Chapter 2 Business and Staffing Strategies

Resource-based view of the firm proposes that a companys resources and

competencies can produce a sustained competitive advantage by creating value for
customers by lowering costs, providing something of unique value, or some
combination of the two

Creating value hiring programs/policies/practice of an organization must either
lower the costs of the organizations products or services, enhance the
differentiation of the organizations products/services, or both
Staffing serves as a gatekeeper by influencing the level and composition of an
organizations talent

Requirements of a Competitive Advantage has identified 5 criteria a resource
must meet to provide an organization with a sustainable competitive advantage
Resources would be the criteria if: they add value to the firm, are rare, cannot be
imitated, cannot easily be substituted with other things
company should be organized in a way that the resource can be exploited

a) resource must be valuable staffing activities can create value for a firm by
either helping it to exploit opportunities and/or neutralize threats
since quality of a companys staffing practices can differentiate it to
investors, staffing appears to meet the vvalue requirement of creating a
competitive advantage
b) the resource must be rare staffing practices must also result in a set of
workforce attributes that are rare ability to attract rare talent varies
across organizations
c) resource must not be easiliy imitated cannot be easily compied by a
competitor