Exploring the Relationship Between Managerial Cognitive Capabilities and Dynamic Managerial Capabilities

Abstract

The micro-foundations research agenda's primary motivation in strategy is to dissect macro-level constructs in terms of actions and organizational members' interactions to the micro-level. This work seeks to evolve the understanding of these micro-foundations to explain the relationship between Managerial Cognitive Capabilities and Dynamic Managerial Capabilities. We conducted a laboratory experiment with a sample of 111 participants, divided into two groups, containing 57 and 54 participants, each one. The results revealed that Sensing Opportunity and Seizing Opportunity, components of the Dynamic Managerial Capability, and the Language and Communication, which are part of the Cognitive Managerial Capability, can be predictive of the ability to Reconfigure Tangible and Intangible Assets. Our research contributes by extending central literature on micro-foundations through an experiment. We empirically show that managerial and cognitive dynamic capabilities can be a preeminent field to improve the comprehension of dynamic capabilities' micro-foundations.