<!DOCTYPE article PUBLIC "-//NLM//DTD JATS (Z39.96) Journal Archiving and Interchange DTD v1.0 20120330//EN" "JATS-archivearticle1.dtd">
<article xmlns:xlink="http://www.w3.org/1999/xlink">
  <front>
    <journal-meta />
    <article-meta>
      <title-group>
        <article-title>Strategic Agility in B2B vs B2C Organisational Context</article-title>
      </title-group>
      <contrib-group>
        <contrib contrib-type="author">
          <string-name>Iva Atanassova</string-name>
          <email>iva.atanasova@abdn.ac.uk</email>
          <xref ref-type="aff" rid="aff0">0</xref>
        </contrib>
        <contrib contrib-type="author">
          <string-name>Peter Bednar</string-name>
          <email>peter.bednar@port.ac.uk</email>
          <xref ref-type="aff" rid="aff1">1</xref>
        </contrib>
        <contrib contrib-type="editor">
          <string-name>Portsmouth, UK</string-name>
        </contrib>
        <aff id="aff0">
          <label>0</label>
          <institution>University of Aberdeen</institution>
          ,
          <addr-line>Aberdeen</addr-line>
          ,
          <country country="UK">UK</country>
        </aff>
        <aff id="aff1">
          <label>1</label>
          <institution>University of Lund</institution>
          ,
          <country country="SE">Sweden</country>
        </aff>
      </contrib-group>
      <pub-date>
        <year>2015</year>
      </pub-date>
      <fpage>32</fpage>
      <lpage>41</lpage>
      <abstract>
        <p>This study examines the processes of organisational learning and strategic agility in 28 UK businesses of different sizes and types, including B2B, B2C, and hybrid B2B-B2C companies. The research applies the Market Intelligence Accumulation and Transfer Model (MIATM) 3.0 to understand the organisational context that enables or hinders learning processes and subsequent evolution through strategic agility. The findings reveal that certain B2B companies, particularly those in the ICT consulting services sector, along with smaller entrepreneurial firms, exhibit higher levels of agility, speed, and scalability in responding to market disruptions. These companies demonstrate alignment between leadership and organisational context, fostering an empowering culture that enables employees to act as learning agents and effectively translate intelligence into strategic actions. In contrast, employees from traditional B2C companies face challenges in adapting to market changes due to more centralized decision-making structures, limited knowledge sharing, and a focus on transactional relationships. The study underscores the importance of organisational context in facilitating individual learning and shaping organisational strategic agility actions. It emphasises the need for an empowering and flexible organisational culture that encourages knowledge sharing, collaboration, and continuous learning. Leadership plays a crucial role in fostering a sense of purpose, engaging employees, and facilitating dialogue. Additionally, organisations need to be open to external signals, promote cross-departmental information flow, and be willing to question and unlearn long-held routines when necessary. Organisational learning; dynamic capability; MIATM model; VUCA</p>
      </abstract>
    </article-meta>
  </front>
  <body>
    <sec id="sec-1">
      <title>1. Introduction</title>
      <p>
        Organisations operating in volatile, uncertain, complex, and ambiguous (VUCA) environment
cannot always plan where a new strategic action will begin, let alone plan the strategy itself [
        <xref ref-type="bibr" rid="ref1">1</xref>
        ].
Uncertainty about the state of the environment means that one does not understand how components of
the environment might be changing, and how to respond to the mixed meanings of these changing
conditions as analogical to the current economic state of flux, due to geopolitical risks, economic
sanctions, technology boom, climate crisis and post-Covid recession [
        <xref ref-type="bibr" rid="ref2">2</xref>
        ]. Thus, scholarly interest in
agility has been continuously rising [
        <xref ref-type="bibr" rid="ref3 ref4 ref5 ref6">3, 4, 5, 6</xref>
        ]. This study aims to uncover diverse learning by doing
as a foundation of agility practices taking place in a B2B vs B2C companies operating in the UK.
Organisational learning is at the core of the dynamic capability view [
        <xref ref-type="bibr" rid="ref7">7</xref>
        ]. Dynamic capabilities (DCs)
are formed by different types of learning processes feeding one into another: sensing, new relevant
Proceedings of the 9th International Conference on Socio-Technical Perspective in IS development (STPIS’23), October 27-28th, 2023,
      </p>
      <p>2023 Copyright for this paper by its authors.
CEUR</p>
      <p>
        ceur-ws.org
ISSN1613-0073
information, sharing and sense-making along with relevant actors, and shaping/changing or creating
new daily routines/products/processes learning processes, which ultimately results in new capabilities
for long-term resilience and success [
        <xref ref-type="bibr" rid="ref8">8</xref>
        ]. Agility represents a key dynamic capability in changing
environments [9;6]. It refers to a capability of sensing and responding to new situations/market changes
by integrating and reconfiguring resources in a timely manner while reducing complexity and tapping
into potential opportunities [
        <xref ref-type="bibr" rid="ref10 ref11 ref3">3, 10, 11</xref>
        ]. Its role in business model renewal [
        <xref ref-type="bibr" rid="ref12">12</xref>
        ] has been acknowledged.
Agile firms are able to create dynamic portfolios of products, services or business models in order to
outmanoeuvre competitors [13;14;15]. Agile firms also integrate knowledge from around the world to
fuel continuous innovation and adaptation, which links agility to the dynamic capability view [16; 17].
