A SYSTEMS VIEW ON WHAT MATTERS TO EXCEL

Abstract

This paper paves the path towards defining a research agenda for competence based strategic management theory. The central question for the research agenda ultimately is: “What elements can cause (and explain) variation in organizational outcomes between firms within an industry in the short run and in the long run?” Potential variables to be linked to variation in (short run and long run) performance are to be found in all aspects of the firm as an open system: cognitive and leadership aspects, variation in competitive positionings within the environment, differences in the domain choice and entrepreneurship, and differences in operational management. All these elements evolve and influence each other systemically in an intertwined double loop system of competence leverage (short term loop) and competence building (long term loop) processes. By performing current activities better and better (short term loop), the competencies involved in those value activities will be leveraged creating the necessary slack to build new competencies in the long term loop which will in turn enable the company to perform better.

Citation

Houthoofd, N. and Heene, A. (2005), "A SYSTEMS VIEW ON WHAT MATTERS TO EXCEL", Sanchez, R. and Heene, A. (Ed.) Competence Perspective on Managing Internal Process (Advances in Applied Business Strategy, Vol. 7), Emerald Group Publishing Limited, Leeds, pp. 183-202. https://doi.org/10.1016/S0749-6826(04)07009-X