Somany's Internal Environment Analysis

Superior Essays
Here, I discuss about the nature of Somany ceramics’ internal environment analysis. Evaluate the role of resources and capabilities in developing core competencies, which are the sources of the firm’s competitive advantages. In this section, we shall discuss the techniques firms can use to identify and evaluate resources and capabilities and the criteria for selecting core competencies from among them. It also discusses the value chain concept and examines four criteria to evaluate core competencies that establish a competitive advantage to Somany ceramics.
Revenues to grow at 11.1% CAGR
Even during the slowdown in the last few years, Somany reported healthy revenue CAGR of 28.0% in FY10-16. Going ahead, we expect significant volume growth
…show more content…
Resources are bundled to create organisational capabilities. Some of a firm’s resources are tangible and and some are intangible. Tangible resources are assets that can be seen and quantified. Intangible resources include assets that typically are rooted deeply in the firm’s history and have accumulated over time. Intangible resources are relatively difficult for competitors to analyse and imitate. The four types of tangible resources are financial, organisational, physical and technological. And the three types of intangible resources are human, innovation and …show more content…
Reputational Resources
Somany has been accredited with the Most Promising Brand
The company has also attained the power brand status Capabilities of Nestle
Actually, capabilities are the firm’s capacity to deploy resources that have been purposely integrated to achieve a desired end state. Capabilities are often based on developing, carrying and exchanging information and knowledge through the firm’s human capital and also often developed in specific functional areas, such as R&D, marketing, manufacturing, management and so on. In this section, I briefly evaluate of Somany’s capabilities .
Distribution
Somany’s distribution network ensures that every day more than 100.000 tonnes of products are transported to customers from their factories and distribution centres. Somany optimises their distribution network such as transport and warehousing in order to minimise greenhouse gas emissions, to ensure the most efficient use of their transport to reduce the distances travelled.
Management Information System
By using their research for Information Technology, control all aspects more efficient.

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