Core Competence of a Corporation

C.K. Prahalad and Gary Hamel coined the term core competencies, or the collective learning and coordination skills behind the firm's product lines. They made the case that core competencies are the source of competitive advantage and enable the firm to introduce an array of new products and services.

Some businesses focused on producing end products through their various business units. They failed to consider creating their core competence which would lead them to increase their market share.

By combining a set of core competencies in different ways and matching them to market opportunities, a corporation can launch a vast array of businesses.

Without core competencies, a large corporation is just a collection of discrete businesses. Core competencies serve as the glue that bonds the business units together into a coherent portfolio.

With their core competence developed, they could get into making their core products which can be used by other businesses in assembling various end products. Core competencies manifest themselves in core products that serve as a link between the competencies and end products. Core products enable value creation in the end products.

In our school, Digos City National High School, one of our core competencies are the expertise of teachers in their respective fields. Most of them are having masteral degrees in their fields of specialization. With our school having different programs Engineering and Science Education Program(ESEP), Special Program in Arts(SPA), Special Program in Sports(SPS) and Technical Vocational Education (TVE), it should have the capable workforce to cater the students the skills and knowledge they need to acquire in their chosen program. For example , for the TVE , the teachers who handle field of specialization such Baking and Pastries, Welding , PC Hardware Servicing are passers of National Competency II of TESDA. A teacher cannot teach a specialization without passing the NCII TESDA Certfication to ensure that quality education is afforded to the students.  With this core competence, the school will be able to produce its core products, students who are academically competitive especially those from ESEP program and technically equipped especially from TVE program which is in line with the vision and mission of the school.