Explain the relationship between organisational competences and decisions relating to the contracting out of activities.

Organisational competences

A competence is an mehodor process by which an organisation deploys or utilises its resources. Unlike a resource, it is something the organisation deploys, rather than something it has. (This thinking forms part of the broader 'resource based' view of method that supposes that an organisation is a collection of resources, capabilities and competences that gives a basis for its ability to compete.) 

Core competences

A competence is classified as being 'core' when it does something another methodor better than competitors and this forms the basis of its competitive benefit. Core competences are complex for the competition to acquire or imitate and so allow the organisation the opportunity to exploit them.