Development of new organizational capabilities

Running head: DEVELOPMENT OF NEW ORGANIZATIONAL CAPABILITIES
Development of new organizational capabilities to sustain performance-driven organization: An
analytical study on the public sectors in Dubai, United Arab Emirates
Name of the University:
Name of the Student:
Authors Note:

1DEVELOPMENT OF NEW ORGANIZATIONAL CAPABILITIES
Table of Contents
1. Project title.......................................................................................................................2
2. Overview..........................................................................................................................2
3. Research questions...........................................................................................................2
4. Research literature...........................................................................................................3
Concept of organizational capabilities in UAE...............................................................3
Organizational capabilities to support the organizational performance..........................4
Knowledge based economy.............................................................................................5
Strategic Organizational Capability Development plan..................................................6
5. Research Methodology....................................................................................................7
5.1. QualitativeResearch..................................................................................................7
5.2. Quantitative Research...............................................................................................8
6. Outcomes.......................................................................................................................10
7. Timescale.......................................................................................................................11
References..........................................................................................................................13

2DEVELOPMENT OF NEW ORGANIZATIONAL CAPABILITIES
1. Project title
Development of new organizational capabilities to sustain performance-driven
organization: An analytical study on the public sectors in Dubai, United Arab Emirates
2. Overview
Human resource in UAE employees serve as the real asset in attaining the development
goal of the organizational capabilities and it is also deemed to be the top priority of the company
in implementation of leadership ability (Bonk, Bastidas-Oyanedel and Schmidt 2015).
Organizational capabilities within the nation serve as the most important aspect through which
organizations can attain success. Considering the same the nation considers it to be highly
important to new generation of Emirati business professionals within the audit area (Bonk,
Bastidas-Oyanedel and Schmidt 2015). These professionals are deemed to remain committed to
offer talented UAE nationals to attain increased access to vital conferences. Moreover, offering
exceptional training to the employees within the organization can facilitate the business leaders
of UAE in taking part within the organizational capability development process. The recent data
gathered on the development of new capabilities for dealing with demands and opportunities of
recent years within the organization indicated that such capabilities attain 75% of total number of
employees (Bonk, Bastidas-Oyanedel and Schmidt 2015)
3. Research questions
The research questions which are to be answered after completion of the research are
explained under:
 What are the organizational capabilities obtained by public sector organizations?

3DEVELOPMENT OF NEW ORGANIZATIONAL CAPABILITIES
 How does the organizational capability support the performance of public sector
organizations of UAE?
4. Research literature
The literature review presents the core concepts of the research topic related to the
development of organizational capabilities for supporting the performance of public sector
organizations in UAE. The two variables included the organizational capabilities and enhanced
performance of the nation’s public companies that were linked together to derive a positive
outcome while developing and cultivating organizational capabilities effectively.
Concept of organizational capabilities in UAE
There are numerous definitions of organizational capabilities and one of them state that
organizational capabilities are exceptional capabilities to effectively address the business goals.
According to Randeree (2009), the initiatives were undertaken to manage fair work practices
along with the recruitment and selection of the most suitable candidates within the private and
public sectors of UAE. From various surveys, it was found that the public sectors were facing
many issues because of the citizens who represent only a smaller percentage of the private sector
workforce (Randeree 2009). The scopes and opportunities were also provided to the individuals
living in UAE rather than the expatriates, which were considered as a major form of
discrimination or inequality within the private sector. There were various social security
payments, which hindered many individuals to work for in the companies in UAE and this
further created unemployment and many of the people in UAE were left out of jobs. The
development of organizational capabilities considered the political and economic factors to
enable localization creating an impact on the effectiveness of the organization. The use of

