Business Capability

Business Capability

Business Capability Jonathan Poland

A business capability is a broad term that refers to the things that a business is able to do or achieve. It describes the capabilities of the business as a whole, without regard to the specific processes or strategies that are used to achieve those capabilities. Business capabilities can be described at various levels of detail, such as at the organizational, departmental, or team level. They provide a high-level view of a business’s abilities and capabilities, and are often used to inform strategic planning and decision-making. The following are illustrative examples of business capabilities.

Manage Risk
A bank manages risk.

Manage Credit Risk
A bank’s global credit department manages credit risk.

Analyze Client Credit Ratings
An analyst team in a bank’s global credit department analyzes client credit ratings.

Sales Pipeline Management
The sales department of a telecom company manages a sales pipeline.

Qualify Sales Leads
A sales operation team qualifies sales leads before they enter a sales pipeline.

Information Security Management
An IT department provides information security management.

Security Risk Identification
A security team identifies information security risks as a part of an annual audit.

Pricing
A marketing department prices products and services.

Price Testing
A marketing operations team is able to test different price configurations to optimize revenue and margins.

Product Development
A marketing department develops and launches products.

Product Design
A design team designs products.

Customer Service
An airline provides customer service.

Meal Service
A flight crew provides meal services.

Lost Baggage Claims
An airline operations team processes lost baggage claims.

Collective Intelligence Jonathan Poland

Collective Intelligence

Collective intelligence refers to the ability of a group to solve problems, make decisions, and generate new ideas more effectively…

Basis of Estimate Jonathan Poland

Basis of Estimate

A basis of estimate (BOE) is a document that outlines the methodology and assumptions used to create an estimate for…

Target Market Jonathan Poland

Target Market

A target market is a specific group of consumers that a business aims to sell its products or services to.…

Abundance Mentality Jonathan Poland

Abundance Mentality

Abundance mentality is the belief that there is enough for everyone and that abundance, rather than scarcity, is the natural…

Consumer Goods Jonathan Poland

Consumer Goods

Consumer goods are goods that are produced and purchased for personal or household use. These goods are typically consumed or…

Corporate Culture Jonathan Poland

Corporate Culture

Corporate culture refers to the values, beliefs, and behaviors that shape an organization and the way it operates. It is…

Price Umbrella Jonathan Poland

Price Umbrella

A price umbrella is a pricing strategy in which a company sets a high price for a premium product or…

Agile Change Management Jonathan Poland

Agile Change Management

Agile change management is the practice of leading continuous delivery processes in which changes are shipped within weeks. This approach…

Venture Capital Jonathan Poland

Venture Capital

Venture capital is a type of private equity financing that is provided to early-stage, high-risk, high-potential companies. Venture capital is…

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Performance Objectives Jonathan Poland

Performance Objectives

Performance objectives are goals that individuals set for themselves on a regular basis, such as quarterly, semi-annually, or annually. These…

Business Management Jonathan Poland

Business Management

Business management is the process of overseeing and running a business or organization. This involves a wide range of activities,…

Motivation Jonathan Poland

Motivation

Motivation is the driving force that inspires people to take action and pursue their goals. It is an important factor…

What is Maker Culture? Jonathan Poland

What is Maker Culture?

Maker culture refers to a collection of subcultures that are centered around the creation and customization of technology and other…

What is a Flagship? Jonathan Poland

What is a Flagship?

A flagship is a product or service that represents the best a company has to offer and is intended to…

Organic Growth Jonathan Poland

Organic Growth

Organic growth refers to an increase in revenue that is generated through a company’s own efforts, such as marketing, innovation,…

What is Fractional Reserve Banking? Jonathan Poland

What is Fractional Reserve Banking?

Fractional-reserve banking is a system in which banks are only required to hold a fraction of the deposits they receive…

Strategic Advantage Jonathan Poland

Strategic Advantage

A strategic advantage refers to a position that gives a company an edge over its competitors and makes it likely…

Operating Costs Jonathan Poland

Operating Costs

Operating costs are the expenses that a company incurs in order to generate revenues from its business operations. These costs…