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Book part
Publication date: 10 June 2009

Hans-Gerd Ridder, Christina Hoon and Alina McCandless

Purpose: Case studies are detailed empirical investigations into a complex entity that emphasize the uniqueness of the case and are valuable for making a theoretical contribution…

Abstract

Purpose: Case studies are detailed empirical investigations into a complex entity that emphasize the uniqueness of the case and are valuable for making a theoretical contribution. We aim to reveal the types of theoretical contributions case study research can make to the field of strategy and management and explore how case study design can create the opportunities for making a theoretical contribution.

Methodology/Approach: The dynamic capability approach focuses on the firm-specific processes through which firms integrate, build, or reconfigure resources. A comprehensive review of case studies in this field is conducted in five search engines, resulting in a data set of 13 in-depth case studies.

Findings: We demonstrate that using case studies to extend and refine theory enhances knowledge in the field of dynamic capabilities. In strategy and management research, case studies identify and refine constructs and their relationships, develop and confirm propositions, and embed constructs within a larger set of relationships. We reveal that sampling strategy, research setting, and multiple lenses are aspects of case study design that create opportunities for making a theoretical contribution.

Practical Implications: We suggest that case study researchers strategically and purposefully sample cases, vary the setting conditions, or draw upon numerous research fields to make a theoretical contribution.

Originality/Value of Paper: Going beyond the current discussion, we show that case studies have the potential to extend and refine theory. We shed new light on how dynamic capabilities can benefit from case study research by discovering the antecedents that shape the development of capabilities and determining the boundary conditions of the dynamic capabilities approach.

Details

Research Methodology in Strategy and Management
Type: Book
ISBN: 978-1-84855-159-6

Article
Publication date: 6 May 2020

Madhavi Kapoor and Vijita Aggarwal

The purpose of this paper is to trace the evolution of dynamic capabilities theory in the primal theories of economics and strategic management. Then a comprehensive research…

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Abstract

Purpose

The purpose of this paper is to trace the evolution of dynamic capabilities theory in the primal theories of economics and strategic management. Then a comprehensive research framework is proposed to grapple with the dynamics of the contemporary global markets, incorporating the quintessential elements of the theory, i.e. absorptive capability, innovation capability and adoptive capability.

Design/methodology/approach

The paper is conceptual in nature. It tries to review various economic systems of the world since 1770s till the present era. It also evaluates various theories of international business against dynamic capabilities theory and thus proposes various propositions for future empirical testing.

Findings

The study has delineated various theories tracing in them the roots of dynamic capabilities. Capitalism, communism and socialism is explained to reach the present state of world economy. Various theories such as the theory of creative destruction, transaction-cost approach, resource-based view and knowledge-based view of the firm have been elaborated to identify their features and shortcomings. Finally, the contemporary theory of dynamic capabilities has been elucidated to integrate the shortcomings of the previous theories. A research framework has also been proposed to overcome the recent criticism of the dynamic capabilities theory of having under-specified constructs.

Originality/value

Very few studies have elaborated various economic systems and theories to trace the evolution of dynamic capabilities theory. Thus, this study is original in nature and the proposed research model is also novel which induces further empirical evidence as proposed by the authors.

Details

International Journal of Innovation Science, vol. 12 no. 2
Type: Research Article
ISSN: 1757-2223

Keywords

Article
Publication date: 30 September 2024

Ruchi Mishra and K.B. Kiran

This research endeavors to conduct a thorough and holistic analysis of the foundational elements that empower the cultivation of dynamic capabilities in micro, small and…

Abstract

Purpose

This research endeavors to conduct a thorough and holistic analysis of the foundational elements that empower the cultivation of dynamic capabilities in micro, small and medium-sized enterprises (MSMEs). The purpose of this study is to determine whether these capabilities have a noticeable impact on the sustainable performance of these enterprises. The study aims to support future research efforts in understanding this phenomenon by filling this knowledge gap and presenting a conceptual framework, thereby enhancing the scholarly discourse in this field.

