SlideShare ist ein Scribd-Unternehmen logo
1 von 21
Downloaden Sie, um offline zu lesen
How to Operationalize Dynamic Capabilities
René Rohrbeck, 2010
How to Operationalize Dynamic
Capabilities
Dr. René Rohrbeck
Vortrag auf der VHB Jahrestagung der TIE Kommission
4. November 2010
How to Operationalize Dynamic Capabilities
René Rohrbeck, 2010
Practical relevance
How to Operationalize Dynamic Capabilities
René Rohrbeck, 2010
De Geus, 1997
Although Kodak was aware of the risk of digital
photography early, there was no timely response
to discontinuous technological change to counter
the loss of competitive position.
The average life expectancy of a
“Fortune 500“ company is
less than 50 years.
3
Companies struggle to adapt to (radical) changes in the
environment.
Lucas and Goh, 2009
Successfully responding to external change
requires often challenging dominant views of
the world and top management to engage directly
in search processes
Tripsas and Gavetti,
2000
How to Operationalize Dynamic Capabilities
René Rohrbeck, 2010
Why is it so difficult for companies to adapt to
discontinuous changes?
High clock speed Ignorance Inertia
 High rate of change
(Sood & Tellis, 2005)
 Shorter product-life cycles
(Kessler & Charkabarti, 1996)
 Higher innovation speed
(Chen et al. 2010)
 Faster diffusion of
innovation
(Lee et al., 2003)
 Short-term orientation
(Ansoff, 1980)
 Internal focus
(Day & Schoemaker, 2004)
 Information overload
(Lesca & Caron, 1995)
 Filtering by middle-
management
(Lucas & Goh 2009; Krystek, 2007)
 Complex internal
structures
(Godet et al., 2004)
 Barriers against
cannibalization of existing
business
(Chandy & Tellis, 1998)
 Complex external
structures
(Gunasakaran, 2008)
4
How to Operationalize Dynamic Capabilities
René Rohrbeck, 2010
Theoretical relevance:
 Dynamic capabilities
How to Operationalize Dynamic Capabilities
René Rohrbeck, 2010
6
Proposal for operationalization of „dynamic capabilities“
Helfat, E. et al. (2007) Dynamic Capabilities: Understanding Strategic Change in Organizations, Blackwell
Publishing: Malden, MA, pp. 7-17
Managerial and organizational processes
Dynamic capabilities
Configuration &
deployment
Decision
making
Search &
selection
Implementation
Performance yardstick
Value
creation
Technical Fitness
Measures the performance of a dynamic capability as “quality per unit cost”
(e.g. how many relevant trends are being identified and assessed and at what
cost)
The technical fitness is one of the three factors influencing the evolutionary
fitness
Evolutionary fitness
 Survival
 Growth
 Value creation
 Competitive and
sustained
advantage
 profit
External factors influencing the evolutionary fitness
Market demand
Competition
How to Operationalize Dynamic Capabilities
René Rohrbeck, 2010
7
Proposal for operationalization of „dynamic capabilities“
Helfat, E. et al. (2007) Dynamic Capabilities: Understanding Strategic Change in Organizations, Blackwell
Publishing: Malden, MA, pp. 7-17
Managerial and organizational processes
Dynamic capabilities
Performance yardstick
Value
creation
Technical Fitness
Measures the performance of a dynamic capability as “quality per unit cost”
(e.g. how many relevant trends are being identified and assessed and at what
cost)
The technical fitness is one of the three factors influencing the evolutionary
fitness
Evolutionary fitness
 Survival
 Growth
 Value creation
 Competitive and
sustained
advantage
 profit
External factors influencing the evolutionary fitness
Market demand
Competition
Eisenhardt & Martin 2010:
Dynamic capabilities are known and
distinct processes such as
 Strategic decision making
 New product development
 Alliancing
Configuration &
deployment
Decision
making
Search &
selection
Implementation
?
How to Operationalize Dynamic Capabilities
René Rohrbeck, 2010
8
Proposal for operationalization of „dynamic capabilities“
Helfat, E. et al. (2007) Dynamic Capabilities: Understanding Strategic Change in Organizations, Blackwell
Publishing: Malden, MA, pp. 7-17
Managerial and organizational processes
Dynamic capabilities
Performance yardstick
Value
creation
Technical Fitness
Measures the performance of a dynamic capability as “quality per unit cost”
(e.g. how many relevant trends are being identified and assessed and at what
cost)
The technical fitness is one of the three factors influencing the evolutionary
fitness
Evolutionary fitness
 Survival
 Growth
 Value creation
 Competitive and
sustained
advantage
 profit
External factors influencing the evolutionary fitness
Market demand
Competition
My research question:
• What capabilities are needed to
respond to external discontinuous
change?
Configuration &
deployment
Decision
making
Search &
selection
Implementation
How to Operationalize Dynamic Capabilities
René Rohrbeck, 2010
Methodology
How to Operationalize Dynamic Capabilities
René Rohrbeck, 2010
A high level of generalizability was achieved by using
different corporate contexts and collection instruments.
20 case studies in 7 countries
1010
How to Operationalize Dynamic Capabilities
René Rohrbeck, 2010
For triangulation three informant perspectives were used,
with a particular emphasis on the internal customers.
Perspectives of informants
Foresight
Activity
Usage
Responsible
of the foresight
activity.
Activity team
working on the
foresight activity.
Internal Customer
and user of the
foresight insights
28
TOTAL
107
Internal
customer
42
Responsible
37
Activity team Responsible
Number of interviews
Activity
team
1111
How to Operationalize Dynamic Capabilities
René Rohrbeck, 2010
Case study result
presentations
2 practitioner
conferences
 European Conference on Corporate Foresight 2007: 16 firms
 European Conference on Corporate Foresight 2008: 36 firms
For validation benchmarking results were discussed with
firms individually and collectively at two conferences.
1212
How to Operationalize Dynamic Capabilities
René Rohrbeck, 2010
The Maturity Model of
Organizational Future Orientation.
How to Operationalize Dynamic Capabilities
René Rohrbeck, 2010
5 dimensions and 21 elements of Organizational Future
Orientation abilitites were identified.
14
Organizational Future Orientation (OFO)
Information
usage
Method
sophistication
People &
networks
Organization Culture
Sources
Time horizon
Scope
Reach
Communication
capacity
Integration capacity
Match with goal
Match with context
External network
Characteristics of
foresighters
Internal network
Accountability
Formal diffusion of
insights
Mode
Integration with other
processes
Incentives
Organization's
attitude towards the
periphery
Willingness to share
across functions
Readiness to listen to
scouts and external
sources
Willingness to test
and challenge basic
assumptions
i
How to Operationalize Dynamic Capabilities
René Rohrbeck, 2010
Dimensions of the CF ability Maturity levels
Highest possible
value
Optimal maturity level
given a certain context1
2
3
4i
Within the five capability dimensions the aspired maturity
level is chosen on the basis of a context analysis.
15
What maturity level should be chosen
depends on the context
of the firm
15
How to Operationalize Dynamic Capabilities
René Rohrbeck, 2010
Reach
Scope
Time Horizon
Source
Items
Scanning only in current
business
Level 1 Level 2 Level 3 Level 4
Scanning in current
business and areas of
interest
Scanning in current and
adjacent business
Scanning in current
business, adjacent
business and in white
spaces
Not usable to
communication
Scanning technologies
and poorly some other
areas
Scanning the areas of the
environment to a different
extend
Scanning in all areas
(Technology, political,
competitor, customer)
Emphasis on short term
Short and medium term
are taken into account (1-
2 product life cycles)
Long, medium and short
term are taken into
account
Pro-active scanning in
long, medium and short
term in place
Use of few and easily
accessible sources
Use of multiple easily
accessible sources
Use of some restricted
sources that provide
competitive advantage
Use of many sources that
provide competitive
advantage
16
i Information usage
16
The maturity level has been operationalized through
qualitative descriptions.
How to Operationalize Dynamic Capabilities
René Rohrbeck, 2010
How do these capabilities unfold
their transformative power?
How to Operationalize Dynamic Capabilities
René Rohrbeck, 2010
Barriers, activities and capabilities.
18
Promote internal networks
Change is not
detected by
organizational
sensors
Change is not
judged as relevant
by foresighter
Decision makers
are not convinced
about relevance of
change
Re-action strategies
are not planned
and/or decided
Responsible
persons for acting
are not convinced
and prevent change
Barriers
Scan the entire
environment
(All environmental areas, all time
horizons, multiple sources)
Define clear
responsibilities
i Use methods
with high
integration capacity
Use methods
with high
communication
capacity
Integrate with follow-up processes
and define formal decision-making
processes
Define accountability for sensing weak signals and establish formal communication channels
Allow triggering of foresight activities top-down and bottom-up and use project-based and continuous approaches
Activities
Capabilities
Promote willingness to share across functions, readiness to listen to external sources, willingness to share across
functions, and a curious organizational attitude towards the periphery
Hire and develop foresighters with ideal characteristics
(Curious & receptive, open minded & passionate, broad & deep knowledge, strong
internal & external network)
planassess convince actidentify
1 2 3 4 5
How to Operationalize Dynamic Capabilities
René Rohrbeck, 2010
Conclusion
How to Operationalize Dynamic Capabilities
René Rohrbeck, 2010
Conclusion and future research
 More knowledge is needed on how corporate change is
occurring
 …over time
 …in which steps
 …driven by which actors
 …despite which barriers to change
 Future research proposal:
 Strategy-as-practice approach
 Studying an episode from emergence of an external change to
the response of the firm (longitudinal analysis)
20
How to Operationalize Dynamic Capabilities
René Rohrbeck, 2010
Thank you for your interest!
2121
http://futureorientation.net
Dr. René Rohrbeck
rene.rohrbeck@tim.tu-berlin.de
http://www.tu-berlin.de/?id=31298

