Premium Essay

Core Competency

In: Business and Management

Submitted By chaitanyapathak
Words 786
Pages 4
CORE COMPETENCIES
Key Points • • •

Core competencies are capabilities that have developed to the point where they provide competitive advantage for an organization. Core competencies help organizations access key markets and deliver value to end customers. The assumption that every organization has a core competence is not correct; there are specific criteria or tests that help determine if capabilities are in fact core competencies.

Main Thoughts A core competence is a capability that has developed to the point where it has become a source of competitive advantage for an organization. Core competencies are not easy to develop nor can they be readily imitated. Organizations that have strong core competencies—such as Honda in engine manufacturing and Proctor & Gamble in brand management—are difficult to compete with. In these examples, it’s easy to see how the core competencies form the nucleus of each company’s respective strategy.

Copyright ©2013 www.cambridgeperformancepartners.com

Identifying Base Capabilities/Competencies - The starting point for identifying core competencies stems from an understanding of an organization’s base capabilities (or base competencies). Identifying and documenting core capabilities by functional area is a good starting point. Another way to capture capabilities is by using Porter’s Value Chain analysis. However, cataloging base capabilities and dubbing those that seem important to the organization’s success does not make them core competencies. Core competencies are only those capabilities those that meet the following four tests: Valuable - A capability must be valuable, specifically, it must contribute to value for customers. It must also help an organization capitalize on…...

Similar Documents

Free Essay

Core Competency

...Core Competency May, 2006 Information Literacy Rubric OBJECTIVES Design research objective Access information Evaluate information and sources critically Identify and integrate primary sources Develop a research plan Level 5 Designs original, concise and focused research objective appropriate to assignment Locates reliable, discipline specific information from a variety of sources. Analyzes quality, discipline-specific information from various sources to assess accuracy, authority and timeliness Relates primary source material to historical context and articulates an in-depth analysis of its relevance to topic Develops a high quality research plan that integrates scholarly discipline specific resources. Successfully integrates compiled information, demonstrating a sophisticated use of citation, into a high quality, original product to effectively accomplish the planned objective. Follows laws, regulations, and institutional policies regarding access to and use of information resources and demonstrates an understanding of plagiarism Level 4 Designs concise, focused research objective appropriate to assignment Locates quality information on a topic from a variety of sources. Analyzes quality information from various sources to assess accuracy, authority and timeliness Includes primary source material with clear reference to historical context and relevance to topic Develops a quality research plan that integrates scholarly, discipline specific resources.......

Words: 465 - Pages: 2

Free Essay

Southwest Core Competencies

...Switching costs are low • Not much product differentiation 4. Threat of new entrants - Low • Excepted retaliation from incumbents high • High capital requirements • Regulation is strict 5. Threat of substitute products or services - Low • Railroads are not well established in US, driving very long distances is not favored by many • Quality of substitutes is low, especially with long distances people can fly in couple of hours in an airplane while in a car it takes 10 hours Core Competencies: a. Resources: Flights (Boeing 797), Know-how (of how to fly low cost and quick), Talent b. Simple Capabilities: Friendly and helping nature of the staff, Find uncongested airports for service, Find routes that are short and have more passengers, flying non-stop flights only c. Complex Capabilities: Providing short haul, high frequency, low-cost, timely and friendly service to the customers. (timely service also because of quicker turnaround times at an airport) d. Characteristics of Core Competencies i. Valuable – 1. Superior Product: high frequency flights competing with cars, quicker turnaround times and also provide timely and friendly service 2. Superior Processes: Only chose 737 so that every employee irrespective of which route they are working on, could work easily and with quick turnaround times. 3. Lower Costs/better Quality to the Customer: Low cost because - Did it own ticketing, quicker turnaround times, timely and friendly service, uncongested airports......

