BPI Technique - Core Competency/Product/Market Analysis - CCPMA

Description

• Identification of the “core of uniqueness” of a company and their combinations in areas such as products and services, markets and market segments and activites and competencies. It will serve as the basis for a rethinking of the strategic orientation and will help to define and embody in those activities a unique competitive position.
• A Competency/Product/Market combination is the use of a core product in a market, providing end products for specific customers. A core product is an application of one or more core competencies and is a link between a core competency and end products or services.
• A core competence will provide potential access to a wide variety of markets and a high entry barrier for potential competitors. It has to make significant contribution to the perceived benefits of the end product and is difficult to imitate for competitiors.

When To Use

• Most likely within the first three phases (Awaken, Envision and Focus) of the engagement to generate the need for change within the senior management and to orient and assist with a strategic thinking exercises about the core of uniqueness of an organization (Business Position, (Confirmed) Business Vision)

Approach

1. Identify products or services by object (from now on “Px-Combination”)
2. Characterise/specify the activities that constitute the product or service, for example, engineering, production control, material management, consultancy, etc. (a quarter page description for each activity)Identify the required competencies for each Product x-combination e.g.: total aircraft engineering concept, technological knowledge & access to external resources, airline experience, modern facilities, skilled & motivated workforce partnership capability, customer oriented attitude, etc.(a quarter page description and possibly some figures)
3. For all Product x-combinations together:
1. Group customers in sub-markets
2. Group product/services in main product groups
3. Group required competencies in core competencies
4. Spot and keep aware of inter-dependencies
5. Choose Product/Market/Competency combinations to serve as basis for strategic decisions or focus sessions.  

Examples

The following examples show part of the results of a BPI project done at the Engineering and Maintenance Department of an airline. The project team identify the core of uniqueness for this department.

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