Organizational Agility as Dynamic Capability

Bachelor Thesis from the year 2022 in the subject Business economics - Organization, grade: 1,8, , language: English, abstract: In this thesis, I want to examine this approach and answer the question of how organizational agility can be explained within the dynamic capabilities framework. To do that, I’m going to first closely examine both frameworks and present attempts that try to clarify each concept. Afterward, I will present the approach of how organizational agility has been implemented into the dynamic capabilities framework and showcase a practical application that uses the dynamic capabilities framework to explain the creation of agility. Superior business performance and competitiveness are key objectives for any firm. Organizational agility has been pointed out as one option for achieving this goal, especially in today’s business environment characterized by uncertainty and volatility. Online searches for “agile transformation” yield around 90 million hits and a Google trend analysis shows a steep positive incline in interest over the past 10 years. According to a survey done by McKinsey in 2020, 75% out of 2190 enterprises would describe themselves as agile or are in the progress or preparation of transforming their business towards agility. This is a global phenomenon, most industries have been identified as transforming towards agility with the financial services and telecom industry leading the way.