Impact of ambidextrous human resource practices on employee innovation performance: the roles of inclusive leadership and psychological safety

Purpose Human resource practices are transforming at a varying pace for different businesses to meet the increasingly intensified external challenges. The pursuit of innovation while balancing the tensions between flexibility and efficiency has become a core challenge for survival in this globally competitive era. The literature identifies ambidexterity as a realistic choice to manage these tensions during transformation towards diversified and innovative human resource practices. Based on social exchange theory (SET), this study explores the impact of ambidextrous human resource practices (AHRPs) on organization members' innovation performance while examining the mediating effect of psychological safety. Design/methodology/approach Data were collected for this cross-sectional study in three waves, and the final sample included 788 employees from 32 companies across different industries in China. Findings The results of data analysis indicate support for all the hypothesized relationships. AHRPs positively affect employee innovation performance; employee psychological safety mediates this relationship; inclusive leadership moderates the direct effect of AHRPs on employee psychological safety and the indirect effect of AHRPs on employee innovative performance through psychological safety. Theoretical and practical implications of the study are also presented. Originality/value This study examines AHRPs’ influence on employee innovation performance mediated by psychological safety and the moderating role of inclusive leadership in the above relationship to clarify the boundary conditions of AHRPs' effect on innovation performance.