Advanced International Journal for Research

E-ISSN: 3048-7641   •   Impact Factor: 9.11

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Volume 7 Issue 2
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NAVIGATE or Stagnate: A Dynamic Capabilities Framework for Polycentric Environments

Author(s) Dr. Manoj Kumar p a, Prof. Krishna Mohan Durbha
Country India
Abstract What is the systematic underperformance of Global Capability Centres (GCCs) in the context of heavy investment in VRIN resources? This paper constructs an institutionally contingent theory of resource deployment that describes how institutional polycentricity transforms VRIN resources into latent capabilities through overcoming deployment barriers. The study uses structural equation modelling to analyse 315 human resource professionals working in 45 Indian GCCs finding that three of the three theory-relevant mechanisms were identified: (1) institutional deployment barriers limited the actualisation of VRIN resources (human capital mobility barriers: 0.34), (2) the capability traps when sensing and seizing and transforming processes resulted in overload in extreme situations of institutional complexity (reinforcing effects: 0.50-0.65), and (3) institutional navigation as a meta-capability mediated deployment barriers The findings can and do expand the Resource-Based View conceptualizing the institutional boundary conditions of VRIN value, further developing the Dynamic Capabilities Theory conceptualization of negative feedback processes in the context of polycentricity, and developing the theorization of responses of organizations to dual institutional demands generally. The empirically confirmed NAVIGATE model offers evidence based navigation approaches of institutions that confirm that the ability of the institution to navigate is more important than volume of resources in polycentric systems
Keywords Capability Deployment Gap, Global Capability Centers, Dynamic Capabilities, Institutional Polycentricity, NAVIGATE Framework, India
Published In Volume 7, Issue 2, March-April 2026
Published On 2026-03-12
DOI https://doi.org/10.63363/aijfr.2026.v07i02.3850
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