4DEVELOPMENT OF NEW ORGANIZATIONAL CAPABILITIES
various networks within the evolving power structures further helped in enhancing the workforce
efficiency through the employment of skilled and knowledgeable individuals, who managed to
develop new organizational capabilities for sustaining in business (Modarress, Ansari and
Lockwood 2013).
The huge development within the public sector companies has resulted in robust
economic growth as well as improved the organizational infrastructure. It resulted in enhancing
the organizational capability and manages expansion of trade activities and provision of public
goods and services in UAE. There was shortage of labor and foreign workers along with
availability of cheap labor. The employees were allowed to work for longer hours and were paid
lesser salary, which contributed to the poor working conditions and culture, thereby deteriorating
their work performance too (Almessabi 2017).
Organizational capabilities to support the organizational performance
The rapid growth and development along with the necessity for diversified economy were
considered as important factors to facilitate knowledge based economy, ensure long term
development and continuous growth. By focusing more on the nationals of UAE, i.e., the
Emiratis, the workers could work as a unit considering the local culture present and the female
Emiratis would also gain equal opportunities like others (Niango 2014). Organizational
capabilities development was considered as an effective system to enhance the employment
opportunities provided to the nationals within the private sector and at the same time, reducing
the expatriate labor. According to Randeree (2009), the organizational development enabled
assessing the worst case situations and with the change in Government position of UAE, the
quota based policy or system had been prevented from implementation too (Randeree 2009). The
development was also possible with the enhancement of knowledge based economy and even

5DEVELOPMENT OF NEW ORGANIZATIONAL CAPABILITIES
providing education for all. It was beneficial for making the individuals gain access to
information and data by using the internet furthermore employ Emirati women in well-known
positions such as corporate leadership position, managerial position and in other areas of
management too within the UAE private sector (Vassilopoulou et al. 2015).
Organizational capabilities center on the ability of the public sector companies in UAE to
include several kinds of resources. This can also facilitate the companies in attaining competitive
advantages. Organizational capabilities are deemed as a kind of strategic resource for public
sector organizations as it is inimitable valuable, non-substitutable and non-tradable. Based on the
responses of Randeree (2009), the emigrants were considered as major part of the workforce that
represented the human capital and sometimes these workers were not provided with job security,
inadequate level of safety and wellbeing along with bad working conditions (Miller 2013). The
wages were not paid on time and even were made to work overtime, which was not only illegal
but also resulted in violation of employee rights. They spent an average lifestyle with not much
money to save and accommodation facilities were not up to the mark as well. Lack of
organizational commitment further deteriorated the business performance, which made the
employees unsatisfied and failed to establish good trust with the employers (Bealer and
Bhanugopan 2014). It would also enhance the demands of organizational capabilities in the labor
market; furthermore create equal opportunities for them to excel in their career professionally.
Knowledge based economy
The organizational capabilities was supported by making investments on the development
of infrastructure in UAE, which helped in managing foreign ownership and exemption from tax
related things. Within the construction sector, there was lack of skilled labor and inappropriate
skills and knowledge among the workers, which resulted in hindering the achievement of better

6DEVELOPMENT OF NEW ORGANIZATIONAL CAPABILITIES
performance of organizations through the implementation of quotas according to wrong and false
expectations (Randeree 2009). The emigrants in United Arab Emirates are considered as major
assets of the organization that focus on the development goals and objectives of the project
related to enhancing organizational capabilities and ensure employing the right candidates to
achieve success in business. Training and developmental programs were also provided to the
employees to enhance their skills, abilities and knowledge to engage in attaining organizational
goals, furthermore attain the most suitable employees within the organization to achieve positive
organizational performance outcomes (Kaabi and Sandhu 2018). To enhance their knowledge
level, relevant training and developmental sessions were to be provided for improving their
knowledge, expertise level and skills and allow them to work efficiently. This would bring
innovation, creativity and specialization in the field of bio technology, pharmaceutical and
wireless communication systems, furthermore manage sharing and exchange of information and
knowledge within the private and public sectors in UAE. By improving the organizational
structure and capability, it would also be easy to gain skilled workers and with proper training,
they would be able to adapt to the surroundings and working environment to maintain a balance
between the demographic conditions and human capital in UAE (Almessabi 2017).
Strategic Organizational Capability Development plan
The existing skills and knowledge gaps were identified to prepare a detailed plan about
training, performance monitoring and benefits provided to the employees within the UAE sector.
The plan for the organizational capability development project must not replace the nationals in
UAE with the workers but most importantly provide them with training for enhancing their
skills, knowledge and expertise within the workforce. The organizational capability development
plan implemented should bring efficiency on the human resource management practices and

