The aim of this thesis is to research the strategy changes of case company from traditional product provider to solution provider. Industry changes will be covered more deeply from service provider point of view in order to find out how the firm should attach its resources and capabilities to adapt the challenges that industry change is bringing. The main focus is the strategy change of the firm and how to find those dynamic capabilities which will lead to the sustainable competitive advantage over rivals. Firms achieve in their strategy planning to sustain competitive advantage. Many famous researchers with their theories of the strategic management have affected the field of strategic management. The studies have shown that the traditional theories of strategic management cannot give the thorough explanations to the companies’ success in the rapidly changing world. Dynamic capabilities are brought to be one kind of explanation to the success. Firms that are looking for total new business areas are affected by big pressure as well as inside of the company as outside of the company. In this kind of situation it is critical to recognize the dynamic capabilities which lead to the success in new business areas. In the first phase of this study strategy and dynamic capabilities’ theories are presented. Also challenges of service business are covered. Then the case company is presented with the resource gap analysis. Resource based view of the firm is a good tool to recognize the missing resources when company is aiming to the new business areas. During the analysis the resource gaps between present and target were recognised and one of the main gaps which were analysed more deeply was in the area of ICT. Based on this study the resource base approach to the firms strategy analysis helps companies to recognise resource gaps at least in the companies like presented in this study. Matching the resource gaps with the strategy target the companies could achieve competitive advantage in the market.