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doubt regarding concept of competencies

Strategic Management

sir, In the previous video competencies have been defined to be a combination of skill and technniques,but,according to the explanation given in this video, an organisation turns its capabilities into competencies, and then competncies into core competency(capabilities-->competecies-->core competencies)which means that an individual capability has to be identified first and then the oraganisation has to see if it meets the criteria for it to be called a competency,right???so if and invidual capability passes the criteria test i.e{V.I.R.O.N test} as mentioned in this video how can it be called a competency?wont that be contradictory to the defenition of competency???it is clearly stated in the study material that for something to be called a competency, it has to be mic atleast 5 resources! Video Details P6B - Strategic Management (New) Strategic Analysis - Internal Environment 17. Capabilities changing into Competencies

aravind lalji

CA Inter

★ 0

27-Apr-24 23:17

Answers (1)

Best Answer

Firstly mangement as a subject - there is no hard and fast rule. Also what you mentioned at end. - It is not five resources but five criteria. Capabilities refer to the overall capacity or potential of an individual, team, or organization to perform certain tasks, achieve goals, or deliver results. Competency refers to the skills and abilities needed for individual performance. Core competency is a concept from strategic management developed by C.K. Prahalad and Gary Hamel in the 1990s. - It refers to a unique set of capabilities, knowledge, skills, technologies, or resources that a company or organization possesses and that provide it with a competitive advantage in the marketplace. An organisation has to turn its capabilities into competencies/core competencies. From exam point of view core competency is what will be tested.