      </p>
      <p>
        Despite the increasing importance and academic interest in organisational learning for agile
capabilities development, there is a scarcity of research on the micro to macro link between
organisational learning as a micro foundation of dynamic capabilities such as agility and organisational
evolution during VUCA times [18; 19; 20]. Eisenhardt et al. (2010, p. 1263) define such micro
foundations as: “the underlying individual-level and group actions that shape strategy, organisation,
and, more broadly, dynamic capabilities”. Barney and Felin (2013, p.145) add that “individuals and
their interactions are central for understanding organisations and social systems”. However, researchers
suggest that a more precise examination of the organisational learning capabilities as building blocks
of DCs formation is needed and that organisational learning capability should be evaluated from a DCs
perspective [22]. Moreover, recent studies highlight the interrelationships between agile capabilities,
seen as dynamic capabilities, organisational learning, and firm performance should be clearly
understood [
        <xref ref-type="bibr" rid="ref20">20</xref>
        ], especially in B2C vs B2B context [23]. The scope of the investigation is to understand
if organisational leadership and context empower employees to spot, share, make sense, and act on
market signals /opportunities or threats that can evolve into actions which enable organisational change,
growth, and better customer value through opportunities capture.
      </p>
      <p>Currently, there is a scant scholarly understanding of how individual knowledge can contribute to
organisational absorptive capacities, how it could be developed, retained, and transferred [24], and the
organisational and managerial processes and operating model / context underlying DCs formation
which enable agility in diverse B2B vs B2C context [25;7; 26;27]. Thus, we adapted and applied the
MIATSM (the market intelligence accumulation and transfer model) of Atanassova and Bednar (2022),
built on the original model of Atanassova and Clark (2015), and propose that the new marketing
intelligence accumulation and transformation model MIATM 3.0, built on the DCs foundation, is an
actionable and comprehensive model to study, understand, and guide the development of the processes
of knowledge acquisition, transfer, and capabilities creation relevant to a firm’s resilient and
competitive operations development to deal with the changing environmental conditions. We also argue
that the model is actionable in comparing and showcasing differences, and detecting flaws in learning,
and capability development processes and context in both B2B and B2C organisations.</p>
      <p>Our investigation particularly focuses on uncovering how organisational context (resources, actors,
structure and systems, culture) impacts and shapes the processes of an individual to organisational level
learning and follow-up strategic agility actions development during VUCA times. The research aims to
contribute to the understanding of dynamic capabilities formation in diverse organisational contexts,
specifically in the B2B and B2C sectors. The study proposes a comprehensive model called MIATM
3.0, which builds upon the existing MIATSM model and incorporates contextual components and
Pisano's assets, paths, and processes framework. The MIATM 3.0 model serves as an actionable guide
to study organisational context and learning processes.</p>
      <p>
        Our research consists of three phases / processes aligned with the MIATM model. The first phase
involves developing an understanding of the organisational background, market dynamism, triggers of
organisational learning, and prior knowledge. The second phase focuses on the processes of absorptive
capacity and individual learning at the operating capability level. It examines the ability to recognise
and absorb new external information proactively, as well as the organisational conditions, which enable
or hinder these learning processes (paths and assets, such as resources, actors, structure and systems,
organisational culture). The third phase explores the assimilation and transfer of learning within the
organisation, as well as the process of capturing value from that shared learning by exploiting the
learned knowledge in the form of changes to operating practices or complete removal/renewal.
Research on DCs shows that DCs can be measured through the changes in operating capabilities [
        <xref ref-type="bibr" rid="ref18">18</xref>
        ].
      </p>
    </sec>
    <sec id="sec-2">
      <title>2. Methodology</title>
      <p>To collect data, interviews were conducted with employees from 28 diverse B2B and B2C
organisations operating in the UK. The aim was to understand whether employees were provided with
the capabilities, context, and resources to explore and learn from external market signals and initiate
and apply this learning to develop agile and resilient operations. Due to the heterogeneity of the studied
population, the interviews lasted between 40 to 60 minutes each and were conducted in English by
experienced academic researchers. The research sought to identify the features, sources, and
organisational context that facilitate or impede the development of dynamic capabilities. The interviews
were semi-structured and conducted in English, following the framework of the MIATM model. Data
analysis involved coding and thematic analysis, examining each construct of the model separately to
identify patterns and themes.</p>
      <p>The coding was performed with the aim of identifying the themes, and patterns, underlying the
phenomenon and its constructs, as depicted in the MIATM model. In such a way, the reliability and
validity of the study were ensured by providing categories to look for when analysing the collected data,
thus, preventing misunderstanding, oversimplification, or incomplete understanding. The analysis
examined each construct of the model separately – organisational background and prior knowledge,
market dynamism and triggers of the processes of learning, then individual learning at an operating
level, sense-making and transfer to dynamic/strategic capability organisational level and the
contributing context, and lastly how the three routines developed over time and enabled operational
evolution, organisational excellence (micro to macro level) and/or valuable, rare, inimitable,
nonsubstitutable (VRIN) resources development. Something was considered dynamic capability if it
changes, creates, or extends organisational operating capabilities by creating or extending VRIN
resources and abilities, as per Eisenhardt and Martin, 2000; Helfat and Peteraf, 2009’s recommendation.
