How to Use Core Competencies

One tool that isn’t utilised enough is the concept of core competencies. It’s essential to build a plan that leverages these core competencies. In a classroom setting, business students often discuss core competencies, but when it comes to case competitions or pitch presentations, these competencies are frequently overlooked.

Core competencies are vital because they represent the strengths that differentiate a company from its competitors; they highlight what the company does best and the capabilities needed for success. This concept is closely connected to understanding the business itself, which is one of the first questions addressed in any business discussion. Additionally, it helps clarify how the company generates revenue.

To effectively analyse core competencies, consider these key questions: What business is the company in, and how does it make money? The answers to these questions can be tied back to the abilities necessary to compete effectively in the business environment and ensure profitability.

You can also utilise tools like SWOT and PEST analyses to identify the elements essential for success in executing a proposed strategy. The main idea is to use core competencies to strengthen your target solution. If there are additional competencies needed, it is crucial to outline how to incorporate these into the company.

Ensure that your audience or judges understand the existing core competencies, identify any necessary new ones, and demonstrate how they fit together in an integrated solution that you are presenting.