Dynamic capabilities: A morphological analysis framework and agenda for future research
TL;DR: In this paper, the authors synthesize the diverse scholarly literature about dynamic capabilities (DCs) and develop a more integrated understanding to minimize the reported apparent vagueness, and apply morphological analysis (MA) to develop a multi-dimensional conceptual framework comprising five dimensions and 26 variants that enable a structured representation of the conceptual foundations of DCs.
Abstract: The growth, diversity and applications of research into dynamic capabilities (DCs) have resulted in the whole literature on DCs becoming a complex and disconnected body of knowledge. This has led to criticisms of the subject of DCs as being vague, tautological and without practical value. Hence, the purpose of this paper is to synthesize the diverse scholarly literature about DCs and develop a more integrated understanding to minimize the reported apparent vagueness.,In this paper, the authors review various relevant themes on DCs using a selection of 133 articles published in 22 recognized, top-tier management journals during the period between 1990 and 2016, with an aim to build a structured and integrated theory. For this, morphological analysis (MA), a systems-thinking technique, is applied.,MA is applied to develop a multi-dimensional conceptual framework comprising five dimensions and 26 variants that enable a structured representation of the conceptual foundations of DCs. Further, the authors identify 81 individual DCs noted by various scholars; elucidate assumptions and antecedents relevant to the DCs approach; structure the key characteristics; and expound the input factors, impacting factors, desired outcomes and assessment yardsticks.,This would be a useful resource for researchers working in the area of DCs to explore opportunities for future research.,The MA framework helps managers to look at DCs more holistically, and hence would help them in developing, managing and retaining DCs in organizations.,This study is the original work contributed by the authors and has no specific organizational reference. This research implies new directions to look beyond individual DCs in firms toward a more integrated theory building.
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01 Jan 2009
TL;DR: In this article, the authors empirically measure four dynamic capabilities and find that the nature and effect of resources employed in the development of these capabilities vary greatly, with positive effects stemming from access to particular resources and unexpected negative effects also appearing.
Abstract: Despite the numerous observations that dynamic capabilities lie at the source of competitive advantage, we still have limited knowledge as to how access to firm-based resources and changes to these affect the development of dynamic capabilities. In this paper, we examine founder human capital, access to employee human capital, access to technological expertise, access to other specific expertise, and access to two types of tangible resources in a sample of new firms in Sweden. We empirically measure four dynamic capabilities and find that the nature and effect of resources employed in the development of these capabilities vary greatly. For the most part, there are positive effects stemming from access to particular resources. However, for some resources, such as access to employee human capital and access to financial capital, unexpected negative effects also appear. This study therefore provides statistical evidence as to the varying role of resources in capability development. Importantly, we also find that changes in resource bases have more influential roles in the development of dynamic capabilities than the resource stock variables that were measured at an earlier stage of firm development. This provides empirical support for the notion of treating the firm as a dynamic flow of resources as opposed to a static stock. This finding also highlights the importance of longitudinal designs in studies of dynamic capability development. Further recommendations for future empirical studies of dynamic capabilities are presented.
303 citations
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TL;DR: It is argued that experience codification gives rise to inertial forces that hamper the customization of routines to any given acquisition, and that successful acquirers develop higher-order routines that prevent the generalization of inapplicable ('zero-order') codified routines.
Abstract: Building on the codification and dynamic capabilities literatures, we pursue deeper insight into the underlying mechanisms of deliberate learning in the context of postacquisition integration. We argue that experience codification gives rise to inertial forces that hamper the customization of routines to any given acquisition. We theorize, therefore, that successful acquirers develop higher-order routines-as manifested in two complementary sets of concrete organizational practices-that prevent the generalization of inapplicable ('zero-order') codified routines. After drawing on in-depth qualitative data to help build our theoretical argument, we test it formally with unique survey data on 85 active acquirers.
160 citations
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TL;DR: In this article, the authors extend the dynamic capability view and research on organizational path dependence by arguing that path dependence can be a property of capabilities when a contingently-triggered capability path is subject to self-reinforcement (i.e., a set of positive and negative mechanisms that increases the attractiveness of a path relative to others).