Words: 309 - Pages: 2

Premium Essay

Core Competency

...KEY AREA OF RESPONSIBILITY | CORE COMPETENCY | INDICATORS | BEHAVIORAL INDICATORS | COLLABORATION AND TEAMWORK | CORE COMPETENCY 1:Establishes collaborative relationship with colleagues and other members of the health team | 1. Contributes to decision making regarding patients’ needs and concerns. 2. Participates actively in patients’ care management including audit. 3. Recommends appropriate intervention to improve patient care. 4. Respect for the role of other members of the health team. 5. Maintains good interpersonal relationship with patients, colleagues and other members of the health team. | 1.1 Suggest health care needs based on patients’ assessment to other health care team.1.2 Identifies a number of theoretical frameworks that examine the behaviors involved in the decision-making process1.3Ability to choose appropriate nursing actions1.4Select information that most relevant1.5 Select between alternative courses of action2. Assesses the quality of care by the use of quality assurance programs.2.2 Uses a record as an aid in evaluating the quality of patient care2.3 Defines standards from their point of view and describe the actual practice of nursing.2.4Performesphysical assessment2.5collects patient’s data in a systematic manner3.1 Proper endorsement of patients to the nurse on duty for the next shift.3.2 Offers suggestions and care plans to other health care team members appropriate to patient’s needs. 3.3 Provide proper health teaching to patient...

Words: 687 - Pages: 3

Premium Essay

Huawei's Core Competencies

...Facing the China’s Telecom Equipment industry double-digit grow and becoming the largest telecom market in the world, all leading firms in each subsectors of Global telecom equipment take this opportunity to invest in china. Huawei, a Chinese challenge, was starting its challenge to Cisco insurmountable leadership position in international telecom equipment industry. Besides, to succeed its challenge Cisco in this industry, Huawei’s needed to show it pin-point company strategy on its capabilities and core competencies, generic competitive strategy framework and international strategy to against Cisco. Huawei’s Capabilities and Core Competencies Huawei’s Resources audit First of all, Huawei’s existing finance funds is large included working capital such as investment on more than US$370 million for its own Code-Division Multiple Access Technologies. On the other hand, Huawei’s have its “guanxi” relationship network to raising funds. For example the bank will give financial support and give favorable credit limit for the company. This showed Huawei’s have enough finance resource to supporting it strategy. Secondly, Huawei’s human resources own total 24,000 employee’s majority of staff have high education level such as bachelors, master or Phd. Furthermore, the overall standard of the staff training is higher because all new employees were put through intensive military-style training for few months. In addition, it affects the intangibles resources such as the morale...

Words: 2538 - Pages: 11

Premium Essay

Chw 8 Core Competencies

...persons working as Promotores or Community Health Workers Nine members  4 certified Promotores or Community Health Workers  2 public members  1 member with experience in adult education and training of Promotores or Community Health Workers  2 professionals who work with Promotores or Community Health Workers  Core Competencies     Communication skills Interpersonal skills Service coordination skills Capacity-building skills     Advocacy skills Teaching skills Organizational skills Knowledge base Certification Requirements Promotores or Community Health Workers  Completion of an approved 160-hour competency-based training program certified by DSHS OR  Experience – At least 1000 cumulative hours of community health work services within the most recent six years Instructors  Completion of a 160-hour instructor/trainer program by an approved sponsoring institution or training program certified by DSHS OR  Experience – At least 1000 cumulative hours of instruction provided to Promotores or Community Health Workers within the most recent six years Sponsoring Institutions/Training Programs  Approved curricula based on core competencies Recertification Requirements Promotores or Community Health Workers and Instructors  20 contact hours of continuing education every two years o Including at least 10 contact hours of continuing education certified by DSHS Sponsoring Institutions/Training Programs  Recertification every two years  Submit curriculum......

