This paper aims to add to the understanding of dynamic capabilities (DC) as sources of competitive advantage of successful Asian-Pacific shipping companies by demonstrating that DC…
Abstract
Purpose
This paper aims to add to the understanding of dynamic capabilities (DC) as sources of competitive advantage of successful Asian-Pacific shipping companies by demonstrating that DC development unfolds in three steps, from recognition that the environment has changed, to the decision to deploy DC, to assets re-orchestration.
Design/methodology/approach
Based on an approach involving two illustrative case studies, the author analyzed DC development of Chinese and Singaporean-based shipping groups in depth. The analysis was centered on DC by investigating how strategic decision-making on vertical integration, diversification and implementation of new technologies can be underpinned by developing DC to create sustained advantages.
Findings
The author found that strategic components of DC are rooted in strategic decision-making to initiate changes on the corporate and even on an operational level.
Research limitations/implications
While capability development is thoroughly studied, capability erosion has not been integrated into the research. The exploration of human capital as a firm’s idiosyncratic resource in assets orchestration capabilities can be future work.
Practical implications
The proposed research contributes to the debate on micro foundations of DC and provides insights for practitioners striving for retaining competitive advantages.
Social implications
Regarding implications for the society, the research shows how the DC serve to generate competitive advantages. The author has presented a logical structure of the competitive advantage paradigm as a product of DC and business models that can be useful to decision makers.
Originality/value
The research offers insights into the composition of micro foundations of DC and demonstrates that DC can be unbounded into well-known and concrete strategic and operational management activities.
Details
Keywords
Bader Alhammadi, Khalizani Khalid, Syed Zamberi Ahmad and Ross Davidson
This paper aims to adopt the dynamic capabilities view to investigate the relationship between managerial ties (i.e. business and political ties), dynamic capabilities and…
Abstract
Purpose
This paper aims to adopt the dynamic capabilities view to investigate the relationship between managerial ties (i.e. business and political ties), dynamic capabilities and innovation climate on ambidextrous innovation (i.e. balanced and combined ambidextrous innovation), in the renewable and sustainable energy context. It also examines the mediating effects of dynamic capabilities between managerial ties and ambidextrous innovation (i.e. balanced and combined ambidextrous innovation), and moderating effects between dynamic capabilities and ambidextrous innovation relationships.
Design/methodology/approach
Multilevel analyses conducted using AMOS 26 on 288 employees working in 47 UAE energy firms.
Findings
Results found that business ties influences balanced and combined ambidextrous innovation indirectly, whereas political ties only impact combined ambidextrous innovation indirectly through dynamic capabilities. Dynamic capabilities insignificantly mediated managerial ties–ambidextrous innovation and political ties–balanced ambidextrous innovation relationships, with stronger indirect effect on combined than on the balanced dimension. Findings also indicate that innovation climate is the crucial moderator between dynamic compatibilities and ambidextrous innovation, as well as balanced and combined ambidextrous innovation, with stronger effect on balanced dimension than the combined.
Originality/value
This study addresses recent calls by highlighting the role of dynamic capabilities, an important yet underexplored organizational capabilities in the innovation and ambidexterity literature. Also, this study advances insight into how balanced and combined exploration–exploitation innovation and dynamic capabilities are connected and enhances the understanding into how organizational factors stimulate dynamic capabilities leading to superior innovation.
Details
Keywords
Gernot M. Stadtfeld and Tim Gruchmann
The research on supply chain resilience (SCRES) has gained momentum after organizations have experienced more frequent and severe disruptions, especially with COVID-19 and the…
Abstract
Purpose
The research on supply chain resilience (SCRES) has gained momentum after organizations have experienced more frequent and severe disruptions, especially with COVID-19 and the Russia/Ukraine conflict. Due to its potential for new practices and capability building, SCRES requires dynamic capabilities (DC) to enable an organization to prepare for, counter, and recuperate from disruptions leading to performance improvements and competitive advantage.
Design/methodology/approach
The present literature study seeks to enrich the theoretical debate on DC in SCRES, contributing to an advanced understanding of SCRES. Therefore, a meta-review of 83 peer-reviewed literature reviews has been conducted. Based on qualitative content analysis and abductive reasoning, relevant constructs are synthesized to facilitate theory-building for SCRES DC into a comprehensive framework.
Findings
The analysis reveals that SCRES has developed into an independent research area. Thus, resilience capabilities must be considered bundles of practices, evolving from different areas beyond supply chain risk management (SCRM). Most recent literature reviews on SCRES address more than one practice bundle applying SCRES DC as antecedents of new DC when organizational structures become more mature, leading to path dependencies when building business capabilities.
