Title: Effectuation, entrepreneurs' leadership behaviour, and employee outcomes: a conceptual model

Authors: Sylvia Hubner; Matthias Baum

Addresses: TUM School of Management, Technical University of Munich, Arcisstrasse 21, 80333 Munich, Germany ' University of Kaiserslautern, P.O. Box 3049, 67653 Kaiserslautern, Germany

Abstract: This study develops a conceptual framework for explaining how effectual and causal logics influence entrepreneurs' leadership behaviour and how that, in turn, impacts employee individual-level outcomes (commitment, extrinsic and intrinsic motivation, and creativity) and performance outcomes (employee work performance and firm performance). We propose that employees' commitment and motivation develop via distinct paths when entrepreneurs apply causal or effectual logics. We furthermore theorise that employees' creativity is facilitated by effectuation, but hindered by causation. These differences might explain firm internal consequences of applying effectuation as a decision logic.

Keywords: employee outcomes; effectuation; entrepreneurial firms; leadership; HRM.

DOI: 10.1504/IJEV.2018.093917

International Journal of Entrepreneurial Venturing, 2018 Vol.10 No.4, pp.383 - 411

Received: 04 Aug 2015
Accepted: 02 Mar 2016
Published online: 09 Aug 2018 *

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