Tell us about your DBA Research – Lasantha Wickremesooriya
Founder – Strategy and Leadership inc (Pvt) Ltd
Lasantha Wickremesooriya successfully completed his DBA degree programme at the Faculty of Management and Finance, University of Colombo, in year 2023.
The title of his DBA thesis is Dynamic Capabilities and Superior Firm Performance – A Contingency Perspective
How did you develop an interest on this topic?
My interest in the field of strategic management developed at a tender age of around 30. I was always intrigued by the question, “how do we make a difference and earn more than our competitor?” My readings, learning and the practice of strategic management began from this point onwards. Over the past four decades, I have been following the developments in this field very closely, both as a practitioner and as a part time academic. My own experiences led me to the conclusion that organisation success largely depends on the capabilities of its people – leaders, managers, and staff. This led to my interests to understand how the capability theories of a firm explain performance heterogeneity.
What are your main findings?
At its core, my main findings support the view that dynamic capabilities as a higher
order capability drive superior performance in firms albeit by the intervention of the lower order operational capabilities (operationalized as ‘operational innovations capability’ in my thesis). Within this core, dynamic managerial capabilities act as an antecedent to dynamic capabilities and this entire relationship interacts with the environmental dynamism. Within this macro picture, at a micro level; the findings reveal the importance of sensing, seizing and transforming dimensions of dynamic capabilities (DC); the cognition and relationship networks of dynamic managerial capabilities (DMC) and the elements of operational innovations capabilities, to superior performance of firms. The findings support an ongoing debate on the type of relationship between dynamic capabilities and superior firm performance – indirect as opposed to direct.
What are the implications of your research?
This empirical model investigated in this study, fills a lacuna that scholars have been pushing for a while – the need to investigate the kinds of relationships between dynamic capabilities and intermediate outcomes on the one hand and between intermediate outcomes and firm performance on the other hand within a contingency framework. The findings lend supports to the proposition that the value of dynamic capabilities is indeed context dependent, and its effects are indirect and thus avoids the issue of tautology. The inclusion of top management capabilities in this study by way of DMCs, contributes to the important and often left out dimension of the managerial element in prior studies.
For managers, the overall findings support the thesis put forward by Prof. David Teece that, “capability theory is the portmanteau that allows (strategic) management theory to inform both a deeper understanding of durable firm-level competitiveness and the proper functioning of the economic system”. The findings emphasise the importance of top management capacity in asset orchestration – the managerial process of searching (sensing), selection (seizing), and configuration (transformation) of resources and capabilities.
Methodologically, the study demonstrates the application of Partial Least Squares
Structural Equation Modelling (PLS-SEM) in the context of; a small population, use of financial ratios; model complexity; lack of normality; and where the primary purpose of the investigation was to study the interplay between prediction and theory.
What was it like to do a DBA at the University of Colombo?
A challenging and fulfilling journey! The rigour with which the programme is designed deserves the highest commendation. It brings out the best in the student researcher. For a person whose roots are in industry, it is challenging to come to terms with the academic rigour at the beginning. Yet, that is exactly what eventually mould you as a professional researcher. The bar for expectations is set high to bring out the best in you and I thoroughly enjoyed the challenge. My levels of confidence have grown high knowing that no challenge is insurmountable. That’s what the DBA at the Faculty of Management and Finance gives you.
Finally – what will you do next?
I aim to take my research work forward along different paths. From an industry perspective, I will endeavour to propagate a capability led firm theory for success through the engagement of industrialists directly and indirectly. To the academic world, I plan to advance my research further into the domain of capabilities and how these capabilities can be built and leveraged for organisational success. I will also, given an opportunity, support DBA candidates by sharing my domain knowledge and experiences gained during my research journey.
