SlideShare uma empresa Scribd logo
1 de 9
Baixar para ler offline
1

Dynamic Capabilities and their Microfoundations:
Implications for Strategic Management
David J. Teece
Institute for Business Innovation
Haas School of Business
University of California, Berkeley
September 15, 2010

*Based on “Explicating Dynamic Capabilities: The Nature and Microfoundations of (Sustainable) Enterprise Performance”,
Strategic Management Journal, December 2007
Capabilities and Dynamic Capabilities
2

 

Capabilities are the organization’s ordinary ability to perform a set
of activities
 

 

Dynamic Capabilities are the ability to determine whether the
organization is performing the right activities, and then effectuate
necessary change
 
 
 

 

generally embedded in organizational routines/standard operating
procedures

“The capacity to create, extend, or modify the resource base”*
May be embedded in organizational routines
May also reside in one or a few individuals/leaders

Dynamic Capabilities set the speed with which the organization
aligns/realigns with requirements of and opportunities in the
business environment

*Dynamic Capabilities: Understanding Strategic Change in Organizations. Constance E. Helfat, Sydney Finkelstein, Will Mitchell,
Margaret A. Peteraf, Harbir Singh, David J. Teece, and Sidney G. Winter (Oxford: Blackwell, 2007).
What are Microfoundations?
3

Microfoundations are “elements” of Dynamic Capabilities.
They consist of discrete process/methodologies/structures that
undergird clusters of dynamic capabilities
I. Routines/Methodologies
 

Organizational Routines
 

 

Ex: product development along a known trajectory

Analytical Methodologies
 

Ex: investment choices

II. Individual Acts and Action
 

Creative managerial and entrepreneurial acts
 

Ex: pioneering a new market
Three Clusters of Microfoundations*
4

 

Sensing
Identification and assessment of an opportunity
  Easiest to embed in the organization
 

 

Seizing
 

 

Mobilization of resources to address an opportunity and to
capture value

Transforming
Continued renewal
  Inherently difficult to routinize
 

 

Each cluster is supported by organizational process; but also
by the entrepreneurial and leadership capabilities of the
top management team

*“Explicating Dynamic Capabilities: The Nature and Microfoundations of (Sustainable) Enterprise Performance”, Strategic
Management Journal, 28:13 (December 2007), 1319-1350.
Example of (Embedded) Microfoundations
for Sensing and Seizing
5

 

Mechanisms at IBM*
  Dozens

of new business ideas are considered twice yearly
  The most promising are vetted through multiple stages
  A few are launched with high-level support and protected
resources
  If milestones are met, the new business joins an existing
business unit

O’Reilly et al indicate that this process has added
billions in additional sales since its inception in 2000
*“Emerging Business Opportunities” at IBM (O’Reilly, Harreld, and Tushman, 2009)
Individual (Non-Routine) Action is also
Important
6

Steve Jobs at Apple:
“There is no system. That doesn't mean we don't have
process... Process makes you more efficient. But
innovation comes from people meeting up in the
hallways... It's ad hoc meetings of six people called
by someone who thinks he has figured out the coolest
new thing ever and who wants to know what other
people think of his idea. And it comes from saying no
to 1,000 things to make sure we don't get on the
wrong track or try to do too much”*
*Quoted in P. Burrows, “The Seed of Apple's Innovation.” businessweek.com (October 12 2004)
Interrelationships Amongst Microfoundations
7

The Dynamic Capabilities Framework postulates
relatively complex relationships among discrete
variables; but the framework is often silent as to
how these various elements interact
  The framework recognizes that there is extensive
and vibrant research activity on each
microfoundation – and it aspires to capture this
knowledge and integrate it into a broader
intellectual framework rooted in the theory of the
firm.
 
Intellectual Architecture of Dynamic Capabilities
8

Source: Figure 1.4 (p.49) of David Teece “Dynamic Capabilities and Strategic Management: Organization for Innovation and Growth”
Conclusions
9

 

Microfoundations involve both routine and nonroutine activity. Research questions include:
  The

appropriate balance between routines and the
non-routine action of top management.
  Under what circumstances (if any) can change be
routinized?
 

Empirical research can use both large data sets
(e.g. Adner and Helfat, 2003) and in-depth case
studies.