Words: 504 - Pages: 3

Premium Essay

Starbucks in the Us. Strategies and Core Competencies

... 08 Fall 08 Fall Exercise A - Starbucks in US: strategies and core competencies GROUP 6 Exercise A - Starbucks in US: strategies and core competencies GROUP 6 Thijs Bavelaar - 091698 Carlijn Swagemakers - 120014 Sam Verlaat - 111449 Bas Vliegen - 122959 Thijs Bavelaar - 091698 Carlijn Swagemakers - 120014 Sam Verlaat - 111449 Bas Vliegen - 122959 Executive summary Within this report the Starbuck’s Corporation is being analyzed, in this way the company can be positioned on how they are performing within the competitive set. Through research Starbucks’ core competencies are found, and on elaborated. Those competencies are researched in the competitive set with the main competitors of Starbucks’ as well, via basic benchmarking there has been determined where Starbucks is within the market. Table of Contents Introduction 4 Core competencies 5 Key competitors 9 Competitive advantages 11 Communication within organization 12 Competency - strategy matrix 13 Conclusion and recommendations 14 Bibliography 15 Appendices 19 Appendix 1: Value chain analysis 19 Appendix 2: SWOT analysis 22 Appendix 3: Functional analysis 25 Appendix 4: VRIO analysis 26 Introduction The purpose of this paper is to analyze both Starbucks’ strategies and core competencies, and use this analysis to assess the degree of synergy between the two. First, the core competencies of Starbucks, specified to the US, are identified and presented with......

Words: 6083 - Pages: 25

Premium Essay

Core Competency

...and online services. It is best known for hardware products such as the iPod, iPhone and iPad tablets. The online services it provides include iTunes Store, App Store and iCloud. The consumer software products includes the iOS and OS X operating systems, the Safari browser and iTunes browser. The core competence of a firm is something which a firm does very well. It is something that competitors will find difficult to adopt or copy. Core competencies will allow a company to deliver great value to customers. They are abilities or skill sets that are leveraged to markets or other products. Apple Inc. has outstanding design of its products as one of its core competency. The use of these outstanding designs has given them easy access to many markets in a manner that seemed impossible. The tablet computers have been in the market for years long before the iPad. However, after Apple launched the iPad, the market for tablet computers exploded. This was also the same for MP3 players. Numerous MP3 players were in the market long before the release of the iPod. The unique design of the iPod made it an instant success soon after it hit the market. Apple Inc. has leveraged this core competency, that is, it has used it with the aim of gaining competitive advantage. This has enabled the company to grow massively. Apple has produced products with cutting edge designs that appeal to consumers. When the iPod was introduced, it was deemed to be a “cool” way of downloading and listening to......

Words: 603 - Pages: 3

Premium Essay

Defining Core Competencies

...important step in accomplishing this is to adopt a competency-based human resource management system. This will ensure that the campus is better equipped to recruit and develop the right talent for the right jobs, resulting in a highly productive staff well suited to obtaining the best outcomes. This report addresses how to implement such a system for Berkeley’s non-represented employees in the areas of performance management, career development and hiring. It focuses on three of Berkeley’s ten core competencies: • Teamwork and Collaboration defined as collaborating with colleagues in order to achieve results in alignment with the operations and mission of the University of California. • Service Focus defined as valuing and delivering high-quality, professional, responsive and innovative service. • Resource Management and Stewardship defined as demonstrating integrity, accountability and efficient stewardship of university resources in a manner consistent with the UC Standards of Ethical Conduct and other policies. A competency encompasses any quality that contributes to successful job performance or, put simply, how a job gets done. Core competencies are those that organizations identify as contributing the most towards......

Words: 304 - Pages: 2

Premium Essay

The Core Competencies of the Corporation

... The article “The Core Competencies of the Corporation” is a must read for all managers. The article describes the purpose and role Core Competencies and Core Products play in business. It also emphasizes in several areas throughout the article the tremendous impact core competencies have on the success of all businesses, existing and newly developed. Core Competencies involve the collective learning within an organization in order to coordinate diverse skills (production) and to integrate various streams of technology. The article describes Core Competencies as often having 3 main attributes: (1) It should provide access to a wide variety of markets; (2) It should make a significant contribution to the perceived customer benefits of the end product; (3) It should be difficult for competitors to imitate. Most importantly, as I will later describe as it relates to my government clients, Core Competencies are corporate resources that should be allocated by corporate management and should not be suppressed. Since a company’s Core Competencies are critical, it is top management’s responsibility to ensure that competency carriers, such as talented employees, are provided a means to contribute these competencies. The real benefits are realized as management is able to manage these corporate wide skills into competencies that would empower their individual businesses to adapt quickly to changing opportunities. I often find a lack of Core Competency preservation at......

