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Competitiveness in organizations

Table of contents:

Anonim

1. Introduction

Today, organizations face constant changes in the environment to which they have to adapt to survive. Also with the globalization of markets and the development of technology and communications, organizations have to identify and develop competitive advantages and provide high quality services and / or products. In this context, an increasing importance is developed among managers and organizations for raising their quality standards, being competitive and staying on the market.

2. What does competitiveness mean

Ivancevich in his book Management, Quality and Competitiveness (1996), quotes the following definition:

National Competitiveness, the extent to which a nation, under free and fair market conditions, is capable of producing goods and services that can successfully pass the test of international markets, while maintaining and even increasing the real income of its citizens.

This definition can be adapted to the organizational environment, considering competitiveness the extent to which an organization is capable of producing quality goods and services that achieve success and acceptance in the global market. Adding also that it complies with the famous three «E»: Efficiency, efficacy and effectiveness.

Efficiency in the administration of resources, efficiency in the achievement of objectives and proven effectiveness to generate impact in the environment.

An organization is considered competitive if it has sustained success through customer satisfaction, based on the active participation of all members of the organization for the sustained improvement of products, services, processes and culture in which they work; To this end, it fosters certain competencies and philosophy, looking around and adapting the leading practices of the environment, as well as looking inside, taking into account employee suggestions, innovating and promoting proactive participation and effective leadership.

But let's not forget that in the current market the survival and success of a company depends on quality and cooperation throughout the distribution chain, which involves several companies, rather than the annihilation of competition. Thus, strategic alliances show us that our competitors (enemies in the past) in addition to being able to become our teachers (by using the benchmarking technique for example) can be our allies and cooperate together to achieve the development of both companies.

This is an interesting point that broadens our vision when we talk about competitiveness and competition.

3. Factors that have influenced the change in the competitive structure

  • Globalization of the economyTechnological advancesDevelopment of communicationsLevel of demand for high-quality products

Further:

  • Increase in the economically active qualified population and the qualification standards as generators of a more competitive social climate.

The globalization of the economy presents us with the great challenge of competitiveness, changing the competitive structure from local to global level, pressuring organizations to move faster in order to keep up with changes in the environment, to be more flexible and to aim to continuous improvement. Strategies such as Benchmarking are used in order to identify benchmarks and make the respective comparisons to assess the situation of the company, know and adapt effective leading practices in all areas of the organization and generate value, achieve a competitive advantage.

Technological advances point to the improvement of services, products and procedures that involves continuous learning and the development and maintenance of high performance and good management of knowledge and social skills.

This in turn has influenced the development of communications, allowing customers to raise their demand levels for high-quality products and their expectations for service.

For this reason, the great challenge facing companies is to increase their productivity and quality throughout their activity, and at the same time reduce costs by increasing their effectiveness, which is necessary for their survival.

Focusing within the organization and its employees, we can also appreciate the increase in the technical and / or professionally qualified population, together with the above, generates a more competitive social climate. Currently, for each job, many applications are received, having to apply an increasing filter and more demanding standards for acceptance, not only according to the needs of a highly competitive and globalized market, but also due to the same high degree of qualification and specialization. of the offer. (Of course, this is not the case for all positions, but with the increase in communications, migrations and telecommuting, we will see how the positions are increasingly occupied, in a single company, by executives from any part of the planet)

4. Key elements for competitiveness in the organization

Developing, promoting and maintaining competitiveness in the organization is an important strategy for achieving the company's goals and vision. Therefore, it is important to promote, develop and maintain, both in the organization as a whole, and in each of the employees:

  • Flexibility and adaptation to changes Reflection and analysis Breakdown of paradigms Change and Innovation Proactivity Restructuring, reorganization and redesign Periodical evaluation and review of strategies, processes, systems. Control, evaluation and feedback at all levels Learning capacity Orientation to results Integration of thought - action Shared values ​​Open and fluid communication Information exchange Global vision Teamwork Enpowerment Effective leadership Development opportunities Promotion and development of competences, understood as the group of behaviors that encompass knowledge, abilities, aptitudes, attitudes, motives and personality characteristics that directly influence the performance of an employee, achieving outstanding or effective performance.

These elements rest on the adoption of a policy and values ​​in accordance with them, that allow its establishment in the organizational culture and its maintenance; always with the flexible and adaptability character that characterizes them.

Let us not forget that in order to maintain and increase competitiveness, the organization must promote the aforementioned skills and processes on a daily basis through policies, procedures, rules, processes, reward systems, as well as the dynamics and interaction of its members.

Precisely, through the organizational culture and its regulatory bodies (selection processes, formal socialization-induction, training-informal socialization, anecdotes, rituals, material symbols and language) it is possible to modify or continue with a certain orientation or philosophy that It can allow or hinder the flexibility, adaptation to changes and competitiveness of the organization. Therefore, care must be taken to actively involve all members of the organization and review the processes in place for adequate feedback on the behaviors we want.

5. Bibliographic References

Creelman, D, (2001) An Alternative to Competition, article published on the portal www.hr.com USA.

Darley, Glucksberg, Kinchla (1990) Psychology, Mexico: Prentice-Hall.

Ivancevich, J; Lorenzi, P, Skinner, S. & Crosby, P (1996) Management: Quality and competitiveness, Madrid: Irwin

Robbins, SP (1998) Organizational Behavior, Mexico: Prentice Hall, Eighth edition.

Vargas, J (2000) Mexican organizations in transition, Mexico: University of Guadalajara

Werther, WB and Davis, K. (1996) Personnel and Human Resources Administration, Mexico: McGraw Hill

Competitiveness in organizations