Weitere ähnliche Inhalte

Was ist angesagt?

THE PROSPECT OF KNOWLEDGE CREATION
THE PROSPECT OF KNOWLEDGE CREATIONTHE PROSPECT OF KNOWLEDGE CREATION
THE PROSPECT OF KNOWLEDGE CREATIONFrank Nyarko
 
System Thinking: Design Tools to Drive Innovation Processes
System Thinking: Design Tools to Drive Innovation Processes System Thinking: Design Tools to Drive Innovation Processes
System Thinking: Design Tools to Drive Innovation Processes Roberta Tassi
 
A.T. Kearney: History of strategy and its future prospects
A.T. Kearney: History of strategy and its future prospectsA.T. Kearney: History of strategy and its future prospects
A.T. Kearney: History of strategy and its future prospectsSemalytix
 
IBM Enterprise Design Thinking
IBM Enterprise Design ThinkingIBM Enterprise Design Thinking
IBM Enterprise Design ThinkingAhmed Reda Kraiz
 
Re-Positioning the value of the architecture practice
Re-Positioning the value of the architecture practiceRe-Positioning the value of the architecture practice
Re-Positioning the value of the architecture practiceCraig Martin
 
Revisiting Fundamental Issues in Strategic Management
Revisiting Fundamental Issues in Strategic ManagementRevisiting Fundamental Issues in Strategic Management
Revisiting Fundamental Issues in Strategic ManagementDavid Teece
 
Deloitte Innovation
Deloitte InnovationDeloitte Innovation
Deloitte InnovationDWCroese
 
Shaping the Sustainable Organization | Accenture
Shaping the Sustainable Organization | AccentureShaping the Sustainable Organization | Accenture
Shaping the Sustainable Organization | Accentureaccenture
 
Embracing human-centered growth with holistic design
Embracing human-centered growth with holistic designEmbracing human-centered growth with holistic design
Embracing human-centered growth with holistic designJuho Paasonen
 
Using Business Architecture to enable customer experience and digital strategy
Using Business Architecture to enable customer experience and digital strategyUsing Business Architecture to enable customer experience and digital strategy
Using Business Architecture to enable customer experience and digital strategyCraig Martin
 
Digital Business Transformation | Strategy + Execution
Digital Business Transformation | Strategy + ExecutionDigital Business Transformation | Strategy + Execution
Digital Business Transformation | Strategy + Executionfeature[23]
 
Digital transformation strategy
Digital transformation strategyDigital transformation strategy
Digital transformation strategytenali.digital
 
HP Megatrends 2020 Refresh
HP Megatrends 2020 RefreshHP Megatrends 2020 Refresh
HP Megatrends 2020 RefreshAndrew Bolwell
 
