Dynamic Capabilities and Digital Transformation: Toward Strategic Planning in the Digital Age—Evidence from Palestine
The concept of digital maturity has gained prominence in the context of digital transformation. It refers to an organization’s ability to effectively adapt to changing environments using digital technologies. At the same time, the dynamic capabilities of an organization play a crucial role in mainta...
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MDPI AG
2025-01-01
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Online Access: | https://www.mdpi.com/2076-3387/15/1/21 |
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author | Yamin Abu Alrub Sandra M. Sánchez-Cañizares |
author_facet | Yamin Abu Alrub Sandra M. Sánchez-Cañizares |
author_sort | Yamin Abu Alrub |
collection | DOAJ |
description | The concept of digital maturity has gained prominence in the context of digital transformation. It refers to an organization’s ability to effectively adapt to changing environments using digital technologies. At the same time, the dynamic capabilities of an organization play a crucial role in maintaining a competitive advantage. These capabilities allow organizations to integrate, build, and reconfigure competencies in response to market dynamics. Despite empirical evidence supporting the impact of dynamic capabilities on competitive advantage, there remains a need to explore the specific mechanisms driving this relationship. Moreover, in traditional industries experiencing digital disruption, understanding digital maturity as an intermediate outcome becomes essential. This study focuses on the Palestinian financial sector and investigates the significance of digital maturity in the context of dynamic capabilities. Primary data were collected through an online questionnaire survey, and a model was estimated through a SEM-PLS methodology. The results highlight a strong relationship between dynamic capability and competitive advantage. Thus, digital maturity plays a crucial role in enhancing strategic planning efficiency through the implementation of dynamic capabilities. |
format | Article |
id | doaj-art-90f2037c22e544b69d8829143cbf332a |
institution | Kabale University |
issn | 2076-3387 |
language | English |
publishDate | 2025-01-01 |
publisher | MDPI AG |
record_format | Article |
series | Administrative Sciences |
spelling | doaj-art-90f2037c22e544b69d8829143cbf332a2025-01-24T13:15:21ZengMDPI AGAdministrative Sciences2076-33872025-01-011512110.3390/admsci15010021Dynamic Capabilities and Digital Transformation: Toward Strategic Planning in the Digital Age—Evidence from PalestineYamin Abu Alrub0Sandra M. Sánchez-Cañizares1Business Organization Department, University of Cordoba, 14071 Cordoba, SpainBusiness Organization Department, University of Cordoba, 14071 Cordoba, SpainThe concept of digital maturity has gained prominence in the context of digital transformation. It refers to an organization’s ability to effectively adapt to changing environments using digital technologies. At the same time, the dynamic capabilities of an organization play a crucial role in maintaining a competitive advantage. These capabilities allow organizations to integrate, build, and reconfigure competencies in response to market dynamics. Despite empirical evidence supporting the impact of dynamic capabilities on competitive advantage, there remains a need to explore the specific mechanisms driving this relationship. Moreover, in traditional industries experiencing digital disruption, understanding digital maturity as an intermediate outcome becomes essential. This study focuses on the Palestinian financial sector and investigates the significance of digital maturity in the context of dynamic capabilities. Primary data were collected through an online questionnaire survey, and a model was estimated through a SEM-PLS methodology. The results highlight a strong relationship between dynamic capability and competitive advantage. Thus, digital maturity plays a crucial role in enhancing strategic planning efficiency through the implementation of dynamic capabilities.https://www.mdpi.com/2076-3387/15/1/21dynamic capabilitiesdigital maturitydigital transformationstrategic planningcompetitive advantage |
spellingShingle | Yamin Abu Alrub Sandra M. Sánchez-Cañizares Dynamic Capabilities and Digital Transformation: Toward Strategic Planning in the Digital Age—Evidence from Palestine Administrative Sciences dynamic capabilities digital maturity digital transformation strategic planning competitive advantage |
title | Dynamic Capabilities and Digital Transformation: Toward Strategic Planning in the Digital Age—Evidence from Palestine |
title_full | Dynamic Capabilities and Digital Transformation: Toward Strategic Planning in the Digital Age—Evidence from Palestine |
title_fullStr | Dynamic Capabilities and Digital Transformation: Toward Strategic Planning in the Digital Age—Evidence from Palestine |
title_full_unstemmed | Dynamic Capabilities and Digital Transformation: Toward Strategic Planning in the Digital Age—Evidence from Palestine |
title_short | Dynamic Capabilities and Digital Transformation: Toward Strategic Planning in the Digital Age—Evidence from Palestine |
title_sort | dynamic capabilities and digital transformation toward strategic planning in the digital age evidence from palestine |
topic | dynamic capabilities digital maturity digital transformation strategic planning competitive advantage |
url | https://www.mdpi.com/2076-3387/15/1/21 |
work_keys_str_mv | AT yaminabualrub dynamiccapabilitiesanddigitaltransformationtowardstrategicplanninginthedigitalageevidencefrompalestine AT sandramsanchezcanizares dynamiccapabilitiesanddigitaltransformationtowardstrategicplanninginthedigitalageevidencefrompalestine |