The capability building process:
A) requires two things: (1)developing the ability to do something,however imperfectly or inefficiently,and (2)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) entails establishing a new department with the primary responsibility of developing the expertise to give the company the needed core competencies and capabilities.
C) stands a better chance of succeeding if a company employs a traditional functional organization structure.
D) is made much easier if a company abstains from outsourcing important value chain activities.
E) aims at turning the company's distinctive competencies into core competencies.

Question

Quizplus · Accepted Answer

The capability building process involves developing abilities and gradually refining them into tried-and-true competencies, resulting in a competitive capability. This process does not necessarily require establishing a new department, following a traditional functional structure, or abstaining from outsourcing. The aim of the capability building process is to turn distinct competencies into core competencies. Option A encapsulates these key ideas and is the best choice.

The Capability Building Process