RECONCEPTUALIZING AGILE PROJECT MANAGEMENT AS A DYNAMIC CAPABILITY: THE ROLE OF CONTEXTUAL AGILITY AND PROJECT COMPLEXITY IN CONSTRUCTION PROJECT SUCCESS

Grounded in Dynamic Capabilities Theory (DCT), this study reconceptualizes agility as a strategic organizational capability that enables project-based firms to sense environmental changes, seize emerging opportunities, and reconfigure operational processes. Survey data from 389 construction professionals in Pakistan were analyzed using Partial Least Squares Structural Equation Modeling (PLS-SEM) to examine the effects of eight agile strategies on a higher-order construct, Contextual Agility, and its subsequent influence on multidimensional Project Success, while accounting for the moderating role of Project Complexity. The findings demonstrate that Contextual Agility significantly mediates the relationship between agile strategies and project success, with stakeholder involvement, risk management, and change management emerging as the most influential dimensions. Moreover, project complexity strengthens the impact of stakeholder involvement on project success, underscoring its critical importance in complex project environments. This study contributes theoretically by integrating APM within DCT, offering a validated framework that positions agility as a dynamic capability within construction project management.