Dynamic capabilities as a strategic flexibility enabler: organizational responsiveness to COVID-19

Abstract

Purpose To cope with the existing pandemic situation and to be organizationally responsive, firms need to be strategically flexible, where they need to develop dynamic capabilities (DCs) by continuously reconfiguring their resource base. To address such challenges, firms heavily rely on information and communication technologies (ICT) because of advancement in disruptive technologies. This study aims to explore techniques used by higher education institutional (HEI) leaders to successfully address challenges posed by global disruption, i.e. COVID-19 with the help of advanced ICT software such as Zoom, Google Meet and Microsoft Teams. Design/methodology/approach A qualitative approach was adopted to explore strategic factors such as strategic flexibility (SF) and DC that disclose shortcomings in the current extant literature. A total of 15 interviews were conducted with heads of departments of HEIs in the United Arab Emirates. Data were analyzed using NVivo software. Findings The findings suggested three dimensions of SF (resources, operational and collaborative) and four dimensions of DC (strategic planning, innovative, adaptability and technological) for firms to adopt to be strategically flexible, where DC serves as building blocks of SF. Originality/value This research provides a framework as an avenue for future researchers and practitioners on how to strategically manage their resources and be strategically flexible in turbulent environment such as pandemics. Theory-based investigations on strategic capabilities and DC from resource-based perspective are still under-researched, emphasizing the need for theoretically based research on strategic responsiveness, especially during the times of environmental complexities such as COVID-19 pandemics. This research enriches strategic management research by exploring the important antecedents of organizational responsiveness, including SF and DC together with the support of human factor, i.e. leadership qualities of HEIs managers. This study, to the best of the authors’ knowledge, is among the first to systematically explore main dimensions of DC and SF based on the resource-based theory of strategic management in the Middle Eastern context.