Elements of Organisational Resources -RBV:

The components in RBV

Human capital – the amount, breadth and depth of general skills and capabilities achieved by individuals in the organization
Intellectual capital – includes industry specific and technological knowledge
Social capital – the accumulated “goodwill” or trust the company has achieved
Physical capital – investments in tangible assets and rights


The total “capital” of business


Measuring non-financial capital

RBV recommends building your strategy inside out:

  • Identifying and creating bundles of resources that are,
  • valuable (deals with threats or opportunities or increase efficiency or effect),
  • rare (less than necessary to support perfect competition),
  • durable (often tacid knowledge) and
  • non-substitutable to create strategic advantage.


To identify the critical resources controlled by the company (direct/indirect)

Source Organisational Resources -RBV:

Firm Resources and Sustained. Competitive Advantage. Jay Barney. Texas A&M University