A measurement model of dynamic capabilities of the continuous improvement project and its role in the renewal of the company’s products/services

Most continuous improvement (CI) projects fail due to poorly developed hard/soft enablers. Previous studies have considered these enablers mainly at the organizational level. Although the context of each CI project is complex and unique and represents a temporal organization that also determines the project’s success, its internal factors have been under-researched. The paper analyzes the CI project from a dynamic capability (DC) perspective by differentiating between zero/first-order and second-order routines (i.e., the DCs of the CI project). Moreover, it conceptualizes, operationalizes, and validates a measurement model of such DCs. The unit of analysis is the CI project, and the sample consists of 68 projects (one per organization) in Colombia. The empirical validation criteria comprise goodness-of-fit, reliability (Cronbach’s alpha and composite), and validity (convergent and discriminant). The paper provides a reasonable/parsimonious measurement model comprising five DCs (synergy, ideation, absorption, integration, and coordination) at the CI project level. It clarifies the DCs of the CI project and how they can be operationalized. Based on this measurement model, we argue the role of such DCs in facilitating organizational adaption to changes in the environment (a novel conceptual model). These insights will be valuable for decision-making by researchers and managers in quality/project/operational management.