In the process of benchmarking best practices , companies are identified by their performance and industry (or another industry where similar processes exist) and the results of model businesses are compared with your own company's results and processes.
In this way, they learn how well objectives are executed and, most ghana whatsapp number data 5 million importantly, the business processes that explain why these companies are successful.
Benchmarking is used to measure performance using a specific metric, such as cost per unit of measure, productivity per unit of measure, cycle time x per unit of measure, or defects per unit of measure, resulting in a performance metric that is then compared to others.
Although it is very common in quality areas, the benchmark can also be used by marketing, finance, human resources and even strategy areas.
Also known as best practice benchmarking or process benchmarking , this methodology is also used in management, and particularly shows strategic use where organizations assess various aspects of their processes against the best practice processes of companies, usually within an established group for comparison purposes.
This allows organizations to develop their action plans to improve or adapt specific practices, generally with the aim of increasing their own performance in the short, medium or long term.
Benchmarking can be a one-time event, but is often treated as an ongoing process in which organizations constantly seek to improve their practices.
Benchmarking: what it is and how to do it
History of Benchmarking
The term ' Benchmarking ' originates from the grey horizontal marks that surveyors make on stone structures into which an angle iron might be placed to form a 'seat' for a levelling rod, thus ensuring that this rod can be accurately repositioned in the same location in the future.
These marks were usually indicated by a grey arrow below the horizontal line.
Benchmarking was most often used to measure performance using a specific indicator resulting in a performance metric that was then compared to others.
In 1994, one of the first technical journals called » Benchmarking: An International Journal « was published.
In 2008, the Global Benchmarking Network , a network of benchmarking centers representing 22 countries, commissioned a comprehensive benchmarking survey.
Mission and Vision Statements and Customer Surveys are the most commonly used reference forms (by 77% of organizations) among the 20 existing improvement tools, followed by SWOT Analysis (strengths, weaknesses, opportunities and threats at 72%) and Informal Benchmarking (68%).
Performance benchmarking was used in 49% and benchmarking best practices in 39%.
The tools that are likely to increase in popularity over the next three years are performance benchmarking best practices, informal benchmarking, SWOT, and benchmarking.
More than 60% of organizations not currently using these tools have indicated that they are likely to use them again within the next three years.
Benchmarking: what it is and how to do it
