High Quality Content by WIKIPEDIA articles! Competence-based Strategic Management is a relatively new way of thinking about how organizations gain high performance for a significant period of time. Established as a theory in the early 1990s, competence-based strategic management theory explains how organizations can develop sustainable competitive advantage in a systematic and structural way. The theory of competence-based strategic management is an integrative strategy theory that incorporates economic, organizational and behavioural concerns in a framework that is dynamic, systemic, cognitive and holistic (Sanchez and Heene, 2004). This theory defines competence as: the ability to sustain the coordinated deployment of resources in ways that helps an organization achieve its goals (creating and distributing value to customers and stakeholders). Though simple, this definition embodies essential aspects of the ‘‘four cornerstones’’ of the theory of competence-based strategic management, which aspires to recognize and capture the dynamic, systemic, cognitive and holistic nature of organizational competences. Each of these four aspects of the nature of the competent organization deserves further comment.