Digital culture: The Disconnect Between Leadership And Employees Couldn’t be ...
Digital culture: The Disconnect Between Leadership And Employees Couldn’t be ...Digital culture: The Disconnect Between Leadership And Employees Couldn’t be ...
Digital culture: The Disconnect Between Leadership And Employees Couldn’t be ...Seta Wicaksana
 
Digital Transformation Strategy Template and Training
Digital Transformation Strategy Template and TrainingDigital Transformation Strategy Template and Training
Digital Transformation Strategy Template and TrainingAurelien Domont, MBA
 
Strategic skills management in a VUCA world
Strategic skills management in a VUCA worldStrategic skills management in a VUCA world
Strategic skills management in a VUCA worldJoao Paulo Feijoo
 

Was ist angesagt? (20)

THE PROSPECT OF KNOWLEDGE CREATION
THE PROSPECT OF KNOWLEDGE CREATIONTHE PROSPECT OF KNOWLEDGE CREATION
THE PROSPECT OF KNOWLEDGE CREATION
 
System Thinking: Design Tools to Drive Innovation Processes
System Thinking: Design Tools to Drive Innovation Processes System Thinking: Design Tools to Drive Innovation Processes
System Thinking: Design Tools to Drive Innovation Processes
 
A.T. Kearney: History of strategy and its future prospects
A.T. Kearney: History of strategy and its future prospectsA.T. Kearney: History of strategy and its future prospects
A.T. Kearney: History of strategy and its future prospects
 
IBM Enterprise Design Thinking
IBM Enterprise Design ThinkingIBM Enterprise Design Thinking
IBM Enterprise Design Thinking
 
Re-Positioning the value of the architecture practice
Re-Positioning the value of the architecture practiceRe-Positioning the value of the architecture practice
Re-Positioning the value of the architecture practice
 
Timesaver ppt jk
Timesaver ppt jkTimesaver ppt jk
Timesaver ppt jk
 
Revisiting Fundamental Issues in Strategic Management
Revisiting Fundamental Issues in Strategic ManagementRevisiting Fundamental Issues in Strategic Management
Revisiting Fundamental Issues in Strategic Management
 
Deloitte Innovation
Deloitte InnovationDeloitte Innovation
Deloitte Innovation
 
Shaping the Sustainable Organization | Accenture
Shaping the Sustainable Organization | AccentureShaping the Sustainable Organization | Accenture
Shaping the Sustainable Organization | Accenture
 
Embracing human-centered growth with holistic design
Embracing human-centered growth with holistic designEmbracing human-centered growth with holistic design
Embracing human-centered growth with holistic design
 
Using Business Architecture to enable customer experience and digital strategy
Using Business Architecture to enable customer experience and digital strategyUsing Business Architecture to enable customer experience and digital strategy
Using Business Architecture to enable customer experience and digital strategy
 
Digital Business Transformation | Strategy + Execution
Digital Business Transformation | Strategy + ExecutionDigital Business Transformation | Strategy + Execution
Digital Business Transformation | Strategy + Execution
 
Digital transformation strategy
Digital transformation strategyDigital transformation strategy
Digital transformation strategy
 
Hr digital impact
Hr digital impactHr digital impact
Hr digital impact
 
HP Megatrends 2020 Refresh
HP Megatrends 2020 RefreshHP Megatrends 2020 Refresh
HP Megatrends 2020 Refresh
 
Digital culture: The Disconnect Between Leadership And Employees Couldn’t be ...
Digital culture: The Disconnect Between Leadership And Employees Couldn’t be ...Digital culture: The Disconnect Between Leadership And Employees Couldn’t be ...
Digital culture: The Disconnect Between Leadership And Employees Couldn’t be ...
 
Digital Transformation Strategy Template and Training
Digital Transformation Strategy Template and TrainingDigital Transformation Strategy Template and Training
Digital Transformation Strategy Template and Training
 
Strategic skills management in a VUCA world
Strategic skills management in a VUCA worldStrategic skills management in a VUCA world
Strategic skills management in a VUCA world
 
Strategic Thinking
Strategic ThinkingStrategic Thinking
Strategic Thinking
 
Strategy Pyramid - 5 Levels
Strategy Pyramid - 5 LevelsStrategy Pyramid - 5 Levels
Strategy Pyramid - 5 Levels
 

Andere mochten auch

Dynamic Capabilities
Dynamic CapabilitiesDynamic Capabilities
Dynamic CapabilitiesSrini Kumar
 
Dynamic capabilities
Dynamic capabilitiesDynamic capabilities
Dynamic capabilitiesbutest
 
Dynamic capabilities
Dynamic capabilitiesDynamic capabilities
Dynamic capabilitiesterryyehster
 
Company Toolkit to Build Capabilities and Open Innovation Strategy
Company Toolkit to Build Capabilities and Open Innovation StrategyCompany Toolkit to Build Capabilities and Open Innovation Strategy
Company Toolkit to Build Capabilities and Open Innovation StrategyAlar Kolk
 
10. teece pisano dynamic capabilities
10. teece pisano dynamic capabilities10. teece pisano dynamic capabilities
10. teece pisano dynamic capabilitiesFacultad Cea
 
How does dynamic capability shape company growth in change ?
How does dynamic capability shape company growth in change ?How does dynamic capability shape company growth in change ?
How does dynamic capability shape company growth in change ?FusionDesign Inc.
 
Toyota Prius+ Prijzen & Specificaties
Toyota Prius+ Prijzen & SpecificatiesToyota Prius+ Prijzen & Specificaties
Toyota Prius+ Prijzen & Specificatiessteeringnews
 
Art of employee happiness
Art of employee happinessArt of employee happiness
Art of employee happinessMelissa Jones
 

Andere mochten auch (10)

Dynamic Capabilities and Strategic Management
Dynamic Capabilities and Strategic ManagementDynamic Capabilities and Strategic Management
Dynamic Capabilities and Strategic Management
 
Dynamic Capabilities
Dynamic CapabilitiesDynamic Capabilities
Dynamic Capabilities
 
Dynamic capabilities
Dynamic capabilitiesDynamic capabilities
Dynamic capabilities
 
Dynamic capabilities
Dynamic capabilitiesDynamic capabilities
Dynamic capabilities
 
Company Toolkit to Build Capabilities and Open Innovation Strategy
Company Toolkit to Build Capabilities and Open Innovation StrategyCompany Toolkit to Build Capabilities and Open Innovation Strategy
Company Toolkit to Build Capabilities and Open Innovation Strategy
 
10. teece pisano dynamic capabilities
10. teece pisano dynamic capabilities10. teece pisano dynamic capabilities
10. teece pisano dynamic capabilities
 
How does dynamic capability shape company growth in change ?
How does dynamic capability shape company growth in change ?How does dynamic capability shape company growth in change ?
How does dynamic capability shape company growth in change ?
 