Words: 595 - Pages: 3

Premium Essay

Chevron (Value Chain + Core Competencies)

...Table of Contents Introduction 4 The Value Chain 4 Operations 5 Outbound logistics 5 Technology 6 Core Competencies 6 Conclusion 7 References 9 Introduction Chevron Corporation is multinational energy organization engaged in every facet of the oil, natural gas and thermal energy industries. Its downstream operations include selling products such as fuels, lubricants and petrochemicals to the global market. Chevron’s success is greatly driven by their vision ‘to be the global energy company most admired for its people, partnership and performance’ (Chevron Corporation, 2015), reflecting their initiative towards being socially responsible as well as their ambition towards exceeding expectations. Despite growing concerns towards using more renewable forms of energy, Chevron has been able to maintain its competitive position of #3 on the Fortune 500 by establishing new joint ventures internationally and undergoing mass long-term projects to ramp up their production growth. The Value Chain Operations One of the key elements to Chevron’s growing success is their planning towards making long-term decisions such as multiple billion-dollar takeovers and projects, as well as Chevron maintaining their core operations around refining crude oil into petroleum products. Doing this helps the company to remain results oriented, rather than confirming to the demands of lobby groups (Corddry, 2015). Chevron’s long-term exploration and production......

Words: 1409 - Pages: 6

Premium Essay

Niki Leondakis and Core Competencies

...Amanda Miley Dr. Jo Ann Rawley Mgt 100-3161 19 April 2015 Niki Leondakis and Core Competencies Niki Leondakis is the CEO of Commune Hotel and Resorts. She grew up in Massachusetts and has a strong Greek background and has been around restaurants for most of her life as her grandmother owns Charlie’s Diner. Niki graduated from the University of Massachusetts and now resides in San Francisco. She studied hotel and restaurant management and after completing college went to work for Marriott, Ritz-Carlton, Kimpton Hotels and then Commune. Along her journey, Niki has learned and developed many core competencies that have helped her to be a very successful woman. These core competencies range from dealing with people, to dealing with business to self-management competencies. When it comes to dealing with people, Niki can definitely establish focus. She communicates the goals of the business to the employees to ensure the customers’ needs and wants are met. In order to communicate well Niki must possess attention to communication as well as good oral and written communication. She also empowers others, part of this being that when hiring she looks for innovative outgoing people that will come up with new ideas to help Commune achieve customer satisfaction. She also possesses high customer orientation. She knows that hotel goers are no longer just looking for a comfortable bed, that they want a memorable experiences and she strives to give this to them. In dealing with......

Words: 671 - Pages: 3

Premium Essay

The Core Competency of Leadership in Nursing

...The Core Competency of Leadership in Nursing James Dunn Chamberlain College of Nursing Course Number: NR351 December 2015 The Core Competency of Leadership in Nursing Leadership in nursing is a fundamental core competency that is important to the growth and development of all nurses. The success of nursing is directly related to the effectiveness of the leadership in which they receive. By providing a good example, it will help to influence those around them and inspire others to want to lead as well. Leadership is important to nursing because it promotes a positive environment for current and future nurses and can develop standards and goals for nurses to continually strive for. Good leadership can be passed down thus providing a nurturing environment for those entering the profession. Effective Leadership According to Schwartz, Spencer, Wilson, and Wood (2011), “Success in the workplace often is contingent on a leader’s ability to effect positive change and inspire others to higher levels of achievement” (p.737). Leadership is a position that is not usually appointed however it instead emerges from those who have the ability to influence others, inspire others, and have character traits that are both admired and respected (Hood, 2014). Effective leaders have the power to make change and it’s important to recognize different leadership styles and the traits that an effective leader usually displays. Leadership Styles The type of leadership style used can......

