 1171-1208. 

https://doi.org/10.1007/s11301-021-00224-x 

Alharbi, I. B. A. (2021). Innovative leadership: A literature review paper. Open Journal of 

Leadership,10, 214-229. https://doi.org/10.4236/ojl.2021.103014 

Alshebami, A. S. (2021). The influence of psychological capital on employees’ innovative 

behavior: Mediating role of employees’ innovative intention and employees’ job 

satisfaction. Sage Open, 11(3), 1-14. https://doi.org/10.1177/21582440211040809 

Asghar, N., Khattak, A., Danish, M. H., Bokhari, I. H., & Waris, M. (2023). Managerial skills, 

technology adaptation, and firm performance: Mediating role of process innovation and 

product innovation. Cogent Business & Management, 10(3), 1–18. 

https://doi.org/10.1080/23311975.2023.2281485 

https://doi.org/10.1186/s13731-021-00156-6
https://doi.org/10.4236/ojl.2021.103014
https://doi.org/10.4236/ojl.2021.103014
https://doi.org/10.1016/j.jbusres.2023.114018
https://doi.org/10.1016/j.jbusres.2023.114018
https://doi.org/10.1016/j.jbusres.2023.114018
https://doi.org/10.4236/ojl.2021.103014
https://doi.org/10.1177/21582440211040809
https://doi.org/10.1080/23311975.2023.2281485


November 2025 | Volume 4, Number 3 

18  

Audretsch, D. B., Belitski, M., Caiazza, R., & Phan, P. (2023). Collaboration strategies and SME 

innovation performance. Journal of Business Research, 164, 1-15. 

https://doi.org/10.1016/j.jbusres.2023.114018 

Ayeh, J. K., Au, N., & Law, R. (2016). Investigating cross-national heterogeneity in the adoption 

of online hotel reviews. International Journal of Hospitality Management, 55, 142-153. 

https://doi.org/10.1016/j.ijhm.2016.04.003 

Badir, Y. F., Frank, B., & Bogers, M. (2020). Employee-level open innovation in emerging 

markets: linking internal, external, and managerial resources. Journal of the Academy of 

Marketing Science, 48(5), 891–913. https://doi.org /10.1007/s11747-019-00674-6 

Barney, J. (1991). Firm resources and sustained competitive advantage. Journal of Management, 

17(1), 99-120. https://doi.org/10.1177/014920639101700108 

Bevilacqua, S., Masárová, J., Perotti, F. A., & Ferraris, A. (2025). Enhancing top managers' 

leadership with artificial intelligence: insights from a systematic literature review. Review 

of Managerial Science, 1-37. https://doi.org/10.1007/s11846-025-00836-7 

Bokhari, S. A. A. (2022). An empirical examination of the impact of initial capital, prior 

experience, and R&D on SMEs’ survival and economic performance: Moderating role of 

innovation culture. Journal of Small Business Strategy, 32(4), 112–125.  

https://doi.org/10.53703/001c.36937 

Byukusenge, E., Munene, J. C., & Orobia, L. A. (2021). Managerial competencies and business 

performance: Innovation as a mediator in Rwandan SMEs. International Journal of Law 

and Management, 63(5), 445-463. https://doi.org/10.1108/IJLMA-09-2017-0217 

Castillo-Vergara, M., & Lema, D. G. P. D. (2022). Creativity in SMEs: A overview and agenda 

for future research. BBR. Brazilian Business Review, 19(4), 431-453. 

https://doi.org/10.15728/bbr.2022.19.4.5.en 

Damianus, A. D., Bumanglag, A. P., Lazaro, J. R., Serrano, C. A., & Encarnacion, M. J. (2022). 

The effect of managerial competencies on employees’ trust in the management. Divine 

Word International Journal of Management and Humanities, 1(1), 22-40. 

Daniela, P. A. (2014). Competitive advantage in the enterprise performance. Annals of the 

University of Oradea, Economic Science Series, 23(1), 524-531. 

Davis, G. F., & DeWitt, T. (2021). Organization theory and the resource-based view of the firm: 

The great divide. Journal of Management, 47(7), 1684-1697.  

https://doi.org/10.1177/0149206320982650 

De Jong, J., & Den Hartog, D. (2010). Measuring innovative work behaviour. Creativity and 

Innovation Management, 19(1), 23-36. https://doi.org/10.1111/j.1467-8691.2010.00547.x 

Emmanuel, I. E., Rikwentishe, R., & Attayi, I. F. (2023). Managerial competencies and small 

business venture performance: An emerging economies perspective. Journal of 

Enterprise & Development (JED), 5(1), 1–14. https://doi.org/10.20414/jed.v5i1.6650 

Gamage, S. K. N., Ekanayake, E., Abeyrathne, G., Prasanna, R., Jayasundara, J., & Rajapakshe, 

P. (2020). A Review of global challenges and survival strategies of small and medium 

enterprises (SMEs). Economies, 8(4), 79, 1-24. 