Originality/value
Aggregating extant literature on SCRES into a theoretical framework, the study contributes to a better understanding of the relationships between DC and SCRES practices while offering potential avenues for future research. It enriches DC theory by extending its microfoundations towards a holding/buffering dimension, which particularly accounts for the stability-based view of SCRES.
Details
Keywords
Aziz Fajar Ariwibowo, Adi Zakaria Afiff, Riani Rachmawati and Ratih Dyah Kusumastuti
The interest of scholars to study microfoundations of dynamic capability has increased. Literatures associated with them are rapidly and diversely developing. This study aims to…
Abstract
Purpose
The interest of scholars to study microfoundations of dynamic capability has increased. Literatures associated with them are rapidly and diversely developing. This study aims to investigate whether both boundary spanning activities and resource orchestration are the microfoundations of dynamic capability.
Design/methodology/approach
A systematic literature review using preferred reporting items for systematic reviews and meta-analyses (PRISMA) guideline is applied to extract 263 studies from Scopus and 12 studies from other online sources. Some studies investigate some of the relationships but only one investigates all relationships examined.
Findings
Further discussion suggests that boundary spanning activities and resource orchestration are microfoundations of dynamic capability. The first and second groups of boundary spanning activities (scout and ambassador) and the first stage of resource orchestration (structuring/search/selection) are microfoundations of sensing/shaping. Third group, task coordinator, with some elements of the second stage, leveraging and all elements of third stage, bundling, are microfoundations of seizing. Meanwhile, some other elements of second stage, leveraging, are microfoundations of reconfiguring. Guard, the fourth group of boundary spanning activities, is excluded from microfoundations of dynamic capability because of its nature of internal activities to keep things from the environment.
Originality/value
This study is an original review of literatures about both boundary spanning activities and resource orchestration as microfoundations of dynamic capability. The paper starts with a systematic literature review on four relationships examined and ends up with deep further analysis on the elements of activities groups of boundary spanning, stages of resource orchestration and process groups of dynamic capability.
Details
Keywords
Lars Schweizer, Shalini Rogbeer and Björn Michaelis
This paper aims to show how researchers can overcome problems of fragmentation and eclecticism in an important strategy paradigm, namely, the Dynamic Capabilities (DC…
Abstract
Purpose
This paper aims to show how researchers can overcome problems of fragmentation and eclecticism in an important strategy paradigm, namely, the Dynamic Capabilities (DC) perspective.
Design/methodology/approach
First, the explanandum of the theory of DC, conceptualized as a theory of strategic change, is generates. Second, four main constituent theoretical perspectives of DC were selected and their explanans on the explanandum of a theory of strategic change was mapped. Third, the explanans of a theory of strategic change was parsed out to derive the critical fragmentation sources as illustrated by the classical papers in DC.
Findings
First, consistent explanans of a theory of strategic change are integrated to build a meta-theory of strategic change. Second, testable propositions based on the meta-theory, in the context of industry convergence, a context which requires the development of dynamic capabilities in an uncertain and changing environmental context are developed.
Originality/value
By developing a meta-theory of strategic change, researchers are provided with the tools to overcome the confusion of fragmentation and eclecticism, specifically in the field of strategy research.
Details
Keywords
Bindu Singh and Pratibha Verma
This study examines how intellectual capital (IC) drives firm performance via the lens of dynamic capabilities (DCs). Drawing on resource-based view (RBV) and dynamic capability…
Abstract
Purpose
This study examines how intellectual capital (IC) drives firm performance via the lens of dynamic capabilities (DCs). Drawing on resource-based view (RBV) and dynamic capability view (DCV), the authors elaborate the mediating role of learning, integration and reconfiguration DC in the Indian banking context.
Design/methodology/approach
A sample of 358 top- and middle-level managers from the Indian banking sector was administered with structured questionnaires for data collection. Structural equation modeling (SEM) and Sobel test were used to analyze the data and test the hypothesized mediating effect.
Findings
The findings reveal that learning and integration DCs are key mediators in IC and banks' performance relationships in an emerging economy context. In contrast, the analysis revealed partial mediating role of reconfiguration DC. Furthermore, the learning DC has been identified as the primary mediating mechanism for transforming bank's IC into performance benefits.