Words: 800 - Pages: 4

Free Essay

Core Competencies: from Circuit City to Carmax

...apply the core competencies of efficient and effective logistics also known as service, selection, savings and satisfaction from Circuit City to CarMax. Based on the VRIO framework, Circuit City had a competitive advantage which they applied to CarMax strategy. Their VRIO framework was based on efficient and effective logistics along with the 4w business model of service, selection, savings, and satisfaction which was valuable, rare, and difficult to imitate and organized to capture. By maintaining the same core competencies of Circuit City, CarMax has become the leading used car company with Fortune 500 status. 2. What type of diversification is Circuit City’s CarMax? Circuit City was following an unrelated diversification strategy. Circuit City went from a market of electronics to used cars which has no linkage. CarMax had its own CEO and was managed as a standalone business with profit and loss responsibilities separate from Circuit City. The linkage between electronics and used cars is not apparent. 3. Looking at the core competence-market matrix depicted in Exhibit 8.8, does Circuit City’s CarMax diversification fall neatly into one of the four quadrants? Why or why not? It falls neatly into the lower right quadrant. Circuit City was able to redeploy and recombine core competencies to compete in a new market for them of used automobiles. Circuit City was not building new core competencies to protect and extend current market position nor were the building core......

Words: 427 - Pages: 2

Free Essay

Core Competency

...The Core Competence Abstract:The China’s productivity will catch up with America, according to the McKinsey & Company, which is devoted to the consulting service. The result of the survey indicated that Chinese manufacturing productivity is higher one fifth than the main European countries, mostly approaching to America currently. Keywords: Core Competence, Reform and Opening, Economics For some transnational enterprises aimed at lower costs and moved the most manufacturing operation to China, it’s provided that there is significance. Before this, many experts considered that the Chinese enterprises’ productivity was lower than other countries. McKinsey found that Chinese enterprises are better at adopting the advanced technologies instead. For example, in correcting their shortcomings and adapting the consumer’s demands aspects, the Chinese labors’ flexibility and passion will play a role. However, because of the small sapling survey for only 20 enterprises from McKinsey, this result might cause the controversy. And Professor Daudi said that this small sapling survey stood up to elaborate. Accepting this statement, the analysis result for England was much worse. McKinsey summarized that the Chinese total productivity factors were 31% higher than England. And the productivity in China was only 8% lower than America. And he also said that Chinese enterprises didn’t only depend on the most advanced technologies, but improve the productivity by the perfect staff works. ...

Words: 832 - Pages: 4

Premium Essay

Tesco Core Competency

...CORE COMPETENCIES AND DISTINTIVE CAPABILITIES A core competency is a skill or expertise the organization has or anything that a firm can do well and use to gain a competitive advantage over it competitors. Hamel and Prahalad (1990) suggested that a core competency should meet the following three criteria. 1. Customers should benefit. 2. Competitors should find it difficult to imitate 3. The core competence can be transferred to many products and markets. One of Tesco’s core competencies is its customer focused strategy. The clubcard reward scheme allows Tesco to collect, analyze and understand their customers very well. Tesco uses the information and adapt their services to the local market, thus adding value to the customer experience. Tesco’s club card gave them a distinctive capability of observing customers preferences thus, enabling them to predict customers buying behaviour and arranging their stocks accordingly in stores giving them an edge over competitors. Tesco has also designed and implemented supply systems that effectively link existing shops with Tesco.com. While online shopping is a feature of its competitors, Tesco was able to design a good user interface which personalizes online shopping resulting in its customers valuing the Tesco.com experience highly. This has helped to improve the performance of the company in different markets. Further, the strong Tesco brand has led to an increase in the number of customers, sales and profits and has helped......

Words: 291 - Pages: 2

Giá phòng karaoke | Boku no Hero Academia 174 | Miles from Tomorrowland (33)