Determinants of readiness for strategic value co-creation in hospitality and tourism organisations

Abstract

This paper examines how servant leadership influences an organisation’s readiness for strategic value co-creation through service climate, innovation climate, locus of control and self-efficacy. A model that draws on servant leadership and social cognitive theories is tested by surveying 222 hospitality and tourism business managers operating in France and the UK, and the data is analysed with structural equation modelling and ordinary least squares. The study contributes to personality research showing that servant leadership practices influence a manager’s internal locus of control and self-efficacy. We demonstrate that service climate and innovation climate mediate between servant leadership and readiness for strategic value co-creation, and moderate between a manager’s beliefs and the firm’s readiness for strategic value co-creation. The findings show that servant leadership has a stronger effect on innovation climate than on service climate, and that innovation climate has more influence on readiness for strategic value co-creation than on service climate.