Core Competencies
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- Date Submitted: 04/16/2011 09:11 AM
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m a n a g e m e n t
Core competence
A company's most valuable resource
Sanjeev Baitmangalkar
Core competencies are the capabilities that underlie leadership in any range of products or services, and enable a company to deliver a fundamental customer benefit. Besides defining business development priorities, regular core competence reviews also help in focussing on levels of investment, plans to strengthen skills and technologies, outsourcing decisions, alliances, internal deployment and developing a strategic architecture, among others. Read on to get an expert perspective on this critical driver of growth.
hat makes British Airways, Singapore Airlines, Wall Mart, Toyota or Dell different from the crowd? When many companies make similar products, or offer similar services, what differentiates one from another? Core competencies are the capabilities that underlie leadership in any
range of products or services. Have you ever thought, what makes a small scale SPM builder like Bombay Machines, different? They have built their core competence around strong fundamental design processes, and their value proposition to their customers lies in providing them with those small yet vital details that most would like to cut corners. That is why customers keep coming back to them again and again. What did Microsoft, Dell, Toyota, Matsushita, Sharp, Sony or Toshiba do differently yesterday that has put them in leadership positions today? A firm can capture a disproportionate share of profits from future markets by building competencies today that will make a disproportionate contribution to future customer values. It has taken Toyota decades to get to their present position, although, much of its accelerated growth seems to have come in the last two decades. The length of time it takes to build competencies to build world-class leadership depends on the culture & learning ability within the organisation. It also depends on the size and resilience, but could take...
Core competence
A company's most valuable resource
Sanjeev Baitmangalkar
Core competencies are the capabilities that underlie leadership in any range of products or services, and enable a company to deliver a fundamental customer benefit. Besides defining business development priorities, regular core competence reviews also help in focussing on levels of investment, plans to strengthen skills and technologies, outsourcing decisions, alliances, internal deployment and developing a strategic architecture, among others. Read on to get an expert perspective on this critical driver of growth.
hat makes British Airways, Singapore Airlines, Wall Mart, Toyota or Dell different from the crowd? When many companies make similar products, or offer similar services, what differentiates one from another? Core competencies are the capabilities that underlie leadership in any
range of products or services. Have you ever thought, what makes a small scale SPM builder like Bombay Machines, different? They have built their core competence around strong fundamental design processes, and their value proposition to their customers lies in providing them with those small yet vital details that most would like to cut corners. That is why customers keep coming back to them again and again. What did Microsoft, Dell, Toyota, Matsushita, Sharp, Sony or Toshiba do differently yesterday that has put them in leadership positions today? A firm can capture a disproportionate share of profits from future markets by building competencies today that will make a disproportionate contribution to future customer values. It has taken Toyota decades to get to their present position, although, much of its accelerated growth seems to have come in the last two decades. The length of time it takes to build competencies to build world-class leadership depends on the culture & learning ability within the organisation. It also depends on the size and resilience, but could take...