PPT AFBE WINDA presentation strategic agility.pdf

Presentasi strategic agility in envoromenral turbulence

1. Strategic Agility in Environmental Turbulence
A case of Banking Sector in Indonesia
Winda anggraini
Lily Sudhartio
Faculty of Economics and Business, Universitas Indonesia
SAMPOERNA UNIVERSITY -ASIAN FORUM ON BUSINESS EDUCATION (AFBE) CONFRENCE
JAKARTA, 06 DECEMBER 2018

2. INTRODUCTION
Adynamicbusinessenvironmentisahugechallengeforcompaniesbut
italsocanbeanopportunity
Identifyingthecausativerelationshipbetweenenvironmentalvariables
andactionstakenbythemanagementteamcanhelptoovercomethis
dynamicsituation(Windsor,2004).
ConceptofstrategicagilityintroducedbyDozandKosonenin2008
Strategicagilityisdefinedasorganization'sabilitytoensureitselftobe
flexibletoadaptinanyenvironmentalcondition(DozandKosonen,
2008),

3. INTRODUCTION (cont)
Changeofcustomerpreferencesandrapiddevelopmentoftechnology
greatlyinfluencesthebankingbusiness.
Banksaresupportedbytheircompetitiveadvantagetostrengthen
theirpositionandguaranteetheirsuccessincompetition
Thisenvironmentalturbulencefacedbybankmakesbankingasoneof
theindustrythatneedstrategicagilitythemost
Thepurposeofthisstudyistoempiricallyinvestigatethemediationof
competitiveadvantage(Ojha,2012)(Cheng,2012)ontherelationship
betweenstrategicagility(Doz&Kosonen,2008))inordertoachieve
organizationalperformance()Intheenvironmentalturbulence
(Cheng,2012).

4. Literature Review
•organization'sabilitytoensureitselftobeflexibleto
adaptinanyenvironmentalcondition
•SAprovidetheabilitytoconnectinsightsaboutthe
externalbusinessenvironmentwithinternal
capabilities,andconvertitintoactions
•SAconsistsofthreecapabilities,suchasstrategic
sensitivity,collectivecommitment,andresource
fluidity
Strategic Agility
Dozand
Kosonen(2008)
•Is defined as environmental conditions with high level of
uncertainty and risk.
•characterized by uncertainties arising from unexpected
changes in market demand, consumer preferences, new
technological developments, and technological
breakthroughs (El Sawyand Pavlou, 2008
Environmental
turbulence

5. Literature Review (CONT)
•akeywordinorganizationalspaceasthemain
methodforcreatingasuccessfulbusiness
•Porter(1980)definescompetitivestrategiesas
thecompany'seffortstocreatepositive
competitivepositionsincertainindustries
•Competitiveadvantagescanbecreated
throughfirstmoveradvantage,environmental
adaptation,newideas,operatingefficiency,
quality,andcustomerresponsiveness
Competitive
Advantage
•Blackwell&Eppler(2014)Atypicalmeasureforanalyzingthe
effectivenessofcompetitiveadvantageisperformance.
•Theindicatoroforganizationinachievingthesuccessof
strategyimplementation(Venkataraman,1989)
•Song (2016)considersefficiency,effectiveness,
responsiveness,andequalityasthecomponentof
organizationalperformance
Performance

6. hypotheses
Hypotheses 1: Strategic agility has positive impact on competitive advantage.
Hypotheses 2: Environmental Turbulence has positive impact on strategic Agility
Hypotheses 3: Competitive advantage has positive impact on unit performance
Unit
Performance
Strategic
sensitivity
Environment
Turbulence
-Market Turbulence
-Technological
Turbulence
--Strategic Agility
Resource
Fluidity
Competitive
Advantage
Collective
Commitment
H1 (+)
H2(+)
H3 (+)

7. method
•Quantitativeapproachresearch
•Rawdatasetfromquestionnaire(n=41)
•DataanalysiswithSEMusingSmartPLS
•RespondentsaremanageriallevelatBankBukopin

8. result
•Demographic
Gender n %
Male 35 85
Female 6 15
0%
10%
20%
30%
40%
Age
<31
31-40
41-50
>50
0%
20%
40%
60%
80%
Education
S1
S2
S3
0%
10%
20%
30%
40%
Tenure
0-4
5-10
10-20
>20

9. Result (cont)

10. Result (cont)
AVE
Composite
Reliability
R Squared Cronbach's Alpha
Strategic Agilty 0.504 0.934 0.663 0.924
Strategic Sensitivity 0.513 0.513 0.828 0.766
Collective Commitment 0.512 0.878 0.758 0.836
Resource Fluidity 0.691 0.87 0.724 0.775
Environmental Turbulence 0.532 0.898 0 0.869
Competitive Advantage 0.581 0.873 0.639 0.82
Unit Performance 0.601 0.922 0.509 0.903

11. Result (cont)
Path Path Coefficientt-values Error ProbabilitySignificance
Strategic Agility -> Strategic Sensitivity 0.91 26.203 0.000% P<0.01
Strategic Agility -> Collective Commitment 0.871 16.343 0.000% P<0.01
Strategic Agility -> Resource Fluidity 0.851 13.966 0.000% P<0.01
Strategic Agility -> Competitive Advantage 0.799 11.506 0.000% P<0.01
Environmental Turbulence -> Strategic Agility 0.814 12.194 0.000% P<0.01
Competitive Advantage -> Unit Performance 0.714 8.844 0.000% P<0.01

12. conclusion
1.Findingoftheresearchshowthatrespondentsagreeontheissuethatthe
capabilitiesofstrategicsensitivity,collectivecommitment,andresource
fluidityisequivalenttocapabilitiesinagilityatthestrategiclevel.
2.Hypothesesrelatedtodimensionsofstrategicagilityaresupported.
3.Inotherwords,ifabankwanttoachievecompetitiveadvantageinorder
toincreasetheunitperformance,Bankmustapplycertaincapabilitiesof
thethreedimensionsofstrategicagilitythatmentionedabove.
4.Thethreemeta-capabilities(strategicsensitivity,collectivecommitment,
andresourcefluidity)werestatisticallysignificantpredictorsof
organizationalperformance.ThisfindingssupportedDozandKosonen’s
(2008)theorythatallthreemeta-capabilitiesmustbeappliedtogetherto
predictorganizationalperformance.
5.Theresultsofthestudyshowthatthemostimportantdimensionto
achievestrategicagilityisstrategicsensitivityandthenextrankbelongto
collectivecommitmentandstrategicsensitivity
6.Allthreecapabilitiesmustsupporteachothertoachievesuccess,we
cannotchooseonlyonecapability.

13. Thank you