The credibility of data was ensured by applying simultaneous data collection and analysis, prolonged
engagement and in-depth understanding of the studied organisational context. Member checks and
respondents’ validation were performed if needed, to ensure that their views and behaviour are correctly
understood.</p>
      <p>2.1.</p>
    </sec>
    <sec id="sec-3">
      <title>Participants selection</title>
      <p>We interviewed ten participants (9 B2B and 1 both B2C and B2B) from knowledge-intensive
companies operating in dynamic industries, such as ICT knowledge-intensive business and finance
services, consulting, education as these are companies “where most work can be said to be of an
intellectual nature and where well-educated, qualified employees form a major part of the workforce”
[30]. The existence, survival, and development of knowledge-intensive enterprises highly depend on
knowledge development, management, and application. As discussed in the prior knowledge section,
the greater the prior knowledge / already developed absorptive capacity, the greater the ability to
identify and exploit new unmet needs and opportunities or threats. Two entrepreneurial, small
companies have been included in the sample of knowledge-intensive companies, as they are recognised
as better than the larger companies in their learning-by-doing approaches, entrepreneurial mindset,
flexibility, and quick learning/unlearning and adaptation capabilities [31; 32]. Their experiential
learning or “learning by doing” approach to business is acknowledged as the most significant core
competency concept for small companies [31;32] and is by nature “accidental”, experimental, and
largely depends on informal communication with customers and stakeholders. Participants from 18
traditional industries businesses (2 B2B and 14 B2C; 2 both B2B and B2C) have been interviewed, as
well, to ensure comparability of the results, as traditional larger companies are often accused of
overreliance on already established and successful routines and are often criticised for being unable to adapt
due to their complex organisational structure, bureaucracy, and hierarchy [30].</p>
      <p>It is believed that studying companies/cases where change intensively occurs through learning and
adaptation, and companies where changes do not occur or occur gradually and not so intensely and
intentionally will be both beneficial.</p>
    </sec>
    <sec id="sec-4">
      <title>3. Findings</title>
      <p>
        The findings of this study contribute to the understanding of the role of organisational context in
enabling individual learning and shaping organisational strategic agility actions. Our study highlights
the importance of considering the interrelationships between flourishing organisational context,
learning, agility, and firm performance in both B2B and B2C companies. By adopting the MIATM 3.0
model, organisations can gain insights into their learning processes, identify areas for improvement,
and develop strategies to enhance their capability for strategic adaptation in VUCA environments [
        <xref ref-type="bibr" rid="ref11">11</xref>
        ].
      </p>
      <p>The findings revealed that employees in dynamic organisations, particularly pertaining to B2B
knowledge-intensive sectors, demonstrate an ability to adjust operations and seize new opportunities.
They deploy networking, entrepreneurial mindset, experimentation, and learning-by-doing approaches,
supported by quick communication, internal information flow, ownership, autonomy, and calculated
risk-taking. In contrast, employees in traditional B2C industries, primarily in larger hierarchical
organisations, find it challenging to cope with change initiatives. They exhibit resistance to new
initiatives, relying on existing routines and efficiencies, and feeling that change prevents them from
doing well their daily jobs. Leadership played a crucial role in either impeding or enabling proactive
behaviour and quick action.</p>
      <p>The study highlighted two types of leadership practices: defensive and ambidextrous. Defensive
leadership was reactive, risk-averse, pulling back and postponing strategic initiatives, while
ambidextrous leadership managed contradictory demands, explored change as an opportunity for
sustainable competitive advantage, and fostered a supportive and empowering organisational climate.
The organisational context and leadership practices emerged as key factors enabling or blocking
proactive learning and desirable change.</p>
      <p>In summary, the research underscores the importance of organisational learning, adaptation, and the
development of dynamic capabilities in today's business environment. It proposes the MIATM 3.0
model as a framework to study organisational context and learning processes. The findings highlight
the significance of leadership and organisational context in facilitating or impeding proactive behaviour
and agile transformation. By understanding and addressing these factors, organisations can enhance
their ability to learn, evolve, and respond effectively to market dynamics, ultimately ensuring their
survival and success in a rapidly changing business landscape. Therefore, we group findings in our
discussion by type of organisational context and leadership into “dynamic leader” that were B2B
companies and “non-dynamic delayer companies” that were primarily B2C companies and discuss
organisational context and leadership practices that enable or block proactive learning and desirable
change as identified through the lens of the MIATM model 3.0.</p>
      <p>3.1.</p>
    </sec>
    <sec id="sec-5">
      <title>Dynamic leaders</title>
      <p>Dynamic leader companies displayed a high level of alertness to new information and a drive for
adaptability. These companies had incorporated knowledge accumulation and transformation systems
and practices into their organiational operating models. Specifically, B2B tech companies, as well as
finance and consulting businesses, had organised their work routines around knowledge accumulation,
collaboration, communication mechanisms, and quick action.</p>
      <p>The participants from these dynamic leader companies emphasized the importance of constantly
monitoring and adapting to rapidly changing environmental conditions. They recognized that their
competitive advantage lay in their learning routines, their ability to quickly detect external changes, and
their agility in reconfiguring old practices and capabilities in response to emerging opportunities and
threats. The participants spoke about the need to develop efficiency, effectiveness, and agile capabilities
to deliver value to customers rapidly and at scale.</p>
      <p>The triggers for learning and adaptation varied among the companies. For some, the fast-paced
change of technology, moving to cloud operations, adopting new technology/software, and remote
working were the main drivers of change. Others pointed to the COVID-19 pandemic and the
postpandemic reality as major drivers of change, forcing them to work remotely and experiment with new
software and collaboration platforms and work practices.</p>
      <p>The participants from dynamic leader companies were well aware of their companies' mission,
vision, and organisational goals. They felt a strong alignment between personal purpose and
organisational purpose, and they took pride in their involvement in the requisite exploratory learning
necessary for the creation of new products, processes and solutions. For example, a software developer
at ICT company A says that the company has already adopted: “agile/scrum methodology to manage
workloads in small iterations. This helps manage daily ops and project work whilst buying in
stakeholders as they see the project plan as well which helps manage expectations.”</p>
      <p>Recognition and absorption of new information were crucial for these dynamic leaders. They
actively sought and applied insights from the market, constantly monitoring the environment,
competition, and customers. They used various sources such as education conferences, forums, internet,
social media, and discussions with key opinion leaders to stay updated on industry changes and
technological trends. Accountant auditing and consultant company medium dynamic KIBS, also shares
that: "The organisation has deep knowledge in multiple industries …. And the competitive advantage is
