Takahashi, A.R.W. and Correa, M. (2021), "Guest editorial", Innovation & Management Review, Vol. 18 No. 2, pp. 110-112. https://doi.org/10.1108/INMR-04-2021-177
Emerald Publishing Limited
Copyright © 2021, Adriana Roseli Wünsch Takahashi and Marcos Correa.
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Dynamic capabilities, entrepreneurship and innovation: exploring different levels of analysis
We are pleased to introduce this special section on dynamic capabilities. The dynamic capabilities perspective aims to understand how resources, competences, routines and knowledge shape the innovation process and the competitive advantage in dynamic environments (Felin, Foss, Heimeriks, & Madsen, 2012; Vogus & Rerup, 2017; Teece, 2012, 2018; Zollo & Winter, 2002). The research on dynamic capabilities has grown in recent years, and it is considered a relevant perspective for analyzing the strategic renewal and the sustainable growth of organizations (Teece, Pisano, & Shuen, 1997; Teece, 2018; Makadok, 2001; Helfat & Peteraf, 2003; Wilden, Devinney, & Dowling, 2016).
The evolutionary perspective has been orienting many studies on dynamic capabilities, primarily relying on the macro analysis (Regnér, 2008). To respond to this perspective’s criticism, regarding the indeterminacy and tautology of dynamic capabilities (Arend & Bromiley, 2009; Barreto, 2010; Meirelles & Camargo, 2014), many scholars have been focusing on the analysis of microfoundations (Felin & Foss, 2005; Felin, Foss, & Ployhart, 2015; Foss, 2016). Therefore, there is a research gap about how micro-actions shape macro-outcomes.
Although the dynamic capabilities literature has focused on CEOs or the top management teams (Adner & Helfat, 2003; Teece, 2014; Helfat & Peteraf, 2015). However, there are not enough studies on how different organizational actors (managers, suppliers, customers, among other actors) support the development of dynamic capabilities (MacLean, MacIntosh, & Seidl, 2015).
Exploring the theoretical and methodological gaps regarding the nature and microfoundations of dynamic capabilities, especially the recursiveness between the micro and macro dimensions of the strategy, can bring new insights into how organizations deal with change processes (Parmigiani & Howard-Grenville, 2011; Salvato & Rerup, 2011; Jarzabkowski, Lê, & Spee, 2016). Thus, this special call fostered submissions of papers that explore different levels of analysis to contribute to the understanding of the dynamic nature of these capabilities in organizations situated in rapidly changing business environments, where innovation has a pivotal role.
We invited theoretical and empirical papers that explore different levels of analysis through quantitative and qualitative methodologies. Many papers were submitted both from Brazil and abroad to compose this special section, yet only a couple of them composes this special section. This section includes the following articles:
The paper titled “Identification of Dynamic Capabilities in Open Innovation” by Edson Aro and Gilberto Perez aims to understand how capabilities in the practice of open innovation are related to dynamic capabilities. Using the qualitative methodology and grounded theory, the authors analyzed the practice of open innovation by 3 M Brazil and Natura. As recently highlighted by Teece (2020), the integration between these perspectives can help understand how internal and external resources are combined to achieve sustainable competitive advantage. As a result, the authors identified nine open innovation capabilities related to sensing, seizing and transforming capabilities.
The paper titled “Capabilities and Skills to Orchestrate Innovation Networks” by Taisson Toigo, Douglas Wegner, Silvio B. da Silva e Felipe Zarpelon aims to address the important role of inter-organizational relations by presenting a theoretical analysis of a hub organization’s capabilities and skill in an innovation network. The authors analyzed 69 articles from a search on Scopus, Web of Science and Google Scholar platforms. Through a theoretical discussion, the authors presented a model for orchestrating innovation networks to advance the understanding of the microfoundations dimensions of dynamic capabilities.
Finally, we aimed to demonstrate the relevance of considering the microfoundations of dynamic capabilities to understand how organizations change over time to achieve a sustainable competitive advantage. This special section presents papers that contribute to understanding the different levels of analysis around the innovation process. We expect these papers to inspire future studies exploring dynamic capabilities as patterns of action produced by different organizational actors. Good reading! The editors.
Adner, R., & Helfat, C. E. (2003). Corporate effects and dynamic managerial capabilities. Strategic Management Journal, 24(10), 1011–1025, doi: 10.1002/smj.331.
Arend, R., & Bromiley, P. (2009). Assessing the dynamic capabilities view: Spare change, everyone? Strategic organization. Strategic Organization, 7(1), 75–90, doi: 10.1177/1476127008100132.
