The relationship between Leader Human Capital and Innovative Performance: The mediating role of Absorptive Capacity in Textile manufacturing industry of Karachi, Pakistan

Abstract

Purpose- This research conducted on the Textile Manufacturing sector, Karachi Pakistan, tries to examine the mediating influence of AC on the relationship between LHC and IP. Further, we want to determine whether the LHC and IP are directly associated. Methodology & Design- Through the use of a questionnaire as a tool, the study is conducted participants from Textile manufacturing sector in Karachi, Pakistan. 352 responses were obtained, and the study develops and tests a theoretical research model in which the Leader Human Capital (LHC) is the independent variable, innovative performance (IP) is the dependent variable, and Absorptive Capacity (AC) plays a mediating role in this relationship. Findings: The findings ofthis study suggest that Absorptive Capacity has a significant positive influence on the link between LHC and IP. The outcomes have further demonstrated the lack ofsignificance ofthe link between LHC and IP. on Limitations: o Sample size, o context, o limited to only Textile Manufacturing industry, Karachi, Pakistan. Recommendations: According to the results of this study, organizations should encourage empowering leadership for improved innovative performance. Employers should pick adaptable leaders who encourage employees to take initiative, model desirable action.