Intellectual Capital and Organizational Resilience: The Role of Dynamic Capability- Evidence from Karachi IT Sector

Abstract/Description

Purpose: The purpose of this research is to examine the role of “intellectual capital” (IC) dimensions (human, organizational, and social capital), in shaping organizational resilience in the IT sector with dynamic capability (DC) as a mediator.

Method: This study used a quantitative approach and survey methodology to acquire data. A sample comprises 518 managers from different IT sectors in Karachi Pakistan. The study uses validated scales to evaluate intellectual capital dimensions, dynamic capability, and organizational resilience. The data analysis was done through SPSS 25 and structural equation modeling using PLS-SEM.

Findings: The finding shows that dynamic capability mediates the relationship between IC dimensions and organizational resilience. Interestingly, this study also finds that organizational and social capital does not directly influence organizational resilience while human capital had a profound positive influence.

Practical implications: Organizations should focus on expanding their intellectual capital and dynamic capabilities to increase their resilience in a rapidly changing business environment. The top managers should devise strategies that develop organizational resilience by using human and organizational capital particularly.

Originality/value: This study contributes to the literature on IC by examining the role of dynamic capability in the relationship between IC components and organizational resilience. This research also helps practitioners recognize the importance of dynamic capability in fostering resilience.

Track

Management

Session Number/Theme

1B: Management

Session Chair

Dr. Muhammad Ayaz ; Dr. Muhammad Imran

Start Date/Time

30-5-2024 1:50 PM

End Date/Time

30-5-2024 3:20 PM

Location

MCS – 4 AMAN CED Building

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May 30th, 1:50 PM May 30th, 3:20 PM

Intellectual Capital and Organizational Resilience: The Role of Dynamic Capability- Evidence from Karachi IT Sector

MCS – 4 AMAN CED Building

Purpose: The purpose of this research is to examine the role of “intellectual capital” (IC) dimensions (human, organizational, and social capital), in shaping organizational resilience in the IT sector with dynamic capability (DC) as a mediator.

Method: This study used a quantitative approach and survey methodology to acquire data. A sample comprises 518 managers from different IT sectors in Karachi Pakistan. The study uses validated scales to evaluate intellectual capital dimensions, dynamic capability, and organizational resilience. The data analysis was done through SPSS 25 and structural equation modeling using PLS-SEM.

Findings: The finding shows that dynamic capability mediates the relationship between IC dimensions and organizational resilience. Interestingly, this study also finds that organizational and social capital does not directly influence organizational resilience while human capital had a profound positive influence.

Practical implications: Organizations should focus on expanding their intellectual capital and dynamic capabilities to increase their resilience in a rapidly changing business environment. The top managers should devise strategies that develop organizational resilience by using human and organizational capital particularly.

Originality/value: This study contributes to the literature on IC by examining the role of dynamic capability in the relationship between IC components and organizational resilience. This research also helps practitioners recognize the importance of dynamic capability in fostering resilience.