Inclusive Leadership Unveiled: Driving CSR and Innovation Through a Moderated Mediation Framework

ABSTRACT This study investigates the associations between employees perceived corporate social responsibility (CSR) and innovative work behaviour and examines the mediating role of organizational identification in the context of Indian hospitality and tourism industry. It also tests the moderating role of inclusive leadership in this mediated association. Using the social exchange theory (SET) framework, the study tested a moderated mediation model based on two‐wave survey data gathered from 263 employees and 24 supervisors. A significant association was found between CSR initiatives, employees' organizational identification and innovative work behavior. Inclusive leadership moderated the indirect effect of perceived CSR on employees' innovative work behavior via organizational identification. Social responsibility initiatives hold significant value from the standpoint of an employee motivation and engagement in a service‐driven context wherein organizations heavily rely on employees' attitudes, behaviors and performance for business sustainability and growth. Additionally, inclusive leaders are critical in building a supportive environment to facilitate employees' innovative work behavior. Organizations must therefore take holistic measures to educate employees about their social responsibility philosophy and encourage active communication regarding such initiatives. By examining the potential underlying mechanisms and boundary conditions, this paper has made a novel attempt to assert the role of organizational identification as a mediator and inclusive leadership as a moderator in the above‐mentioned association.