Mais conteúdo relacionado

Mais procurados

Ambidexterity and Open Innovation: Case Swarovski - Teaching Slides
Ambidexterity and Open Innovation: Case Swarovski - Teaching SlidesAmbidexterity and Open Innovation: Case Swarovski - Teaching Slides
Ambidexterity and Open Innovation: Case Swarovski - Teaching SlidesPaavo Ritala
 
Resources based view
Resources based viewResources based view
Resources based viewRetno Kusuma
 
"Past Present and Future of Entrepreneurship Education" presentation at USASB...
"Past Present and Future of Entrepreneurship Education" presentation at USASB..."Past Present and Future of Entrepreneurship Education" presentation at USASB...
"Past Present and Future of Entrepreneurship Education" presentation at USASB...Massachusetts Institute of Technology
 
Resource based view of firm
Resource based view of firmResource based view of firm
Resource based view of firmMaira Moazum
 
Review What is strategy Porter 1996
Review What is strategy Porter 1996Review What is strategy Porter 1996
Review What is strategy Porter 1996Lan Vy Nguyen Thi
 
Business Models and Dynamic Capabilities
Business Models and Dynamic CapabilitiesBusiness Models and Dynamic Capabilities
Business Models and Dynamic CapabilitiesDavid Teece
 
Ambidextrous organizations: from theory to practice
Ambidextrous organizations: from theory to practiceAmbidextrous organizations: from theory to practice
Ambidextrous organizations: from theory to practiceTamam Guseinova
 
Chapter 5 the drivers for change and transformation
Chapter 5 the drivers for change and transformationChapter 5 the drivers for change and transformation
Chapter 5 the drivers for change and transformationBHUOnlineDepartment
 
What is Business Model Innovation?
What is Business Model Innovation?What is Business Model Innovation?
What is Business Model Innovation?Dr. Marc Sniukas
 
What is a Strategy? Michael Porter - Harvard Business Review
What is a Strategy? Michael Porter - Harvard Business ReviewWhat is a Strategy? Michael Porter - Harvard Business Review
What is a Strategy? Michael Porter - Harvard Business ReviewDonny Sitompul
 
What is disruptive innovation?
What is disruptive innovation?What is disruptive innovation?
What is disruptive innovation?Nei Grando
 
On competition chapter 2 what is strategy
On competition chapter 2 what is strategyOn competition chapter 2 what is strategy
On competition chapter 2 what is strategyNIDA Business School
 
Introduction Strategic Management.pdf
Introduction Strategic Management.pdfIntroduction Strategic Management.pdf
Introduction Strategic Management.pdfzarni64
 
Innovation Capability for Sustainable Competitive Advantages
Innovation Capability for Sustainable Competitive AdvantagesInnovation Capability for Sustainable Competitive Advantages
Innovation Capability for Sustainable Competitive AdvantagesSeta Wicaksana
 
Input: Mintzbergs »Strategy Safari«, Chapter 4
Input: Mintzbergs »Strategy Safari«, Chapter 4Input: Mintzbergs »Strategy Safari«, Chapter 4
Input: Mintzbergs »Strategy Safari«, Chapter 4SIBE
 
Gestão estratégica baseada em cenários
Gestão estratégica baseada em cenáriosGestão estratégica baseada em cenários
Gestão estratégica baseada em cenáriosMacroplan
 
Innovation Theories & Models | 2016
Innovation Theories & Models | 2016Innovation Theories & Models | 2016
Innovation Theories & Models | 2016Patrick Collings
 

Mais procurados (20)

Ambidexterity and Open Innovation: Case Swarovski - Teaching Slides
Ambidexterity and Open Innovation: Case Swarovski - Teaching SlidesAmbidexterity and Open Innovation: Case Swarovski - Teaching Slides
Ambidexterity and Open Innovation: Case Swarovski - Teaching Slides
 
Resources based view
Resources based viewResources based view
Resources based view
 
"Past Present and Future of Entrepreneurship Education" presentation at USASB...
"Past Present and Future of Entrepreneurship Education" presentation at USASB..."Past Present and Future of Entrepreneurship Education" presentation at USASB...
"Past Present and Future of Entrepreneurship Education" presentation at USASB...
 
