Top management team’s participative decision-making, heterogeneity, and management innovation: an information processing perspective

Drawing on the information processing perspective, this study examines the effects of TMT participative decision-making and heterogeneity on management innovation. It finds that TMT participative decision-making and heterogeneity individual and jointly contribute to management innovation. In addition, the effect of TMT participative decision-making is positively moderated by firm age, whereas that of TMT heterogeneity is negatively moderated by firm age. This study offers insights into how TMTs matter to management innovation, enriching the knowledge of the antecedents of management innovation. It also represents one of the first attempts that introduce firm age as a contingency for the innovation implications of TMTs.