Design/methodology/approach

The study consists of a systematic review of 126 articles meticulously chosen through a series of screening stages employing the Preferred Reporting Items for Systematic Reviews and Meta-Analyses (PRISMA) framework. This examination is conducted within the organized framework of antecedents, decisions and outcomes-theory, context and methods (ADO-TCM), ensuring a structured and comprehensive analysis.

Findings

The study uncovers significant insights, identifying four key antecedents: resource base, organizational learning, managerial expertise and external environment management. These factors are instrumental in fostering dynamic capabilities within the enterprise, leading to sustainable entrepreneurial success and a competitive advantage over rivals.

Research limitations/implications

By comprehending the mechanisms by which dynamic capabilities are established within the enterprise, this study provides a valuable resource for entrepreneurs, professionals and managers, offering them practical insights to leverage.

Originality/value

This systematic literature review is the initial attempt to explain how dynamic capabilities can be used to enhance and accomplish sustainable performance in the context of MSMEs.

Details

Asia-Pacific Journal of Business Administration, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1757-4323

Keywords

Article
Publication date: 29 December 2022

Rajasshrie Pillai and Kailash B.L. Srivastava

The research examines the role of Smart HRM 4.0 in developing dynamic capabilities and its impact on human resources and organizational performance.

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Abstract

Purpose

The research examines the role of Smart HRM 4.0 in developing dynamic capabilities and its impact on human resources and organizational performance.

Design/methodology/approach

The authors used a grounded theory approach and conducted interviews of 39 senior HR managers from IT, ITeS, consulting, services and E-commerce companies through a semi-structured questionnaire. The authors analyzed the interview data with NVivo 8.0 to identify the themes related to the dynamic capabilities to Smart 4.0 HR practices.

Findings

The study provides a conceptual framework for organizational performance using dynamic capabilities built due to Smart HRM 4.0 practices. Organizations use Smart HRM 4.0 to develop dynamic capabilities: building learning and knowledge sharing capability and integration, reconfiguration capabilities. Further, the dynamic capabilities contribute to HR and organizational performance.

Originality/value

This study divulges the role of Smart HRM 4.0 practices in developing dynamic capabilities in Indian firms. The study provides an appealing insight into the structural link between Smart HRM 4.0 and dynamic capabilities, which are yet to be explored. This study extends the Smart HRM 4.0 and dynamic capabilities concepts for senior HR professionals and contributes to human resource management and organizational performance literature.

Details

International Journal of Productivity and Performance Management, vol. 73 no. 2
Type: Research Article
ISSN: 1741-0401

Keywords

Article
Publication date: 26 September 2019

Tim Gruchmann, Stefan Seuring and Kristina Petljak

The food industry and its distribution solutions often lie at the center of sustainability-related arguments. However, little is known about the dynamic role of business…

2187

Abstract

Purpose

The food industry and its distribution solutions often lie at the center of sustainability-related arguments. However, little is known about the dynamic role of business capabilities for sustainable transformations in the context of local food distribution. Accordingly, this study aims to investigate how dynamic capabilities drive sustainable supply chain management (SSCM) business practices in short food supply chains (SFSCs) through the professionalization and expansion of online distribution channels.

Design/methodology/approach

The present study analyzes sustainability-related practices at six online distribution channels selling local food products in Germany and Austria. By applying a cross-case study and theory-elaboration approach, the study analyzes empirical data derived from these businesses and provides insights into how dynamic capabilities can facilitate SSCM practices within SFSCs. Hereby, potential pathways for a sustainable transformation in this industry context are deduced through abductive reasoning.

Findings

The empirical findings provide evidence that supply chain orientation, coordination, innovation practices and strategies are highly relevant for SFSCs seeking to reach upscaling effects in regional markets. However, because SFSCs may not be able to reach mass markets without weakening their own sustainability performance, the present study recommends addressing sustainability inefficiencies in the region and developing further expansion potentials through replication in other regions. In this approach, related and necessary SSCM dynamic capabilities were identified and validated based on the empirical findings.