7DEVELOPMENT OF NEW ORGANIZATIONAL CAPABILITIES
make sure to overcome the challenges faced during the recruitment, selection and retention of the
UAE nationals (Vassilopoulou et al. 2015). More roles and responsibilities should be assigned to
the female workers and this would help in managing equality within the workforce, thereby
resulting in improving workforce efficiency and improved decision-making capabilities too.
5. Research Methodology
5.1. QualitativeResearch
Method of Data Collection- Collection of secondary data will be considered by means of
secondary sources. The secondary sources through which important and useful information
regarding organizational capabilities within UAE that can support the development of
organizational abilities encompass journals, government websites of UAE along with other
reliable publications on organizational capabilities enhancement (Avraham 2015).
Sampling technique and sample size- The process of simple random sampling will be used in
this exploration and within which 51 managers of public organizations in UAE will be chosen
for evaluating their responses on enhancing their organizational capabilities in order to support
the organizational capabilities (Bonk, Bastidas-Oyanedel and Schmidt 2015). The technique of
simple random sampling will be used within this exploration for the reason that this provides
equal opportunity to all its survey respondents to get selected within the survey process. This is
the reason for which quantitative data will be gathered from a wide base of population by means
of using simple random sampling. Considering the same situation, analysis of quantitative data
needs a considerably larger sample size for attaining and analyzing the responses gathered from
the target respondents within the survey (Cordesman 2018).

8DEVELOPMENT OF NEW ORGANIZATIONAL CAPABILITIES
Selected variables for research– Certain variables that are considered to be used within this
exploration of improving organizational capabilities for the successful implementation of
organizational capabilities within UAE includes dependent and independent variables. The
dependent variable that is selected is public sector organizations performance and the
independent variable that is chosen is organizational capabilities of profit companies in the
nation (del Pilar Castro 2015).
5.2. Quantitative Research
Quantitative process of research design- This research design is considered to be employed
within this research of organizational capabilities and its importance in making organizational
performance successful within UAE. Quantitative research design is selected for the reason that
this can facilitate in attaining important data on the topic of human perception in consideration to
some specific research data (Elkashlan, Wang, Duong, Karagiannidis and Nallanathan 2015).
Moreover, a larger sample size is selected in this research that is suitable with the selected
research design.
Research instrument-Questionnaire research instrument is deemed to be used in this research in
order to gather suitable and valid information deem the participants within the survey for
evaluating the manner in which organizational capabilities improvement can facilitate in
enhancing public sector organizations performance (Flick 2015). The questionnaire that will be
developed is considered to be provided to the selected respondents that will have both the open
as well as close ended questions. This research instrument will be employed in alignment to the
fact that this acts as highly efficient instrument in obtaining considerable information from a
huge population. The questionnaire will be distributed through the social media channels and
through e-mail to all the target respondents (Giusti and Almoosawi 2017).

