Moderated mediation between IT capability and organizational agility

Organizational studies uphold the association between information technology (IT) capability and organizational agility. However, this relation often yields mixed and inconclusive results. This study establishes the links among firms' operational dynamic capability (OPDC), organizational agility and IT capability. Through snowball-sampling technique, data are collected from 298 respondents in the innovative sector of China. The data are analyzed using partial least squares (PLS) and the statistical technique PROCESS. The empirical evidence supports the mediating role that OPDC plays in the relation between IT capability and organizational agility. Moreover, the study identifies the positive moderating role of environmental dynamism in reinforcing the relation between IT capability and OPDC. The results can guide policy makers to enhance IT capability that enables OPDC, thereby leading to increased organizational agility. The study also provides avenues for future research.