Knowledge-Oriented Leadership in Powering Team Performance and Sustainable Competitive Advantages through Innovation: Evidence from Higher Education Institutions

Abstract

The literature on sustainable competitive advantages and performance has grown extensively in organizations over the last three decades. However, sustainable competitive advantages have received limited attention from scholars in academic institutions. To contribute to the literature, this research examines how knowledge-oriented leadership stimulates team performance through innovation, eventually directing towards a sustainable competitive advantage in higher education institutions (HEIs). The data was gathered from 64 team leaders and 303 team members from Pakistan’s HEIs to assess the model. The results indicate that knowledge-oriented leadership significantly enhances team performance, with this association partially mediated by the speed of innovation. At the same time, no mediating role is observed for the quality of innovation. In addition, team performance and its relationship with a sustainable competitive advantage originated positively. As a result, HEIS should promote knowledge-oriented leadership as a crucial strategy for managing the complex dynamics of innovation, team performance, and sustainable competitive advantages. These institutions should prioritize appointing knowledge-oriented leaders to enhance innovation, team performance, and sustainable competitive advantages. Further implications are conferred.