Barreto, I. (2010). Dynamic capabilities: A review of past research and an agenda for the future. Journal of Management, 36(1), 256–280, doi: 10.1177/0149206309350776.
Felin, T., & Foss, N. (2005). Strategic organization: A field in search of micro‐foundations. Strategic Organization, 3(4), 441–455, doi: 10.1177/1476127005055796.
Felin, T., Foss, N. J., Heimeriks, K. H., & Madsen, T. L. (2012). Microfoundations of routines and capabilities: Individuals, processes, and structure. Journal of Management Studies, 49(8), 1351–1374, doi: 10.1111/j.1467-6486.2012.01052.x.
Felin, T., Foss, N. J., & Ployhart, R. E. (2015). The microfoundations movement in strategy and organization theory. The Academy of Management Annals, 9(1), 575–632, doi: 10.5465/19416520.2015.1007651.
Foss, N. J. (2016). Reflections on a decade of microfoundations research. Revista de Administração, 51(1), 117–120, doi: 10.5700/RAUSP1227.
Helfat, C. E., & Peteraf, M. A. (2003). The dynamic resource‐based view: Capability lifecycles. Strategic Management Journal, 24(10), 997–1010, doi: 10.1002/smj.332.
Helfat, C. E., & Peteraf, M. A. (2015). Managerial cognitive capabilities and the microfoundations of dynamic capabilities. Strategic Management Journal, 36(6), 831–850, doi: 10.1002/smj.2247.
Jarzabkowski, P., Lê, J., & Spee, P. (2016). Taking a strong process approach to analyzing qualitative process data. The SAGE Handbook of Process Organization Studies, 237, doi: 10.4135/9781473957954.n15.
Makadok, R. (2001). Toward a synthesis of the resource‐based and dynamic‐capability views of rent creation. Strategic Management Journal, 22(5), 387–401, doi: 10.1002/smj.158.
Meirelles, D. S., & Camargo, A. A. B. (2014). Capacidades dinâmicas: O que são e como identificá-las?. Revista de Administração Contemporânea, 18(spe), 41–64, doi: 10.1590/1982-7849rac20141289.
MacLean, D., MacIntosh, R., & Seidl, D. (2015). Rethinking dynamic capabilities from a creative action perspective. Strategic Organization, 13(4), 340–352, doi: 10.1177/1476127015593274.
Parmigiani, A., & Howard-Grenville, J. (2011). Routines revisited: Exploring the capabilities and practice perspectives. Academy of Management Annals, 5(1), 413–453, doi: 10.5465/19416520.2011.589143.
Regnér, P. (2008). Strategy-as-practice and dynamic capabilities: Steps towards a dynamic view of strategy. Human Relations, 61(4), 565–588, doi: 10.1177/0018726708091020.
Salvato, C., & Rerup, C. (2011). Beyond collective entities: Multilevel research on organizational routines and capabilities. Journal of Management, 37(2), 468–490, doi: 10.1177/0149206310371691.
Teece, D. J., Pisano, G., & Shuen, A. (1997). Dynamic capabilities and strategic management. Strategic Management Journal, 18(7), 509–533, doi: 10.1002/(SICI)1097-0266(199708)18:7<509::AID-SMJ882>3.0.CO;2-Z.
Teece, D. J. (2012). Dynamic capabilities: Routines versus entrepreneurial action. Journal of Management Studies, 49(8), 1395–1401, doi: 10.1111/j.1467-6486.2012.01080.x.
Teece, D. J. (2014). A dynamic capabilities-based entrepreneurial theory of the multinational enterprise. Journal of International Business Studies, 45(1), 8–37, doi: 10.1057/jibs.2013.54.
Teece, D. J. (2018). Business models and dynamic capabilities. Long Range Planning, 51(1), 40–49, doi: 10.1016/j.lrp.2017.06.007.
Teece, D. J. (2020). Hand in glove: Open innovation and the dynamic capabilities framework. Strategic Management Review, 1(2), 233–253.
Vogus, T. J., & Rerup, C. (2017). Sweating the “small stuff”: High-reliability organizing as a foundation for sustained superior performance. Strategic Organization, 16(2), 227–238, doi: 10.1177/1476127017739535.
Wilden, R., Devinney, T. M., & Dowling, G. R. (2016). The architecture of dynamic capability research identifying the building blocks of a configurational approach. The. Academy of Management Annals, 10(1), 997–1076, doi: 10.5465/19416520.2016.1161966.
Zollo, M., & Winter, S. G. (2002). Deliberate learning and the evolution of dynamic capabilities. Organization Science, 13(3), 339–351, doi: 10.1287/orsc.13.3.339.2780.