Resource analysis for your business is what will help you with your business growth and success.
Is the current set of supplies helping or hurting your business? Find out in this short blog (and vlog).
Types of resources
Firstly, we’ll look at what resources are.
They can be divided into categories and sub-categories. Namely, two general categories: tangible and intangible resources.
When speaking about a company’s resources, we could look at physical, financial, human resources, and intellectual capital.
Business competencies
Businesses need resources to operate at a level. On the other hand, they need competencies.
So, let’s start by defining business competencies as the resources and capabilities of a company. Essentially, these are the skills, experiences, and abilities to use those resources. For example, there is no point in having a good reputation if you don’t exploit it effectively.
The two main competencies are:
- The threshold level – which is about competencies that will aid your business’s survival. So, he threshold level is that at which your business can operate and keep things going and in working order.
- Competencies that give you a competitive advantage – this is about your business USPs or unique selling points (ones that make a product or brand different from its competitors). As a result, you can aim to be a market leader and drive your business forward to your next level of success.
Resource Analysis
Resource analysis helps your business bridge a gap. That gap is between having valuable resources and using them constructively and efficiently.
Your strategic capability is determined by how adequate and suitable your resources and competencies are. Furthermore, it will help you survive and prosper. A resource analysis considers how you manage, deploy, and use your resources.
The resource analysis tool is a strategic planning tool that looks at two kinds of resources:
- Ones needed to keep your business going, and
- Others needed to have a competitive advantage over other companies on the market.
Resource Analysis Summary
This blog (and video) on resource analysis helps inform, inspire and educate you to get closer to your numbers. You now know what kind of resources and competencies to take into consideration so that you can perform resource analysis. Moreover, by doing so, you improve your financial understanding and well-being.
In addition, you make more profit, save tax and time, and your money mindset. How wonderful is that?
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