Dynamic Capabilities Theory

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Contribution to Books

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Organizations face continuous challenges associated with disturbing familiar practices by replacing them with new ones (Fallon-Byrne and Harney, 2017). Thus, the emergence of dynamic capabilities theory is considered an important step in framing and conceptualizing organizational change processes by building upon concepts such as organizational learning and knowledge management (Easterby-Smith et al., 2009). Introduced in the seminal paper by Teece et al. (1997), the body of literature on dynamic capabilities has grown rapidly in the last two decades, leading to an intensively studied and complex management theory (Barreto, 2010), also conceptualized and applied in supply chain management (SCM) research today. Furthermore, dynamic capabilities theory has been extended for various industry contexts, such as the automotive, food and logistics industries (for example, Beske et al., 2014; Land et al., 2015; Gruchmann and Seuring, 2018).

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