1、Chapter 3The Internal Environment: Resources, Capabilities and Core CompetenciesMichael A. HittR. Duane IrelandRobert E. Hoskisson2000 South-Western College PublishingChapter 2External EnvironmentWhat the Firm Might DoChapter 3Internal EnvironmentWhat the Firm Can DoSustainableCompetitiveAdvantageSW

2、OT AnalysisStrengthsWeaknessesOpportunities ThreatsThe purpose of SWOT AnalysisIt is an easy-to-use tool for developing an overview of a companys strategic situationIt forms a basis for matching your companys strategy to its situationStrengthsA STRENGTH is something a company is good at doing or a c

3、haracteristic that gives it an important capability.Possible Strengths:Name recognitionProprietary technologyCost advantagesSkilled employeesLoyal CustomersWeaknessesA WEAKNESS is something a company lacks or does poorly (in comparison to others) or a condition that places it at a disadvantagePossib

4、le Weaknesses:Poor market imageObsolete facilitiesInternal operating problemsPoor marketing skillsStrengths and Weakness form a basis for INTERNAL analysisBy examining strengths, you can discover untapped potential or identify distinct competencies that helped you succeed in the past.By examining we

5、aknesses, you can identify gaps in performance, vulnerabilities, and erroneous assumptions about existing strategies.Resources*Tangible*IntangibleCapabilitiesTeams of ResourcesSources ofCoreCompetenciesCompetitiveAdvantageStrategicCompetitivenessAbove-AverageReturnsCompetitiveAdvantageGained through

6、Core CompetenciesDiscoveringCoreCompetenciesDiscovering Core CompetenciesCriteria ofSustainableAdvantagesValueChainAnalysisValuableRareCostly to ImitateNonsubstitutable*OutsourceHow do we assemble bundles of Resources, Capabilities and Core Competencies to create VALUE for customers?Will environment

7、al changes make our core competencies obsolete?And.Are substitutes available for our core competencies?Are our core competencies easily imitated?Key Questions for Managersin Internal AnalysisResources*Tangible*IntangibleDiscovering Core CompetenciesWhat a firm has to work with:its assets, including

8、its people and the value of its brand nameWhat a firm Has.ResourcesResources represent inputs into a firms production process.such as capital equipment, skills of employees, brand names, finances and talented managersWhat a firm Has.What a firm has to work with:its assets, including its people and t

9、he value of its brand nameResourcesWhat a firm has to work with:its assets, including its people and the value of its brand nameResources represent inputs into a firms production process.such as capital equipment, skills of employees, brand names, finances and talented managers“Some genius invented

10、the Oreo. Were just living off the inheritance.”F. Ross Johnson,Former President & CEO, RJR NabiscoWhat a firm Has.ResourcesTangible ResourcesFinancial*Physical*Human Resources*Organizational*What a firm Has.What a firm has to work with:its assets, including its people and the value of its brand nam

11、eResources represent inputs into a firms production process.such as capital equipment, skills of employees, brand names, finances and talented managersIntangible ResourcesTechnological*Innovation*Reputation*“Some genius invented the Oreo. Were just living off the inheritance.”F. Ross Johnson,Former

12、President & CEO, RJR NabiscoResourcesResources*Tangible*IntangibleCapabilitiesTeams of ResourcesDiscovering Core CompetenciesWhat a firm Does.Capabilities represent:the firms capacity or ability to integrate individual firm resources to achieve a desired objective.CapabilitiesWhat a firm Does.Capabi

13、lities develop over time as a result of complex interactions that take advantage of the interrelationships between a firms tangible and intangible resources that are based on the development, transmission and exchange or sharing of information and knowledge as carried out by the firms employees.Capa

14、bilities represent:the firms capacity or ability to integrate individual firm resources to achieve a desired objective.CapabilitiesWhat a firm Does.Capabilities represent:the firms capacity or ability to integrate individual firm resources to achieve a desired objective.Capabilities develop over tim

15、e as a result of complex interactions that take advantage of the interrelationships between a firms tangible and intangible resources that are based on the development, transmission and exchange or sharing of information and knowledge as carried out by the firms employees.Capabilities become importa

16、nt when they are combined in unique combinations which create core competencies which have strategic value and can lead to competitive advantage.CapabilitiesResources*Tangible*IntangibleCapabilitiesTeams of ResourcesDiscovering Core CompetenciesSources ofCoreCompetenciesCompetitiveAdvantageDiscoveri

17、ngCoreCompetenciesWhat a firm Does.that is Strategically Valuable“are the essence of what makes an organization unique in its ability to provide value to customers.”Leonard-Barton, Bowen, Clark, Holloway & WheelwrightMcKinsey & Co. recommends identifying three to four competencies to use in framing

18、strategic actions.Core CompetenciesResources*Tangible*IntangibleCapabilitiesTeams of ResourcesSources ofCoreCompetenciesCompetitiveAdvantageDiscoveringCoreCompetenciesCriteria ofSustainableAdvantagesValuableRareCostly to ImitateNonsubstitutable*Discovering Core Competencies* OutsourceFor a strategic

