A study of how ICT capabilities can influence dynamic capabilities

An SLR of firm ambidexterity: organizing a future research path forward

Purpose

Given that the literature in terms of business ambidexterity is continually growing, the of this paper is to identify the future research suggestions made by several authors with regard to ambidexterity and to group them into meaningful themes.

Design/methodology/approach

A systematic literature review (SLR) of peer reviewed journal articles in the field of ambidexterity was conducted. A total of 128 relevant articles were selected, which were published in 58 journals over the past 2 decades (2000–2021).

Findings

The plethora of the future research suggestions made by several authors with regard to ambidexterity are analytically presented. Moreover, based on these suggestions, meaningful future research themes were revealed and these were further classified into three broad categories, namely “factors influencing the adoption of ambidexterity and its success”, “the types of ambidexterity” and “the effects of ambidexterity”.

Research limitations/implications

The subjectivity of grouping the future research suggestions into themes as well as not examining the interrelationships among these themes, are limitations of the present study. Based on these limitations, future literature review studies can be conducted.

Practical implications

As this is a SLR focusing on developing future ambidexterity research themes, there are no direct practitioner implications. However, practitioners may benefit from future research prompted by this SLR.

Originality/value

This study contributes to management literature by suggesting future research not only on organizational ambidexterity like previous studies, but also on four different approaches to ambidexterity.

Nexus of digital platforms, innovation capability, and strategic alignment to enhance innovation performance in the Asia Pacific region: a dynamic capability perspective

The direct influence of digital platforms on organizational efficiency, financial performance, and strategy attracts the close attention of researchers. The complex mechanisms and pathways of digital platforms on transformation capacity, however, are still unclear at the global and Asia Pacific levels. Drawing on dynamic capability theory, we empirically explore how digital platforms augment organizational innovation performance. We advance the current literature on digital platforms by finding that digital platform capability boosts an organization’s dynamism and innovation performance. Furthermore, we extend the literature by revealing that, indirectly, innovation capability and strategic alignment have a substantial influence over digital platform capability and innovation performance. Finally, the study formulates a conceptual model from a dynamic capability perspective, rather than from a resource-based view, and test it using the responses collected from 153 Pakistani manufacturing firms.

Managing tensions in resilience development: a paradox theory perspective on the role of digital transformation

Purpose

The study aims to identify the central paradoxical tensions existing in developing resilience in organisations. The main thrust of this study is to develop a thorough understanding of diverse conflicting tensions in building resilience and develop the possible strategies to surmount these tensions.

Design/methodology/approach

Using the case study approach, the study applied theory-elaboration strategy as this study is based on well-established literature from both digitalisation and resilience. The study uses the paradox theory lens in a case study to reconcile both theories with contextual idiosyncrasies.

Findings

The paradox theory lens provides perspectives to understand tensions during resilience development and the role of digital transformation in this process. It assesses the potential solutions for surmounting tensions in resilient operations. The mapping of workable solutions with different paradoxes and propositions has been proposed for future empirical research.

Research limitations/implications

The study suggests that practitioners should not consider resilience and sustainability as mutually exclusive; instead, managers must embrace ongoing tensions to bring solutions to address these two essential organisational priorities.

Originality/value

To the best of the authors' knowledge, this is the first empirical study that applies paradox theory to understand how an organisation can build resilience while confronting several paradoxes. The study findings support that resilience practices can move in tandem with environmental sustainability goals rather than being usually mutually exclusive.

Empowering resources recombination through dynamic capabilities of an enterprise

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.

Analyzing the impact of technology incentives on community digital inclusion using structural equation modeling

Purpose

This study aims to assess whether technological incentives inspire communities in the process of digital inclusion. The factors analyzed by the authors assess five dimensions: technology incentives, technology utilization, searching skills, social integration, and capabilities.

Design/methodology/approach

Data were collected from 329 respondents in 14 public libraries and analyzed using structural equation modeling to validate the proposed research model and its relationships with the factors the authors analyzed.

Findings

The results showed that technological incentives significantly impact on technology utilization, searching skills, social integration, and capabilities to support community digital inclusion in Pakistan.

Practical implications

Technological incentives to the community will lead to the improvement of network technology for things like online taxation, banking transactions, social integration, participation in government, and modern health and education benefits. In addition, technological incentives will also enhance information literacy and digital access, helping people improve cognitive skills and critical thinking and also helping to develop skills.

Originality/value

This research is based on raw data first collected from various people with different opinions from the Khyber Pakhtunkhwa public libraries. This study was conducted to gain a deeper understanding of the overall situation related to the use of technology in Pakistan and the complications involved.

How do digital technologies influence the dynamic capabilities of micro and small businesses in a pandemic and low‐income country context?

