Great article in the October 2008 edition of Harvard Business Review.
Creativity and the role of the leader by Teresa M. Amabile and Mukti Khaire.
If you're looking to enhance creativity and boost innovation…
1. Remember that you're not the sole fount of ideas.
2. Enable collaboration.
3. Enhance diversity.
4. Map the stages of creativity and tend to their different needs.
5. Accept the inevitability and utility of failure.
6. Motivate with intellectual challenge.
There's a whole lot more in the article, which pulls together the insights of 100 innovation leaders and gurus.
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