ABSTRACT

Changes in working life, competition, ideals of good and effective leadership, search for creativity and well-being are all challenging the relevance of traditional leadership practices and the meaning of leadership. This is why this chapter focuses on the great challenge of leadership in organizations—how to create conditions that support, enhance and maintain a favourable working environment for creativity and innovation. The aim of the chapter is to deepen our understanding of the role of leadership practices in influencing employee creativity. We build our empirically based insights on the experiences and practices of two organizations, each with a different orientation in their management culture: One is managerial (traditional hierarchical structure), while the other is non-managerial (non-hierarchical structure). This chapter points out lessons to be learned, which may help in enhancing creativity and innovativeness in organizations in order to increase their competitiveness.