Abstract: This paper extends the dynamic capability view and research on organizational path dependence by arguing that path dependence can be a property of capabilities when a contingently-triggered capability path is subject to self-reinforcement (i.e. a set of positive and negative mechanisms that increases the attractiveness of a path relative to others). The paper introduces an evolutionary perspective, which specifies the underlying selection mechanisms of the property of path dependence in internal and external firm environments. This theorization sheds new light on three paradoxes that currently blur the theoretical contribution of path dependence to research at the managerial, organizational, and industry levels: (1) the problematic coexistence of path irreversibility and managerial intentionality; (2) the ambivalent strategic value of lock-in with regard to competitive advantage; and (3) the relative homogeneity in observed dynamic capabilities, despite their (possible) path dependence that should lead to a wider variety of outcomes owing to the presence of contingency. We highlight the contributions of this perspective to strategic management research and evolutionary theories.
138 citations
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TL;DR: In this article, the authors of the two seminal papers represent not only different but contradictory understandings of the construct's core elements, and they explore the reasons for this, using author cocitation analysis to inform their analysis.
Abstract: A critical issue has been absent from the conversation on dynamic capabilities: the two seminal papers represent not only different but contradictory understandings of the construct's core elements Here, we explore the reasons for this, using author cocitation analysis to inform our analysis Our findings suggest that the field is being socially constructed on the basis of two separate domains of knowledge and that underlying structural impediments have impeded dialog across the domains In light of this evidence, then, we take up the challenge to find a solution to this dilemma By employing a contingency-based approach, we show that there are ways to unify the field that rely, paradoxically, on integrating the two contradictory views, while still preserving the assumptions that led to their differences
94 citations
TL;DR: Wang et al. as mentioned in this paper examined the effects of green human resource practices and green innovation culture on firm green performance and found that green innovation which includes green product innovation culture and green process innovation culture enhances the firm's green performance.
67 citations
References
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TL;DR: The effectiveness and the efficiency of the lean roll-out processes: first, negatively co-vary with the degree of lean knowledge codification; second, positively co-volatile with the degre...
Abstract: Purpose – Adopting a knowledge-based perspective, the purpose of this paper is to investigate the roll-out process of lean production systems and explores the dimensions that might enhance or hinder its performance. It develops a framework to understand and design lean roll-out processes, identifying the research dimensions/design variables to classify and interpret such processes. Design/methodology/approach – This exploratory multiple case study analyses seven lean roll-out processes in multinational companies’ plants. An original data set, developed on the basis of a purposely design research protocol, was built through two rounds of plant visits and structured interviews. The cross-case analysis compares and contrasts the lean roll-out processes according to the research dimensions constituting the framework. Findings – The effectiveness and the efficiency of the lean roll-out processes: first, negatively co-vary with the degree of lean knowledge codification; second, positively co-vary with the degre...
66 citations
TL;DR: In this paper, the authors examined the use of top executive audits (TEAs) as part of hoshin kanri (policy management) at Nissan South Africa (NSA) in terms of how the firm defines its core areas, evaluates its business methodologies and management philosophies, and conducts its diagnosis of management.
Abstract: Purpose – The purpose of this paper is to examine the use of top executive audits (TEAs) as part of hoshin kanri (policy management) at Nissan South Africa (NSA). It relates these to the emerging importance of core competencies in the resource‐based view of strategy to discuss “nested” sets of dynamic capabilities and superior performance.Design/methodology/approach – The case study of NSA is considered in terms of how the firm defines its core areas, evaluates its business methodologies and management philosophies, and conducts its diagnosis of management. This was through real time internal company observation during an intensive phase of organizational change and documentation supplied by a senior manager.Findings – The style of TEAs at Nissan is related to the concepts of “core competency” and “dynamic capability.” The core business areas of NSA are organization‐wide competencies necessary for competitive success, and the management of these is shown to be most effective in the form of a TEA, which in...
63 citations
TL;DR: The dynamic capability of resource allocation to invest in operational capabilities is examined and it is found that endowment and search ability both matter, and that in many circumstances, the effects of possessing a superior endowment dominate the effect of superior search ability.
Abstract: In this research, we examine the dynamic capability of resource allocation to invest in operational capabilities. Using a computer simulation, we model a process of firms competing in factor markets for opportunities to invest in existing capabilities and acquire new ones. Based on the simulation results, we derive a set of propositions about the conditions under which there are and are not performance benefits from possessing a superior ability to search for new capabilities. Because the definition of what constitutes a new capability is based on a firm's preexisting capabilities, we also incorporate differences in initial endowments into the analysis. We find that endowment and search ability both matter, and that in many circumstances, the effects of possessing a superior endowment dominate the effects of superior search ability.
62 citations
TL;DR: An approach that combines finite mixture partial least squares analysis with fuzzy-set qualitative comparative analysis to assess the performance impact of dynamic capability configurations, conditional on certain levels of environmental dynamism is outlined.
61 citations
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59 citations