19、 capability to be a Core Competency, it must be:Core CompetenciesValuableRareCostly to ImitateNonsubstitutableWhat a firm Does.that is Strategically ValuableCore Competencies must be:NonsubstitutableCapabilities that do not have strategic equivalents, such as firm-specific knowledge or trust-based r

20、elationshipsWhat a firm Does.that is Strategically ValuableCore CompetenciesValuableRareCostly to ImitateCapabilities that other firms cannot develop easily, usually due to unique historical conditions, causal ambiguity or social complexityCapabilities that are possessed by few, if any, current or p

21、otential competitorsCapabilities that either help a firm to exploit opportunities to create value for customers or to neutralize threats in the environmentResources*Tangible*IntangibleCapabilitiesTeams of ResourcesSources ofCoreCompetenciesCompetitiveAdvantageDiscoveringCoreCompetenciesValueChainAna

22、lysis* OutsourceValuableRareCostly to ImitateNonsubstitutable*Criteria ofSustainableAdvantagesDiscovering Core CompetenciesSupportActivitiesPrimary ActivitiesValue Chain AnalysisIdentifying Resources and Capabilities That Can Add ValueSupportActivitiesPrimary ActivitiesInbound LogisticsValue Chain A

23、nalysisIdentifying Resources and Capabilities That Can Add ValueSupportActivitiesPrimary ActivitiesInbound LogisticsOperationsValue Chain AnalysisIdentifying Resources and Capabilities That Can Add ValueSupportActivitiesPrimary ActivitiesInbound LogisticsOperationsOutboundLogisticsValue Chain Analys

24、isIdentifying Resources and Capabilities That Can Add ValueSupportActivitiesPrimary ActivitiesInbound LogisticsOperationsOutboundLogisticsMarketing & SalesValue Chain AnalysisIdentifying Resources and Capabilities That Can Add ValueSupportActivitiesPrimary ActivitiesInbound LogisticsOperationsOutbou

25、ndLogisticsMarketing & SalesServiceValue Chain AnalysisIdentifying Resources and Capabilities That Can Add ValueSupportActivitiesPrimary ActivitiesInbound LogisticsOperationsOutboundLogisticsMarketing & SalesServiceProcurementValue Chain AnalysisIdentifying Resources and Capabilities That Can Add Va

26、lueSupportActivitiesPrimary ActivitiesInbound LogisticsOperationsOutboundLogisticsMarketing & SalesServiceProcurementTechnological DevelopmentValue Chain AnalysisIdentifying Resources and Capabilities That Can Add ValueSupportActivitiesPrimary ActivitiesTechnological DevelopmentProcurementInbound Lo

27、gisticsOperationsOutboundLogisticsMarketing & SalesServiceHuman Resource ManagementValue Chain AnalysisIdentifying Resources and Capabilities That Can Add ValueSupportActivitiesPrimary ActivitiesTechnological DevelopmentHuman Resource ManagementFirm InfrastructureProcurementInbound LogisticsOperatio

28、nsOutboundLogisticsMarketing & SalesServiceValue Chain AnalysisIdentifying Resources and Capabilities That Can Add ValueSupportActivitiesPrimary ActivitiesTechnological DevelopmentHuman Resource ManagementFirm InfrastructureProcurementInbound LogisticsOperationsOutboundLogisticsMarketing & SalesServ

29、iceMARGINMARGINValue Chain AnalysisIdentifying Resources and Capabilities That Can Add ValueSupportActivitiesPrimary ActivitiesOutsourcingTechnological DevelopmentHuman Resource ManagementFirm InfrastructureProcurementInbound LogisticsOperationsOutboundLogisticsMarketing & SalesServiceMARGINMARGINSt

30、rategic Choice to Purchase Some Activities From Outside SuppliersSupportActivitiesPrimary ActivitiesTechnological DevelopmentHuman Resource ManagementFirm InfrastructureProcurementInbound LogisticsOperationsOutboundLogisticsMarketing & SalesServiceMARGINInbound LogisticsOperationsOutboundLogisticsSe

31、rviceMarketing & SalesTechnological DevelopmentHuman Resource ManagementProcurementMARGINFirms often purchase a portion of their value-creating activities from specialty external suppliers who can perform these functions more efficientlyOutsourcingStrategic Choice to Purchase Some Activities From Ou

32、tside SuppliersLets company focus on broader business issues by having outside experts handle various operational detailsStrategic Rationales for OutsourcingImprove Business FocusPermits firm to redirect efforts from non-core activities toward those that serve customers more effectivelyFree Resources for Other PurposesProvide Access to World-Class CapabilitiesAccelerate Business Re-Engineering BenefitsShare RisksThe specialized resources of outsourcing providers makes world-class capabilities available to firms in a wide range of applications Achieves re-engineering benefits mo