Resource based view of firm
Resource based view of firmResource based view of firm
Resource based view of firm
 
Review What is strategy Porter 1996
Review What is strategy Porter 1996Review What is strategy Porter 1996
Review What is strategy Porter 1996
 
Business Models and Dynamic Capabilities
Business Models and Dynamic CapabilitiesBusiness Models and Dynamic Capabilities
Business Models and Dynamic Capabilities
 
Strategic Thinking
Strategic ThinkingStrategic Thinking
Strategic Thinking
 
Ambidextrous organizations: from theory to practice
Ambidextrous organizations: from theory to practiceAmbidextrous organizations: from theory to practice
Ambidextrous organizations: from theory to practice
 
Strategic Management Chapter 2
Strategic Management Chapter 2Strategic Management Chapter 2
Strategic Management Chapter 2
 
Chapter 5 the drivers for change and transformation
Chapter 5 the drivers for change and transformationChapter 5 the drivers for change and transformation
Chapter 5 the drivers for change and transformation
 
Business strategy
Business strategyBusiness strategy
Business strategy
 
What is Business Model Innovation?
What is Business Model Innovation?What is Business Model Innovation?
What is Business Model Innovation?
 
What is a Strategy? Michael Porter - Harvard Business Review
What is a Strategy? Michael Porter - Harvard Business ReviewWhat is a Strategy? Michael Porter - Harvard Business Review
What is a Strategy? Michael Porter - Harvard Business Review
 
What is disruptive innovation?
What is disruptive innovation?What is disruptive innovation?
What is disruptive innovation?
 
On competition chapter 2 what is strategy
On competition chapter 2 what is strategyOn competition chapter 2 what is strategy
On competition chapter 2 what is strategy
 
Introduction Strategic Management.pdf
Introduction Strategic Management.pdfIntroduction Strategic Management.pdf
Introduction Strategic Management.pdf
 
Innovation Capability for Sustainable Competitive Advantages
Innovation Capability for Sustainable Competitive AdvantagesInnovation Capability for Sustainable Competitive Advantages
Innovation Capability for Sustainable Competitive Advantages
 
Input: Mintzbergs »Strategy Safari«, Chapter 4
Input: Mintzbergs »Strategy Safari«, Chapter 4Input: Mintzbergs »Strategy Safari«, Chapter 4
Input: Mintzbergs »Strategy Safari«, Chapter 4
 
Gestão estratégica baseada em cenários
Gestão estratégica baseada em cenáriosGestão estratégica baseada em cenários
Gestão estratégica baseada em cenários
 
Innovation Theories & Models | 2016
Innovation Theories & Models | 2016Innovation Theories & Models | 2016
Innovation Theories & Models | 2016
 

Semelhante a Teece dynamic capabilities-routines-versus_entrepreneurial_action_ppt

Dynamic Capabilities and Rendanheyi
Dynamic Capabilities and RendanheyiDynamic Capabilities and Rendanheyi
Dynamic Capabilities and RendanheyiDavid Teece
 
Whole Foods Markets
Whole Foods MarketsWhole Foods Markets
Whole Foods MarketsSarah Davis
 
04 an expanded mc kinsey’s 7s framework prospective cosimo gualano
04 an expanded mc kinsey’s 7s framework prospective   cosimo gualano04 an expanded mc kinsey’s 7s framework prospective   cosimo gualano
04 an expanded mc kinsey’s 7s framework prospective cosimo gualanoNevion
 
Increasing global competitiveness_hr
Increasing global competitiveness_hrIncreasing global competitiveness_hr
Increasing global competitiveness_hrJuli Bennette
 
Increasing global competitiveness_hr
Increasing global competitiveness_hrIncreasing global competitiveness_hr
Increasing global competitiveness_hrJuli Bennette
 
Humanity over bureaucracy
Humanity over bureaucracyHumanity over bureaucracy
Humanity over bureaucracyLivework Studio
 
Achieving sustainable competitive advantage through resource configur
Achieving sustainable competitive advantage through resource configurAchieving sustainable competitive advantage through resource configur
Achieving sustainable competitive advantage through resource configurIAEME Publication
 
Achieving sustainable competitive advantage through resource configur
Achieving sustainable competitive advantage through resource configurAchieving sustainable competitive advantage through resource configur
Achieving sustainable competitive advantage through resource configurIAEME Publication
 
Achieving sustainable competitive advantage through resource configur
Achieving sustainable competitive advantage through resource configurAchieving sustainable competitive advantage through resource configur
Achieving sustainable competitive advantage through resource configurIAEME Publication
 
Linking Theory & Practice Navigating the innovation landscape pas.docx
Linking Theory & Practice Navigating the innovation landscape pas.docxLinking Theory & Practice Navigating the innovation landscape pas.docx
Linking Theory & Practice Navigating the innovation landscape pas.docxSHIVA101531
 
