{"id":11183,"date":"2022-06-22T06:59:00","date_gmt":"2022-06-22T11:59:00","guid":{"rendered":"https:\/\/flevy.com\/blog\/?p=11183"},"modified":"2022-06-21T15:42:35","modified_gmt":"2022-06-21T20:42:35","slug":"core-competence-model","status":"publish","type":"post","link":"https:\/\/flevy.com\/blog\/core-competence-model\/","title":{"rendered":"Core Competence Model"},"content":{"rendered":"\n
\"\"<\/figure>\n\n\n\n

With ubiquitous Disruption<\/a> threatening the technology infrastructure and Operating Models<\/a> of organizations on a consistent basis, it\u2019s an unrelenting challenge for senior leadership to create an enterprise proficient in introducing offerings in line with customers\u2019 requirements and of desirable utility.  This can only be possible by developing competencies<\/a> compulsory to innovate premium-quality offerings that are hard for the rivals to create.<\/p>\n\n\n\n

Core Competencies are defined as the collective organizational knowledge integral to produce market-winning product or service offerings.  Specifically, Core Competencies necessitate coordinating diverse manufacturing skills and incorporating several technology streams to develop end products.  The ability of senior leaders to recognize, foster, and take advantage of the Core Competencies critical for growth is a real metric of their proficiency in this digital age. <\/p>\n\n\n\n

Creation of Core Competencies involve across-the-board interaction, participation, and dedication.  To achieve this, experts suggest inculcating a thinking of organization as something more than a gamut of separate departments.  It also necessitates unification of sourcing strategies<\/a>.<\/p>\n\n\n\n

Introduced by Prahalad and Hamel, two renowned business academics, the Core Competency concept laid the foundation for how a modern organization should operate and how it should outsource.  The model warrants a leadership mindset<\/a> that considers the organization much more than a pool of separate Strategic Business Units (SBUs). <\/p>\n\n\n\n

The model enables the management to make business and market needs their center of attention, and ascertain in-house functions\u2014vital for Business Continuity<\/a>\u2014and non-core functions appropriate for outsourcing<\/a>.  The theory assists in creating amazing offerings at a rate faster than the competitors, by employing Core Competencies across the entire organization\u2019s portfolio of technologies and production capabilities.  The emphasis of the Core Competence Model is on applying together personal, shared, and applied learning, capabilities, and behaviors.  <\/p>\n\n\n\n

The Core Competence Model benefits the organization by creating a collaborative culture of shared values, knowledge and learning, and enables a feeling of community with the partners and customers. <\/p>\n\n\n\n

The Core Competence Model<\/a> comprises of 4 key variables:<\/p>\n\n\n\n

  1. Resources<\/strong><\/li>
  2. Capabilities<\/strong><\/li>
  3. Competitive Advantage<\/strong><\/li>
  4. Strategy<\/strong><\/li><\/ol>\n\n\n\n
    \"\"<\/a><\/figure>\n\n\n\n

    Let\u2019s delve deeper into the details of these key variables.<\/p>\n\n\n\n

    Resources<\/strong><\/h2>\n\n\n\n

    The foremost variable pertains to the sources integral for the creation and procurement of competencies and technologies.<\/p>\n\n\n\n

    Capabilities<\/strong> <\/h2>\n\n\n\n

    The next variable evaluates the opportunities available to build Core Competencies.<\/p>\n\n\n\n

    Competitive Advantage<\/strong> <\/h2>\n\n\n\n

    The third variable involves overcoming the challenge to achieve the maximum potential market share of core products.<\/p>\n\n\n\n

    Interested in learning more about the key variables of the Core Competence Model? You can download an editable PowerPoint on the Core Competence Model<\/strong> here<\/a> <\/a><\/strong>on the Flevy documents marketplace<\/a>.<\/p>\n\n\n\n

    Do You Find Value in This Framework?<\/strong><\/h2>\n\n\n\n

    You can download in-depth presentations on this and hundreds of similar business frameworks from the FlevyPro Library<\/a>. FlevyPro<\/a> is trusted and utilized by 1000s of management consultants and corporate executives. Here\u2019s what some have to say:<\/p>\n\n\n\n

    \u201cMy FlevyPro subscription provides me with the most popular frameworks and decks in demand in today\u2019s market. They not only augment my existing consulting and coaching offerings and delivery, but also keep me abreast of the latest trends, inspire new products and service offerings for my practice, and educate me in a fraction of the time and money of other solutions. I strongly recommend FlevyPro to any consultant serious about success.\u201d<\/em><\/p>

    \u2013 Bill Branson, Founder at Strategic Business Architects<\/em><\/p><\/blockquote>\n\n\n\n

    \u201cAs a niche strategic consulting firm, Flevy and FlevyPro frameworks and documents are an on-going reference to help us structure our findings and recommendations to our clients as well as improve their clarity, strength, and visual power. For us, it is an invaluable resource to increase our impact and value.\u201d<\/em><\/p>

    \n\u2013 David Coloma, Consulting Area Manager at Cynertia Consulting<\/em><\/p><\/blockquote>\n\n\n\n

    \u201cFlevyPro has been a brilliant resource for me, as an independent growth consultant, to access a vast knowledge bank of presentations to support my work with clients. In terms of RoI, the value I received from the very first presentation I downloaded paid for my subscription many times over! The quality of the decks available allows me to punch way above my weight \u2014 it\u2019s like having the resources of a Big 4 consultancy at your fingertips at a microscopic fraction of the overhead.\u201d<\/em><\/p>\u2013 Roderick Cameron, Founding Partner at SGFE Ltd<\/em><\/cite><\/blockquote>\n\n\n\n

    <\/p>\n","protected":false},"excerpt":{"rendered":"

    With ubiquitous Disruption threatening the technology infrastructure and Operating Models of organizations on a consistent basis, it\u2019s an unrelenting challenge for senior leadership to create an enterprise proficient in introducing offerings in line with customers\u2019 requirements and of desirable utility.  This can only be possible by developing competencies compulsory to innovate premium-quality offerings that are… Core Competence Model<\/span><\/a><\/p>\n","protected":false},"author":110,"featured_media":11187,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"neve_meta_sidebar":"","neve_meta_container":"","neve_meta_enable_content_width":"","neve_meta_content_width":0,"neve_meta_title_alignment":"","neve_meta_author_avatar":"","neve_post_elements_order":"","neve_meta_disable_header":"","neve_meta_disable_footer":"","neve_meta_disable_title":"","footnotes":""},"categories":[408,81],"tags":[264,2339,122,106,1446,2645,1338,2957,2956,388],"class_list":["post-11183","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-management-leadership","category-strategy","tag-business-continuity","tag-competencies","tag-competitive-advantage","tag-leadership","tag-leadership-mindset","tag-operating-model","tag-outsourcing","tag-sbus","tag-sourcing-strategy","tag-strategy-2"],"_links":{"self":[{"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/posts\/11183","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/users\/110"}],"replies":[{"embeddable":true,"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/comments?post=11183"}],"version-history":[{"count":5,"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/posts\/11183\/revisions"}],"predecessor-version":[{"id":11201,"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/posts\/11183\/revisions\/11201"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/media\/11187"}],"wp:attachment":[{"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/media?parent=11183"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/categories?post=11183"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/tags?post=11183"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}