Practical implications
This study provides an important implication for the IC and DC link by empirically developing and validating a model in the Indian banking sector and making a several contributions to the related literature. This sector needs to incorporate and strengthen their IC and DCs to attain enhanced performance in today's dynamic environment. Bank managers can use these findings to bring their knowledge-related activities to channelize specific DCs to transform banks' IC when seeking to improve overall performance. Theoretically, this study extends previous research by outlining a set of organizational elements that tend to influence firm performances with the help of IC, learning, integration and reconfigurations DCs.
Originality/value
Although several studies have investigated the links between IC, DC and firm performance, studies on emerging economies are scarce. This study is one of the most in-depth investigations of the relationship between IC, learning, integration and reconfiguration DCs and firm performance in an integrated framework, with a particular focus on the banking sector of an emerging economy.
Details
Keywords
Niklaus Leemann and Dominik K. Kanbach
This paper aims to categorize and organize dynamic capabilities that have been inductively identified in empirical research into a comprehensive taxonomy. Thus, it addresses calls…
Abstract
Purpose
This paper aims to categorize and organize dynamic capabilities that have been inductively identified in empirical research into a comprehensive taxonomy. Thus, it addresses calls in the literature for a better understanding of dynamic capabilities and integration of scattered empirical findings into theory.
Design/methodology/approach
A systematic literature review approach was adopted, with a total of 34 articles published between August 2007 and April 2020, from which 240 idiosyncratic dynamic capabilities were identified. The taxonomy was constructed using the Gioia-method.
Findings
The main finding is a three-level taxonomy of dynamic capabilities (DC). Level DC-1 is based on the existing triad of sensing, seizing and transforming. Level DC-2 is newly introduced to the literature by this study, consisting of 19 dynamic sub-capabilities that categorize and organize all 240 idiosyncratic dynamic capabilities in the sample (level DC-3). The taxonomy supports the existing claim that dynamic capabilities are common in key features and idiosyncratic in details. Moreover, theoretical connections to business model innovation and ambidexterity are indicated.
Practical implications
This study integrates scattered empirical findings of specific dynamic capabilities and translates them to a practitioner audience. The taxonomy allows the strategic manager to understand what they specifically are and, thus, assess the dynamic capability endowment of the firm which allows deploying, developing and fostering them.
Originality/value
The taxonomy provides a comprehensive and tangible picture of what dynamic capabilities look like in practice. It improves existing knowledge and understanding by bridging the rigor-relevance gap between rather rigorous conceptual literature and rather relevant empirical research as it integrates them. As such, it can serve as a “map” of dynamic capabilities for scholars and practitioners.
Details
Keywords
Xinmeng Liu, Suicheng Li, Xiang Wang and Cailin Zhang
Data transformation has prompted enterprises to rethink their strategic development. Scholars have frequently acknowledged the vast potential value of supply chain data and…
Abstract
Purpose
Data transformation has prompted enterprises to rethink their strategic development. Scholars have frequently acknowledged the vast potential value of supply chain data and realised that simply owning data resources cannot guarantee excellent innovation performance (IP). Therefore, this study focussed on the mediating and moderating issues between data-driven supply chain orientation (DDSCO) and IP. More specifically, the purpose was to explore (1) whether DDSCO promotes enterprise innovation through dynamic and improvisational capabilities and (2) how information complexity (INC) plays a moderating role between capabilities and performance.
Design/methodology/approach
An empirical study was performed using the results of a questionnaire survey, and a literature review was used to build the premises of this study. A sample was conducted on 296 Chinese enterprises, and the data collected were used to test the hypothesis by successive regression.
Findings
This research has implications for the theoretical development of DDSCO, as well as the dynamic capabilities (DC) and improvisation capabilities (IC) in innovation strategic literature. The empirical results show that DDSCO has a direct, positive impact on both DC and IC, which thus positively impact IP. Meanwhile, IC has a negative moderating effect on the path joining DC and IP. Conversely, IC has a positive moderating effect on the path joining IC and IP.
Research limitations/implications
Although this study has limitations, it also creates opportunities for future research. The survey comes from different industries, so the possibility of unique influences within industries cannot be ruled out. Second, the authors' survey is based on cross-sectional data, which allow for more comprehensive data verification in the future. Third, this study also provides opportunities for future research, because it proves that DC and IC, as partial mediators of DDSCO and IP, can mine other paths of the data-driven supply chain in IP. For example, the perspective of the relationship between supply chain members, knowledge perspective, etc.