Toyota Prius+ Prijzen & Specificaties
Toyota Prius+ Prijzen & SpecificatiesToyota Prius+ Prijzen & Specificaties
Toyota Prius+ Prijzen & Specificaties
 
Case Studies on Successful M&A Practices in Acer and Lenovo: A Dynamic Capabi...
Case Studies on Successful M&A Practices in Acer and Lenovo: A Dynamic Capabi...Case Studies on Successful M&A Practices in Acer and Lenovo: A Dynamic Capabi...
Case Studies on Successful M&A Practices in Acer and Lenovo: A Dynamic Capabi...
 
Art of employee happiness
Art of employee happinessArt of employee happiness
Art of employee happiness
 

Ähnlich wie Operationalization of Dynamic Capabilities

Agile Methology Seminar Report
Agile Methology Seminar ReportAgile Methology Seminar Report
Agile Methology Seminar ReportMohit Kumar
 
Brunel opensourcing 1
Brunel opensourcing 1Brunel opensourcing 1
Brunel opensourcing 1bfitzgerald59
 
Infor So Ho Experience
Infor So Ho ExperienceInfor So Ho Experience
Infor So Ho Experiencerajeevganju
 
Empirical Study of the Evolution of Agile-developed Software System in Jordan...
Empirical Study of the Evolution of Agile-developed Software System in Jordan...Empirical Study of the Evolution of Agile-developed Software System in Jordan...
Empirical Study of the Evolution of Agile-developed Software System in Jordan...ijbiss
 
EMPIRICAL STUDY OF THE EVOLUTION OF AGILE-DEVELOPED SOFTWARE SYSTEM IN JORDAN...
EMPIRICAL STUDY OF THE EVOLUTION OF AGILE-DEVELOPED SOFTWARE SYSTEM IN JORDAN...EMPIRICAL STUDY OF THE EVOLUTION OF AGILE-DEVELOPED SOFTWARE SYSTEM IN JORDAN...
EMPIRICAL STUDY OF THE EVOLUTION OF AGILE-DEVELOPED SOFTWARE SYSTEM IN JORDAN...ijbiss
 
Foresight Methods and Practice: Lessons Learned from International Foresight ...
Foresight Methods and Practice: Lessons Learned from International Foresight ...Foresight Methods and Practice: Lessons Learned from International Foresight ...
Foresight Methods and Practice: Lessons Learned from International Foresight ...Totti Könnölä
 
Critical Success Factors Influencing SOA implementations in Healthcare
Critical Success Factors Influencing SOA implementations in Healthcare Critical Success Factors Influencing SOA implementations in Healthcare
Critical Success Factors Influencing SOA implementations in Healthcare Drkonk
 
Barriers to Mission Critical Open Source Software Adoption
Barriers to Mission Critical Open Source Software AdoptionBarriers to Mission Critical Open Source Software Adoption
Barriers to Mission Critical Open Source Software AdoptionSavoir-faire Linux
 
Barriers to mission critical oss adoption by organizations - by Dr. Placide...
Barriers to mission critical   oss adoption by organizations - by Dr. Placide...Barriers to mission critical   oss adoption by organizations - by Dr. Placide...
Barriers to mission critical oss adoption by organizations - by Dr. Placide...Placide Poba Nzaou
 
Agile Manifesto and Practices Selection for Tailoring Software Development
Agile Manifesto and Practices Selection for Tailoring Software DevelopmentAgile Manifesto and Practices Selection for Tailoring Software Development
Agile Manifesto and Practices Selection for Tailoring Software DevelopmentManuel Kolp
 
Innovirtua vBusiness Operations Strategy
Innovirtua vBusiness Operations StrategyInnovirtua vBusiness Operations Strategy
Innovirtua vBusiness Operations StrategyInnovirtua
 
100526 greve 2003
100526 greve 2003100526 greve 2003
100526 greve 2003santasong
 
Symposium 2010 Gnaedinger Managing (And Leveraging) Information) (3)
Symposium 2010    Gnaedinger Managing (And Leveraging) Information) (3)Symposium 2010    Gnaedinger Managing (And Leveraging) Information) (3)
Symposium 2010 Gnaedinger Managing (And Leveraging) Information) (3)robgnaedinger
 
IT Project Management
IT Project ManagementIT Project Management
IT Project ManagementDavid Terry
 
Project management
Project managementProject management
Project managementDavid Terry
 

Ähnlich wie Operationalization of Dynamic Capabilities (20)

Agile Methology Seminar Report
Agile Methology Seminar ReportAgile Methology Seminar Report
Agile Methology Seminar Report
 
Brunel opensourcing 1
Brunel opensourcing 1Brunel opensourcing 1
Brunel opensourcing 1
 
Infor So Ho Experience
Infor So Ho ExperienceInfor So Ho Experience
Infor So Ho Experience
 
ADOPT 2012 FFI CRC
ADOPT 2012 FFI CRCADOPT 2012 FFI CRC
ADOPT 2012 FFI CRC
 
Empirical Study of the Evolution of Agile-developed Software System in Jordan...
Empirical Study of the Evolution of Agile-developed Software System in Jordan...Empirical Study of the Evolution of Agile-developed Software System in Jordan...
Empirical Study of the Evolution of Agile-developed Software System in Jordan...
 
EMPIRICAL STUDY OF THE EVOLUTION OF AGILE-DEVELOPED SOFTWARE SYSTEM IN JORDAN...
EMPIRICAL STUDY OF THE EVOLUTION OF AGILE-DEVELOPED SOFTWARE SYSTEM IN JORDAN...EMPIRICAL STUDY OF THE EVOLUTION OF AGILE-DEVELOPED SOFTWARE SYSTEM IN JORDAN...
EMPIRICAL STUDY OF THE EVOLUTION OF AGILE-DEVELOPED SOFTWARE SYSTEM IN JORDAN...
 
Foresight Methods and Practice: Lessons Learned from International Foresight ...
Foresight Methods and Practice: Lessons Learned from International Foresight ...Foresight Methods and Practice: Lessons Learned from International Foresight ...
Foresight Methods and Practice: Lessons Learned from International Foresight ...
 
