Question

how will the organisation capabilities translate to core competencies that give a CISCO a sustainable competitive advantage in their industry. write answer in 400 word.

Answer 1

Core compentencies is an oragnization defining strength which provides the foundation for the business to grow,seize upon new opportunities and deliver value to the customers.A company core compentencies cannot be replicated by any other organizations,whether existing competitors or new competitors entering into the market.Core competency are the core capabilities or the distinctive competencies that helps to create a competitive advantage over other organizations .

CISCO is an American multinational technology that develops,manufactures and sells networking hardware, software, telecommunications,equipment,and other high technology services and products.It is a leader in the IT industry and networking.This becomes possible when an organisations translates it capabilities into its core compentencies.For translating these capabilities into core competence an organization's involvement and deep committment is required across the organization boundaries at all levels.

Organization has to identify its core competence areas i.e those abilities that they do well or can provide a competetitive advantage and then develop them into organizations strength and focus its resources on maintaining these skills that deliver identified value to the customers.Organization should outsource or divest areas that falls outside the core competencies  ,thereby freeing more resources and enabling them to reinvest into the core capabilities.

CISCO followed this approach.CISCO has given priorities to 5 areas that helps it to translate into their core competencies:

First is leadership in their core business of routing,switching,and associated services,which includes comprehensive security and mobility solutions.

Second is Cisco's integration of collaboration portfolio with the emphasis on channeling voice,video,data and mobile application on networks.

Third is developing seamless data center products that are centered on Cisco's cloud and virtualization architecture.

Fourth is the introduction of video connected home,end to end video distributions systems and digital set top boxes aimed at delivering media content to consumers and businesses around the world.

Finally,Cisco is working to develop architecture for business transformation which focusses on creating a custom muilayer architecture to support a wide range of applications and devices.

CISCO has been a major player in its industry with both domestic and foreign competitors.technology.So this core compentency is where Cisco has the most experience and strength.Their early start in identifying these areas and prioritizing on these and strategy execution has provided them the ability to innovate and continuosly improve their product ,market position and has provided it a sustainable competitive advantage in their industry.