Group diversity and employee service innovative behavior in the hospitality industry: a multilevel model

Purpose Service innovative behavior from employees helps hospitality organizations gain a competitive advantage and sustain business flourishment. Although group diversity has been demonstrated as a predictor of employee outcomes, whether group diversity in terms of extraversion and openness enhances employee service innovative behavior remains a gap. This study aims to fill this gap by developing a multilevel model of the direct relationship between group diversity in terms of extraversion and openness and employee service innovative behavior and also the mediations and moderations behind the relationship. Design/methodology/approach The authors collectd data from 44 Chinese hospitality teams. The research model was validated by multilevel structural equation modeling. Findings Results showed that both group extraversion diversity and group openness diversity fostered employee service innovative behavior via creative self-efficacy. Developmental culture strengthened the effectiveness of group openness diversity on creative self-efficacy and the effectiveness of creative self-efficacy on employee service innovative behavior. Nevertheless, developmental culture did not strengthen the effectiveness of group extraversion diversity on creative self-efficacy. Practical implications Findings suggest that managers and team leaders from hospitality organizations can elicit employee service innovative behavior through increasing group diversity in terms of extraversion and openness. Hospitality practitioners also should understand that employees’ confidence for creativity is able to channel group diversity into employee service innovative endeavors. Moreover, building developmental culture is essential for hospitality teams to strengthen the effect of group diversity on innovating services. Originality/value This study expands the diversity-innovation research through unfolding both the mediations and the moderations behind the link between group diversity in terms of extraversion and openness and employee service innovative behavior.