The purpose of this paper is to explore how process management (PM) can support small- and medium-sized enterprises (SMEs) in pursuing sustained competitive advantage. For this purpose, a dynamic capabilities (DC) lens was used.Design/methodology/approachA narrative literature review and a multiple case study with an action research approach at two road freight transport companies were used.FindingsPM provides structure and system thinking to support the development of competitive advantage. Concerning PM, management of knowledge, management style and process orientation are key factors for the generation of competitive advantage for SMEs.Research limitations/implicationsThis study contributes to PM literature by studying its support for and implementation at SMEs. Furthermore, the study contributes to the literature on DC by providing concrete examples of activities linked to such capabilities.Practical implicationsThis study contributes to practitioners by providing examples of implementing PM and identifying competitive advantage, connected with PM elements.Social implicationsThis study has social and environmental implications for the quality of life of the Swedish people.Originality/valueThis paper contributes to clarifying the connection between the research fields of quality management and DC to explore how PM can support SMEs in pursuing sustained competitive advantage.