Glossary

Dynamic capabilities

An organization's ability to sense opportunities and threats, seize them, and reconfigure its resource base in changing environments.

An organization's ability to sense opportunities and threats, seize them, and reconfigure its resource base in changing environments. An executable business architecture is, in this sense, a dynamic capability made concrete.

They differ from ordinary capabilities in that they do not produce the outcome but the ability to change how it is produced. An organization can be excellent at executing and still unable to reconfigure itself when the market shifts.