Core Competence: What Does it Mean in Practice?

The concept of core competency has received increasing attention by managers and decision makers. While much has been written on what it is, there is little information on how to apply the concept. This article first links core competency to the company's strategic planning process and then presents a detailed process through which senior management can identify and take strategic advantage of their companies' core competencies and capabilities. The process proposed here consists of eight steps, each of which are explained in detail.