Common Management Errors (141)
Cxxxxi) Core competencies need to be the ones that make an organisation unique, ie differentiated itself from its competitors; to help you determine this ask the following questions
- i) who are your target customers?
- ii) what do you offer these customers?
iii) have your handle these customers, ie what do they consider as value?
An example is a media organization in Europe called DPG Media Group; it has
“...identified the following core elements in the DPG Media Group’s successful strategy;
- i) provide high- quality, professional journalism and be a multimedia (print, radio, TV, and online) company in every market they operate
- ii) be the undisputed leader in small geographies so that advertisers and consumers will think of them along with Google and Facebook, and
iii) focus on market leading brands only…”
Constantinos C Markides, 2025
Summary
“...we see opportunities around us all the time. It is easy to get excited and chase the growth, but all these opportunities need to be evaluated as to whether they fit with our strategy. And making this assessment, you need to be clear in your head what the key elements of your strategy are…”
Christian Van Thillo as quoted by Constantinos C Markides, 2025
Clarity about your core and peripheral competencies, provides the guardrails in your decision making.
However, organisations need to be aware of changes in the external environment and their impact, like technological innovations, marketplace dynamics (changing customer needs, competitive disruptions, etc), regulatory changes, etc.)
An investment proposal must fit with the organisational core competencies.