the use of technology and special skills to analyse data and provide an accurate insight of our client
needs. If you can’t adapt, then you won’t grow".</p>
      <p>Assimilation and sense-making were important processes for these companies. Internal sharing and
sense-making activities were driven by middle management/project managers. The companies
encouraged collaborative exploration and discussions, with an emphasis on evaluating information
based on previous experiences and making assumptions for the future. A software developer at a bank
says“…new understanding emerges through research. We make sense of the information essentially by
putting it into practice.”</p>
      <p>The use of agile practices, such as daily meetings, sprint reviews, and revisions, helped teams iterate
products, deliver projects faster, and provide more customer value. For example, A COO of digital
transformation company says that: "Creating functional and service delivery teams based around these
technologies. The aim is to build internal knowledge and capabilities.”</p>
      <p>The structure and systems used for information sharing varied among the companies, but they all
utilised various software tools and platforms for communication, collaboration, and data analysis. The
resources and knowledge-sharing mechanisms included agile ceremonies, meetings, databases, and
team discussions. Another Software developer at a medium software company shares that they use
various platforms for collaboration and knowledge storage: “Intranet, snap, teams, outlook (email),
yammer, virtual meetings", and for data analysis the research department use AI".</p>
      <p>The participants from dynamic leader companies reported numerous gains from their learning and
adaptation efforts. They were able to develop and adapt products, create new ways of working, establish
partnerships with leading companies, and adapt their operational models to meet changing consumer
needs. They displayed ambidexterity, effectively managing their daily operations while responding to
new trends and changes. They maintained long-term relationships with stakeholders and entered
successful partnerships to broaden their capabilities.</p>
      <p>Overall, participants from dynamic leaders showcased strong dynamic capabilities and a
commitment to continuous learning and adaptation. The participants from such companies
demonstrated the ability to sense and respond to external changes, leverage their knowledge and
experiences, and collaborate effectively to stay ahead in their industries. Their efforts resulted in
intangible benefits such as reputation, efficiency, relationships, and a flourishing internal culture of
learning. These companies serve as examples of how organisations can thrive in dynamic and uncertain
environments by prioritising learning, agility, and continuous improvement. Some examples of DCs
developed are discussed below. For example, a marketing agency employee shared that they have been
able to sense and take action on their customer changing behaviour and preferences through market
sensing and adaption lately, thus not only developing a new desired paperless experience for their
customers but also in such way optimising their internal processes and cutting delivery time and costs.</p>
      <p>Another example is a medium dynamic KIBS, software company that was able to develop two
software systems in parallel while undertaking their daily operations, which showcase an ambidexterity
capability.</p>
      <p>Respondents from dynamic businesses, ICT, financial and consulting, education reported also VRIN
resources developed through collective learning such as high reputation, trust and collaboration, and
establishment of value-creating partnerships.</p>
      <p>3.2.</p>
    </sec>
    <sec id="sec-6">
      <title>Non-dynamic delayers</title>
      <p>The non-dynamic delayers were primarily from traditional large and medium businesses, pertaining
mainly in the B2C sector, such as transportation, retail, hospitality, FMCG, banking, and
intergovernmental institutions. These companies were highly disrupted by the COVID-19 pandemic
and had to adapt to government regulations and changing consumer behavior. However, the participants
from those companies showed disengagement and lack of understanding of the importance of learning
and adaptation to the fast-paced market environment. They focused on making their existing operations
more efficient and did not actively engage in information detection, learning, and adaptation.</p>
      <p>The participants from non-dynamic delayers companies viewed organisational leadership and
management as responsible for delivering and making sense of external signals and information. These
companies had a hierarchical top-down structure, and the employees preferred to follow management's
prescriptions and make gradual adaptations as directed. They believed their competitive advantage lay
in their well-established presence, reputation, know-how, skills, products, relationships, expertise and
well-established successful routines. The participants had an inward focus on existing practices,
efficiency, and improving individual performance KPIs. The participants expected that their managers
will inform them of any changes as they are usually doing, and relied on top-down communication
flow.</p>
      <p>The recognition and absorption of information in these non-dynamic delayer companies were
primarily focused on internal information related to targets, personal KPIs, processes, and practices.
Employees were not actively involved in sensing and making sense of external information. They relied
on management to provide them with the necessary information for their daily work tasks. Some
companies even hired external consultants to monitor and make sense of the dynamic market
environment. A security sergeant in a food program for deprived communities, said that, because of the
particularly uncertain environment, they had to hire external consulatants to monitor and make sense of
the dynamic environment:</p>
      <p>“Industry is very dynamic and changeable. Company hires external consultant to deal with the fast
past market changing signals and information, subject matter experts (SME) to monitor developments
in this field” “The SMEs evaluate and break down the new information before staff are trained in it.”</p>
      <p>Although the security sergeant thinks also that it is essential to adapt, they outsourced these activities
to a third party external company. The security sergeant in the IGO food programme also says that their
expectations are that the external consultants will bring their employees up to speed with the required
knowledge and skills, based on the environmental analysis they produce. Following this further, an
employee at Utility business says:</p>
      <p>"Changes that my environment is now facing are stable because the pandemic is ended and there is
no need for a sudden change of pace in the industry. We detect changes when my managers advise us
or convene a meeting to inform us.”</p>
      <p>The assimilation of information in these companies followed a top-down approach, with information
being shared through meetings, announcements, emails, and work chats. The responsibility for
information dissemination and storage varied among the companies, but it was primarily managed by
the organisational leadership. The participants did not exhibit a proactive approach to assimilating
external information and focused on their individual job functions.</p>
      <p>The general manager (GM) of printing and packaging also employs top-down information flow and
sharing within their organisation.</p>
      <p>"Information more often comes from the hierarchy, from other related stakeholder like the traders
and the local banks. Information is given to employees and with instruction and their previous
knowledge, they act accordingly.”</p>
      <p>The non-dynamic delayers companies exhibited a clear focus on preserving their existing business
models and optimising established operating routines. They were resistant to change and risk-averse,
relying on hierarchical decision-making and gradual adaptations, largely lead and exemplified from the
leadership. These companies lacked the awareness, vigilance, vision, leadership involvement to spot
and leverage emerging trends and were more focused on maintaining efficiency and stability.
