Interaction of Hierarchical levels of Dynamic Capabilities; Higher order Dynamic capability Facilitating Strategy execution, Critical Review

This paper reviews the Dynamic capability literature, with laying emphasis on its components and hierarchical levels. Because of lack of a comprehensive understanding about the type of relation between first order and second order dynamic capabilities, it is necessary to conduct a review to prepare insight for future research. The purpose of this review is to identify the way different hierarchical levels interact with each other, and identify specific types of first and second order dynamic capabilities matching with the theoretical foundations derived from this review. Active conceptualization of strategic flexibility inheriting resource reconfiguring is proposed as the first order dynamic capability, and Ambidexterity as a capability reconfiguring mechanism is suggested as the second order dynamic capability. This study proposes the two types of relation of mediation and moderation to be tested empirically to find whether the first and second order dynamic capabilities substitute each other or complement each other.

کلیدواژه ها:

Hierarchy of Dynamic capability ، First & Second order dynamic capabilities ، Capability reconfiguring ، Strategic flexibility ، Ambidexterity.