Investigating the effect of dynamic capabilities andthe role of knowledge management andorganizational intelligence (a case study of amunicipality)

This research aims to investigate the effect of organizational knowledge management and organizationalintelligence on organizational excellence with the mediating effect of dynamic capabilities amongemployees of Isfahan municipality. This is descriptive-correlational research based on the structuralequation model with an applied nature and cross-sectional in terms of time. The statistical populationincludes ۱,۲۰۰ municipal employees in all regions of Isfahan from which ۲۹۱ employees are selectedbased on Cochran’s sample size using convenience sampling. The data is collected by Nonaka andTakeuchi’s (۱۹۹۵) organizational knowledge management questionnaire, Albrecht’s (۲۰۰۲)organizational intelligence assessment, organizational excellence questionnaire based on the EFQMmodel, Naghizadeh et al.’s (۲۰۱۳) dynamic capabilities survey. Content and face validity are used toconfirm the validity of the questionnaire and Cronbach’s alpha is used to confirm the reliability. Thedata is analyzed using descriptive statistics and inferential statistics in SPSS and Smart PLS software.The findings show that dynamic capabilities play a mediating role in the relationship betweenorganizational knowledge management and organizational intelligence with organizational excellence(β=۰.۰۳۹, ۰.۲۲۵). Also, organizational knowledge management has a significant effect on dynamiccapabilities (β=۰.۷۸۷), organizational knowledge management has a significant effect on organizationalexcellence (β=۰.۴۴۲), organizational intelligence has a significant effect on dynamic capabilities(β=۰.۱۳۷), organizational intelligence has a significant effect on organizational excellence (β=۰.۲۵۸)and dynamic capabilities has a significant effect on organizational excellence (β=۰.۲۸۶). According tothe results of stepwise regression analysis, the best predictor of organizational excellence is in thevariable of knowledge management (combination, socialization, externalization) and in the variable oforganizational intelligence (willingness to change, application of knowledge, courage and bravery). Thebest predictor of organizational excellence is in the variable of dynamic capabilities (learning ability,environmental perception ability, absorption ability, coordination ability, rearrangement ability). Thebest predictor of dynamic capabilities is in the variable of organizational knowledge management (combination, externalization) and in the variable of organizational intelligence (willingness to change, strategic vision, alliance and agreement).