Overall, the non-dynamic delayers companies lacked a culture of learning, collaboration, and customer
and market orientation.</p>
      <p>The customer service associate in a financial institution: "No, as I lack the authority to do so; but,
even if I did, the procedures and existing standards are highly accurate and useful, and I would prefer
to follow the plan provided.”</p>
      <p>The participants from non-dynamic delayer companies relied on top-down information flow, were
inward-focused on established routines, and do not put a priority on adaptation to the volatile and
uncertain market environment. The findings highlight the key role of the leadership in enabling
flourishing and open-minded organisational culture, and in enabling employee involvement in sensing,
learning, and adaptation processes.</p>
    </sec>
    <sec id="sec-7">
      <title>4. Conclusions, Recommendations, Limitations</title>
      <p>The research findings suggest that organisational leadership should focus on developing an
empowering and flexible organisational culture that encourages knowledge sharing, collaboration, and
continuous learning. Leadership plays a crucial role in fostering a sense of purpose, engaging
employees, and facilitating dialogue. Additionally, organisational employees need to be encouraged to
be open to external signals, promote cross-departmental information flow, and be willing to question
and unlearn long-held routines when necessary. We identified two opposite types of leadership practice,
respectively. The first one taking a defensive position, being risk-averse, and pulling back by
postponing strategic initiatives. And the second one ambidextrous - successfully managing
contradictory demands - daily routines and exploring change as a source of opportunity to achieve
sustainable competitive advantage. The focus in such companies is on discovering opportunities to
redefine and reinvent their business model and operations, and even shape their industry in response to
the market dynamism.</p>
      <p>Further research can explore additional factors that influence organisational learning and strategic
agility in different contexts, such as industry-specific characteristics or geographical variations.
Additionally, comparative studies between B2B and B2C companies can provide further insights into
the unique challenges and opportunities faced by each sector in developing and leveraging
organisational learning for strategic agility. Overall, this study highlights the importance of
organisational learning and strategic agility in navigating VUCA environments and offers valuable
insights for academics, practitioners, and policymakers.</p>
      <p>It emphasizes the need for organisations to probe for insights from a wide array of stakeholders,
including peer companies, partners, customers, competitors, and other market players. This
trial-anderror learning process requires leaders to cultivate a culture where mistakes are tolerated and even
encouraged at times. Failure to do so can lead to organisational obsolescence and a state of "functional
stupidity," which refers to a lack of reflexivity, reasoning, and justification within the organisation.</p>
      <p>
        Our study has also practical implications for managers on more traditional hierarchical busineses,
who need to enhance external focus, learning and agility in the face of unprecedented market
uncertainty. The MIATM model 3.0 can serve them as a diagnostic tool to identify barriers and gaps in
organisational learning and capability development. Our findings have important theoretical
implications in uncovering the micro-foundations of agile operations through DCs learning and
capability development in diverse B2B vs B2C context that were not clearly understood [
        <xref ref-type="bibr" rid="ref16">16</xref>
        ]. Our study
showed clearly that vigilant learning from external events gives companies an edge and generates value
during volatile times. Hence, employees should be encouraged to develop and exploit sensing and
learning by doing adaptation capabilities that are less tailored to the firm’s current operations and more
tailored to future trends and uncertainties.
      </p>
      <p>Nonetheless, the study has limitations, including the reliance on interviews with only one person per
company, which may limit the generalizability of the findings. Future research should consider a more
comprehensive perspective and examine the leadership team, employees, and context together to better
understand learning and adaptation processes in uncertain environments.</p>
    </sec>
    <sec id="sec-8">
      <title>5. References</title>
      <p>[22] Franco, M. And Haase, H., 2009. Entrepreneurship: an organisational learning approach. Journal
of Small Business and Enterprise Development, 16(4), 628–641, [Available from: DOI
10.1108/14626000911000965].
[23] Giniuniene, J. and Jurksiene, L., 2015. Dynamic Capabilities, Innovation and Organizational
Learning: Interrelations and Impact on Firm Performance. Procedia - Social and Behavioral
Sciences, 213, 985–991, [Available from: DOI 10.1016/j.sbspro.2015.11.515].
[24] Lane, P.J., Koka, B.R. and Pathak, S., 2006. The reification of absorptive capacity: A critical
review and rejuvenation of the construct. Academy of management review, 31(4), pp.833-863.
[25] Cepeda, G. And Vera, D., 2007. Dynamic capabilities and operational capabilities: A knowledge
management perspective. Journal of Business Research, 60(5), 426–437, [Available from: DOI
10.1016/j.jbusres.2007.01.013].
[26] Albort-Morant, G., Leal-Rodríguez, A.L., Fernández-Rodríguez, V., Ariza-Montes, A., 2018.</p>
      <p>Assessing the origins, evolution and prospects of the literature on dynamic capabilities: A
bibliometric analysis. European Research on Management and Business Economics, 24(1), 42–52,
[Available from: DOI 10.1016/j.iedeen.2017.06.004].
[27] Puthusserry, P., King, T., Miller, K. and Khan, Z., 2022. A typology of emerging market SMEs’
COVID‐19 response strategies: the role of TMTs and organizational design. British Journal of
Management, 33(2), pp.603-633.
[28] Atanassova, I. And Clark, L., 2015. Social media practices in SME marketing activities: A
theoretical framework and research agenda. Journal of Customer Behaviour, 14(2), pp. 163–183.