Linking Theory & PracticeNavigating the innovation landsca.docx
Linking Theory & PracticeNavigating the innovation landsca.docxLinking Theory & PracticeNavigating the innovation landsca.docx
Linking Theory & PracticeNavigating the innovation landsca.docxsmile790243
 
Part 3 Diagnosing the Change (Due Week 4) Back to TopSelect a.docx
Part 3 Diagnosing the Change (Due Week 4) Back to TopSelect a.docxPart 3 Diagnosing the Change (Due Week 4) Back to TopSelect a.docx
Part 3 Diagnosing the Change (Due Week 4) Back to TopSelect a.docxherbertwilson5999
 
Innovation through intrapreneurship
Innovation through intrapreneurship Innovation through intrapreneurship
Innovation through intrapreneurship Abhishek Ballabh
 
Dynamic Capabilities
Dynamic CapabilitiesDynamic Capabilities
Dynamic Capabilitiestesisrevisar
 
Liberty busi-610-week-7-quiz-4-new
Liberty busi-610-week-7-quiz-4-newLiberty busi-610-week-7-quiz-4-new
Liberty busi-610-week-7-quiz-4-newshyaminfo104
 

Semelhante a Teece dynamic capabilities-routines-versus_entrepreneurial_action_ppt (20)

Dynamic Capabilities and Rendanheyi
Dynamic Capabilities and RendanheyiDynamic Capabilities and Rendanheyi
Dynamic Capabilities and Rendanheyi
 
Article 1
Article 1Article 1
Article 1
 
Whole Foods Markets
Whole Foods MarketsWhole Foods Markets
Whole Foods Markets
 
Organizations unfettered
Organizations unfetteredOrganizations unfettered
Organizations unfettered
 
04 an expanded mc kinsey’s 7s framework prospective cosimo gualano
04 an expanded mc kinsey’s 7s framework prospective   cosimo gualano04 an expanded mc kinsey’s 7s framework prospective   cosimo gualano
04 an expanded mc kinsey’s 7s framework prospective cosimo gualano
 
Increasing global competitiveness_hr
Increasing global competitiveness_hrIncreasing global competitiveness_hr
Increasing global competitiveness_hr
 
Increasing global competitiveness_hr
Increasing global competitiveness_hrIncreasing global competitiveness_hr
Increasing global competitiveness_hr
 
Humanity over bureaucracy
Humanity over bureaucracyHumanity over bureaucracy
Humanity over bureaucracy
 
Achieving sustainable competitive advantage through resource configur
Achieving sustainable competitive advantage through resource configurAchieving sustainable competitive advantage through resource configur
Achieving sustainable competitive advantage through resource configur
 
Achieving sustainable competitive advantage through resource configur
Achieving sustainable competitive advantage through resource configurAchieving sustainable competitive advantage through resource configur
Achieving sustainable competitive advantage through resource configur
 
Achieving sustainable competitive advantage through resource configur
Achieving sustainable competitive advantage through resource configurAchieving sustainable competitive advantage through resource configur
Achieving sustainable competitive advantage through resource configur
 
Linking Theory & Practice Navigating the innovation landscape pas.docx
Linking Theory & Practice Navigating the innovation landscape pas.docxLinking Theory & Practice Navigating the innovation landscape pas.docx
Linking Theory & Practice Navigating the innovation landscape pas.docx
 
Organizational Change Essay
Organizational Change EssayOrganizational Change Essay
Organizational Change Essay
 
Linking Theory & PracticeNavigating the innovation landsca.docx
Linking Theory & PracticeNavigating the innovation landsca.docxLinking Theory & PracticeNavigating the innovation landsca.docx
Linking Theory & PracticeNavigating the innovation landsca.docx
 
Part 3 Diagnosing the Change (Due Week 4) Back to TopSelect a.docx
Part 3 Diagnosing the Change (Due Week 4) Back to TopSelect a.docxPart 3 Diagnosing the Change (Due Week 4) Back to TopSelect a.docx
Part 3 Diagnosing the Change (Due Week 4) Back to TopSelect a.docx
 
Forces Of Organizational Change Essay Examples
Forces Of Organizational Change Essay ExamplesForces Of Organizational Change Essay Examples
Forces Of Organizational Change Essay Examples
 
Innovation through intrapreneurship
Innovation through intrapreneurship Innovation through intrapreneurship
Innovation through intrapreneurship
 
Dynamic Capabilities
Dynamic CapabilitiesDynamic Capabilities
Dynamic Capabilities
 
