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The Virtual Company and Core Competences

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Jaap de Jonge
15
Jaap de Jonge
Editor, Netherlands

The Virtual Company and Core Competences

It's interesting to consider a Virtual Business when you are thinking about Core Competences:
1. The Virtual Company focuses as much as possible / entirely on its own Core Competence (Typically Marketing, Visioning, Innovation)
2. It outsources all it's other functions to strategic partners, who are very good at performing those functions or even have that function as their core competence.
The virtual company therefore could be said to derive its strength primarily from the way it deals with core competences...

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Rating

  Steve Jackson
0
Steve Jackson
Manager, United Kingdom
 

Virtual Outsourcing...

Is there a particular case that comes to mind where a virtual organisation has enjoyed incremental success having outsourced its functions (and which ones?) and chosen to focus towards its core competence(s). And what were these competences? How were they for instance, able to benefit going forward, as a direct consequence of releasing control of specific aspects of their operations?
Or does virtualisation in this context remain merely conceptual as many have suggested?

  Jaap de Jonge
0
Jaap de Jonge
Editor, Netherlands
 

Outsourcing Example

I have seen Nike mentioned as an example of succesful outsourcing of many functions except for marketing which is viewed as its core competence.
By the way the outsourcing is not virtual, but indeed very real and physical. A company can be considered virtual if it outsources almost all of its processes or functions.

 

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More on Core Competence
Summary Discussion Topics
topic Why Protect Core Competence?
topic CC as an Organisational Trait(s)
topic Identifying a Core Competence
topic Imitation of Core Competence
topic Core Competency versus Corporate Competency?
👀The Virtual Company and Core Competences
topic Utilizing a Core Competence
topic Always link Strategy to CC
topic Financial Valuation of a Core Competence
topic Core Competences and Porter's 5 Forces
topic Is CC REALLY Different from FF?
topic Leadership & Core Competence
topic Core Competency Should be Challenged
topic Integrating the Core Competence
topic People are our Greatest Asset
topic Core Competences Change due to ICT
topic Defining New Services / Capabilities
topic Outside- in vs. Inside-out
topic Examples of Core Competences
topic Is There Any Difference Between a Competence and a Competency?
topic Collaboration and CC
🔥 The Role of AI in Core Competence
Special Interest Group
Knowledge Center

Core Competence



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