Enterprises Thrive in Turbulent Times by Balancing Dynamic and Operational Capabilities
In the research, they looked at how companies' abilities to adapt and operate well affect their ability to innovate. They wanted to see if the changing environment impacts these abilities. They surveyed 300 Korean manufacturing companies and found that being good at changing quickly (dynamic capabilities) is linked to being good at day-to-day operations (operational capabilities). When a business deals with lots of changes in its environment, it tends to come up with big new ideas (radical innovations). On the other hand, companies facing less change usually focus on smaller improvements (gradual innovations). Interestingly, the changing environment didn't seem to affect how dynamic capabilities relate to operational capabilities. This study helps us understand how businesses can adjust their skills to stay strong and innovative in a world that keeps changing.