In our fast moving world of innovation and disruption, some leaders may wonder if it is no longer beneficial to hone core competencies over time. Are core competencies - those unique combinations of capabilities and resources that make your business operationally different and give you a competitive edge - a strategic tool of the past? It takes years and a lot of focused energy to hone these diverse skills, activities, and technologies to near perfection, or to the point that they would be too difficult to replicate by competitors. So, is it still worth it to play the long game in our rapidly changing marketplace?
Rhythm Blog | Core Competencies
by Patrick Thean and the Rhythm Team
I have helped many companies identify their core competencies through the years, and doing this can really make a difference in the products or services you provide to your customer. Core competence is a concept introduced by C.K. Prahalad, professor at the University of Michigan, and Gary Hamel, management expert and founder of Strategos. They define it as “a harmonized combination of multiple resources and skills that distinguish a firm in the marketplace.”
I recently had the opportunity to create content for Rhythm University, our knowledge center that is full of tools, tips, videos and lots of other fabulous content to drive your strategy into execution. I wrote about how companies can help uncover and identify their core competencies. The more I thought about core competencies, I kept thinking about how core competencies are such a critical component when setting your BHAG.