The capability building process entails
A)developing the ability to do something, however imperfectly or inefficiently, and molding these efforts into an organizational ability, and as experience grows and personnel perform the activity consistently well and at an acceptable cost, it is transformed into a tried-and-true competence and as they continue to polish and refine their know-how into further improvements, they then create a real competitive capability.
B)deciding which value chain activities to perform internally and which ones to outsource; and deciding how much authority to centralize at the top and how much to delegate to down-the-line managers and employees.
C)creating the needed capability internally when industry conditions, technology, or competitors are moving at such a rapid clip that time is of the essence.
D)a wait-and-see attitude, because companies often implement strategy inefficiently or imperfectly.
E)appropriate coordinating mechanisms, and those networking and communications arrangements considered necessary to support effective execution of the firm's strategy.

Question

Quizplus · Accepted Answer

The capability building process involves developing initial abilities, refining them through experience, and ultimately creating a competitive capability through constant improvement. Option A provides the most detailed and accurate description of this process, making it the best choice. Option B describes organizational design decisions, while option C mentions urgent situations that require internal capability building. Option D is incorrect, as a wait-and-see attitude is not conducive to building capabilities. Option E describes the coordinating mechanisms necessary for effective execution, but does not mention the development of capabilities themselves.

The Capability Building Process Entails