International Sales Manager
OPERATİON MANAGEMENT
BENCHMARKİNG
TABLE OF CONTENTS 1. INTRODUCTİON 2. WHAT IS BENCHMARKING? 3. TYPES OF BENCHMARKING AND LİMİTATİONS 4. COSTS İN BENCHMARKİNG 5. CRITICISMS OF BENCHMARKING
6. ETHICAL PRACTICES CONCERNING BENCHMARKING 7. XEROX CORPORATION 8. CONCLUSION 9. REFERENCES
1. INTRODUCTION
It is often stated that those who benchmark do not have to reinvent the wheel. By following others one can make improvements and not focus on stale ideas. Benchmarking at first glance may be mistaken for a copycat form of developing strategic plans and for making improvements within an organization. This is not true. Benchmarking is a process that allows organizations to improve upon existing ideas. In order to eliminate myths and misconceptions about benchmarking it is important to know exactly what benchmarking is, the different types of benchmarking, the criticisms of benchmarking, and the ethical practices concerning benchmarking.
2. WHAT IS BENCHMARKING?
“Benchmarking is simply the process of measuring the performance of one 's company against the best in the same or another industry”.Benchmarking is not a complex concept but it should not be taken too lightly. Benchmarking is basically learning from others. It is using the knowledge and the experience of others to improve the organization. It is analyzing the performance and noting the strengths and weaknesses of the organization and assessing what must be done to improve. The knowledge that is available for comparing operations and processes are vast. “An organization’s ability to evaluate its practices against specific business strategies and objectives is critical to leveraging its knowledge capital” Information is there for organizations and it should be evaluated, used, and shared. This is one of the primary goals of benchmarking. It is the process of using all of the knowledge and experience of others to develop new and fresh ideas. This is
BENCHMARKİNG
TABLE OF CONTENTS 1. INTRODUCTİON 2. WHAT IS BENCHMARKING? 3. TYPES OF BENCHMARKING AND LİMİTATİONS 4. COSTS İN BENCHMARKİNG 5. CRITICISMS OF BENCHMARKING
6. ETHICAL PRACTICES CONCERNING BENCHMARKING 7. XEROX CORPORATION 8. CONCLUSION 9. REFERENCES
1. INTRODUCTION
It is often stated that those who benchmark do not have to reinvent the wheel. By following others one can make improvements and not focus on stale ideas. Benchmarking at first glance may be mistaken for a copycat form of developing strategic plans and for making improvements within an organization. This is not true. Benchmarking is a process that allows organizations to improve upon existing ideas. In order to eliminate myths and misconceptions about benchmarking it is important to know exactly what benchmarking is, the different types of benchmarking, the criticisms of benchmarking, and the ethical practices concerning benchmarking.
2. WHAT IS BENCHMARKING?
“Benchmarking is simply the process of measuring the performance of one 's company against the best in the same or another industry”.Benchmarking is not a complex concept but it should not be taken too lightly. Benchmarking is basically learning from others. It is using the knowledge and the experience of others to improve the organization. It is analyzing the performance and noting the strengths and weaknesses of the organization and assessing what must be done to improve. The knowledge that is available for comparing operations and processes are vast. “An organization’s ability to evaluate its practices against specific business strategies and objectives is critical to leveraging its knowledge capital” Information is there for organizations and it should be evaluated, used, and shared. This is one of the primary goals of benchmarking. It is the process of using all of the knowledge and experience of others to develop new and fresh ideas. This is
References: Bogan, Christopher (1994), Benchmarking Best Practices, McGraw Hill, 1994. Boxwell, Robert (1994), Benchmarking for a Competitive Advantage, McGraw Hill, 1994. Graham, Anne (1997), “Association Publications: Benchmarking Common Problems,” The Magazine for Magazine Management, v25, Harper, Kim (1996), “Benchmarking: International Clearinghouse Plays Matchmaker for Companies That Want to Improve,” Arkansas Business, vol.9, (1996). Parker, Sally (2006), “Measuring up: Size is No Obstacle to Benchmarking for Competitive Advantage,” Rochester Business Journal, vol.8, 2006.. Stevenson, William (2008), Productions/Operations Management, Irwin Publishing Company, 5th Edition, 2008. Thompson and Strickland (2009), Strategic Management - Concepts and Cases, Irwin Publishing Company, 9th Edition, 2009.