IT-Enabled Dynamic Capability Creation: A Perspective on Exploitative vs. Explorative IT Utilization

By focusing on today’s highly competitive and rapidly changing business environment, this study theorizes how organizations can create their dynamic capability from the utilization of information technology (IT) resources. The organizational exploitation and exploration perspective is adopted as the central theoretical basis of this study. A reflection on the exploitation and exploration of organizational IT management provides the possibility for theorizing multiple paths for IT-enabled dynamic capability creation. Under our theoretical development, the multiple paths involve different types of IT utilization capabilities that, in conjunction with organizational IT resources and other non-IT factors, lead to organizational dynamic capability. This study provides a theoretical basis for the role of IT in creating organizational dynamic capability. Specifically, it reveals the multiple types of interrelations between organizational IT resources and their utilization capabilities. This study serves as a basis for further empirical studies