The interaction mechanisms and paths among organizational innovation, organizational competencies and organizational performance, taking 194 firms in South China as the empirical research samples.  The structure equation model was used to verify: (1)the organizational competency is the intermediary variables that organizational innovation exerts on the organizational performance; (2) the cause of core competencies, which are influenced more by management innovation than the technological innovation; (3) the organizational competence effects the organizational performance more markedly than the technological innovation and (4) the organizational innovation influences long-term and short-term performances  differently.