This paper outlines the leadership practices that support an organisation’s strategic intent to innovate through the creation of an innovation-conducive culture. By surveying the opinions of member organisations of the Australian Information Industry Association (AIIA), four companies (each within a particular revenue category) were selected by AIIA members as having the most innovation-friendly cultures. The paper explicates the cultural basis of effective innovation within these four companies by drawing on survey data; analyses of the presentations given at the awards ceremony by senior members of each of the winning companies; and follow-up interviews with the leaders of these companies. The results point to the vital role that leadership plays in the creation of an appropriate cultural platform for successful innovation; and indicate how the execution of the strategic intent to innovate depends on the appropriateness of the cultural assumptions held by a stakeholder community. In particular, the study shows that within companies that are recognised as having innovation-supporting cultures, innovation is assumed to be a human/social process that is enhanced by open and honest communication, strong interpersonal relationships, mission-pertinent learning, and permission to experiment and fail.