People only source of competitive advantage

Friday, 27 June 2014 00:00 - - {{hitsCtrl.values.hits}}

Commercial Bank Chairman Dinesh Weerakkody speaking at the joint session on ‘Building Competitive Organisations through People’ organised by CIMA Bangladesh and the Bangladesh Society for Human Resources Management in Dhaka on Monday pointed out that today the source of competitive advantage has shifted in many organisations from consistency in delivery to innovation and people. But what does it take for an organisation that innovates to then manage effectively? Weerakkody argued that it is a combination of the right structure and the right people. First, organisations must decide what structure they have: is it a high-involvement organisation that has products and services that require a high level of coordination and cooperation among employees? Or is it a more global competitor structure in which you are constantly bringing in new talent and technological expertise or is it a mixture of both? Weerakkody pointed out that when companies do something unique that competitors cannot copy then there is a feature that customers value. To create that uniqueness you need the right people, a great culture and effective leadership.

For any organisation to compete successfully in today’s market Weerakkody pointed out, it must focus on building not only from the outside but from the inside as well. Using data he showed the correlation between successful people management and the bottom-line. Also involving employees he argued in the planning and implementation process and allowing them to see the fruits of their labour (the sense of connection between daily work and long-term customer success) benefits the organisation. By investing in talent by ensuring competent and committed employees, by preparing successors, and by creating great places to work, companies can turn customer expectations into employee commitments. Companies like Apple and Samsung have the ability to anticipate customers want and need; and they are making sure that employees throughout their organisation anticipate and meet those needs. Weerakkody in conclusion said that companies should focus more on more building leadership capability than building celebrity leaders. By focusing on building leadership capability it will not only meet short-term financial requirements, but also build a solid foundation for the future. The session concluded with a panel discussion.