Strategic resources are assets that a business possesses and are typically categorized into capital, financial, human resource, and organizational assets.
Capital Assets
Capital assets are physical resources such as land holdings, manufacturing plants, or service locations close to important consumer markets. These physical assets can materially affect how competitive a business can be in the marketplace.
Financial Resources
Financial strengths consist of cash flows, diversified revenue streams as well as financial statements, and annual audits that demonstrate a business has the financial strength to perform well over a prolonged period of time. If financial records demonstrate a strong financial track record, they are a measure of a business’s success in getting its products to market, and its ability to survive in future markets.
Human Resources
The quality of a business’s human resources includes having competent leadership, proficient managers, and capable, motivated employees. Some business analysts consider the human resource asset to be the single most important strategic resource a business can possess.
Organizational Resources
Organizational assets are considered to be the specific abilities, systems and processes, skills, and intellectual properties that a business possesses. These include a business’s branding and marketing, reputation, manufacturing know-how, ability to be innovative, and trace record to adapt to an ever-changing marketplace.