Originality/value

Although SFSCs include sustainability aspects at their core – particularly regarding resource usage, environmental friendliness and social-standard assurance – missing distribution-related capabilities limit growth such that these businesses often remain in a niche. To address this issue, the study builds on dynamic capabilities theory by identifying and describing core SSCM practices and capabilities; moreover, this study is among the first to elaborate empirically on the use of dynamic capabilities theory in this specific industry context.

Article
Publication date: 5 June 2018

Tim Gruchmann and Stefan Seuring

So far, most of the literature on logistics social responsibility (LSR) has prioritized the examination, classification of and adaption toward positive LSR practices instead of…

2624

Abstract

Purpose

So far, most of the literature on logistics social responsibility (LSR) has prioritized the examination, classification of and adaption toward positive LSR practices instead of investigating necessary logistics service providers’ capabilities to implement LSR strategies. Therefore, the purpose of this paper is to contribute to theory by an assessment of LSR and its linkages to dynamic capabilities theory to gain insights into how logistics service providers can foster an enhanced application of LSR practices.

Design/methodology/approach

The paper is conceptual and grounded on dynamic capabilities theory. Relevant literature from logistics management, supply chain management and sustainable supply chain management (SSCM) as well as dynamic capabilities was examined to build upon existing theory by conceptualizing LSR from a dynamic capabilities perspective. In addition, propositions for future research are presented based on the conceptual model.

Findings

With regards to the controversial discussion in the literature about the direct link between dynamic capabilities and competitive advantage as well as the necessary degree of heterogeneity of dynamic capabilities, the conceptualization of LSR from a dynamic capabilities perspective adds new elements to this discussion. Considering long-term or even sustainable competitive advantage, the current degree of homogeneity across logistics services might hinder a sustainable advantage in the long run and demands for more advanced logistical capabilities. In this line, it is important to understand and utilize the causal relationships between different logistical resources and capabilities to achieve a unique long-term advantage allowing logistics service providers to further enhance LSR practices.

Practical implications

Due to the current role of logistics service providers, they should not just foster their resources focusing on the relationship to the focal firm, but they should also develop and implement new logistical capabilities derived from SSCM-related dynamic capabilities to design alternative service portfolio extensions and new business models.

Originality/value

Although dynamic capabilities have been studied intensively in the last two decades, the causal relationships between different logistical resources and necessary dynamic capabilities to achieve advantages by enhancing LSR practices still lack conceptualization. To build on the understanding of LSR, the paper at hand presents a conceptual framework explaining LSR and SSCM practices through the lens of dynamic capabilities theory.

Details

The International Journal of Logistics Management, vol. 29 no. 4
Type: Research Article
ISSN: 0957-4093

Keywords

Article
Publication date: 20 September 2022

Jun Zhan, Ziyan Zhang, Shun Zhang, Jiabao Zhao and Fuhong Wang

Despite servitization being widely regarded as an essential catalyst to improve manufacturing firms' survival and competitiveness, how to attain servitization remains debatable…

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Abstract

Purpose

Despite servitization being widely regarded as an essential catalyst to improve manufacturing firms' survival and competitiveness, how to attain servitization remains debatable. The primary objective of this research is to explore whether or not, how, and when the dynamic capabilities affect servitization in the digital economy background. This research investigates the relationships between servitization and dynamic capabilities by incorporating firm ownership, firm lifecycle stage, digital economy level and environmental uncertainty as contingency factors in the research framework.

Design/methodology/approach

This research develops and verifies a conceptual framework for manufacturing servitization by employing the fuzzy-set qualitative comparative analysis (fsQCA) in analyzing the secondary longitudinal data from 148 China-listed manufacturing firms involved in servitization from 2015 to 2020.

Findings

The analytical results of fsQCA identify several configurational solutions for the success of manufacturing servitization. Each factor can be an enabler for servitization success despite none of the factors discovered as an absolute condition. Manufacturing servitization success within the digital economy depends on the interactions between dynamic capabilities and contingency factors such as digital economy level, environmental uncertainty, firm ownership, and lifecycle stage.

Research limitations/implications

All of the construct's measurements in this research adopt secondary data, and further investigation calls for primary data (e.g. survey) for higher validity.

