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Purpose

The significance of creativity and innovation within organisations has been shown on several occasions. The purpose of this paper is to investigate the association between transformational leadership and employees’ creativity and innovation. Additionally, this study explored the moderating role of employees’ perceptions of a supportive climate for innovation.

Design/methodology/approach

Data were collected from 1,172 employees who were working in various types of industries in Iran, a developing country.

Findings

The results of this study revealed positive and significant relationships between transformational leadership and employees’ creativity and innovation. Also, the findings indicated employees’ perceptions of a supportive climate for innovation moderated the transformational leadership‐employees’ creativity and transformational leadership‐employees’ innovation relationships.

Practical implications

Organisations should invest in transformational leadership training and in the selection of leaders with this leadership style if their aim is to foster and enhance employees’ creativity and innovation. They also should invest in organisational climate improvement in order to provide a dynamic platform for being creative and innovative in the workplace.

Originality/value

This study is one of the first to investigate the following relationships in a developing country, Iran: the associations between transformational leadership and employees’ sense of creativity and innovation and the moderating impact of employees’ perceptions of a supportive climate for innovation.

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