This research focuses on understanding transformational leadership, proactive personality, and knowledge sharing in improving innovative work behaviours among employees across Indonesia’s creative economy sector. An Indonesian Creative Economy quantitative research approach utilized structured questionnaires to collect data from employees across various sub-sectors. The results demonstrate that transformational leadership positively develops employees' innovative work behaviour through vision-creation inspiration, motivating creativity, and channeling change. Also, knowledge sharing mediates innovation enhancement by fostering the collaborative exchange of ideas and problem solving. Also, proactive personality positively impacts employees to see, act on, and solve challenges. The research results rest on the importance of leadership practices in the creative economy as well as the proactive employee traits to focus on the knowledge sharing systems. These will enable sustainable innovation and competitive advantage as a response to the Industry 4.0 era.
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