Column 3 · Resources and Capabilities · Era 4, Orientation and Relationships (1990s)
Market-Driven Capabilities
Inputs: resources and assets · Landmark · Cluster II, Resources and Orientation
Description
Day defined capabilities as bundles of skills and accumulated knowledge exercised through organizational processes and identified market sensing and customer linking as the distinctive capabilities of market-driven organizations.
Managerial Implications
Market-driven firms excel at two capabilities: market sensing (anticipating what customers will want and how markets will move) and customer linking (building and keeping relationships). Both are organizational processes, not individual skills. Invest in them as you would in manufacturing capability: define the process, measure it, and improve it. Buying data is not sensing; the capability is turning information into decisions ahead of competitors.