Dynamic capabilities in the public sector: Research agenda in the context of digital transformation

Abstract

Dynamic capabilities, which were initially developed for the private sector but have increasingly been applied to public sector organizations, can be used to frame the analysis of digital transformation. This article considers the research agenda on the capabilities enabling public sector organizations to implement digital transformation, manage multi-stakeholder collaborations, and improve service delivery in a changing environment. There are five emerging areas of dynamic capabilities in the public sector: conceptual discussion, management and performance, measurement frameworks, innovation and public value creation, and digital transformation. Future research agendas should focus on understanding multiple actors involved in the digital transition, and longitudinal and comparative studies.

Keywords

• Digital transformation
• Dynamic capabilities
• Public organisations
• Public sector