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Impact of Dynamic Capabilities on Firm Performance: Moderating Role of Organizational Competencies

Author

Listed:
  • Rehman, Khaliq Ur

    (School of Business and Economics, University of Management and Technology, Lahore Pakistan)

  • Saeed, Zafar

    (School of Business and Economics, University of Management and Technology, Lahore Pakistan)

Abstract

This study observes the phenomenon of organizational performance with the lens of dynamic capabilities. This study investigates the impact of dynamic capabilities on organizational performance, taking organizational competencies as moderating variable, focusing on a paper industry at Lahore, Pakistan. The measurement of dynamic capabilities is based on the multi-dimensional construct underlying the four main factors which include i.e. Sensing, Learning, strong coordination, and competitive response to the rivals. This will lead to explore relationship of dynamic capabilities with organizational performance. Empirical research posits that dynamic capabilities have a direct impact on the organizational performance of the firm. It also proves that organizational competencies have positive moderating role in relationship of organizational performance and dynamic capabilities. This suggests that the direct relationship between dynamic capabilities and performance is insignificant.

Suggested Citation

  • Rehman, Khaliq Ur & Saeed, Zafar, 2015. "Impact of Dynamic Capabilities on Firm Performance: Moderating Role of Organizational Competencies," Sukkur IBA Journal of Management and Business, Sukkur IBA University, vol. 2(2), pages 18-40, October.
    • Handle: RePEc:ris:ibajmb:0015
    DOI: 10.30537/sijmb.v2i2.92
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    Citations

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    Cited by:

    1. Kareem Mohanad Ali & Alameer Alaa Abdulameer Ahmed, 2019. "The Impact of Dynamic Capabilities on Organizational Effectiveness," Management & Marketing, Sciendo, vol. 14(4), pages 402-418, December.
    2. Siti Zaitun Saddam & Nurhuda Nizar & Nurul Azrin Ariffin & Norazira Mohd Abas, 2023. "The Effects of Dynamic Capabilities on Firm’s Financial Performance," Information Management and Business Review, AMH International, vol. 15(1), pages 37-45.
    3. Grace Wairimu Mureithi & Abraham Kiflemariam & Vincent Omwenga, 2021. "Role of Dynamic Capabilities on the Relationship of Social Capital and Research Productivity of Academic Staff in Kenyan Universities," International Journal of Research and Innovation in Social Science, International Journal of Research and Innovation in Social Science (IJRISS), vol. 5(07), pages 377-385, July.
    4. Grace Wairimu Mureithi & Abraham Kiflemariam & Vincent Omwenga, 2021. "Role of Dynamic Capabilities on the Relationship of Social Capital and Research Productivity of Academic Staff in Kenyan Universities," International Journal of Research and Innovation in Social Science, International Journal of Research and Innovation in Social Science (IJRISS), vol. 5(7), pages 377-385, July.
    5. Tian Hongyun & William Adomako Kankam & Florence Appiah-Twum & Isaac Gumah Akolgo, 2019. "Effect of Social Capital on Firm Performance: The Role of Entrepreneurial Orientation and Dynamic Capability," International Review of Management and Marketing, Econjournals, vol. 9(4), pages 63-73.

    More about this item

    Keywords

    Dynamic capabilities; Organizational competences; Organizational Performance; Sensing capabilities; Learning Capabilities; Integrating Capabilities; Coordinating capabilities;
    All these keywords.

    JEL classification:

    • O21 - Economic Development, Innovation, Technological Change, and Growth - - Development Planning and Policy - - - Planning Models; Planning Policy

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