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Benchmarking Steps

IntroductionThe idea of benchmarking is not a new one to improve the performance of enterprises, the methods and tools which accompany its application are rarely formalized. Therefore, this case study presents a method of diagnosis and three methods of data analysis in order to realize the first five steps of the benchmarking process.

Definition:

“Benchmarking is a process for identifying and importing best practices to improveperformance." Benchmarking is not a simple comparative study, simply copyingpractices from other organizations, or simply assessing performance.The International Personnel Management Association and the National Association ofState Personnel Executives jointly developed the following definition for benchmarking:A comparison of similar processes across public and private organizations to identify bestpractices to improve organizational performance. The characteristics and attributes ofbenchmarking include measuring performance, systematically identifying best practices,learning from leading organizations, and adapting best practices as appropriate.Benchmarking essentially involves learning, sharing information and adopting bestpractices to bring about changes in performance. To simplify this, it can be stated as:Improving ourselves by learning from othersIn practice, benchmarking usually encompasses: • regularly comparing aspects of performance (functions or processes) with best practitioners; • identifying gaps in performance; • seeking fresh approaches to bring about improvements in performance; • following through with implementing improvements; and • following up by monitoring progress and reviewing the benefits.

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