This article explores the conceptual meaning of benchmarking and the benefits that may be derived by our growing number of clients. Prevents reinventing the wheel. Accelerates change and restructuring by using tested systems and proven practices, by convincing sceptic s who can see that it works and by overcoming inertia and complacency and creating a sense of urgency when deficiencies are revealed. It drives and directs the re-engineering process by looking outside to see how others have approached the same objective. Makes implementation of improvement more likely because of involvement of process owners.
Sets stretch goals for strategic planning and competitive analysis.
Stretch goals based on external stimuli, evidences and examples are more believable for people to model and aim for as compared to goals picked out of thin air or numbers crunched from study of performance indices. It is important to realise that benchmarking is not a temporary, one-time, quick fix undertaking. It requires a different mindset with a willingness to learn. It is a practice of being humble enough to admit that someone else is better at controlling losses and wise enough to learn how to match or even surpass them.