Originality/value

This research extends the current view of servitization by proposing an integrative conceptual framework, allowing manufacturing servitization to be examined more pertinently and comprehensively. Second, the research is an initial attempt that adopts fsQCA in servitization studies. The study sheds light on the mechanisms of attaining servitization by revealing the importance of dynamic capabilities and their interactions with the contingency factors. Third, the research extends the application scopes of dynamic capability theory, firm lifecycle theory, contingency theory, and institutional theory. Fourth, the research findings enrich the understanding of servitization in the digital economy and give business practitioners insights on leveraging dynamic capabilities in different conditions to attain successful servitization under the current circumstances.

Details

Industrial Management & Data Systems, vol. 123 no. 1
Type: Research Article
ISSN: 0263-5577

Keywords

Article
Publication date: 10 October 2024

Jiajia Liu, Yahan Wang, Meilin Chen, Zhe Yang and Ye Zhang

According to reputation theory, enterprises that adopt a proactive approach to corporate social responsibility (CSR) are known to actively invest in corporate innovation. However…

Abstract

Purpose

According to reputation theory, enterprises that adopt a proactive approach to corporate social responsibility (CSR) are known to actively invest in corporate innovation. However, this theory does not fully explain the mechanisms through which CSR influences corporate innovation, nor does it address how to effectively amplify CSR’s positive impact on innovation. To overcome these limitations, this research aims to incorporate the theories of innovation investment and dynamic capabilities. Innovation investment theory elucidates how CSR can attract additional financing, which can be directed toward innovation activities. Meanwhile, dynamic capabilities theory highlights how digital transformation in enterprises can enhance the positive effects of CSR on innovation, providing insights from both theoretical and empirical perspectives.

Design/methodology/approach

To demonstrate the mediating role of debt financing costs and the moderating role of enterprise digital transformation in the mechanism of CSR on corporate innovation, this research conducts fixes effects models by collecting 27,912 data points from 3,775A-share China-listed enterprises, ranging in period from 2010 to 2020. Empirical research once again proves that the theories of innovation investment and dynamic capabilities effectively compensates for the shortcomings of reputation theory. These three theories effectively explain that what is the effect of CSR on enterprise innovation? How does CSR influence corporate innovation? And through what mechanisms can CSR better enhance corporate innovation?

Findings

According to innovation investment theory, the cost of debt financing mediates the positive relationship between CSR and corporate innovation. This occurs because enterprises with robust CSR practices are more likely to secure external funding, thereby reducing their costs associated with external debt financing. Lower debt financing costs provide a stable source of funds for corporate innovation. Additionally, dynamic capability theory suggests that enterprise digital transformation moderates the positive relationship between CSR and corporate innovation. Building on these insights, it is recommended that enterprises, especially state-owned ones, should prioritize technological innovation to enhance their competitiveness.

Research limitations/implications

This research aims to address and narrow the knowledge gap regarding the relation between CSR and corporate innovation through theoretical and empirical analyses. With respect to the influence mechanism, this research solely based on innovation investment theory and dynamic capabilities theory, focuses on the influence mechanism of CSR on corporate innovation, with the debt financing costs as the mediating variable and digital transformation as the moderating variable. However, the influence mechanism turns out to be complicated and there is room for further exploring numerous mechanisms. For example, future research can focus on identifying additional channels through which CSR exerts an influence on corporate innovation based on TOE theoretical framework.

Practical implications

This research presents several strategies to enhance corporate innovation based on its conclusions: First, enterprises should promptly publish social responsibility reports to build a positive industry reputation. Moreover, by actively participating in CSR activities, they can strengthen their networks and enhance their industry standing. Second, the significant mediating role of debt financing costs should not be ignored. Enterprises are encouraged to seek diverse financing channels to reduce financial pressures, address financing challenges and facilitate the coordinated development of CSR and innovation. Third, enterprise digital transformation significantly affects the impact of CSR on innovation. Therefore, enterprises should advance digital transformation initiatives that incorporate technological innovation, organizational improvements and integration with supply chain partners. Finally, it has been noted that state-owned enterprises are often less responsive to technological innovation than their non-state counterparts. SOEs could redefine the scope and priorities of their social responsibilities to prevent excessive resource consumption that could hinder innovation. For instance, integrating some of their social responsibilities with innovation projects could promote both social and technological innovation objectives. Additionally, the government could ensure fair resource distribution among different types of enterprises and provide an equitable financing platform to mitigate financial challenges for both state-owned and non-state-owned enterprises.

