Dynamic managerial capabilities: lessons from non-profits in highly dynamic environments

Keywords: dynamic managerial capabilities, military, managerial social capital, managerial human capital, managerial cognition

Abstract

Purpose. Drawing on the concept of dynamic managerial capabilities, to propose a model that incorporates managerial human and social capital, and managerial cognition in the dynamic capabilities framework.

Design/Method/Approach. The study is an empirical in the context of the current conflict in the eastern Ukraine and is an analysis a non-profit field with an extremely high dynamic environment. The data was collected using a quantitative survey with 70 private corps, non-commissioned officers, and higher-ranked officers.

Findings. The model provides a direct relationship between dynamic capabilities and dynamic managerial capabilities, whereby the latter is constituted by the perceived manager’s competence (manager’s human capital), manager’s team (manager’s social capital), and manager’s goal congruence towards the goals of the organization (managerial cognition).

Theoretical implications. This paper expanded the body of research on dynamic managerial capabilities by developing the following arguments: (1) dynamic managerial capabilities directly influence organizational dynamic capabilities; (2) managerial social capital mediates relationships between managerial human capital and organizational dynamic capabilities; (3) managerial social capital mediates relationships between managerial cognition and organizational dynamic capabilities.

Originality/value. This research not only shows how a non-profit organization can act efficiently, it is also an example of an application of strategic management theory to a practical field with life or death consequences.

Research limitations/Future research. This research opens avenues for future research on dynamic capabilities in non-profit organizations.

 Paper type – empirical.

Downloads

Download data is not yet available.

Author Biography

Moritz Martin Botts, University of Vechta, Vechta, Germany

doctoral candidate, Lecturer in Business Ethics

References

Adner, R., & Helfat, C. E. (2003). Corporate effects and dynamic managerial capabilities. Strategic Management Journal, 24(10), 1011–1025. CrossRef

Barreto, I. (2009). Dynamic capabilities: A review of past research and an agenda for the future. Journal of Management, 36(1), 256–280. CrossRef

Bogodistov, Y. (2015). Psychological microfoundations and activation of dynamic managerial capabilities: Influence of affective states on managerial behavior. Frankfurt (Oder), Germany: Europa-Universität Viadrina Frankfurt. Retrieved December 20, 2016, from nbn-resolving.de

Boyne, G. (2002). Public and private management: what’s the difference? Journal of Management Studies, 39(1), 97–122. CrossRef

Bradley, M. M., & Lang, P. J. (1994). Measuring emotion: The self-assessment manikin and the semantic differential. Journal of Behavior Therapy and Experimental Psychiatry, 25(1), 49–59. CrossRef

Dost, F. (2015). A non-linear causal network of marketing channel system structure. Journal of Retailing and Consumer Services, 23, 49–57. CrossRef

Eisenhardt, K. M., & Martin, J. A. (2000). Dynamic capabilities: what are they? Strategic Management Journal, 21(10-11), 1105–1121. CrossRef

Essens, P., Vogelaar, A., Mylle, J., Baranski, J., Goodwin, G., van Buskirk, W., Berggren, P., Hof, T. (2010). CTEF 2.0-Assessment and Improvement of Command Team Effectiveness: Verification of Model and Instrument. Neuilly-sur-Seine Cedex, France: NATO Research and Technology Organisation.

Felin, T., & Foss, N. J. (2009). Organizational routines and capabilities: Historical drift and a course-correction toward microfoundations. Scandinavian Journal of Management, 25(2), 157–167. CrossRef

Haslam, N., & Fiske, A. P. (1999). Relational models theory: A confirmatory factor analysis. Personal Relationships, 6(2), 241–250. CrossRef

Helfat, C. E., & Peteraf, M. A. (2003). The dynamic resource-based view: Capability lifecycles. Strategic Management Journal, 24(10), 997–1010. CrossRef

Kor, Y. Y., & Mesko, A. (2012). Dynamic managerial capabilities: Configuration and orchestration of top executives’ capabilities and the firm’s dominant logic. Strategic Management Journal, 34(2), 233–244. CrossRef

Levitt, B., & March, J. G. (1988). Organizational learning. Annual Review of Sociology, 14(1), 319–338. CrossRef

Li, D., & Liu, J. (2014). Dynamic capabilities, environmental dynamism, and competitive advantage: Evidence from China. Journal of Business Research, 67(1), 2793–2799. CrossRef

Newell, S., Tansley, C., & Huang, J. 2004. Social capital and knowledge integration in an ERP project team: the importance of bridging and bonding. British Journal of Management, 15(S1): S43–S57. CrossRef

Piening, E. P. (2013). Dynamic Capabilities in Public Organizations. Public Management Review, 15(2), 209–245. CrossRef

Podsakoff, P. M., & Organ, D. W. (1986). Self-Reports in Organizational Research: Problems and Prospects. Journal of Management, 12(4), 531–544. CrossRef

Preacher, K. J., & Hayes, A. F. (2008). Asymptotic and resampling strategies for assessing and comparing indirect effects in multiple mediator models. Behavior Research Methods, 4(3), 879–891. CrossRef

Reagans, R., Zuckerman, E., & McEvily, B. (2004). How to make the team: Social networks vs. demography as criteria for designing effective teams. Administrative Science Quarterly, 49, 101–133.

Richardson, H. A., Simmering, M. J., & Sturman, M. C. (2009). A Tale of Three Perspectives. Organizational Research Methods, 12(4), 762–800. CrossRef

Segal, D. R., & Segal, M. W. (1983). Change in military organization. Annual Review of Sociology, 9(1), 151–170. CrossRef

Sirmon, D. G., & Hitt, M. A. (2009). Contingencies within dynamic managerial capabilities: Interdependent effects of resource investment and deployment on firm performance. Strategic Management Journal, 30(13), 1375–1394. CrossRef

Takens, F. (1981). Detecting strange attractors in turbulence. Dynamical Systems and Turbulence, Warwick 1980, 366–381. CrossRef

Talbot, P. A. (2003). Management organisational history – a military lesson? Journal of European Industrial Training, 27(7), 330–340. CrossRef

Teece, D. J. (2007). Explicating dynamic capabilities: The nature and microfoundations of (sustainable) enterprise performance. Strategic Management Journal, 28(13), 1319–1350. CrossRef

Teece, D., & Pisano, G. (1994). The dynamic capabilities of firms: an Introduction. Industrial and Corporate Change, 3(3), 537-556. CrossRef

The Economist. (2015). Crisis in Ukraine. The Economist. Accessed December 2oth 2016. economist.com

Tierney, P., & Farmer, S. M. (2002). Creative self-efficacy: Its potential antecedents and relationship to creative performance. Academy of Management Journal, 45(6), 1137–1148. CrossRef

Webster, E. (2004). Firms’ decisions to innovate and innovation routines. Economics of Innovation and New Technology, 13(8), 733–745. CrossRef

Williams, L. J., Hartman, N., & Cavazotte, F. (2010). Method Variance and Marker Variables: A Review and Comprehensive CFA Marker Technique. Organizational Research Methods, 13(3), 477–514. CrossRef

Winter, S. G. (2003). Understanding dynamic capabilities. Strategic Management Journal, 24(10), 991–995. CrossRef

Published
2017-03-25
How to Cite
Botts, M. M. (2017). Dynamic managerial capabilities: lessons from non-profits in highly dynamic environments. European Journal of Management Issues, 25(1), 24-29. https://doi.org/10.15421/191704