Dynamic capabilities and organizational performance: the mediating role of organizational resilience in IT sector

Gangaram Biswakarma () and Baburam Bohora ()
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Gangaram Biswakarma: Tribhuvan University
Baburam Bohora: Tribhuvan University

Future Business Journal, 2025, vol. 11, issue 1, 1-19

Abstract: Abstract The modern business environment faces continuous disruptions from social, political, economic, environmental, and health crises, challenging organizational sustainability and performance. The COVID-19 pandemic has particularly impacted IT organizations, presenting both risks and opportunities. This study explores the relationship between dynamic capabilities, organizational resilience, and performance in Nepal’s IT sector. A quantitative, cross-sectional survey was conducted with 181 managerial employees, selected for their strategic decision-making roles. Results reveal that dynamic capabilities significantly enhance organizational resilience but do not directly influence performance. Instead, resilience fully mediates this relationship, underscoring its vital role in converting dynamic capabilities into improved performance outcomes. The findings emphasize resilience as a key factor in navigating crises and adapting to dynamic environments. The study offers practical insights for IT organizations, highlighting the need for investments in innovation, employee development, and flexible business processes to sustain long-term growth in the post-pandemic era.

Keywords: Organizational dynamic capabilities; Organizational resilience; Organizational performance; IT sector adaptability; Post-COVID-19 business recovery (search for similar items in EconPapers)
Date: 2025
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DOI: 10.1186/s43093-025-00592-w

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