[29] Helfat, C.E., Peteraf, M.A., 2009. Understanding dynamic capabilities: Progress along a
developmental path. Strategic Organization, 7(1), 91–102, [Available from: DOI
10.1177/1476127008100133].
[30] Alvesson, M. And Spicer, A., 2012. A Stupidity-Based Theory of Organizations. Journal of
Management Studies, 49(7), 1194–1220, [Available from: DOI
10.1111/j.14676486.2012.01072.x].
[31] Carson, D. And Gilmore, A., 2000. Marketing at the Interface: Not ‘What’ but ‘How’. Journal of</p>
      <p>Marketing Theory and Practice, 8(2), 1–7.
[32] Cope J., 2005. Toward a Dynamic Learning Perspective of Entrepreneurship. Entrepreneurship
Theory and Practice, 29(4), 373–397.</p>
    </sec>
  </body>
  <back>
    <ref-list>
      <ref id="ref1">
        <mixed-citation>
          [1]
          <string-name>
            <surname>Mintzberg</surname>
            ,
            <given-names>H.</given-names>
          </string-name>
          ,
          <year>2018</year>
          .
          <article-title>Need a strategy? Let them grow like weeds in the garden</article-title>
          .
          <source>Henry Mintzberg</source>
          , weblog. Available at: https://mintzberg.org/blog/need
          <article-title>-a-strategy-let-them-grow-like-weeds-inthe-garden (Accessed 5 January</article-title>
          <year>2023</year>
          )
        </mixed-citation>
      </ref>
      <ref id="ref2">
        <mixed-citation>
          [2]
          <string-name>
            <surname>Milliken</surname>
            ,
            <given-names>Frances J</given-names>
          </string-name>
          . “
          <article-title>Three Types of Perceived Uncertainty about the Environment: State, Effect, and Response Uncertainty.” The Academy of Management Review</article-title>
          , vol.
          <volume>12</volume>
          , no.
          <issue>1</issue>
          ,
          <issue>1987</issue>
          , pp.
          <fpage>133</fpage>
          -
          <lpage>43</lpage>
          . JSTOR, https://doi.org/10.2307/257999. Accessed 11 Apr.
          <year>2023</year>
          .
        </mixed-citation>
      </ref>
      <ref id="ref3">
        <mixed-citation>
          [3]
          <string-name>
            <surname>Brannen</surname>
            ,
            <given-names>M.Y.</given-names>
          </string-name>
          and
          <string-name>
            <surname>Doz</surname>
            ,
            <given-names>Y.L.</given-names>
          </string-name>
          ,
          <year>2012</year>
          .
          <article-title>Corporate languages and strategic agility: trapped in your jargon or lost in translation?</article-title>
          .
          <source>California Management Review</source>
          ,
          <volume>54</volume>
          (
          <issue>3</issue>
          ), pp.
          <fpage>77</fpage>
          -
          <lpage>97</lpage>
          .
        </mixed-citation>
      </ref>
      <ref id="ref4">
        <mixed-citation>
          [4]
          <string-name>
            <surname>Doz</surname>
            ,
            <given-names>Y.</given-names>
          </string-name>
          and
          <string-name>
            <surname>Kosonen</surname>
            ,
            <given-names>M.</given-names>
          </string-name>
          ,
          <year>2008</year>
          .
          <article-title>The dynamics of strategic agility: Nokia's rollercoaster experience</article-title>
          .
          <source>California management review</source>
          ,
          <volume>50</volume>
          (
          <issue>3</issue>
          ), pp.
          <fpage>95</fpage>
          -
          <lpage>118</lpage>
          .
        </mixed-citation>
      </ref>
      <ref id="ref5">
        <mixed-citation>
          [5]
          <string-name>
            <surname>Junni</surname>
            ,
            <given-names>P.</given-names>
          </string-name>
          ,
          <string-name>
            <surname>Sarala</surname>
            ,
            <given-names>R.M.</given-names>
          </string-name>
          ,
          <string-name>
            <surname>Tarba</surname>
            ,
            <given-names>S.Y.</given-names>
          </string-name>
          and
          <string-name>
            <surname>Weber</surname>
            ,
            <given-names>Y.</given-names>
          </string-name>
          ,
          <year>2015</year>
          .
          <article-title>The role of strategic agility in acquisitions</article-title>
          .
          <source>British Journal of Management</source>
          ,
          <volume>26</volume>
          (
          <issue>4</issue>
          ), pp.
          <fpage>596</fpage>
          -
          <lpage>616</lpage>
          .
        </mixed-citation>
      </ref>
      <ref id="ref6">
        <mixed-citation>
          [6]
          <string-name>
            <surname>Weber</surname>
            ,
            <given-names>Y.</given-names>
          </string-name>
          and
          <string-name>
            <surname>Tarba</surname>
          </string-name>
          , S.Y.,
          <year>2014</year>
          .
          <article-title>Strategic agility: A state of the art introduction to the special section on strategic agility</article-title>
          .
          <source>California management review</source>
          ,
          <volume>56</volume>
          (
          <issue>3</issue>
          ), pp.
          <fpage>5</fpage>
          -
          <lpage>12</lpage>
          .
        </mixed-citation>
      </ref>
      <ref id="ref7">
        <mixed-citation>
          [7]
          <string-name>
            <surname>Teece</surname>
            ,
            <given-names>D.</given-names>
          </string-name>
          ,
          <year>2007</year>
          .
          <article-title>Explicating Dynamic Capabilities: The Nature and Microfoundations of (Sustainable) Enterprise Performance</article-title>
          .
          <source>Strategic Management Journal</source>
          ,
          <volume>28</volume>
          (
          <issue>13</issue>
          ),
          <fpage>1319</fpage>
          -
          <lpage>1350</lpage>
          , [Available from: DOI 10.1002/smj].