9DEVELOPMENT OF NEW ORGANIZATIONAL CAPABILITIES
Quantitative process of data analysis- The data will be gathered trough the survey process and
will be evaluated by means of better statistical analysis tools. MS excel application is considered
to be used relied on which the responses collected from the survey will be evaluated. In addition,
regression as well as correlation analysis will be conducted for answering all the questions
developed in the investigation of organizational capabilities improvement and its impact on
organizational performance of public sector companies (Jensen 2018). The data collected will be
indicated by means of tables and graphs which can support the researcher in evaluating the
human responses as well as its findings in a better manner.
Reliability and validity of research- The reliability and validity of the gathered data will be
ensured through using website sources that contains recently updated information on the
improvement of organizational capabilities with its support in enhancing public companies
performance of UAE (Jaffe 2018). Pearson correlation test will also be employed in this research
for evaluating the reliability of the data gathered from quantitative data analysis.
Sampling and sample size- The process of simple random sampling will be used in this
exploration and within which 51 managers of profit based organizations in UAE will be chosen
for evaluating their responses on enhancing their organizational capabilities in order to support
the performance development process of organizations (Krane, Jaffe and Elass 2016). The
technique of simple random sampling will be used within this exploration for the reason that this
provides equal opportunity to all its survey respondents to get selected within the survey process.
This is the reason for which quantitative data will be gathered from a wide base of population by
means of using simple random sampling. Considering the same situation, analysis of quantitative
data needs a considerably larger sample size for attaining and analyzing the responses gathered
from the target respondents within the survey (Krane, Jaffe and Elass 2016).

10DEVELOPMENT OF NEW ORGANIZATIONAL CAPABILITIES
Interviewing and questionnaire design- The questionnaire that will be offered to the target
survey participants will constrain close as well as open ended questionnaire. The section A of
this questionnaire will gather important information on the demographic profile of the survey
participants. Section B of the questionnaire includes questions related with the improvement of
organizational capability and its impact on improving organizational performance (Lewis 2015).
Section C of this questionnaire will also includes important questions concerning
recommendation provided by the companies in improving organizational capabilities in support
of public sector companies’ performance. The section D of the questionnaire encompasses
questions concerning recommendations for increasing organizational capability that can support
the organizational performance of UAE.
6. Outcomes
From analysis of the paper outcomes will be gathered that there are certain major aspects
related with organizational process improvement is impacted by the capabilities of the
organization (Lim, Foo and Tan 2018). It is deemed to be gathered from the findings of the
research that demographic imbalance is resulting in affecting this project that is caused as
workers undertake work which the native population is not willing to conduct. It will also reveal
that the local regulations and laws offers the employees of UAE with increased power over their
staff often to the detriment regarding right of their employees. The findings of this research will
also explain another issue that must be addressed is the job performance of UAE nationals (Lim,
Foo and Tan 2018). The organizations must consider analyzing its key performance indicators
for all its employees and for sustained development of employees; the organization must develop
long term strategy. It will be gathered from the research that the resource department of
organizations must consider taking measures to offer challenges for communicating importance

11DEVELOPMENT OF NEW ORGANIZATIONAL CAPABILITIES
of developing organizational abilities with its national employees. This can facilitate in
measuring the success of public sector organizations performance along with dealing with related
issues. The organizations in UAE must focus on increasing the motivation and productivity
levels of employees that can further decrease increased rate of attrition that is faced by these
organizations (Lim, Foo and Tan 2018). In supporting the development of new organizational
abilities among UAE nationals employees are offered with efficient reward systems that include
performance based pay along with other bonus forms. The research will also provide
implications regarding dealing with the challenges along with enhancing organizational
performance within UAE aiming to attain success of organizational capability development
policies. The research will further focus on the improvement areas within training and education
public policy, gender participation and Emirati with expatriate relationships for supporting skills
of UAE workforce in ensuring better performance of public sector companies (Lim, Foo and Tan
2018).
7. Timescale
Task Week
1
Week
2
Week
3
Week
4
Week
5
Week
6
Week
7
Week
8
Week
9
Selection of topic
and search for
justification
Constructing
literature
Selecting
appropriate

12DEVELOPMENT OF NEW ORGANIZATIONAL CAPABILITIES
methods
Data collection
Data analysis and
representation
Reviewing the
outcomes
Conclusions and
recommendations
Submitting draft of
the project
Printing and final
submission

13DEVELOPMENT OF NEW ORGANIZATIONAL CAPABILITIES
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