Title: Dynamic capabilities in the software process

Authors: Markus M. Makela, Nilay V. Oza, Jyrki Kontio

Addresses: Department of Information Technology, University of Turku, Ylhaistentie 2, FI-02130 Salo, Finland. ' Software Business Laboratory, Helsinki University of Technology, P.O. Box 5500, FI-02015 TKK, Finland. ' Software Business Laboratory, Helsinki University of Technology, P.O. Box 5500, FI-02015 TKK, Finland

Abstract: Software development is an important dynamic capability of a software-developing organisation. This paper explores product development in general and software development in particular from the viewpoint of the dynamic capabilities research stream that is associated with the Resource-based View (RBV) of the firm. We discuss software development from a process viewpoint, assessing each phase separately. The main results of the paper are twofold: first, via a dynamic capabilities-based analysis of the software process, we formulate by inductive reasoning a general product development resource transformation typology that supports the analysis of developing and managing industrial product innovation activities through a dynamic capabilities approach. Second, we present a research agenda that incorporates a synthesis of recent scholarly discourse about dynamic capabilities into product development and especially software development research.

Keywords: dynamic capabilities; software development; software process; software engineering; software business; resource-based view; RBV; inductive reasoning; product development; resource transformation typology; product innovation.

DOI: 10.1504/IJITM.2009.022267

International Journal of Information Technology and Management, 2009 Vol.8 No.1, pp.4 - 18

Published online: 25 Dec 2008 *

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