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Therefore, they become dependent on data from technology systems to guarantee effective knowledge transfer, such as using enterprise resource planning software to gain valuable real-time data occurring in the organization. For instance, customer service can access software to determine current inventory levels to ensure order fulfillment. This knowledge source (CSR) now holds knowledge no other individual in the organization carries from external sources. They can take this technology-driven knowledge to consult with production to temporarily double output to meet future demand. Technology maintains “a crucial role in enabling knowledge-centric practices” (Dataware Technologies, 2008, p.2).
Having an understanding of the external market is one competency providing a competitive advantage. Many organizations rely on differentiation strategies to build a brand that stands out uniquely from competitors. To create a more effective service model or product concept, the organization needs to conduct market research on consumer attitudes, and behaviors and needs to align operations and services to deliver these outputs. Another core competency is creating a unified organizational culture, using transformational leadership to gain commitment, loyalty, and employee satisfaction (Fairholm, 2009). Human capital development in terms of coaching and training using elements of transformational style can give employees more transferrable knowledge within the organization and an attitude that focuses on service excellence and total quality management of outputs. Being able to perform tasks better than competing companies can have significant value on reputation to gain market share from satisfied customers.
Functional-level strategies include using experts in the organization efficiently so that each functional division can contribute to the corporate-level strategies. For instance, the marketing division may develop advertising that is ready for launch one month before introducing a new product. In turn, procurement experts are set to begin production of the new product at the same time by ordering raw materials to meet production needs within one week of launch. Production, at this point, is prepared with modifications to the line so that rapid outputs can be delivered to meet the one-month timeline. This functional strategy integrates activities to meet a corporate-level goal.
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