Benchmarking is the systematic search
for best practices, innovative ideas,
and highly effective operating
it is the common sense proportion
to learn from others what they do
right and then imitate it to avoid
reinventing the wheel.
Introduction and use:
Benchmarking is an increasingly effective
It is used extensively both manufacturing
and service organizations, including
Benchmarking is common elements
of quality standards, such as the
Chrysler, Ford, and General Motors
Quality System Requirements.
Reasons to Benchmark
For functions that are critical to the
business mission, organizations must
continue to innovate ass well as Imitate.
Benchmarking enhances innovation by
requiring organizations to constantly scan
the external environment and to use the
information obtained to improve the
Potentially useful technologies
breakthroughs can be located and adopted
In our words we can say that
benchmarking is to enhance business and
improve its quality.
What is our
Performance level ?
How do we do it ?
What are others`
Performance levels ?
How did they get there ?
Types of benchmarking:
There are three main types of
Process of benchmarking:
The following six steps contains the core
Decide what to benchmark
Understand current performance
Learn from data
Use the findings
Decide what to benchmark ?
Benchmarking can be applied to the
any business or production process.
To compare practices to outside
benchmarks, it is first necessary to
thoroughly understand and
documents the current process of
your organization that where you
Once internal process is understood
and documented, it is possible to
make decisions about how to conduct
The team should be decided that
what type of benchmarking to be
Benchmarking planning is a learning
Benchmarking studies look for two
types of information:
A description of how best in class
processes are practices and
the measurable results of these
When most people thinks of learn
benchmarking they generally think of
conducting original research through
sites visits and interviews.
Learn from the data:
Learning from the data collected in a
benchmarking study involves answering a series
Is there a gap between the organizations
performance and the performance of the best-inclass organizations ?
What is the gap ? How much is it ?
Why is there a gap ? What does the best-in-class
do differently that is better ?
If best-in-class practices were adopted, what
would be the resulting improvement ?
Its main objective is to determine
from overall effect on the internal
operation of adapting the best-inclass practice.
In other words, what is the size of
the gap and what are the appropriate
benchmark metrics and objectives ?
Using the findings:
Benchmarking is the waste of time if
change does not occurs as a result. To
effect the change, the findings must be
communicated to the people within the
organization who can enable
The findings must be translated to GOALS
and OBJECTIVES and ACTION PLANS must
be developed to implement new process.
The generic steps for the development and
execution of action plans are:
Determine resource needs
Establish task schedule
Assign responsibility for each task
Describe expected results
Specify methods for monitoring results.
Goals and objectives should be
consistent with the execution of the
action plan so that the end result is
process superiority. The best results
are obtained when process owners
fully participate in the design and
execution of the plan.
Thank you so much for being a
part of my presentation.