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What is high involvement management

27/04/2021 Client: muhammad11 Deadline: 2 Day

A resource represents a competitive asset that is owned or controlled by the company, whereas a capability is a competently performed internal activity that is developed through the deployment of the company's resources. Resources are assets which an organization owns, which could be physical, tangible and human financial, structural, cultural Capabilities are skills which help in utilizing resources to achieve a desired result. Resources and capabilities are core to an organizations competitive advantage. Accounting software is its resource, and managing the software skillfully without any issues to gain a competitive advantage is a capability. To be more clear, in Southwest Airlines, Aircraft's are its resource, and capability is to run the aircraft at low cost, ability of its pilots to overcome any hurdle while flying, and good customer service are its capabilities. Both resource and capability can be a source of competitive advantage. Without resource, you cannot show or display your capability. And without capability, there is no use of a resource. Both together can be a source of competitive advantage in the market place.

STUDENT TWO:

A resource is any personal talent or outside supply that can be tapped for help or support. A capability is something a person or a thing is able to do. The skills your resources possess are elements which you use in daily business processes to generate a certain service or product. Capabilities, on the other hand, are a collection of these skills, experience and qualifications. Resources and capabilities together ensure that you develop a competitive advantage that becomes a sustainable formula for the future. (Mohan, 2018) Utilizing your resources and capabilities to the greatest possible effect gives you a competitive advantage. This is evident while trying to formulate a long-term business strategy. (Mohan, 2018)

If you take a company like Papa Johns. If they didn’t have the resources and capabilities to overcome all of the problems they have ran into over the past few years they would have been closed down by now. The have relied on good business skills to keep this company going. That says a lot. To me it seems like they haven’t missed a beat. Organizational capabilities provide a company with an advantage in the marketplace. When an organization continues to create new capabilities and develops existing ones, it will maintain the advantage over its competitors. Capabilities that provide a competitive advantage include knowledge, product licenses and innovative designs. (Kelchner, 2019)

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