Substitution replacing it with an alternative resource that achieves – the same results Capacity to exploit the resource Resource-based analysis should be considered an on-going activity SG122/206: Figure 18 The Resource-based Analysis Process Capabilities p116 [study] Definition: capabilities capabilities are the glue that emerges over time and binds – the organisation together p116 are the complex network of processes and Organisational strategic capabilities – skills that determine how efficiently and effectively the inputs in the organisation will be transformed into outputs p116 The foundation of many organisation’s capabilities lies in the skills and knowledge of the employees and often in their functional expertise p116 The essence of capabilities is the human capital of the organisation as employees – do their work, combining the tangible and intangible resources of the structure of the organisational processes, they accumulate knowledge and experience about how to create value from the resources for the organisation and turn them into possible core competencies or distinctive organisational capabilities p116 The majority of capabilities are developed in specific functional areas p117 Definition: dynamic capabilities the organisation’s ability to build, integrate and – restructure capabilities to address the rapidly changing environment p117 To be a successful organisation requires p117: Demonstrating timely responsiveness Rapid and flexible product innovation Management expertise in coordinating and deploying organisational resources and capabilities Definition: competitive advantage resources and capabilities must be truly – distinctive and also contribute to the development of an organisation’s core competencies p118 only possessed by those organisations whose Definition: core competencies – performance is superior to the industry average p118 Core competencies are based on superior organisational skills and knowledge p118
Substitution – replacing it with an alternative resource that achieves the same results Capacity to exploit the resource Resource-based analysis should be considered an on-going activity SG122/206: Figure 18 The Resource-based Analysis Process Capabilities p116 [study] Definition: capabilities – capabilities are the glue that emerges over time and binds the organisation together p116 Organisational strategic capabilities – are the complex network of processes and skills that determine how efficiently and effectively the inputs in the organisation will be transformed into outputs p116 The foundation of many organisation’s capabilities lies in the skills and knowledge of the employees and often in their functional expertise p116 The essence of capabilities is the human capital of the organisation – as employees do their work, combining the tangible and intangible resources of the structure of the organisational processes, they accumulate knowledge and experience about how to create value from the resources for the organisation and turn them into possible core competencies or distinctive organisational capabilities p116 The majority of capabilities are developed in specific functional areas p117 Definition: dynamic capabilities – the organisation’s ability to build, integrate and restructure capabilities to address the rapidly changing environment p117 To be a successful organisation requires p117: Demonstrating timely responsiveness Rapid and flexible product innovation Management expertise in coordinating and deploying organisational resources and capabilities Definition: competitive advantage – resources and capabilities must be truly distinctive and also contribute to the development of an organisation’s core competencies p118 Definition: core competencies – only possessed by those organisations whose performance is superior to the industry average p118 Core competencies are based on superior organisational skills and knowledge p118
MNG3701-001_2011_4_e_study_notes_quantum.docx