Originality/value

Reputation theory does not fully elucidate the mechanisms by which CSR influences corporate innovation or how to effectively enhance CSR’s positive impact on innovation. This research integrates the theories of innovation investment and dynamic capabilities to address these gaps. According to innovation investment theory, debt financing costs mediate the positive relationship between CSR and corporate innovation. Meanwhile, dynamic capabilities theory posits that enterprise digital transformation moderates this positive relationship, further strengthening the impact of CSR on innovation.

Details

Chinese Management Studies, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1750-614X

Keywords

Article
Publication date: 4 July 2016

Tatiana Andreeva and Paavo Ritala

The concept of dynamic capabilities emerged from strategic management theory, the aim being to determine how organizations can achieve and sustain competitive advantage in a…

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Abstract

Purpose

The concept of dynamic capabilities emerged from strategic management theory, the aim being to determine how organizations can achieve and sustain competitive advantage in a continuously changing environment. It is widely accepted in the literature that this concept, although extremely popular and potentially powerful, still needs clarification and elaboration. The main criticisms are centered on the lack of understanding of where these capabilities originate and how their dynamism can be sustained in the long run. The purpose of this paper is to bring some novel insights into these issues in bridging the theories of strategic management and change management.

Design/methodology/approach

This paper is based on extensive literature review and bridges dynamic capabilities and change management literatures.

Findings

The paper proposes a distinction between domain-specific and generic dynamic capabilities and puts forward the concept of “organizational change capability” as representing a generic dynamic capability. The nature of such capability is discussed using the insights from organizational change theory.

Originality/value

This paper provides a novel way to examine the sources of capability dynamism both conceptually and empirically by integrating insights from organizational change and dynamic capabilities literatures.

Details

Baltic Journal of Management, vol. 11 no. 3
Type: Research Article
ISSN: 1746-5265

Keywords

Article
Publication date: 19 December 2023

Lahcene Makhloufi

This study is the first to examine how big data analytics (BDA) capabilities affect green absorptive capacity (GAC) and green entrepreneurship orientation (GEO). It uses the…

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Abstract

Purpose

This study is the first to examine how big data analytics (BDA) capabilities affect green absorptive capacity (GAC) and green entrepreneurship orientation (GEO). It uses the dynamic capability view, BDA and knowledge-sharing literature. There is a lack of studies addressing the BDA–GAC and BDA–GEO relationships and their potential impact on green innovation. Continuing the ongoing research discussion, a few studies examined the vital implications of knowledge sharing (KS) on GAC, GEO and green innovation.

Design/methodology/approach

The study used a cross-sectional and stratified random sampling technique to collect data through self-administered surveys among Chinese manufacturing firm employees. The study applied SmartPLS to analyze the obtained data.

Findings

The findings revealed that BDA capabilities positively influence GAC and GEO. In addition, GEO and KS positively impact green innovation. The KS recorded a positive impact on GAC and GEO. Furthermore, GAC and GEO recorded a partial mediating effect.

Practical implications

The study acknowledges that GAC is the backbone of a firm green entrepreneurial orientation, which needs to be aligned with BDA capabilities to anticipate future green business trends. GAC's help drives GEO's green business agenda. KS plays a strategic role in developing GAC, fostering GEO and improving green innovation.

Originality/value

The study highlights the necessity of aligning BDA capabilities to fit firms' GEO green business agendas. This study focuses on the role of BDA capabilities in developing firms' green dynamics capabilities (e.g. GAC), which helps GEO drive superior green business growth. KS develops GAC and boosts GEO to enhance green innovation.

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