A Research Proposal On Electrical Vehicles
A Research Proposal On Electrical VehiclesA Research Proposal On Electrical Vehicles
A Research Proposal On Electrical Vehicles
 
Critical Success Factors Influencing SOA implementations in Healthcare
Critical Success Factors Influencing SOA implementations in Healthcare Critical Success Factors Influencing SOA implementations in Healthcare
Critical Success Factors Influencing SOA implementations in Healthcare
 
Disciplined Innovation
Disciplined InnovationDisciplined Innovation
Disciplined Innovation
 
Social Validation
Social ValidationSocial Validation
Social Validation
 
Barriers to Mission Critical Open Source Software Adoption
Barriers to Mission Critical Open Source Software AdoptionBarriers to Mission Critical Open Source Software Adoption
Barriers to Mission Critical Open Source Software Adoption
 
Barriers to mission critical oss adoption by organizations - by Dr. Placide...
Barriers to mission critical   oss adoption by organizations - by Dr. Placide...Barriers to mission critical   oss adoption by organizations - by Dr. Placide...
Barriers to mission critical oss adoption by organizations - by Dr. Placide...
 
Agile Manifesto and Practices Selection for Tailoring Software Development
Agile Manifesto and Practices Selection for Tailoring Software DevelopmentAgile Manifesto and Practices Selection for Tailoring Software Development
Agile Manifesto and Practices Selection for Tailoring Software Development
 
Climbing the tree of unreachable fruits, reusing processes
Climbing the tree of unreachable fruits, reusing processesClimbing the tree of unreachable fruits, reusing processes
Climbing the tree of unreachable fruits, reusing processes
 
Innovirtua vBusiness Operations Strategy
Innovirtua vBusiness Operations StrategyInnovirtua vBusiness Operations Strategy
Innovirtua vBusiness Operations Strategy
 
100526 greve 2003
100526 greve 2003100526 greve 2003
100526 greve 2003
 
Symposium 2010 Gnaedinger Managing (And Leveraging) Information) (3)
Symposium 2010    Gnaedinger Managing (And Leveraging) Information) (3)Symposium 2010    Gnaedinger Managing (And Leveraging) Information) (3)
Symposium 2010 Gnaedinger Managing (And Leveraging) Information) (3)
 
IT Project Management
IT Project ManagementIT Project Management
IT Project Management
 
Project management
Project managementProject management
Project management
 

Mehr von René Rohrbeck

Corproate foresight in Bottom-of-the-Pyramid markets
Corproate foresight in Bottom-of-the-Pyramid marketsCorproate foresight in Bottom-of-the-Pyramid markets
Corproate foresight in Bottom-of-the-Pyramid marketsRené Rohrbeck
 
Strategic Foresight: How to build a superior position in markets of tomorrow
Strategic Foresight: How to build a superior position in markets of tomorrowStrategic Foresight: How to build a superior position in markets of tomorrow
Strategic Foresight: How to build a superior position in markets of tomorrowRené Rohrbeck
 
Strategic Foresight for Collaborative Exploration of New Business Fields
Strategic Foresight for Collaborative Exploration of New Business FieldsStrategic Foresight for Collaborative Exploration of New Business Fields
Strategic Foresight for Collaborative Exploration of New Business FieldsRené Rohrbeck
 
Collaborative business modeling to explore new business fields
Collaborative business modeling to explore new business fieldsCollaborative business modeling to explore new business fields
Collaborative business modeling to explore new business fieldsRené Rohrbeck
 
Strategische Frühaufklärung in der Praxis
Strategische Frühaufklärung in der PraxisStrategische Frühaufklärung in der Praxis
Strategische Frühaufklärung in der PraxisRené Rohrbeck
 
Strategic Foresight at Deutsche Telekom
Strategic Foresight at Deutsche TelekomStrategic Foresight at Deutsche Telekom
Strategic Foresight at Deutsche TelekomRené Rohrbeck
 
Creating an open innovation ecosystem at Deutsche Telekom
Creating an open innovation ecosystem at Deutsche TelekomCreating an open innovation ecosystem at Deutsche Telekom
Creating an open innovation ecosystem at Deutsche TelekomRené Rohrbeck
 
The Technology Radar - a Tool of Technology Intelligence and Innovation Strategy
The Technology Radar - a Tool of Technology Intelligence and Innovation StrategyThe Technology Radar - a Tool of Technology Intelligence and Innovation Strategy
The Technology Radar - a Tool of Technology Intelligence and Innovation StrategyRené Rohrbeck
 

Mehr von René Rohrbeck (9)

Corproate foresight in Bottom-of-the-Pyramid markets
Corproate foresight in Bottom-of-the-Pyramid marketsCorproate foresight in Bottom-of-the-Pyramid markets
Corproate foresight in Bottom-of-the-Pyramid markets
 
Strategic Foresight: How to build a superior position in markets of tomorrow
Strategic Foresight: How to build a superior position in markets of tomorrowStrategic Foresight: How to build a superior position in markets of tomorrow
Strategic Foresight: How to build a superior position in markets of tomorrow
 
Strategic Foresight for Collaborative Exploration of New Business Fields
Strategic Foresight for Collaborative Exploration of New Business FieldsStrategic Foresight for Collaborative Exploration of New Business Fields
Strategic Foresight for Collaborative Exploration of New Business Fields
 
Collaborative business modeling to explore new business fields
Collaborative business modeling to explore new business fieldsCollaborative business modeling to explore new business fields
Collaborative business modeling to explore new business fields
 
Strategische Frühaufklärung in der Praxis
Strategische Frühaufklärung in der PraxisStrategische Frühaufklärung in der Praxis
Strategische Frühaufklärung in der Praxis
 
Strategic Foresight at Deutsche Telekom
Strategic Foresight at Deutsche TelekomStrategic Foresight at Deutsche Telekom
Strategic Foresight at Deutsche Telekom
 
Creating an open innovation ecosystem at Deutsche Telekom
Creating an open innovation ecosystem at Deutsche TelekomCreating an open innovation ecosystem at Deutsche Telekom
Creating an open innovation ecosystem at Deutsche Telekom
 
