Dynamic Managerial Capabilities for a Complex World with AI

Dynamic managerial capabilities are changing in an era of big data, analytics, artificial intelligence, and complexity. Managers need to learn how to apply a combination of strategy concepts and analytical methods (quantitative and qualitative), together with artificial intelligence (AI), to address unstructured complex strategic problems using data coming in multiple forms (large, unstructured, fast). This chapter discusses the task (activities), cognitive (interpretation), and behavior (decisions) dimensions of dynamic managerial capabilities. Strategizing is a field within strategic management literature, which is related to the strategy work. Organizations need to evolve into a data-driven culture where decisions are made based on insights obtained from data supported by analytics and AI. Modeling is beyond the simple mathematical model or the systematic ordering of qualitative data. Modeling involves performing a social practice by participating actively with the model during strategizing processes.