Dynamic capability and disruptive innovation within perspectives of industry 4.0, research result and innovation on people's prosperity

Abstract

This paper elaborates the theoretical view of sustainable industrial systems within one of state owned enterprise (SOE) in banking industry. The primary theory for this paper elaborates the sources of dynamism in dynamic capability. This paper provides a multi-level theory ofdynamic capabilities (DCs) that explains resource dynamicsby conveying a primary role to persons and interpersonal interactions in lieu of abstract, which is company-level entities.This paper describes banking industry in term of dynamic capabilities to navigate change whenemployees are connected. The mentioned connection is bridged through high-quality relationships, empowering innovative aspects. Strategic adaptation is feasible when people are provided the opportunity to act, think, and feel creatively. Eventually that performance envisions opportunities to enhance how the company operates. Precisely, this paper depicts situation on PT Bank Mandiri (Persero) Tbk. Structural Equation Modelling (SEM) is capitalized to proceed to data processing. The objective of this paper is to enhance the ways how the company operates in dynamic capability through disruptive innovation toward sustainable industrial system. The dynamism of dynamic capability is believed to provide adequate foundations toward disruptive innovation. Quantitative approach constitutes the research methodology through the usage of Analytical Hierarchy Process (AHP) Ishikawa method. To conclude, by AHP Method and Ishikawa, PT. WijayaKarya is the chosen contractor that has superior value of 49%, among contractors. Ultimately, Ishikawa method conveys its criteria of quality, time, cost, and personal that require minimum 60% service level.