https://doi.org/10.3390/economies8040079 

Grošelj, M., Černe, M., Penger, S., & Grah, B. (2020). Authentic and transformational leadership 

and innovative work behaviour: The moderating role of psychological 

empowerment. European Journal of Innovation Management, 24(3), 677-706. 

https://doi.org/10.1108/ejim-10-2019-0294 

https://doi.org/10.1016/j.jbusres.2023.114018
https://doi.org/10.1016/j.ijhm.2016.04.003
https://doi.org/10.1177/014920639101700108
https://doi.org/10.
https://doi.org/10.53703/001c.36937
https://doi.org/10.15728/bbr.2022.19.4.5.en
https://doi.org/10.1111/j.1467-8691.2010.00547.x
https://doi.org/10.20414/jed.v5i1.6650
https://doi.org/10.3390/economies8040079


Business Management Research and Applications: A Cross Disciplinary Journal 

 

 

19  

Heriyanto, M., Febrian, A. F., Sugiarto, M., & Handoko, T. (2021). Competitive advantage in 

small and medium enterprises (SMEs): A systematic mapping study. Management Theory 

and Studies for Rural Business and Infrastructure Development, 43(1), 77-89. 

https://doi.org/10.15544/mts.2021.07 

Igwe, A. A., Akpan, E. E., Udoh, B. E., & Sylva, W. (2024). Service system innovation and 

competitiveness in an emerging market: The moderating role of managerial 

competencies. Gadjah Mada International Journal of Business, 26(1), 83-108. 

Iqbal, S., & Khan, A. (2023). Globalization and its impact on small and medium-sized 

enterprises (SMEs): A longitudinal analysis. Competitive Research Journal 

Archive, 1(02), 109-118. 

Ishak, S., Che Omar, A. R., & Abd Manaf, A. (2021). Entrepreneurial leadership in the micro and 

small enterprises (MSES) research context: a literature review. International Journal of 

Academic Research in Business and Social Sciences, 11(5), 397-404. 

https://doi.org/10.6007/IJARBSS/v11-i5/9815 

Kabii, L. K. K., & Kinyua, G. (2023). Managerial Competencies and Business Continuity: A 

Review of Literature. International Journal of Education and Research, 11(2), 65-90. 

Knezović, E., & Drkić, A. (2021). Innovative work behavior in SMEs: the role of 

transformational leadership. Employee Relations: The International Journal, 43(2), 398-

415. https://doi.org/10.1108/ER-03-2020-0124 

Lara, F. J., Mogorrón-Guerrero, H., & Ribeiro-Navarrete, S. (2020). Knowledge of managerial 

competencies: Cross-cultural analysis between American and European 

students. Economic research-Ekonomska Istraživanja, 33(1), 2059-2074. 

https://doi.org/10.1080/1331677X.2019.1585271 

Loi, S. (2024). The influence of innovative work behavior and job satisfaction on employee 

performance. Review: Journal of Multidisciplinary in Social Sciences, 1(05), 142-147. 

Loufrani-Fedida, S., & Aldebert, B. (2021). A multilevel approach to competence management in 

innovative small and medium-sized enterprises (SMEs): Literature review and research 

agenda. Employee Relations: The International Journal, 43(2), 507-523. 

https://doi.org/10.1108/ER-04-2020-0173 

Majadibodu, M. J., Ramasimu, N. F., & Ladzani, M. W. (2023). Support from the government for 

SMEs in South Africa. International Journal of Research in Business & Social Science, 

12(5), 381–394. https://doi.org/10.20525/ijrbs.v12i5.2525 

Marampa, A. M., Garnasih, R. L., & Pariyanti, E. (2024). How to unleash innovative work 

behavior of SMEs workers through clan culture?“Testing the mediating role of 

knowledge sharing”. Industrial and Commercial Training, 56(1), 1-23. 

https://doi.org/10.1108/ICT-03-2023-0016 

Mashavira, N., & Chipunza, C. (2021). Managerial conceptual competencies and the 

performance of small and medium-sized enterprises in Zimbabwe. Southern African 

Journal of Entrepreneurship & Small Business Management, 13(1), 1–14. 

https://doi.org/10.4102/sajesbm.v13i1.386 

Modi, P., & Rawani, A. M. (2020). Drivers of innovation practices in SMEs: a literature 

review. International Journal of E-Entrepreneurship and Innovation (IJEEI), 10(1), 28-

40. https://doi.org/10.4018/IJEEI.2020010103  

Muchiri, M. K., McMurray, A. J., Nkhoma, M., & Pham, H. C. (2020). Mapping antecedents of 

innovative work behavior: A conceptual review. The Journal of Developing Areas, 54(4), 

