MNG3702
ASSIGNMENT 1
22
SEMESTER 1
DUE DATE: 18 MARCH
2024
"Elevate Your Excellence: Where Distinction Meets Assurance in Every Assignment!"
, ASSIGNMENT 1, SEMESTER 1
NETCARE
QUESTION 1.
‘The Netcare Group invests in growing and continually improving their capabilities and
capacity.’
Make a judgement with regards to the absorptive capacity of Netcare. In your answer, you
need to explain the meaning of absorptive capacity and apply the dimensions thereof to
Netcare’s systems and processes.
(10 marks, of which 2 marks will be awarded to the explanation of absorptive capacity, and 8
marks to the application of the dimensions thereof to Netcare’s systems and processes.
PLEASE NOTE, you need to explain each dimension first and then apply it to Netcare.
Absorptive Capacity refers to the ability of an organisation to recognise the value of new,
external information, to assimilate it and to use it to address business problems.
There are four dimensions that determine the absorptive capacity of an organisation:
Acquisition of External Information. This refers to the ability of the organisation to
acquire relevant information from its external environment. Speed is an important
element of acquiring information – the better the quality of the information and the
sooner it is obtained, the better the organisation’s chances of developing some sort of
advantage from it.
For example, Netcare demonstrates a high level of acquisition of external information
by investing in the latest medical technologies and high-level professional expertise, as
well as partnering with the public sector and other stakeholders to support the national
healthcare systems
1
ASSIGNMENT 1
22
SEMESTER 1
DUE DATE: 18 MARCH
2024
"Elevate Your Excellence: Where Distinction Meets Assurance in Every Assignment!"
, ASSIGNMENT 1, SEMESTER 1
NETCARE
QUESTION 1.
‘The Netcare Group invests in growing and continually improving their capabilities and
capacity.’
Make a judgement with regards to the absorptive capacity of Netcare. In your answer, you
need to explain the meaning of absorptive capacity and apply the dimensions thereof to
Netcare’s systems and processes.
(10 marks, of which 2 marks will be awarded to the explanation of absorptive capacity, and 8
marks to the application of the dimensions thereof to Netcare’s systems and processes.
PLEASE NOTE, you need to explain each dimension first and then apply it to Netcare.
Absorptive Capacity refers to the ability of an organisation to recognise the value of new,
external information, to assimilate it and to use it to address business problems.
There are four dimensions that determine the absorptive capacity of an organisation:
Acquisition of External Information. This refers to the ability of the organisation to
acquire relevant information from its external environment. Speed is an important
element of acquiring information – the better the quality of the information and the
sooner it is obtained, the better the organisation’s chances of developing some sort of
advantage from it.
For example, Netcare demonstrates a high level of acquisition of external information
by investing in the latest medical technologies and high-level professional expertise, as
well as partnering with the public sector and other stakeholders to support the national
healthcare systems
1