Practical implications
The research findings offer a novel perspective for enterprise managers. First, enterprises can leverage supply chain data to gain competitive advantages in innovation. Second, it is imperative for enterprises to acknowledge the significance of developing dynamic and IC. This also requires enterprises to acknowledge innovations in DDSCO necessitate a focus on dynamic and IC. Third, it is recommended that managers take into account both sides of IC and encourage enterprises to prioritise the utilisation of IC.
Originality/value
Empirical research results revealed how DDSCO improves IP and is an extension of digital transformation in the supply chain field, providing new opportunities and challenges for enterprise innovation. It can also expand the enterprise's understanding of DDSCO. Second, based on resource-based theory, it is possible to develop and test theoretical arguments regarding the importance of dynamic and IC as intermediaries in the DDSCO-IP. Third, the authors conducted simulations of highly dynamic data environments to develop and test theoretical arguments about the importance of IC as a moderator of capabilities-performance relationships.
Details
Keywords
Dilnaz Muneeb, Amira Khattak, Karim Wahba, Shahira Abdalla and Syed Zamberi Ahmad
To cope with the existing pandemic situation and to be organizationally responsive, firms need to be strategically flexible, where they need to develop dynamic capabilities (DCs…
Abstract
Purpose
To cope with the existing pandemic situation and to be organizationally responsive, firms need to be strategically flexible, where they need to develop dynamic capabilities (DCs) by continuously reconfiguring their resource base. To address such challenges, firms heavily rely on information and communication technologies (ICT) because of advancement in disruptive technologies. This study aims to explore techniques used by higher education institutional (HEI) leaders to successfully address challenges posed by global disruption, i.e. COVID-19 with the help of advanced ICT software such as Zoom, Google Meet and Microsoft Teams.
Design/methodology/approach
A qualitative approach was adopted to explore strategic factors such as strategic flexibility (SF) and DC that disclose shortcomings in the current extant literature. A total of 15 interviews were conducted with heads of departments of HEIs in the United Arab Emirates. Data were analyzed using NVivo software.
Findings
The findings suggested three dimensions of SF (resources, operational and collaborative) and four dimensions of DC (strategic planning, innovative, adaptability and technological) for firms to adopt to be strategically flexible, where DC serves as building blocks of SF.
Originality/value
This research provides a framework as an avenue for future researchers and practitioners on how to strategically manage their resources and be strategically flexible in turbulent environment such as pandemics. Theory-based investigations on strategic capabilities and DC from resource-based perspective are still under-researched, emphasizing the need for theoretically based research on strategic responsiveness, especially during the times of environmental complexities such as COVID-19 pandemics. This research enriches strategic management research by exploring the important antecedents of organizational responsiveness, including SF and DC together with the support of human factor, i.e. leadership qualities of HEIs managers. This study, to the best of the authors’ knowledge, is among the first to systematically explore main dimensions of DC and SF based on the resource-based theory of strategic management in the Middle Eastern context.
Details
Keywords
Dilnaz Muneeb, Syed Zamberi Ahmad, Abdul Rahim Abu Bakar and Shehnaz Tehseen
This study aims to provide insights on the importance of reconfiguring new and existing enterprise resources in a heterogeneous manner. This will lead to improved efficiencies…
Abstract
Purpose
This study aims to provide insights on the importance of reconfiguring new and existing enterprise resources in a heterogeneous manner. This will lead to improved efficiencies, strategies and resource usage as such leading to more synergetic and innovative outcomes. This study highlights the importance of dynamic capabilities (DC) during the process of resources recombination (RR). It suggests that DC can be a source of competitive advantage, but the effect is contingent on the RR capabilities of enterprises.
Design/methodology/approach
Data were obtained from 349 faculty members of higher education institutions (HEIs) from seven states in the United Arab Emirates (UAE). Partial least squares structural equation modeling (PLS-SEM) using SmartPLS was employed as a statistical tool to analyze the structural model.
Findings
The findings confirm the proposed role of DC in the realization of RR, in integrating and reconfiguring internal and external organizational skills and resources for efficiency and performance, since DC helps RR to reconfigure the resource base by extending, creating, and modifying innovative RRs.
Practical implications
The study has important implications for resource managers and policymakers of HEIs. By prioritizing DC, firms can develop novel products and services as a result of a heterogenous mix of new RR. Additionally, since firms have limited resources in ever-changing, complex environmental conditions, this study provides explicit directions on how enterprises can strategically manage their resources in an innovative manner to attain a sustainable competitive advantage.
Originality/value
Insights from the DC and RR perspective in HEI sectors, particularly in the Middle East region, are scarce. This is the first empirical study to delve in this area and exemplify the relationship between these significant constructs.