34-40. https://doi.org/10.1353/jda.2020.0047  

https://doi.org/10.15544/mts.2021.07
https://doi.org/10.15544/mts.2021.07
https://doi.org/10.2478/ngoe-2019-0016
https://doi.org/10.1108/ER-03-2020-0124
https://doi.org/10.1108/ER-03-2020-0124
https://doi.org/10.20525/ijrbs.v12i5.2525
https://doi.org/10.1108/ICT-03-2023-0016
https://doi.org/10.4102/sajesbm.v13i1.386
https://doi.org/10.1108/ICT-03-2023-0016


November 2025 | Volume 4, Number 3 

20  

Newman, A., Round, H., Wang, S., & Mount, M. (2020). Innovation climate: A systematic 

review of the literature and agenda for future research. Journal of Occupational and 

Organizational Psychology, 93(1), 73-109. https://doi.org/10.1111/joop.12283 

Paramasivam, G., Rao, I. R., & Prabhu, M. A. (2024). Normality testing in statistics: What 

clinician–researchers should know. Heart Failure Journal of India, 2(1), 55-60. 

https://doi.org/10.4103/HFJI.HFJI_7_24 

Rahman, M. S., AbdelFattah, F. A., Bag, S., & Gani, M. O. (2022). Survival strategies of SMEs 

amidst the COVID-19 pandemic: Application of SEM and fsQCA. Journal of Business & 

Industrial Marketing, 37(10), 1990-2009. https://doi.org/10.1108/JBIM-12-2020-0564 

Roszyk-Kowalska, G. (2016). Chosen methods and tools for measuring managerial 

competencies. Journal of Human Resource Management, 19(2), 56-62. 

Sarwoko, E. (2020). Entrepreneurial leadership and innovative work behavior: The role of 

creative self-efficacy. Journal of Economics, Business, & Accountancy Ventura, 23(2), 

183-193. https://doi.org/10.14414/jebav.v23i2.2282 

Sawaean, F., & Ali, K. (2020). The impact of entrepreneurial leadership and learning orientation 

on organizational performance of SMEs: The mediating role of innovation 

capacity. Management Science Letters, 10(2), 369-380. 

https://doi.org/10.5267/j.msl.2019.8.033  

Shah, S. I., Shahjehan, A., Afsar, B., Afridi, S. A., & Saeed, B. B. (2020). The dynamics of leader 

technical competence, subordinate learning, and innovative work behaviors in high-tech, 

knowledge-based industry. Economic Research-Ekonomska Istrazivanja, 33(1), 623–638. 

https://doi.org. /10.1080/1331677X.2019.1699140 

Srirahayu, D. P., Ekowati, D., & Sridadi, A. R. (2023). Innovative work behavior in public 

organizations: A systematic literature review. Heliyon, 9(2), 1-11. 

https://doi.org/10.1016/j.heliyon.2023.e13557 

Sutardi, D., Nuryanti, Y., Kumoro, D. F. C., Mariyanah, S., & Agistiawati, E. (2022). Innovative 

work behavior: A strong combination of leadership, learning, and climate. International 

Journal of Social and Management Studies, 3(1), 290-301. 

Tan, A. B., Van Dun, D. H., & Wilderom, C. P. (2021). Innovative work behavior in Singapore 

evoked by transformational leaders through innovation support and readiness. Creativity 

and innovation management, 30(4), 697-712. https://doi.org/10.1111/caim.12462 

Willis, A. O. C., Kinyua, G., & Muchemi, A. (2022). Strategic leadership as an antecedent of 

competitive advantage: A review of literature. International Journal of Managerial 

Studies and Research, 10(1), 18-33. https://doi.org/10.20431/2349-0349.1001003  

World Bank. (2024). Small and medium enterprises (SMEs) finance. Improving SMEs’ access to 

finance and finding innovative solutions to unlock sources of capital. 

https://www.worldbank.org/en/topic/smefinance 

Yang, C., Jin, H., & Zhang, C. (2024). The influence of leaders’ collectivist orientation on 

employees’ innovative behavior. Leadership & Organization Development 

Journal, 45(5), 899-918. https://doi.org/10.1108/LODJ-09-2023-0528 

Zahoor, N., Al‐Tabbaa, O., Khan, Z., & Wood, G. (2020). Collaboration and internationalization 

of SMEs: Insights and recommendations from a systematic review. International Journal 

of Management Reviews, 22(4), 427-456. https://doi.org/10.1111/ijmr.12238 

Zutshi, A., Mendy, J., Sharma, G. D., Thomas, A, Sarker, T. (2021). From challenges to 

creativity: Enhancing SMEs’ resilience in the context of COVID-19. Sustainability, 

13(12):6542. https://doi.org/10.3390/su13126542 

https://doi.org/10.1111/joop.12283
https://doi.org/10.14414/jebav.v23i2.2282
https://doi.org/10.1016/j.heliyon.2023.e13557
https://doi.org/10.1111/caim.12462
https://www.worldbank.org/en/topic/smefinance
https://doi.org/10.1111/ijmr.12238
https://doi.org/10.3390/su13126542