        </mixed-citation>
      </ref>
      <ref id="ref8">
        <mixed-citation>
          [8]
          <string-name>
            <surname>Sun</surname>
            ,
            <given-names>P.</given-names>
          </string-name>
          and
          <string-name>
            <surname>Anderson</surname>
            ,
            <given-names>M.</given-names>
          </string-name>
          (
          <year>2010</year>
          ), “
          <article-title>An examination of the relationship between absorptive capacity and organisational learning”</article-title>
          ,
          <source>International Journal of Management Review</source>
          , Vol.
          <volume>12</volume>
          No.
          <issue>2</issue>
          , pp.
          <fpage>130</fpage>
          -
          <lpage>150</lpage>
          .
        </mixed-citation>
      </ref>
      <ref id="ref9">
        <mixed-citation>
          [9]
          <string-name>
            <surname>Junni</surname>
            ,
            <given-names>P.</given-names>
          </string-name>
          ,
          <string-name>
            <surname>Sarala</surname>
            ,
            <given-names>R.M.</given-names>
          </string-name>
          ,
          <string-name>
            <surname>Tarba</surname>
            ,
            <given-names>S.Y.</given-names>
          </string-name>
          and
          <string-name>
            <surname>Weber</surname>
            ,
            <given-names>Y.</given-names>
          </string-name>
          ,
          <year>2015</year>
          .
          <article-title>The role of strategic agility in acquisitions</article-title>
          .
          <source>British Journal of Management</source>
          ,
          <volume>26</volume>
          (
          <issue>4</issue>
          ), pp.
          <fpage>596</fpage>
          -
          <lpage>616</lpage>
          .
        </mixed-citation>
      </ref>
      <ref id="ref10">
        <mixed-citation>
          [10]
          <string-name>
            <surname>Field</surname>
            ,
            <given-names>J.M.</given-names>
          </string-name>
          ,
          <string-name>
            <surname>Fotheringham</surname>
            ,
            <given-names>D.</given-names>
          </string-name>
          ,
          <string-name>
            <surname>Subramony</surname>
            ,
            <given-names>M.</given-names>
          </string-name>
          ,
          <string-name>
            <surname>Gustafsson</surname>
            ,
            <given-names>A.</given-names>
          </string-name>
          ,
          <string-name>
            <surname>Ostrom</surname>
            ,
            <given-names>A.L.</given-names>
          </string-name>
          ,
          <string-name>
            <surname>Lemon</surname>
            ,
            <given-names>K.N.</given-names>
          </string-name>
          ,
          <string-name>
            <surname>Huang</surname>
            ,
            <given-names>M.H.</given-names>
          </string-name>
          &amp;
          <string-name>
            <surname>McColl-Kennedy</surname>
            ,
            <given-names>J.R.</given-names>
          </string-name>
          , (
          <year>2021</year>
          ). Service Research Priorities:
          <article-title>Designing Sustainable Service Ecosystems</article-title>
          .
          <source>Journal of Service Research</source>
          , https://doi.org/10.1177/10946705211031302.
        </mixed-citation>
      </ref>
      <ref id="ref11">
        <mixed-citation>
          [11]
          <string-name>
            <surname>Atanassova</surname>
            ,
            <given-names>I.</given-names>
          </string-name>
          and
          <string-name>
            <surname>Bednar</surname>
            ,
            <given-names>P.</given-names>
          </string-name>
          ,
          <year>2022</year>
          . Managing Uncertainty:
          <source>Company's Adaptive Capabilities during Covid-19. Complex Systems Informatics and Modeling Quarterly</source>
          , (
          <volume>33</volume>
          ), pp.
          <fpage>14</fpage>
          -
          <lpage>39</lpage>
          .
        </mixed-citation>
      </ref>
      <ref id="ref12">
        <mixed-citation>
          [12]
          <string-name>
            <surname>Doz</surname>
            ,
            <given-names>Y.</given-names>
          </string-name>
          and
          <string-name>
            <surname>Kosonen</surname>
            ,
            <given-names>M.</given-names>
          </string-name>
          ,
          <year>2008</year>
          .
          <article-title>The dynamics of strategic agility: Nokia's rollercoaster experience</article-title>
          .
          <source>California management review</source>
          ,
          <volume>50</volume>
          (
          <issue>3</issue>
          ), pp.
          <fpage>95</fpage>
          -
          <lpage>118</lpage>
          .
        </mixed-citation>
      </ref>
      <ref id="ref13">
        <mixed-citation>
          [13]
          <string-name>
            <surname>Bednar</surname>
            ,
            <given-names>P.</given-names>
          </string-name>
          (
          <year>2000</year>
          ).
          <article-title>A Contextual Integration of Individual and Organizational Learning Perspectives as Part of IS Analysis</article-title>
          .
          <source>Informing Science: the International Journal of An Emerging Transdiscipline</source>
          ,
          <volume>3</volume>
          (
          <issue>3</issue>
          ),
          <fpage>145</fpage>
          -
          <lpage>156</lpage>
          . http://inform.nu/Articles/Vol3/v3n3p145-
          <fpage>156</fpage>
          .pdf
        </mixed-citation>
      </ref>
      <ref id="ref14">
        <mixed-citation>
          [14]
          <string-name>
            <surname>Bednar</surname>
            ,
            <given-names>P. M.</given-names>
          </string-name>
          , &amp;
          <string-name>
            <surname>Welch</surname>
            ,
            <given-names>C.</given-names>
          </string-name>
          (
          <year>2020</year>
          ).
          <source>Socio-Technical Perspectives on Smart Working: Creating Meaningful and Sustainable Systems. Information Systems Frontiers</source>
          ,
          <volume>22</volume>
          (
          <issue>2</issue>
          ),
          <fpage>281</fpage>
          -
          <lpage>298</lpage>
          .
