Managing your capacity means understanding your core competencies and capabilities, and focusing your resources on activities that leverage those strengths. It also means outsourcing non-core functions to reduce costs and complexity, and partnering with other organizations to access complementary capabilities. The goal is to optimize performance by concentrating on what you do best while accessing other needed resources through relationships rather than owning them.

1. MANAGE YOUR CAPACITY SOURCE: David Ulrich, “Organizing Around Capabilities”, The Organizational of the Future (1997, Jossey-Bass Publishers, San Francisco), p. 311