Technology Scouting
Technology ScoutingTechnology Scouting
Technology Scouting
 
The Technology Radar - a Tool of Technology Intelligence and Innovation Strategy
The Technology Radar - a Tool of Technology Intelligence and Innovation StrategyThe Technology Radar - a Tool of Technology Intelligence and Innovation Strategy
The Technology Radar - a Tool of Technology Intelligence and Innovation Strategy
 

Kürzlich hochgeladen

Prescribed medication order and communication skills.pptx
Prescribed medication order and communication skills.pptxPrescribed medication order and communication skills.pptx
Prescribed medication order and communication skills.pptxraviapr7
 
The Stolen Bacillus by Herbert George Wells
The Stolen Bacillus by Herbert George WellsThe Stolen Bacillus by Herbert George Wells
The Stolen Bacillus by Herbert George WellsEugene Lysak
 
Patterns of Written Texts Across Disciplines.pptx
Patterns of Written Texts Across Disciplines.pptxPatterns of Written Texts Across Disciplines.pptx
Patterns of Written Texts Across Disciplines.pptxMYDA ANGELICA SUAN
 
5 charts on South Africa as a source country for international student recrui...
5 charts on South Africa as a source country for international student recrui...5 charts on South Africa as a source country for international student recrui...
5 charts on South Africa as a source country for international student recrui...CaraSkikne1
 
HED Office Sohayok Exam Question Solution 2023.pdf
HED Office Sohayok Exam Question Solution 2023.pdfHED Office Sohayok Exam Question Solution 2023.pdf
HED Office Sohayok Exam Question Solution 2023.pdfMohonDas
 
Philosophy of Education and Educational Philosophy
Philosophy of Education  and Educational PhilosophyPhilosophy of Education  and Educational Philosophy
Philosophy of Education and Educational PhilosophyShuvankar Madhu
 
UKCGE Parental Leave Discussion March 2024
UKCGE Parental Leave Discussion March 2024UKCGE Parental Leave Discussion March 2024
UKCGE Parental Leave Discussion March 2024UKCGE
 
M-2- General Reactions of amino acids.pptx
M-2- General Reactions of amino acids.pptxM-2- General Reactions of amino acids.pptx
M-2- General Reactions of amino acids.pptxDr. Santhosh Kumar. N
 
Diploma in Nursing Admission Test Question Solution 2023.pdf
Diploma in Nursing Admission Test Question Solution 2023.pdfDiploma in Nursing Admission Test Question Solution 2023.pdf
Diploma in Nursing Admission Test Question Solution 2023.pdfMohonDas
 
General views of Histopathology and step
General views of Histopathology and stepGeneral views of Histopathology and step
General views of Histopathology and stepobaje godwin sunday
 
Easter in the USA presentation by Chloe.
Easter in the USA presentation by Chloe.Easter in the USA presentation by Chloe.
Easter in the USA presentation by Chloe.EnglishCEIPdeSigeiro
 
Human-AI Co-Creation of Worked Examples for Programming Classes
Human-AI Co-Creation of Worked Examples for Programming ClassesHuman-AI Co-Creation of Worked Examples for Programming Classes
Human-AI Co-Creation of Worked Examples for Programming ClassesMohammad Hassany
 
DUST OF SNOW_BY ROBERT FROST_EDITED BY_ TANMOY MISHRA
DUST OF SNOW_BY ROBERT FROST_EDITED BY_ TANMOY MISHRADUST OF SNOW_BY ROBERT FROST_EDITED BY_ TANMOY MISHRA
DUST OF SNOW_BY ROBERT FROST_EDITED BY_ TANMOY MISHRATanmoy Mishra
 
3.21.24 The Origins of Black Power.pptx
3.21.24  The Origins of Black Power.pptx3.21.24  The Origins of Black Power.pptx
3.21.24 The Origins of Black Power.pptxmary850239
 
Maximizing Impact_ Nonprofit Website Planning, Budgeting, and Design.pdf
Maximizing Impact_ Nonprofit Website Planning, Budgeting, and Design.pdfMaximizing Impact_ Nonprofit Website Planning, Budgeting, and Design.pdf
Maximizing Impact_ Nonprofit Website Planning, Budgeting, and Design.pdfTechSoup
 
CAULIFLOWER BREEDING 1 Parmar pptx
CAULIFLOWER BREEDING 1 Parmar pptxCAULIFLOWER BREEDING 1 Parmar pptx
CAULIFLOWER BREEDING 1 Parmar pptxSaurabhParmar42
 
Drug Information Services- DIC and Sources.
Drug Information Services- DIC and Sources.Drug Information Services- DIC and Sources.
Drug Information Services- DIC and Sources.raviapr7
 
Patient Counselling. Definition of patient counseling; steps involved in pati...
Patient Counselling. Definition of patient counseling; steps involved in pati...Patient Counselling. Definition of patient counseling; steps involved in pati...
Patient Counselling. Definition of patient counseling; steps involved in pati...raviapr7
 
2024.03.23 What do successful readers do - Sandy Millin for PARK.pptx
2024.03.23 What do successful readers do - Sandy Millin for PARK.pptx2024.03.23 What do successful readers do - Sandy Millin for PARK.pptx
2024.03.23 What do successful readers do - Sandy Millin for PARK.pptxSandy Millin
 

Kürzlich hochgeladen (20)

Prescribed medication order and communication skills.pptx
Prescribed medication order and communication skills.pptxPrescribed medication order and communication skills.pptx
Prescribed medication order and communication skills.pptx
 
The Stolen Bacillus by Herbert George Wells
The Stolen Bacillus by Herbert George WellsThe Stolen Bacillus by Herbert George Wells
The Stolen Bacillus by Herbert George Wells
 
Patterns of Written Texts Across Disciplines.pptx
Patterns of Written Texts Across Disciplines.pptxPatterns of Written Texts Across Disciplines.pptx
Patterns of Written Texts Across Disciplines.pptx
 
5 charts on South Africa as a source country for international student recrui...
5 charts on South Africa as a source country for international student recrui...5 charts on South Africa as a source country for international student recrui...
5 charts on South Africa as a source country for international student recrui...
 
