Abstract
Purpose
How do organizations overcome technological path dependency (PD)? We investigate the role that dynamic capabilities (DC) play in this process of reversing lock-in and introducing new technology. Our objectives were to: a) Identify the mechanisms that foster lock-in b) What bearing these have on DC to effect change in the technological path c) How are these mechanisms abated d) And how does this effect the presence and effectiveness of DC in the process of PD alterations
Design/methodology/approach
In this paper, a longitudinal process study covering the period 1976 to 2018 was developed with an in-depth single case study. Through semistructured interviews of 21 participants, the critical incident technique was used to uncover data on intentions, actions and outcomes. First and second order coding was undertaken to identify meaningful events that enabled an assessment of the path dependent state, using predefined characteristics, and accompanying dynamic capabilities using the 2007 framework of Teece. This enabled a descriptive narrative that illustrated how self-reinforcing mechanism are addressed to reverse path dependency and arouse dynamic capabilities to alter technological PD.
Findings
i) The identification of contextual and attitudinal factors behind self-reinforcing mechanisms, and how they are gradually addressed to relax the PD state that enables renewed DC, over an elongated period. ii) the distinction between deliberate (internal) and emergent (random and external) actions that have bearing on the PD state and the arousal of DC, and iii) emergent actions have greater bearing on the relaxing of PD and the enactment of more numerous and integrated DC.
Research limitations/implications
While we were conscious that the context of the study was highly relevant, our study is not without limitations. It would be helpful to further validate the process of overcoming technological path dependencies by analyzing experiences in other industries to better confirm the interplay. Case studies in the context of emerging industries and the enactment of other nascent technologies would be of value. This study revealed the relevance of commercial parameters to technological PD. While it may be self-evident, it would be of value to reveal how marketing and sales is subject to lock-in, and how the factors that impinge on commercial lock-in interplays with technological PD. Finally, the role and significance of a variety of emergent events and actions in overcoming path dependency can be further explored.
Practical implications
Managers must be conscious of the emergence of characteristically unique PD components to engage in renewal strategies. Ongoing and conscientious sensing capabilities are necessary to uncover the environmental context that may nullify the extant path. In addition, a comprehension of ingrained attitudes and perceptions must be dealt with expediently through effective management intervention. This therefore requires leadership in communication and persuasion to ensure that new strategic initiatives are well presented and fully supported through clear directives. Any strategic initiatives must reflect the ability to expand on an established path trajectory, as opposed to initiating radical change for its own sake. Additionally, agents of change must be entrusted to proactively engage in random acts and be encouraged to leverage extant knowledge, while equally remaining flexible to new approaches.
Originality/value
The originality of this paper is that it validates emerging deductive theory by providing in depth and long-term empirical evidence of the role of DC in altering PD. It highlights the prolonged incremental approach to abating self-reinforcing mechanisms that define PD. The discovery of deliberate and emergent actions showcases the distinction between planned and random acts in reversing PD and enacting DC, and that random actions have greater bearing on enacting DC.
How do organizations overcome technological path dependency (PD)? We investigate the role that dynamic capabilities (DC) play in this process of reversing lock-in and introducing new technology. Our objectives were to: a) Identify the mechanisms that foster lock-in b) What bearing these have on DC to effect change in the technological path c) How are these mechanisms abated d) And how does this effect the presence and effectiveness of DC in the process of PD alterations
Design/methodology/approach
In this paper, a longitudinal process study covering the period 1976 to 2018 was developed with an in-depth single case study. Through semistructured interviews of 21 participants, the critical incident technique was used to uncover data on intentions, actions and outcomes. First and second order coding was undertaken to identify meaningful events that enabled an assessment of the path dependent state, using predefined characteristics, and accompanying dynamic capabilities using the 2007 framework of Teece. This enabled a descriptive narrative that illustrated how self-reinforcing mechanism are addressed to reverse path dependency and arouse dynamic capabilities to alter technological PD.
Findings
i) The identification of contextual and attitudinal factors behind self-reinforcing mechanisms, and how they are gradually addressed to relax the PD state that enables renewed DC, over an elongated period. ii) the distinction between deliberate (internal) and emergent (random and external) actions that have bearing on the PD state and the arousal of DC, and iii) emergent actions have greater bearing on the relaxing of PD and the enactment of more numerous and integrated DC.
Research limitations/implications
While we were conscious that the context of the study was highly relevant, our study is not without limitations. It would be helpful to further validate the process of overcoming technological path dependencies by analyzing experiences in other industries to better confirm the interplay. Case studies in the context of emerging industries and the enactment of other nascent technologies would be of value. This study revealed the relevance of commercial parameters to technological PD. While it may be self-evident, it would be of value to reveal how marketing and sales is subject to lock-in, and how the factors that impinge on commercial lock-in interplays with technological PD. Finally, the role and significance of a variety of emergent events and actions in overcoming path dependency can be further explored.
Practical implications
Managers must be conscious of the emergence of characteristically unique PD components to engage in renewal strategies. Ongoing and conscientious sensing capabilities are necessary to uncover the environmental context that may nullify the extant path. In addition, a comprehension of ingrained attitudes and perceptions must be dealt with expediently through effective management intervention. This therefore requires leadership in communication and persuasion to ensure that new strategic initiatives are well presented and fully supported through clear directives. Any strategic initiatives must reflect the ability to expand on an established path trajectory, as opposed to initiating radical change for its own sake. Additionally, agents of change must be entrusted to proactively engage in random acts and be encouraged to leverage extant knowledge, while equally remaining flexible to new approaches.
Originality/value
The originality of this paper is that it validates emerging deductive theory by providing in depth and long-term empirical evidence of the role of DC in altering PD. It highlights the prolonged incremental approach to abating self-reinforcing mechanisms that define PD. The discovery of deliberate and emergent actions showcases the distinction between planned and random acts in reversing PD and enacting DC, and that random actions have greater bearing on enacting DC.
Original language | English |
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Pages (from-to) | 393-414 |
Number of pages | 22 |
Journal | Strategy and Leadership |
Volume | 53 |
Issue number | 4 |
Early online date | 4 Apr 2025 |
DOIs | |
Publication status | Published - 16 May 2025 |
Keywords
- Attitudinal factors
- Contextual factors
- Deliberate actions
- Dynamic capabilities
- Emergent actions
- Path dependency
ASJC Scopus subject areas
- Strategy and Management