STRATEGIC IMMUNITY AND ORGANIZATIONAL RESILIENCE: THE SEQUENTIAL MEDIATING ROLES OF STRATEGIC DEXTERITY AND STRATEGIC RENEWAL UNDER ENVIRONMENTAL DYNAMISM

Abstract

Organizations working in emerging economies like Iraq are facing unprecedented difficulties in the era characterized by technological suddenness, geopolitical uncertainty, strong competition, and economic volatility. Firms need to step beyond resilience and build strategic capabilities to become more proactive in improving long-term adaptability and competitiveness under various conditions. The aim of this study is to analyze the role of Strategic Immunity (SI) on improving Sustainable Organizational Performance (SOP) through Organizational Resilience (OR) and also to detail the sequential mediating role of Strategic Dexterity (SD) and Strategic Renewal (SR) and the moderating role of Environmental Dynamism (ED). A quantitative, explanatory, cross sectional research design was adopted, in which the information collected by the researcher from the study area was structured questionnaires. A quantitative, explanatory, cross sectional research design was used to study, as it was structured questionnaires from which data was collected from five hundred managers from the study organizations of twelve organizations representing six industries. Data were organized and analyzed by the use of matrix operations, reliability test and bootstrapped simulation procedure in Microsoft Excel. All of the twelve hypothesis that were proposed were confirmed. Strategic Immunity significantly enhanced Strategic Dexterity (β = 0.641, p = .001), Strategic Renewal (β = 0.512, p = .001), and Organizational Resilience (β = 0.318, p = .001). The correlations between Strategic Dexterity and Strategic Renewal were mediated (partially explained) separately by Strategic Immunity, while Environmental Dynamism enhanced the mediation effect of Strategic Dexterity and Strategic Renewal on Organizational Resilience. Moreover, Organizational Resilience had a significant positive impact on Sustainable Organizational Performance (β = 0.574, p = .001). The results empirically confirm a sequential framework of Strategic Immunity, Strategic Dexterity, Strategic Renewal and Organizational Resilience. The study contributes to Dynamic Capabilities Theory and the Resource-Based View by theorizing Strategic Immunity as a proactive capability of the organization, and by providing practical insights to managers faced with very turbulent emerging-market settings.