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Developing Dynamic Capabilities

"Omnia mutantur, nos et mutamur in illis."
"All things are changing, and we are changing with them."

To thrive in the long term, companies must be able to keep pace with changes in the marketplace.
We can identify three barriers to organizational adaptability:

     » organizational complexity, driven by the demands of execution
     » mismatches between current resources and future opportunities
     » inflexibility in the mental models of leaders

Dynamic capabilities of a company determine how can this company become more responsive to changes in market and competitive conditions and how it can achieve competitive advantage in situations of rapid and unpredictable change.

Dynamic capabilities framework:

     » explores effective ways for organizations to overcome inertia and adapt to evolving markets, advancing technologies, and shifting business climates.
     » emphasizes the role of entrepreneurial managers in identifying emerging opportunities and seizing upon them while simultaneously effectuating continuous corporate renewal.
     » can be used to highlight the importance of strategy and organization, as well as leadership and management, to enterprise performance.

For further insights about the framework and roadmap for developing dynamic capabilities, please, contact us.

Developing Dynamic Capabilities – Value

Well-developed dynamic capabilities of the company represent the source of competitive advantage over time:

     » enabling the company to become more responsive to changes in market and competitive landscape
     » capitalizing on emerging opportunities
     » maintaining competitiveness through enhancing the company intangible and tangible assets
     » developing competencies that will drive future value creation

Dynamic capabilities can play an essential role in value-creation processes by:

     » identifying and capturing new strategic opportunities
     » structuring knowledge through collaborative innovation
     » transforming the vast amounts of available data into relevant and meaningful insights
     » efficient and effective technology transfer
     » orchestrating the necessary organizational assets
     » inventing new business models and organizational forms

These capabilities accentuate the importance of versatile strategies, flexible structures, and forward-thinking leadership.

Systematic, staged development of dynamic capabilities enables organization to create, deploy, and protect the intangible assets that support superior long/run business performance.

Executives and key employees will be better prepared to sense opportunities and threats and avoid failures resulting from rigidly adhering to inflexible strategies and structures.

As a consequence, dynamic capabilities foster company strategic agility, which is a core differentiator in today's rapidly changing business environment.

Please, contact us, and we will arrange a personal meeting, where we will together discuss and draw the value proposition of developing dynamic capabilities in your organization.

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