Benchmarking procedure
Example | Measuring benefits achieved | Business questions for CSI | Service Level Management | Goal for SLM | Service improvement plan | Effort and cost | Implementation review and evaluation | Assessments | Gap analysis |
Identify your problem areas. Because benchmarking can be applied to any business process or function, a range of research techniques may be required. They include:
- Informal conversations with customer s, employees, or supplier s
- Focus groups
- In-depth marketing research
- Quantitative research
- Surveys
- Questionnaires
- Re-engineering analysis
- Process mapping
- Quality control variance reports
- Financial ratio analysis.
Benchmarking costs
Benchmarking is a moderately expensive process, but most organization s find that it more than pays for itself. The three main types of cost s are:
- Visit costs – This includes travel- and accommodation-related expenses for team members who need to travel to the site.
- Time costs – Members of the benchmarking team will be investing time in researching problems, finding exceptional companies to study, visits and implementation. This will take them away from their regular tasks for part of each day so additional staff might be required.
- Benchmarking database costs – Organizations that institutionalize benchmarking into their daily procedure s find it is useful to create and maintain a database of best practices and the companies associated with each best practice.
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