10 principles of organizational DNA
10 principles of organizational DNA10 principles of organizational DNA
10 principles of organizational DNA
 
Liberty busi-610-week-7-quiz-4-new
Liberty busi-610-week-7-quiz-4-newLiberty busi-610-week-7-quiz-4-new
Liberty busi-610-week-7-quiz-4-new
 

Mais de Fred Kautz

FRB-Richmond_ unsustainable fiscal policy_ implications for monetary policy
FRB-Richmond_ unsustainable fiscal policy_ implications for monetary policyFRB-Richmond_ unsustainable fiscal policy_ implications for monetary policy
FRB-Richmond_ unsustainable fiscal policy_ implications for monetary policyFred Kautz
 
Chan supply chain coordination literature review
Chan supply chain coordination literature reviewChan supply chain coordination literature review
Chan supply chain coordination literature reviewFred Kautz
 
Plehn 110805 apms_11_environmental_performance_indicators
Plehn 110805 apms_11_environmental_performance_indicatorsPlehn 110805 apms_11_environmental_performance_indicators
Plehn 110805 apms_11_environmental_performance_indicatorsFred Kautz
 
McKinsey on semiconductors
McKinsey on semiconductorsMcKinsey on semiconductors
McKinsey on semiconductorsFred Kautz
 
Russell mit humanitarian relief supply chain
Russell mit humanitarian relief supply chainRussell mit humanitarian relief supply chain
Russell mit humanitarian relief supply chainFred Kautz
 
Insider threatsystemdynamics 2
Insider threatsystemdynamics 2Insider threatsystemdynamics 2
Insider threatsystemdynamics 2Fred Kautz
 

Mais de Fred Kautz (6)

FRB-Richmond_ unsustainable fiscal policy_ implications for monetary policy
FRB-Richmond_ unsustainable fiscal policy_ implications for monetary policyFRB-Richmond_ unsustainable fiscal policy_ implications for monetary policy
FRB-Richmond_ unsustainable fiscal policy_ implications for monetary policy
 
Chan supply chain coordination literature review
Chan supply chain coordination literature reviewChan supply chain coordination literature review
Chan supply chain coordination literature review
 
Plehn 110805 apms_11_environmental_performance_indicators
Plehn 110805 apms_11_environmental_performance_indicatorsPlehn 110805 apms_11_environmental_performance_indicators
Plehn 110805 apms_11_environmental_performance_indicators
 
McKinsey on semiconductors
McKinsey on semiconductorsMcKinsey on semiconductors
McKinsey on semiconductors
 
Russell mit humanitarian relief supply chain
Russell mit humanitarian relief supply chainRussell mit humanitarian relief supply chain
Russell mit humanitarian relief supply chain
 
Insider threatsystemdynamics 2
Insider threatsystemdynamics 2Insider threatsystemdynamics 2
Insider threatsystemdynamics 2
 

Último

To Create Your Own Wig Online To Create Your Own Wig Online
To Create Your Own Wig Online  To Create Your Own Wig OnlineTo Create Your Own Wig Online  To Create Your Own Wig Online
To Create Your Own Wig Online To Create Your Own Wig Onlinelng ths
 
Slicing Work on Business Agility Meetup Berlin
Slicing Work on Business Agility Meetup BerlinSlicing Work on Business Agility Meetup Berlin
Slicing Work on Business Agility Meetup BerlinAnton Skornyakov
 
AMAZON SELLER VIRTUAL ASSISTANT PRODUCT RESEARCH .pdf
AMAZON SELLER VIRTUAL ASSISTANT PRODUCT RESEARCH .pdfAMAZON SELLER VIRTUAL ASSISTANT PRODUCT RESEARCH .pdf
AMAZON SELLER VIRTUAL ASSISTANT PRODUCT RESEARCH .pdfJohnCarloValencia4
 
Anyhr.io | Presentation HR&Recruiting agency
Anyhr.io | Presentation HR&Recruiting agencyAnyhr.io | Presentation HR&Recruiting agency
Anyhr.io | Presentation HR&Recruiting agencyHanna Klim
 
Borderless Access - Global Panel book-unlock 2024
Borderless Access - Global Panel book-unlock 2024Borderless Access - Global Panel book-unlock 2024
Borderless Access - Global Panel book-unlock 2024Borderless Access
 
A flour, rice and Suji company in Jhang.
A flour, rice and Suji company in Jhang.A flour, rice and Suji company in Jhang.
A flour, rice and Suji company in Jhang.mcshagufta46
 