It is not clear how extreme disruptions like COVID‐19 pandemic affects the dynamic capabilities (DCs) of micro and small businesses (MSBs) in the context of low‐income countries. Therefore, this study makes sense of how MSBs leverage DCs through digital technologies (DTs). Using mixed‐method and interpretive research approaches, the first phase of the study applied a deductive coding technique to analyze interviews from 30 MSB managers in Ghana. Coding activities revealed 21 DC constructs of MSBs in Ghana. Next, we contextualized and simplified the DC framework by proposing an interpretive blueprint of DC framework applicable to Ghana and other low‐income countries. The second phase, through a questionnaire, progressed the research by assessing how DTs influence the 21 DC constructs. Findings suggest that collective DCs of MSBs as a business sector did not change in a pandemic situation; nonetheless, the extent to which MSBs demonstrate DCs increased by up to 82%; and the use of DTs such as mobile payment and social media tools increased significantly. Interpretive reflections on the research outcomes argued that whilst the collective DCs of MSBs remain the same, each MSB uniquely explored opportunities by manifesting different combinations of DC constructs and DTs, at varying extents, and the knowledge of how MSB combines DCs could promote MSB management and digital innovation as low‐income countries seek to recover from the COVID‐19 economic downturn. Consequently, this research extends literature and progresses the UN sustainable development goals 8.3 as it helps to enhance policies that promote digital innovation, entrepreneurship, and growth of MSBs.

The effect of ICT and higher-order capabilities on the performance of Ibero-American SMEs

Information and communication technologies (ICT) has the ability to create value by enabling other firm capabilities. Based on the ICT-enabled capabilities perspective, this study explores the direct and indirect effects between lower- and higher-order capabilities, such as ICT, knowledge management capability (KM) and product innovation flexibility (PIF), on the performance of Ibero-American small- and medium-sized enterprises (SMEs). This paper uses second-order structural equation models to test the research hypotheses with a sample of 130 Ibero-American SMEs. The results contribute to filling the gap in the SME-focused literature on empirical studies examining ICT-enabled capabilities and firm performance. The results show an enabling effect of ICT on higher-order capabilities, such as KM and PIF, which, by acting as mediating variables, create value and improve performance through innovation in firms.

Logistics performance collaboration strategy and information sharing with logistics capability as mediator variable (study in Gafeksi East Java Indonesia)

Purpose

The purpose of this paper is to analyze the effect of collaboration, capability and information sharing (IS) on logistic performance, the effect of collaboration and IS on capabilities, the effect of collaboration on logistic performance through capabilities, the influence of IS on logistic performance through capabilities and the effect of logistics capabilities on logistics performance.

Design/methodology/approach

This study uses a quantitative approach and is included in explanatory research. This research uses cross section research design. The research populations are all companies incorporated in GAFEKSI (Joint Forwarder and Expedition Indonesia) of East Java. Sampling in this research is by using a purposive sample. The sample of this study amounted to 47 forwarder and expedition companies. Data analysis method used is partial least square.

Findings

Collaboration has a positive impact on capabilities (CAP); capability (LOC) positive impact on logistic performance; collaboration does not directly affect the logistics performance; and construct capabilities (LOC) is the mediation of IS in building business logistics performance. Increasing the intensity of IS has no direct contribution to increased flexibility, and collaboration is driven by partnership and network, whereas CT (trust) can be ignored, as it is not proven to make a dominant contribution to collaboration.

Originality/value

The novelty of this research is found in the strategic role of capabilities as the dominant latent variable in building business performance of logistic companies. This study finds dual mediation, where both mediations are expressed as full mediation, because the direct effect of mediator latent variables is significant (Little et al., 2010; Hair et al., 1995).

The role of IT in automotive supplier supply chains

Purpose

The purpose of this paper is to explore the impact of information technology (IT) on supply chain performance in the automotive industry. Prior studies that analyzed the impact of IT on supply chain performance report results representing the situation of the “average industry.” This research focuses on the automotive industry because of its major importance in many national economies and due to the fact that automotive supply chains do not represent the supply chain of the average industry.

Design/methodology/approach

A research model is proposed to examine the relationships between IT capabilities, supply chain capabilities, and supplier performance. The model divides IT capabilities into functional and data capabilities, and supply chain capabilities into internal process excellence and information sharing. Data have been collected from 343 automotive first-tier suppliers. Structural equation modeling with partial least squares is used to analyze the data.

Findings

The results suggest that functional capabilities have the greatest impact on internal process excellence, which in turn enhances supplier performance. However, frequent and adequate information sharing also contributes significantly to supplier performance. Data capabilities enable supply chain capabilities through their positive impact on functional capabilities.

Practical implications

The findings will help managers to understand the effect of IT implementation on company performance and to decide whether to invest in the expansion of IT capacities.

Originality/value

This research reports the impact of IT on supply chain performance in one of the most important industries in many industrialized countries, and it provides a new perspective on evaluating the contribution of IT on firm performance.