Document Type : Original Article

Authors

1 School of Industrial Engineering, University of Science and Technology, Tehran, Iran.

2 Department of Industrial Engineering, Farabi School, University of Tehran, Tehran, Iran.

Abstract

Purpose: This research provides a framework for identifying the core competencies and consequently the competitive advantage of small and medium-sized manufacturing organizations in conditions of fuzzy uncertainty.
Methodology: This research ranks of the core competencies using the group fuzzy TOPSIS method, which is a mathematical model.
Findings: Research findings show that the core competencies of customer services and advertising are considered as a "competitive advantage" in small and medium-sized manufacturing organizations.
Originality/Value: To extract the core competencies, the review conducted showed that the previous models ignore the resource-based condition. Moreover, only four main factors including the value creation, uniqueness, irreplaceability, and imitation are considered for screening the core competencies under competitive condition. Taking a different viewpoint, the framework proposed in this study not only encompass the resource based factors but also it covers the market base condition to identify the core competencies. Therefore, in addition to the four above-mentioned factors for screening core competencies, two more factors including the new market creation and scope of application are considered in this research. Also, as a novel application, a group fuzzy TOPSIS method has been developed to identify the core competencies under resource-based and market-based conditions. 




 

Keywords

Main Subjects

Ali, A. Y. (2021). Implementation of Six Sigma DMAIC methodology for increasing the competitiveness of SMEs in Ethiopia. International journal of research in industrial engineering10(1), 1-8.
Alizadeh, Y., & Khormaei, R. (2012, June). A framework to identify the core-competency of a SME; case of lensbaby LLC. International technology management conference (pp. 84-92). IEEE.
Arsawan, I. W. E., Koval, V., Rajiani, I., Rustiarini, N. W., Supartha, W. G., & Suryantini, N. P. S. (2020). Leveraging knowledge sharing and innovation culture into SMEs sustainable competitive advantage. International journal of productivity and performance management, 71(2), 405-428.
Bhamra, R., Dani, S., & Bhamra, T. (2011). Competence understanding and use in SMEs: a UK manufacturing perspective. International journal of production research49(10), 2729-2743.
Cenamor, J. (2021). Complementor competitive advantage: a framework for strategic decisions. Journal of business research122, 335-343.
Chen, C. T. (2000). Extensions of the TOPSIS for group decision-making under fuzzy environment. Fuzzy sets and systems114(1), 1-9.
Fernández-Jardón, C. M. (2011). Deployment of Core Competencies to obtain success in SMEs. Documentos de traballo do departamento de economía aplicada, (6), 1. https://dialnet.unirioja.es/servlet/articulo?codigo=3896977
Hafeez, K., Zhang, Y., & Malak, N. (2002). Core competence for sustainable competitive advantage: a structured methodology for identifying core competence. IEEE transactions on engineering management49(1), 28-35.
Hamidizade, M., & Hosseinzade-Shahri, M. (2008). Designing a model for determining core organizational competencies (case study: Iran Khodro Company). Cheshm andaz modiriat bazargani, 7(29), 5-30. (In Persian). https://www.sid.ir/paper/457295/fa 
Ireland, R. D., Hoskisson, R. E., & Hitt, M. A. (2008). Understanding business strategy: concepts and cases. Cengage Learning.
Kim, N., Park, J., & Choi, J. J. (2017). Perceptual differences in core competencies between tourism industry practitioners and students using Analytic Hierarchy Process (AHP). Journal of hospitality, leisure, sport & tourism education20, 76-86.
Lan, H., Liu, S., Huang, M., & Zeng, P. (2020). Research on the construction mechanism of the core competence of Chinese enterprises in the transition period. Nankai business review international, 11(1), 69-86.
Makhloufi, L., Yaacob, N. A., & Yamin, F. M. (2018). Investigation on the relationship between IT and core competency on the sustainable competitive advantage of Malaysian SMEs. Journal of international business and management1(2), 1-15.
Marczewska, M., Jaskanis, A., & Kostrzewski, M. (2020). Knowledge, competences and competitive advantage of the green-technology companies in Poland. Sustainability12(21), 8826. https://doi.org/10.3390/su12218826
Newbert, S. L. (2008). Value, rareness, competitive advantage, and performance: a conceptual‐level empirical investigation of the resource‐based view of the firm. Strategic management journal29(7), 745-768.
Papula, J., & Volná, J. (2013). Core competence for sustainable competitive advantage. Multidisciplinary academic research. https://www.academia.edu/download/37861227/MAC2013_Papula_Volna.pdf
Patalas-Maliszewska, J., & Kłos, S. (2017, September). An intelligent system for core-competence identification for industry 4.0 based on research results from German and polish manufacturing companies. International conference on intelligent systems in production engineering and maintenance (pp. 131-139). Springer, Cham.
Prahalad, C. K., & Hamel, G. (1997). The core competence of the corporation. In Strategische unternehmungsplanung/strategische unternehmungsführung (pp. 969-987). Physica, Heidelberg.‏
Shirouyehzad, H., Kaviani Baghbadorani, T., & Mokhatab Rafiee, F. (2015). A fuzzy TOPSIS approach for prioritizing the preeminent manufacturing brands of Isfahan province based on the critical success factors of knowledge management. Journal of applied research on industrial engineering2(3), 180-194.
Shojaee, S., & Moghadam, A. (2009). The degree of core competencies of the organization based on value-added processes and activities. Human resource, 2(4), 49-53. (In Persian). https://elmnet.ir/Article/850385-11601/
Trott, P., Maddocks, T., & Wheeler, C. (2009). Core competencies for diversifying: case study of a small business. Strategic change18(1‐2), 27-43.
Walsh, S. T., & Linton, J. D. (2001). The competence pyramid: a framework for identifying and analyzing firm and industry competence. Technology analysis & strategic management13(2), 165-177.
Yang, C. C. (2015). The integrated model of core competence and core capability. Total quality management & business excellence26(1-2), 173-189.
Ye, F., & Li, Y. (2014). An extended TOPSIS model based on the possibility theory under fuzzy environment. Knowledge-based systems67, 263-269.
Zadeh, L. A. (1965). Fuzzy sets. Information and control8(3), 338-353.