Organizational research has shown that personal initiative is related to both climate for initiative and work engagement. Yet little is known about what happens to this relationship once the focus shifts to the team level. When organizational and team goals are involved this renders the relationship more complex, and team identification and organizational identification are likely to be key to understanding it. In this paper we develop a model to deal with these complexities. This predicts (a) that team identification will impact on team initiative through team work engagement while (b) organizational identification will impact on team initiative through climate for initiative. It is also expected that team initiative will, in turn, impact on team productivity, and on radical innovation as evaluated by the team leader. This model was tested in a field study with 327 participants of 76 workteams belonging to 50 organizations. Results of SEM and regression analysis supported our main hypotheses. Findings showed that initiative is related to performance and also underline the importance of initiative at a team level. At the same time they suggest that to develop teams with high levels of initiative it is important to promote both organizational and team identification.