chapter 1 review Flashcards
What are the components of Porter’s Strategy typology?
Pick between Low-cost Strategy and differentiation strategy and the decide what the focus of the strategy
What is low cost strategy?
creating value by reducing costs
What is differentiation strategy?
creating value by convincing the market that your product / service is different from all the others
Resource-based view (RBV)
a company’s competitive advantage comes from the valuable, rare, inimitable, and non-substitutable resources it possesses.
Resource characteristics (Think VIRO)
Valuable, rare, inimitable, and organizational process
Core capabilities
bundle of skills and technologies within an
organization that distinguish it from its competitors and deliver value
to customers.
What are the two dimensions of human capital that differ according to architecture?
Value of human capital and uniqueness of human capital
What are the four types of workers in the human capital architecture model?
Strategic knowledge workers, Core employees, supporting labor, and alliance/ external partners
strategic knowledge workers
high uniqueness high value
core employees
low uniqueness, high value
supporting labor
low uniqueness, low value
alliance/ external partners
high uniqueness, low value
What is human resource management (HRM)?
the policies, practices, and
systems that influence employees’ behavior, attitudes, and performance.” They are considered “people practices.”
What are the four dimensions of HRM practice?
Managing the HR environment, acquiring and preparing HR, assessment and development of HR, and compensating HR
What is the structure of the HR environment?
Service centers, centers of excellence, and business partners
