ROLE OF DIRIGEN OF RESOURCE ORCHESTRATION ANDDYNAMIC CAPABILITY ON COMPETITIVE STRATEGY AND THEIR IMPLICATIONS TOWARD COMPETITIVE ADVANTAGEOFSOEsCONSTRUCTION SERVICE

Eddy Irsan Siregar

Abstract


In a company that has been well-established and gone international, to grow, the company must adapt to
its business environment and would certainly undergo strong external pressure, so that a conductor is
required to align the activities of various divisions and subsidiaries. The purpose of this study is todiscover the influence of resource orchestrationand dynamic capability on competitive strategy and theirimplications toward competitive advantage. In addition, to determine the effect of dynamic capabilitytowards the strategy and competitive advantage insoesConstruction Service.This study is conducted bya conceptual approach using grounded theory. Questionnaire and interview are distributed to 60 topleaders and project managers of soesConstruction Service to explore their strategic perspective in theconstruction industry. The sampling technique by using proportional random sampling technique. Thedata is in the form of SEM and is analyzed by Path Analysis. Novelty of this study resultis the discoveryof negative effect and insignificant of the resourceorchestrationvariable against competitive strategy.On the other hand, the resource orchestration variable has positive effect and significant to thecompetitive advantage. Meanwhile, dynamic capability variable has positive effect on competitivestrategy and competitive advantage. The study also shows that resource orchestrationis not required toimprove competitive strategy, but dynamic ability is necessary to adapt with the dynamic environmentchanges to enhance the competitive advantage.

Keywords: External Environment Pressure, Resource Orchestration, Dynamic Capability, BusinessStrategy,and Competitive Advantage


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