        </mixed-citation>
      </ref>
      <ref id="ref15">
        <mixed-citation>
          [15]
          <string-name>
            <surname>Atanassova</surname>
            ,
            <given-names>I.</given-names>
          </string-name>
          and
          <string-name>
            <surname>Bednar</surname>
            ,
            <given-names>P.</given-names>
          </string-name>
          ,
          <year>2022</year>
          .
          <article-title>Exogenous shocks, Covid 19 and firms' ability to learn, adapt and evolve</article-title>
          . Proceedings http://ceur-ws.
          <source>org ISSN</source>
          ,
          <volume>1613</volume>
          , p.
          <fpage>0073</fpage>
          .
        </mixed-citation>
      </ref>
      <ref id="ref16">
        <mixed-citation>
          [16]
          <string-name>
            <surname>Magistretti</surname>
            ,
            <given-names>S.</given-names>
          </string-name>
          ,
          <string-name>
            <surname>Pham</surname>
            ,
            <given-names>C.T.A.</given-names>
          </string-name>
          and
          <string-name>
            <surname>Dell'Era</surname>
            ,
            <given-names>C.</given-names>
          </string-name>
          ,
          <year>2021</year>
          .
          <article-title>Enlightening the dynamic capabilities of design thinking in fostering digital transformation</article-title>
          .
          <source>Industrial Marketing Management</source>
          ,
          <volume>97</volume>
          , pp.
          <fpage>59</fpage>
          -
          <lpage>70</lpage>
          .
        </mixed-citation>
      </ref>
      <ref id="ref17">
        <mixed-citation>
          [17]
          <string-name>
            <surname>Khan</surname>
            ,
            <given-names>H.</given-names>
          </string-name>
          <article-title>and</article-title>
          <string-name>
            <surname>Khan</surname>
            ,
            <given-names>Z.</given-names>
          </string-name>
          ,
          <year>2021</year>
          .
          <article-title>The efficacy of marketing skills and market responsiveness in marketing performance of emerging market exporting firms in advanced markets: The moderating role of competitive intensity</article-title>
          .
          <source>International Business Review</source>
          ,
          <volume>30</volume>
          (
          <issue>6</issue>
          ), p.
          <fpage>101860</fpage>
          .
        </mixed-citation>
      </ref>
      <ref id="ref18">
        <mixed-citation>
          [18]
          <string-name>
            <surname>Eisenhardt</surname>
            ,
            <given-names>K.M.</given-names>
          </string-name>
          ,
          <string-name>
            <surname>Furr</surname>
            ,
            <given-names>N.R.</given-names>
          </string-name>
          , and
          <string-name>
            <surname>Bingham</surname>
            ,
            <given-names>C.B.</given-names>
          </string-name>
          ,
          <year>2010</year>
          .
          <article-title>Microfoundations of performance: Balancing efficiency and flexibility in dynamic environments</article-title>
          .
          <source>Organization Science</source>
          ,
          <volume>21</volume>
          (
          <issue>6</issue>
          ),
          <fpage>1263</fpage>
          -
          <lpage>1273</lpage>
          , [Available from: DOI 10.1287/orsc.1100.0564].
        </mixed-citation>
      </ref>
      <ref id="ref19">
        <mixed-citation>
          [19]
          <string-name>
            <surname>Eisenhardt</surname>
            ,
            <given-names>K.M.</given-names>
          </string-name>
          and
          <string-name>
            <surname>Martin</surname>
            ,
            <given-names>J. A.</given-names>
          </string-name>
          ,
          <year>2000</year>
          .
          <article-title>Dynamic capabilities: what are they?</article-title>
          <source>Strategic Management Journal</source>
          ,
          <volume>21</volume>
          (
          <issue>11</issue>
          ),
          <fpage>1105</fpage>
          -
          <lpage>1121</lpage>
          , [Available from: DOI 10.1002/
          <fpage>1097</fpage>
          -
          <lpage>0266</lpage>
          (
          <issue>200010</issue>
          /11)21:
          <fpage>10</fpage>
          /11&lt;1105:
          <article-title>:AID-SMJ133&gt;3.0</article-title>
          .CO;2-
          <string-name>
            <given-names>E</given-names>
            <surname>]</surname>
          </string-name>
          .
        </mixed-citation>
      </ref>
      <ref id="ref20">
        <mixed-citation>
          [20]
          <string-name>
            <surname>Martinkenaite</surname>
            ,
            <given-names>I.</given-names>
          </string-name>
          and
          <string-name>
            <surname>Breunig</surname>
            ,
            <given-names>K.J.</given-names>
          </string-name>
          ,
          <year>2016</year>
          .
          <article-title>The emergence of absorptive capacity through micromacro level interactions</article-title>
          .
          <source>Journal of Business Research</source>
          ,
          <volume>69</volume>
          (
          <issue>2</issue>
          ), pp.
          <fpage>700</fpage>
          -
          <lpage>708</lpage>
          .
        </mixed-citation>
      </ref>
      <ref id="ref21">
        <mixed-citation>
          [21]
          <string-name>
            <surname>Barney</surname>
            ,
            <given-names>J.B.</given-names>
          </string-name>
          And
          <string-name>
            <surname>Felin</surname>
            ,
            <given-names>T.</given-names>
          </string-name>
          ,
          <year>2013</year>
          . What are microfoundations?
          <source>Academy of Management Perspectives</source>
          ,
          <volume>27</volume>
          (
          <issue>2</issue>
          ),
          <fpage>138</fpage>
          -
          <lpage>155</lpage>
          .
        </mixed-citation>
      </ref>
    </ref-list>
  </back>
</article>