HED Office Sohayok Exam Question Solution 2023.pdf
HED Office Sohayok Exam Question Solution 2023.pdfHED Office Sohayok Exam Question Solution 2023.pdf
HED Office Sohayok Exam Question Solution 2023.pdf
 
Philosophy of Education and Educational Philosophy
Philosophy of Education  and Educational PhilosophyPhilosophy of Education  and Educational Philosophy
Philosophy of Education and Educational Philosophy
 
UKCGE Parental Leave Discussion March 2024
UKCGE Parental Leave Discussion March 2024UKCGE Parental Leave Discussion March 2024
UKCGE Parental Leave Discussion March 2024
 
M-2- General Reactions of amino acids.pptx
M-2- General Reactions of amino acids.pptxM-2- General Reactions of amino acids.pptx
M-2- General Reactions of amino acids.pptx
 
Prelims of Kant get Marx 2.0: a general politics quiz
Prelims of Kant get Marx 2.0: a general politics quizPrelims of Kant get Marx 2.0: a general politics quiz
Prelims of Kant get Marx 2.0: a general politics quiz
 
Diploma in Nursing Admission Test Question Solution 2023.pdf
Diploma in Nursing Admission Test Question Solution 2023.pdfDiploma in Nursing Admission Test Question Solution 2023.pdf
Diploma in Nursing Admission Test Question Solution 2023.pdf
 
General views of Histopathology and step
General views of Histopathology and stepGeneral views of Histopathology and step
General views of Histopathology and step
 
Easter in the USA presentation by Chloe.
Easter in the USA presentation by Chloe.Easter in the USA presentation by Chloe.
Easter in the USA presentation by Chloe.
 
Human-AI Co-Creation of Worked Examples for Programming Classes
Human-AI Co-Creation of Worked Examples for Programming ClassesHuman-AI Co-Creation of Worked Examples for Programming Classes
Human-AI Co-Creation of Worked Examples for Programming Classes
 
DUST OF SNOW_BY ROBERT FROST_EDITED BY_ TANMOY MISHRA
DUST OF SNOW_BY ROBERT FROST_EDITED BY_ TANMOY MISHRADUST OF SNOW_BY ROBERT FROST_EDITED BY_ TANMOY MISHRA
DUST OF SNOW_BY ROBERT FROST_EDITED BY_ TANMOY MISHRA
 
3.21.24 The Origins of Black Power.pptx
3.21.24  The Origins of Black Power.pptx3.21.24  The Origins of Black Power.pptx
3.21.24 The Origins of Black Power.pptx
 
Maximizing Impact_ Nonprofit Website Planning, Budgeting, and Design.pdf
Maximizing Impact_ Nonprofit Website Planning, Budgeting, and Design.pdfMaximizing Impact_ Nonprofit Website Planning, Budgeting, and Design.pdf
Maximizing Impact_ Nonprofit Website Planning, Budgeting, and Design.pdf
 
CAULIFLOWER BREEDING 1 Parmar pptx
CAULIFLOWER BREEDING 1 Parmar pptxCAULIFLOWER BREEDING 1 Parmar pptx
CAULIFLOWER BREEDING 1 Parmar pptx
 
Drug Information Services- DIC and Sources.
Drug Information Services- DIC and Sources.Drug Information Services- DIC and Sources.
Drug Information Services- DIC and Sources.
 
Patient Counselling. Definition of patient counseling; steps involved in pati...
Patient Counselling. Definition of patient counseling; steps involved in pati...Patient Counselling. Definition of patient counseling; steps involved in pati...
Patient Counselling. Definition of patient counseling; steps involved in pati...
 
2024.03.23 What do successful readers do - Sandy Millin for PARK.pptx
2024.03.23 What do successful readers do - Sandy Millin for PARK.pptx2024.03.23 What do successful readers do - Sandy Millin for PARK.pptx
2024.03.23 What do successful readers do - Sandy Millin for PARK.pptx
 

