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The purpose of this paper is to analyze how strategic renewal affects the reconfiguration of capabilities. In the context of organizational change in a large utility firm, we examine the evolution of the capability structure, and explain the emergence and persistence of capability gaps.

The paper uses an inductive multiple case study methodology to compare four processes of capability reconfiguration at Eskom, South Africa's electricity supplier.

The results show that strategic renewal unfolds through different processes, which vary in their impact. Some processes have an immediate effect in closing capability gaps. The impact of others is with a significant time lag. Most critical, however, are processes that widen capability gaps. As a result, firms may face severe and persistent performance deficiencies.

Prior research has only marginally addressed the relationship between strategic renewal and capability reconfiguration, and has largely neglected emerging capability gaps.

Strategic renewal may cause unintended crowding out effects of specific capabilities. Managers need to consider these potential implications of strategic renewal.

Understanding the challenges of how to improve the performance of utility services is crucial for economic development, welfare and social inclusion.

This study importantly highlights that the emergence of capability gaps is a common phenomenon rather than an exception in strategic renewal processes. The findings contribute to the strategic renewal literature and to management research in infrastructure sectors.

The purpose of this paper is to investigate the intentional formation of business networks in the wastewater industry. It enriches the theory‐building of the formation of business networks by drawing on theoretical contributions to business networks and capabilities. The paper describes, assesses and predicts scenarios relevant to the formation of business networks in the wastewater industry.

The research methodology employed is based on multiple sources of data in a multi‐method design, interpreting potential scenarios of business networks.

The findings reveal that water scarcity, population growth and economic constrains jeopardize existing business networks in the wastewater industry. Two potential scenarios: re‐inventing the centralized system through on‐site systems for mass‐markets; and expanding on‐site systems into mass‐markets seem realizable. A comparison of the two scenarios suggests that the first scenario is in a superior position to utilize the business opportunities offered.

Research limitations arise from the qualitative nature of the research undertaken.

Capability alignments and barriers suggest that the re‐inventing the centralized system through on‐site systems for mass‐markets scenario, is the most suitable for implementation. The knowledge gained allows managers to outline a specific approach for developing the capabilities required, in order to take advantage of the alignments and overcome the barriers that may exist.

The paper highlights that building theories of business networks may benefit from combining the formation of business networks with dynamic and operational capabilities.

Based on the dynamic capabilities view, the current study aims to empirically investigate the effects of organizational learning culture (OLC), strategic reconfiguration (SREC) and digital transformation (DT), altogether, on Egyptian private hospitals' strategic renewal in the face of the COVID-19 pandemic.

This study adopted a cross-sectional design to collect the data used to carry out mediation analysis. A self-administered questionnaire was used to collect data from a sample consisted of 264 Egyptian private hospitals. The smart partial least square structural equation modeling technique (PLS-SEM) was adopted to test the hypotheses.

The results demonstrate that OLC directly and positively affects SR. Besides, SREC and DT partially and serially mediate the OLC-SR relationship.

The sample size was small, covering only Egyptian private hospitals. The results may be different in the manufacturing sector and in other countries. The study was cross-sectional which is limited to trace long-term effects of OLC, SREC and DT on SR. Accordingly, a longitudinal study may be undertaken.

Private hospitals' managers must actively explore and dig out valuable resources in order to discover potential information and trends endeavor to redesign internal structures, and reconfigure their current resources, structures and strategies to achieve strategic renewal. The findings also provide new insights to mangers of private sectors' institutions and direct their attention toward adopting the strategic renewal option to survive amidst crises instead of retrenchment, persevering, or quitting business.

The study's results imply that health care providers have sought to improve the capacities of their health care systems to address the patient-level social needs through continuous learning, internal reconfigurations and the transformation toward digitalization to renew their services.

This study therefore contributes to SR literature by being the first empirical study to introduce an integrative model for the antecedents of SR amidst the pandemic.