Core competencies essential to success in the computer industry

Computer Competencies

Industry Analysis Core Competencies Computer Industry

Industry Analysis Core Competencies

This paper will identify four critical capabilities computer firms must perform at a minimal level of efficiency and efficacy to compete in today's technologically advanced and competitive society. Second to this, the paper will examine why the defined capabilities are important and lastly what impact lack of ability to perform each function would have on an individual computer firm's solvency and ability to compete in the industry.

Next, the paper will explore four firms and analyze each firm's capability to implement and utilize the capabilities identified in section one, listed in tabular format. Core capabilities are essential to an organization's ability to succeed regardless of their industry. This is especially relevant within the computer industry, as technology continues to change and challenge company's wishing to remain competitive. The simplest way to remain competitive is to identify a company's core capabilities and build on them to ensure success and increasing profits and revenues with time.

Analysis of Core Competencies core competency or capability may be defined as one that is critical to a firm's function or ability to service its internal and external customers. The table below outlines four critical competencies or capabilities computer firms must have to service the public efficiently. For purposes of this paper a computer firm is defined as one that provides technological, it or computer related services and products to the public.

Capabilities Critical for Computer Firm to Perform Why Capability is Relevant to Computer Firm Impact on Computer Firms if Incapable of Performing Function Ability to generate or create new intellectual property and technology innovation that would lead to advances in communications technology and information or knowledge sharing (Gartner, 2007). The future of technology and innovation within the computer industry is changing; without adapting to this change computer firms will not be able to operate efficiently (Gartner, 2007). Technology often becomes outdated within months of creation, thus the capability of a computer firm to keep abreast of technology will directly impact its ability to create additional revenues with time. Without performing this function efficiently, firms will not be able to keep up with the increasing demands placed on them by end users and consumers looking for products capable of delivering maximal performance in minimal time. Organization would also not be able to grow, which may inhibit competitiveness in the industry. Proficient people management capabilities in the form of efficient human resources management is a second core competency necessary for all computer firms (Cappelli & Crocker-Hefter, 1993). As more and more computer firms begin to diversify their employment practices, outsource jobs and work with international partners, it is more critical than ever that companies develop "employment competencies" enabling them to create best practices and a unified approach to organizational management (Cappelli & Crocker-Hefter, 1993). A company lacking competent personnel will not have the ability to connect with consumers or customers effectively, and customers provide the foundation for business success. Because many computer firms have corporate office located around the world and often outsource job functions Internationally, it is vital an organization integrate the people management procedures and strategies within the organization with the operational procedures; if this does not happen, then an organization will not communicate its purpose efficiently or operate competitively in a diverse market. People are the driving force behind innovative thinking and knowledge sharing; any organization lacking in this department will suffer financially. A third core competency is data management (Aung & Heeler, 2001) and service development. This competency is critical for providing internal operations management teams' information they can process in a logical and efficient manner, such that a "perceptual grid" may be developed demonstrating relevant data to the organization and the market it works within (Aung & Heeler, 2001). Data management allows for creation of grid maps, which can be used to facilitate strategic moves in a competitive environment (Aung & Heeler, 2001). These can highlight potential gaps in service and technological development, critical to strategic planning in any industry, including the it or computer industry (Aung & Heeler, 2001). A fourth core competency critical to it and computer a firm is strategic management and measurement through use of a balanced scorecard or other metrics system (Orlov, 2007). Strategic management and measurement serve as the driving force behind innovation and service capability. For all units of an organization to work efficiently they must be able to execute a business strategy through strategic alignment, which is impossible without a metric in place to analyze corporate strategy. An organization incapable of strategic alignment is not able to prove its value to the public, and thus is more likely to lose credibility in a highly competitive marketplace (Orlov, 2007). This may lead to disorganization and inefficient operations, loss of revenues over time and ultimately loss in reputation and service ability.

Phase II Corporate Analysis

Synopsis

There are many core competencies or capabilities a computer-based company must have to succeed in the marketplace. The core competencies identified for this paper include: (1) data management (2) personnel management (3) strategic planning and (4) the ability to create technological innovation. Realistically speaking, a company must integrate all of its capabilities to assess its position in the market, and to determine which if any of its core competencies it must work on developing further to maintain a stable position in a volatile workplace. The computer industry is constantly evolving and changing. To be a leader in the industry one might guess the most important core capability for a computer company to have is innovative leaders and the ability to create and easily adapt to new technology.

With a foundation that includes core capabilities as data management, strategic planning and personnel management, a company could easily do this without hardship.