HELENE HECKROTTE'S PROFESSIONAL PORTFOLIO.pptx
HELENE HECKROTTE'S PROFESSIONAL PORTFOLIO.pptxHELENE HECKROTTE'S PROFESSIONAL PORTFOLIO.pptx
HELENE HECKROTTE'S PROFESSIONAL PORTFOLIO.pptxHelene Heckrotte
 
Graham and Doddsville - Issue 1 - Winter 2006 (1).pdf
Graham and Doddsville - Issue 1 - Winter 2006 (1).pdfGraham and Doddsville - Issue 1 - Winter 2006 (1).pdf
Graham and Doddsville - Issue 1 - Winter 2006 (1).pdfAnhNguyen97152
 
NewBase 25 March 2024 Energy News issue - 1710 by Khaled Al Awadi_compress...
NewBase  25 March  2024  Energy News issue - 1710 by Khaled Al Awadi_compress...NewBase  25 March  2024  Energy News issue - 1710 by Khaled Al Awadi_compress...
NewBase 25 March 2024 Energy News issue - 1710 by Khaled Al Awadi_compress...Khaled Al Awadi
 
TalentView Webinar: Empowering the Modern Workforce_ Redefininig Success from...
TalentView Webinar: Empowering the Modern Workforce_ Redefininig Success from...TalentView Webinar: Empowering the Modern Workforce_ Redefininig Success from...
TalentView Webinar: Empowering the Modern Workforce_ Redefininig Success from...TalentView
 
Project Brief & Information Architecture Report
Project Brief & Information Architecture ReportProject Brief & Information Architecture Report
Project Brief & Information Architecture Reportamberjiles31
 
MC Heights construction company in Jhang
MC Heights construction company in JhangMC Heights construction company in Jhang
MC Heights construction company in Jhangmcgroupjeya
 
Lecture_6.pptx English speaking easyb to
Lecture_6.pptx English speaking easyb toLecture_6.pptx English speaking easyb to
Lecture_6.pptx English speaking easyb toumarfarooquejamali32
 
Cracking the ‘Business Process Outsourcing’ Code Main.pptx
Cracking the ‘Business Process Outsourcing’ Code Main.pptxCracking the ‘Business Process Outsourcing’ Code Main.pptx
Cracking the ‘Business Process Outsourcing’ Code Main.pptxWorkforce Group
 
Borderless Access - Global B2B Panel book-unlock 2024
Borderless Access - Global B2B Panel book-unlock 2024Borderless Access - Global B2B Panel book-unlock 2024
Borderless Access - Global B2B Panel book-unlock 2024Borderless Access
 
Fabric RFID Wristbands in Ireland for Events and Festivals
Fabric RFID Wristbands in Ireland for Events and FestivalsFabric RFID Wristbands in Ireland for Events and Festivals
Fabric RFID Wristbands in Ireland for Events and FestivalsWristbands Ireland
 
BCE24 | Virtual Brand Ambassadors: Making Brands Personal - John Meulemans
BCE24 | Virtual Brand Ambassadors: Making Brands Personal - John MeulemansBCE24 | Virtual Brand Ambassadors: Making Brands Personal - John Meulemans
BCE24 | Virtual Brand Ambassadors: Making Brands Personal - John MeulemansBBPMedia1
 
Boat Trailers Market PPT: Growth, Outlook, Demand, Keyplayer Analysis and Opp...
Boat Trailers Market PPT: Growth, Outlook, Demand, Keyplayer Analysis and Opp...Boat Trailers Market PPT: Growth, Outlook, Demand, Keyplayer Analysis and Opp...
Boat Trailers Market PPT: Growth, Outlook, Demand, Keyplayer Analysis and Opp...IMARC Group
 
Data skills for Agile Teams- Killing story points
Data skills for Agile Teams- Killing story pointsData skills for Agile Teams- Killing story points
Data skills for Agile Teams- Killing story pointsyasinnathani
 

Último (20)

To Create Your Own Wig Online To Create Your Own Wig Online
To Create Your Own Wig Online  To Create Your Own Wig OnlineTo Create Your Own Wig Online  To Create Your Own Wig Online
To Create Your Own Wig Online To Create Your Own Wig Online
 
Slicing Work on Business Agility Meetup Berlin
Slicing Work on Business Agility Meetup BerlinSlicing Work on Business Agility Meetup Berlin
Slicing Work on Business Agility Meetup Berlin
 
