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Definition

Benchmarking

Benchmarking refers to the process of comparing the company’s products and process to those of competitors or leading firms in other industries to identify best practices dn find ways to i9prove quality dn performance.

It is an organized method for collecting data that can be used to improved organizational operations, through comparisons with other units or functions. It is a tool and can be used to accomplish the following:

  • Stimulate an objective review of processes, practices, and systems
  • Motivate employees to perform to a higher standard, by providing a common target for improvement
  • Provide objective comparative data with best in class organizations
  • Raise questions and stimulate discussion about better ways of operating.

Benchmarking is the process of determining how well other companies perform business functions or tasks.

 

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