Operationalization of Dynamic Capabilities

  • 1. How to Operationalize Dynamic Capabilities René Rohrbeck, 2010 How to Operationalize Dynamic Capabilities Dr. René Rohrbeck Vortrag auf der VHB Jahrestagung der TIE Kommission 4. November 2010
  • 2. How to Operationalize Dynamic Capabilities René Rohrbeck, 2010 Practical relevance
  • 3. How to Operationalize Dynamic Capabilities René Rohrbeck, 2010 De Geus, 1997 Although Kodak was aware of the risk of digital photography early, there was no timely response to discontinuous technological change to counter the loss of competitive position. The average life expectancy of a “Fortune 500“ company is less than 50 years. 3 Companies struggle to adapt to (radical) changes in the environment. Lucas and Goh, 2009 Successfully responding to external change requires often challenging dominant views of the world and top management to engage directly in search processes Tripsas and Gavetti, 2000
  • 4. How to Operationalize Dynamic Capabilities René Rohrbeck, 2010 Why is it so difficult for companies to adapt to discontinuous changes? High clock speed Ignorance Inertia  High rate of change (Sood & Tellis, 2005)  Shorter product-life cycles (Kessler & Charkabarti, 1996)  Higher innovation speed (Chen et al. 2010)  Faster diffusion of innovation (Lee et al., 2003)  Short-term orientation (Ansoff, 1980)  Internal focus (Day & Schoemaker, 2004)  Information overload (Lesca & Caron, 1995)  Filtering by middle- management (Lucas & Goh 2009; Krystek, 2007)  Complex internal structures (Godet et al., 2004)  Barriers against cannibalization of existing business (Chandy & Tellis, 1998)  Complex external structures (Gunasakaran, 2008) 4
  • 5. How to Operationalize Dynamic Capabilities René Rohrbeck, 2010 Theoretical relevance:  Dynamic capabilities
  • 6. How to Operationalize Dynamic Capabilities René Rohrbeck, 2010 6 Proposal for operationalization of „dynamic capabilities“ Helfat, E. et al. (2007) Dynamic Capabilities: Understanding Strategic Change in Organizations, Blackwell Publishing: Malden, MA, pp. 7-17 Managerial and organizational processes Dynamic capabilities Configuration & deployment Decision making Search & selection Implementation Performance yardstick Value creation Technical Fitness Measures the performance of a dynamic capability as “quality per unit cost” (e.g. how many relevant trends are being identified and assessed and at what cost) The technical fitness is one of the three factors influencing the evolutionary fitness Evolutionary fitness  Survival  Growth  Value creation  Competitive and sustained advantage  profit External factors influencing the evolutionary fitness Market demand Competition
  • 7. How to Operationalize Dynamic Capabilities René Rohrbeck, 2010 7 Proposal for operationalization of „dynamic capabilities“ Helfat, E. et al. (2007) Dynamic Capabilities: Understanding Strategic Change in Organizations, Blackwell Publishing: Malden, MA, pp. 7-17 Managerial and organizational processes Dynamic capabilities Performance yardstick Value creation Technical Fitness Measures the performance of a dynamic capability as “quality per unit cost” (e.g. how many relevant trends are being identified and assessed and at what cost) The technical fitness is one of the three factors influencing the evolutionary fitness Evolutionary fitness  Survival  Growth  Value creation  Competitive and sustained advantage  profit External factors influencing the evolutionary fitness Market demand Competition Eisenhardt & Martin 2010: Dynamic capabilities are known and distinct processes such as  Strategic decision making  New product development  Alliancing Configuration & deployment Decision making Search & selection Implementation ?
  • 8. How to Operationalize Dynamic Capabilities René Rohrbeck, 2010 8 Proposal for operationalization of „dynamic capabilities“ Helfat, E. et al. (2007) Dynamic Capabilities: Understanding Strategic Change in Organizations, Blackwell Publishing: Malden, MA, pp. 7-17 Managerial and organizational processes Dynamic capabilities Performance yardstick Value creation Technical Fitness Measures the performance of a dynamic capability as “quality per unit cost” (e.g. how many relevant trends are being identified and assessed and at what cost) The technical fitness is one of the three factors influencing the evolutionary fitness Evolutionary fitness  Survival  Growth  Value creation  Competitive and sustained advantage  profit External factors influencing the evolutionary fitness Market demand Competition My research question: • What capabilities are needed to respond to external discontinuous change? Configuration & deployment Decision making Search & selection Implementation
  • 9. How to Operationalize Dynamic Capabilities René Rohrbeck, 2010 Methodology
  • 10. How to Operationalize Dynamic Capabilities René Rohrbeck, 2010 A high level of generalizability was achieved by using different corporate contexts and collection instruments. 20 case studies in 7 countries 1010
  • 11. How to Operationalize Dynamic Capabilities René Rohrbeck, 2010 For triangulation three informant perspectives were used, with a particular emphasis on the internal customers. Perspectives of informants Foresight Activity Usage Responsible of the foresight activity. Activity team working on the foresight activity. Internal Customer and user of the foresight insights 28 TOTAL 107 Internal customer 42 Responsible 37 Activity team Responsible Number of interviews Activity team 1111
  • 12. How to Operationalize Dynamic Capabilities René Rohrbeck, 2010 Case study result presentations 2 practitioner conferences  European Conference on Corporate Foresight 2007: 16 firms  European Conference on Corporate Foresight 2008: 36 firms For validation benchmarking results were discussed with firms individually and collectively at two conferences. 1212
  • 13. How to Operationalize Dynamic Capabilities René Rohrbeck, 2010 The Maturity Model of Organizational Future Orientation.
  • 14. How to Operationalize Dynamic Capabilities René Rohrbeck, 2010 5 dimensions and 21 elements of Organizational Future Orientation abilitites were identified. 14 Organizational Future Orientation (OFO) Information usage Method sophistication People & networks Organization Culture Sources Time horizon Scope Reach Communication capacity Integration capacity Match with goal Match with context External network Characteristics of foresighters Internal network Accountability Formal diffusion of insights Mode Integration with other processes Incentives Organization's attitude towards the periphery Willingness to share across functions Readiness to listen to scouts and external sources Willingness to test and challenge basic assumptions i
  • 15. How to Operationalize Dynamic Capabilities René Rohrbeck, 2010 Dimensions of the CF ability Maturity levels Highest possible value Optimal maturity level given a certain context1 2 3 4i Within the five capability dimensions the aspired maturity level is chosen on the basis of a context analysis. 15 What maturity level should be chosen depends on the context of the firm 15
  • 16. How to Operationalize Dynamic Capabilities René Rohrbeck, 2010 Reach Scope Time Horizon Source Items Scanning only in current business Level 1 Level 2 Level 3 Level 4 Scanning in current business and areas of interest Scanning in current and adjacent business Scanning in current business, adjacent business and in white spaces Not usable to communication Scanning technologies and poorly some other areas Scanning the areas of the environment to a different extend Scanning in all areas (Technology, political, competitor, customer) Emphasis on short term Short and medium term are taken into account (1- 2 product life cycles) Long, medium and short term are taken into account Pro-active scanning in long, medium and short term in place Use of few and easily accessible sources Use of multiple easily accessible sources Use of some restricted sources that provide competitive advantage Use of many sources that provide competitive advantage 16 i Information usage 16 The maturity level has been operationalized through qualitative descriptions.
  • 17. How to Operationalize Dynamic Capabilities René Rohrbeck, 2010 How do these capabilities unfold their transformative power?
  • 18. How to Operationalize Dynamic Capabilities René Rohrbeck, 2010 Barriers, activities and capabilities. 18 Promote internal networks Change is not detected by organizational sensors Change is not judged as relevant by foresighter Decision makers are not convinced about relevance of change Re-action strategies are not planned and/or decided Responsible persons for acting are not convinced and prevent change Barriers Scan the entire environment (All environmental areas, all time horizons, multiple sources) Define clear responsibilities i Use methods with high integration capacity Use methods with high communication capacity Integrate with follow-up processes and define formal decision-making processes Define accountability for sensing weak signals and establish formal communication channels Allow triggering of foresight activities top-down and bottom-up and use project-based and continuous approaches Activities Capabilities Promote willingness to share across functions, readiness to listen to external sources, willingness to share across functions, and a curious organizational attitude towards the periphery Hire and develop foresighters with ideal characteristics (Curious & receptive, open minded & passionate, broad & deep knowledge, strong internal & external network) planassess convince actidentify 1 2 3 4 5
  • 19. How to Operationalize Dynamic Capabilities René Rohrbeck, 2010 Conclusion
  • 20. How to Operationalize Dynamic Capabilities René Rohrbeck, 2010 Conclusion and future research  More knowledge is needed on how corporate change is occurring  …over time  …in which steps  …driven by which actors  …despite which barriers to change  Future research proposal:  Strategy-as-practice approach  Studying an episode from emergence of an external change to the response of the firm (longitudinal analysis) 20
  • 21. How to Operationalize Dynamic Capabilities René Rohrbeck, 2010 Thank you for your interest! 2121 http://futureorientation.net Dr. René Rohrbeck rene.rohrbeck@tim.tu-berlin.de http://www.tu-berlin.de/?id=31298