This article examines the core competencies of twelve leading multinational companies. It explores their competencies, how they were developed, and how they are shifting over time. Different approaches are needed to develop each types of competency. While these firms have historically relied on technological know-how and reliable processes, they are planning more close external relationships for the future. External relationships help these firms strengthen and extend their traditional competencies while responding to the demands of globalization, mass customization, enhanced quality, and rapid technological change.
Innovation calls for the complex knowledge that only a broad network of specialists can offer.
That is why many companies are starting to outsource innovation. Demand is doubling every 15 years. The supply of knowledge workers is skyrocketing. Interaction capabilities have grown. New incentives have emerged.