By: Mark Barnabei
The core competency theory is the theory of strategy that prescribes actions to be taken by firms to identify new opportunities, achieve competitive advantage in the marketplace and ultimately grow our business. The concept of core competency states that we must play to their strengths or those areas or functions in which we have competencies. In addition, the theory also defines what forms a core competency and this is to do with it being not easy for competitors to imitate, it can be reused across the markets that the firm caters to and the services we can offer, and it must add value to the end user or the clients who get benefit from it. In other words, companies must orient their strategies to tap into the core competencies and the core competency is the fundamental basis for the value added by the firm.
Some core competencies that we have, include but not limited to, technical Statistical analysis with inspection data, our customer relationship management, utility knowledge and experience of our employees, asset management skills and project management skills. Storti Quality Services firm has specific areas in which it does well relative to its competitors, this area of excellence can be reused by the business in other markets and products, and finally, the area of strength adds value to the consumer. The implications for real world practice are that core competencies must be nurtured, and the business model built around them instead of focusing too much on areas where the business does not have competency. This is not to say that other competencies must be neglected or ignored. Rather, the idea behind the concept is that the business must leverage upon their core strengths and play to their advantages.
It the next upcoming months Storti Quality will begin its Strategy Planning initiative which will be based on our Core Competencies. A key input into this initiative is feedback from all of you that hold these competencies. Once we have a plan in place the strategy team, we will be reaching out to all of you for ideas and concepts of how we can leverage our competencies in other areas. Stay tuned!!