AMAZON SELLER VIRTUAL ASSISTANT PRODUCT RESEARCH .pdf
AMAZON SELLER VIRTUAL ASSISTANT PRODUCT RESEARCH .pdfAMAZON SELLER VIRTUAL ASSISTANT PRODUCT RESEARCH .pdf
AMAZON SELLER VIRTUAL ASSISTANT PRODUCT RESEARCH .pdf
 
Anyhr.io | Presentation HR&Recruiting agency
Anyhr.io | Presentation HR&Recruiting agencyAnyhr.io | Presentation HR&Recruiting agency
Anyhr.io | Presentation HR&Recruiting agency
 
Borderless Access - Global Panel book-unlock 2024
Borderless Access - Global Panel book-unlock 2024Borderless Access - Global Panel book-unlock 2024
Borderless Access - Global Panel book-unlock 2024
 
A flour, rice and Suji company in Jhang.
A flour, rice and Suji company in Jhang.A flour, rice and Suji company in Jhang.
A flour, rice and Suji company in Jhang.
 
WAM Corporate Presentation Mar 25 2024.pdf
WAM Corporate Presentation Mar 25 2024.pdfWAM Corporate Presentation Mar 25 2024.pdf
WAM Corporate Presentation Mar 25 2024.pdf
 
HELENE HECKROTTE'S PROFESSIONAL PORTFOLIO.pptx
HELENE HECKROTTE'S PROFESSIONAL PORTFOLIO.pptxHELENE HECKROTTE'S PROFESSIONAL PORTFOLIO.pptx
HELENE HECKROTTE'S PROFESSIONAL PORTFOLIO.pptx
 
Graham and Doddsville - Issue 1 - Winter 2006 (1).pdf
Graham and Doddsville - Issue 1 - Winter 2006 (1).pdfGraham and Doddsville - Issue 1 - Winter 2006 (1).pdf
Graham and Doddsville - Issue 1 - Winter 2006 (1).pdf
 
NewBase 25 March 2024 Energy News issue - 1710 by Khaled Al Awadi_compress...
NewBase  25 March  2024  Energy News issue - 1710 by Khaled Al Awadi_compress...NewBase  25 March  2024  Energy News issue - 1710 by Khaled Al Awadi_compress...
NewBase 25 March 2024 Energy News issue - 1710 by Khaled Al Awadi_compress...
 
TalentView Webinar: Empowering the Modern Workforce_ Redefininig Success from...
TalentView Webinar: Empowering the Modern Workforce_ Redefininig Success from...TalentView Webinar: Empowering the Modern Workforce_ Redefininig Success from...
TalentView Webinar: Empowering the Modern Workforce_ Redefininig Success from...
 
Project Brief & Information Architecture Report
Project Brief & Information Architecture ReportProject Brief & Information Architecture Report
Project Brief & Information Architecture Report
 
MC Heights construction company in Jhang
MC Heights construction company in JhangMC Heights construction company in Jhang
MC Heights construction company in Jhang
 
Lecture_6.pptx English speaking easyb to
Lecture_6.pptx English speaking easyb toLecture_6.pptx English speaking easyb to
Lecture_6.pptx English speaking easyb to
 
Cracking the ‘Business Process Outsourcing’ Code Main.pptx
Cracking the ‘Business Process Outsourcing’ Code Main.pptxCracking the ‘Business Process Outsourcing’ Code Main.pptx
Cracking the ‘Business Process Outsourcing’ Code Main.pptx
 
Borderless Access - Global B2B Panel book-unlock 2024
Borderless Access - Global B2B Panel book-unlock 2024Borderless Access - Global B2B Panel book-unlock 2024
Borderless Access - Global B2B Panel book-unlock 2024
 
Fabric RFID Wristbands in Ireland for Events and Festivals
Fabric RFID Wristbands in Ireland for Events and FestivalsFabric RFID Wristbands in Ireland for Events and Festivals
Fabric RFID Wristbands in Ireland for Events and Festivals
 
BCE24 | Virtual Brand Ambassadors: Making Brands Personal - John Meulemans
BCE24 | Virtual Brand Ambassadors: Making Brands Personal - John MeulemansBCE24 | Virtual Brand Ambassadors: Making Brands Personal - John Meulemans
BCE24 | Virtual Brand Ambassadors: Making Brands Personal - John Meulemans
 
Boat Trailers Market PPT: Growth, Outlook, Demand, Keyplayer Analysis and Opp...
Boat Trailers Market PPT: Growth, Outlook, Demand, Keyplayer Analysis and Opp...Boat Trailers Market PPT: Growth, Outlook, Demand, Keyplayer Analysis and Opp...
Boat Trailers Market PPT: Growth, Outlook, Demand, Keyplayer Analysis and Opp...
 
