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.

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Pricing Power Jonathan Poland

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Brand Legacy Jonathan Poland

Brand Legacy

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Lifecycle Cost Analysis Jonathan Poland

Lifecycle Cost Analysis

Lifecycle cost analysis is a tool used to evaluate the total cost of owning and operating a product, system, or…

Problem Management Jonathan Poland

Problem Management

Problem management is an important aspect of IT service management that involves identifying, analyzing, and resolving problems that can impact…

Operating Agreement Jonathan Poland

Operating Agreement

An LLC operating agreement is a legal document that outlines the rules and procedures for a limited liability company, including…

Persistence Jonathan Poland

Persistence

Persistence is the ability to maintain motivation and effort over a prolonged period of time. It is a behavior or…

Product Risk Jonathan Poland

Product Risk

Product risk refers to the potential for negative consequences that may result from the development, production, or use of a…

Innovation 101 Jonathan Poland

Innovation 101

Innovation is the process of creating new ideas, products, or processes that add value to a company. This can be…

Perfect Competition Jonathan Poland

Perfect Competition

Perfect competition is a theoretical market structure in which a large number of buyers and sellers participate and no single…

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Solution Selling Jonathan Poland

Solution Selling

Solution selling is a type of sales approach that focuses on offering customers a tailored solution to their problems, rather…

Decision Costs Jonathan Poland

Decision Costs

Decision costs refer to the costs associated with making a decision. These costs can take many forms, including the time…

Design to Value Jonathan Poland

Design to Value

Design to value refers to the design requirements and considerations that aim to maximize the value of a product or…

Inferior Good Jonathan Poland

Inferior Good

An inferior good is a type of consumer good for which the demand decreases as the consumer’s income increases. In…

What is a Product Line? Jonathan Poland

What is a Product Line?

A product line refers to a group of related products that are marketed together as a single unit. Product lines…

Willingness to Pay Jonathan Poland

Willingness to Pay

Willingness to pay (WTP) is a measure of how much a customer is willing to pay for a product or…

Team Objectives Jonathan Poland

Team Objectives

Team objectives are specific goals that are established for a team in order to guide their work and track their…

Ambition Jonathan Poland

Ambition

Ambition is the drive and determination to achieve a particular goal. This can apply to any type of goal, including…

Critical Mass Jonathan Poland

Critical Mass

In economics, critical mass refers to the minimum size a company needs to be in order to effectively compete in…