Data skills for Agile Teams- Killing story points
Data skills for Agile Teams- Killing story pointsData skills for Agile Teams- Killing story points
Data skills for Agile Teams- Killing story points
 

Teece dynamic capabilities-routines-versus_entrepreneurial_action_ppt

  • 1. 1 Dynamic Capabilities and their Microfoundations: Implications for Strategic Management David J. Teece Institute for Business Innovation Haas School of Business University of California, Berkeley September 15, 2010 *Based on “Explicating Dynamic Capabilities: The Nature and Microfoundations of (Sustainable) Enterprise Performance”, Strategic Management Journal, December 2007
  • 2. Capabilities and Dynamic Capabilities 2   Capabilities are the organization’s ordinary ability to perform a set of activities     Dynamic Capabilities are the ability to determine whether the organization is performing the right activities, and then effectuate necessary change         generally embedded in organizational routines/standard operating procedures “The capacity to create, extend, or modify the resource base”* May be embedded in organizational routines May also reside in one or a few individuals/leaders Dynamic Capabilities set the speed with which the organization aligns/realigns with requirements of and opportunities in the business environment *Dynamic Capabilities: Understanding Strategic Change in Organizations. Constance E. Helfat, Sydney Finkelstein, Will Mitchell, Margaret A. Peteraf, Harbir Singh, David J. Teece, and Sidney G. Winter (Oxford: Blackwell, 2007).
  • 3. What are Microfoundations? 3 Microfoundations are “elements” of Dynamic Capabilities. They consist of discrete process/methodologies/structures that undergird clusters of dynamic capabilities I. Routines/Methodologies   Organizational Routines     Ex: product development along a known trajectory Analytical Methodologies   Ex: investment choices II. Individual Acts and Action   Creative managerial and entrepreneurial acts   Ex: pioneering a new market
  • 4. Three Clusters of Microfoundations* 4   Sensing Identification and assessment of an opportunity   Easiest to embed in the organization     Seizing     Mobilization of resources to address an opportunity and to capture value Transforming Continued renewal   Inherently difficult to routinize     Each cluster is supported by organizational process; but also by the entrepreneurial and leadership capabilities of the top management team *“Explicating Dynamic Capabilities: The Nature and Microfoundations of (Sustainable) Enterprise Performance”, Strategic Management Journal, 28:13 (December 2007), 1319-1350.
  • 5. Example of (Embedded) Microfoundations for Sensing and Seizing 5   Mechanisms at IBM*   Dozens of new business ideas are considered twice yearly   The most promising are vetted through multiple stages   A few are launched with high-level support and protected resources   If milestones are met, the new business joins an existing business unit O’Reilly et al indicate that this process has added billions in additional sales since its inception in 2000 *“Emerging Business Opportunities” at IBM (O’Reilly, Harreld, and Tushman, 2009)
  • 6. Individual (Non-Routine) Action is also Important 6 Steve Jobs at Apple: “There is no system. That doesn't mean we don't have process... Process makes you more efficient. But innovation comes from people meeting up in the hallways... It's ad hoc meetings of six people called by someone who thinks he has figured out the coolest new thing ever and who wants to know what other people think of his idea. And it comes from saying no to 1,000 things to make sure we don't get on the wrong track or try to do too much”* *Quoted in P. Burrows, “The Seed of Apple's Innovation.” businessweek.com (October 12 2004)
  • 7. Interrelationships Amongst Microfoundations 7 The Dynamic Capabilities Framework postulates relatively complex relationships among discrete variables; but the framework is often silent as to how these various elements interact   The framework recognizes that there is extensive and vibrant research activity on each microfoundation – and it aspires to capture this knowledge and integrate it into a broader intellectual framework rooted in the theory of the firm.  
  • 8. Intellectual Architecture of Dynamic Capabilities 8 Source: Figure 1.4 (p.49) of David Teece “Dynamic Capabilities and Strategic Management: Organization for Innovation and Growth”
  • 9. Conclusions 9   Microfoundations involve both routine and nonroutine activity. Research questions include:   The appropriate balance between routines and the non-routine action of top management.   Under what circumstances (if any) can change be routinized?   Empirical research can use both large data sets (e.g. Adner and Helfat, 2003) and in-depth case studies.