Comprehensive Analysis of Benchmarking and its Applications

This report delves into the concept of benchmarking and its crucial role in quality management. It outlines the process, strategies, and functions of benchmarking, highlighting how companies can measure and improve performance. The report uses Microsoft as a prime example, showcasing ...Read More

Benchmarking 1
Project Management

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Contents
Benchmarking and its role in quality management.........................................................................3
Example of the company that use benchmarking............................................................................4
Benchmark Project and its example................................................................................................5
The process involved in benchmarking...........................................................................................6
Difference between process benchmarking and product benchmarking.........................................8
References........................................................................................................................................9

Benchmarking 3
Benchmarking and its role in quality management
Benchmarking is a process in which company measure its performance. This process also
gives the information that how the company attains their different level of performance and uses
that information to improve the overall performance. The benchmarking process relates to
quality management and manages all the attributes of the company (Kitchin, et al., 2015). The
various strategies, operations and process used in the benchmarking function. The company with
the help of the benchmarking can set the new targets and it convinces the people to achieve the
set goals and targets.
The benchmarking process plays a significant role in the process of the management of
quality. The performance measurements manage the quality of the companies and it is all
occurred due to the process of the benchmarking. The performance levels help the companies to
achieve better quality to improve the overall performance of the organization (Ketter, et al.,
2015). Benchmarking is considered as a strategic tool relates to the total quality management.
This process enhances the transparency and performance in the overall process of the
organization.

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Example of the company that use benchmarking
Microsoft is the greatest example that uses benchmarking in their performance of the
company. They evaluate the p erformacne9 of the workforce planning, redeployment, utilizing
analytics and leveraging the internet. All these activities can easily evaluate with the help of the
benchmark and it improves the overall performance of the company. The company also applies
the effective uses of contingent workers (Rolstadas, 2012). The benchmarking is the best way
that uses by Microsoft to evaluate their performance levels. All of the processes relate to the
company is included in the benchmarking to evaluate the overall performance of the
organization.
The organization uses the different types of benchmarking that identify the performance
levels and evaluate the overall process of the performance. The comparison is included in the
process of the internal benchmarking, which includes inside of the business. This comparison
related to the product, service, process or method. The other benchmarking process is functional
benchmarking and generic benchmarking (Williams, et al., 2012). The functional includes the
comparison among the same and different practices of the functions. Generic benchmarking
includes the business process or functions that work in similar ways. Microsoft Company uses
competitive benchmarking to compare with other industries.

Benchmarking 5
Benchmark Project and its example
The benchmark project includes a comparison between the two similar projects. The
process used to evaluate the performance between two similar projects of the business. The
various areas of designing used in this particular project. As per the information, it has been
analyzed that the benchmark used in public projects (Kale and Karaman, 2012). The public
projects include the cost given by the government for several similar projects. The benchmarking
project is very well related to the overall evaluating the performance of the company and it
includes a detailed description of the organization related to the evaluation of performance.
The benchmark project is very effective and efficient in analyzing the performance levels
of the organization and increases the value of the project in the market of the business. The
example of a benchmark project is to compare similar projects like Apples to apples. There is a
similar project example that set a particular benchmark to compete with each other and get
increased their performance levels (Hong, et al., 2012). By this project, the performance can be
easily evaluated properly. The project of the benchmark all depends on the performance that can
be evaluated for determining the proper position.

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The process involved in benchmarking
The benchmarking includes several processes to evaluate the performance levels and it is
useful in evaluating the performance of the organization and achieves the targets set by the
companies. The process involved in benchmarking includes the steps used to implement the
benchmarking. In any of the process of benchmarking, it is important to maintain a systematic
approach (Babovic, et al., 2012). The benchmarking process includes four phases that are
planning phase, analysis phase, action phase and integration phase. All four phases include
different steps to execute in the benchmarking process. The different steps used in the different
phases.
The process involved in the benchmarking concept described below-
 Planning Phase
The mistakes occur in this phase create many mistakes in the overall process of the
benchmarking. This phase needs various steps, which discussed below-
Step1 The opportunities are recognized
Step 2 The organization of benchmarking is decided
Step 3 The superior process of understanding
 Phase relates to the analyzation
This phase includes two procedures that are used to analyse the information that is
collected in the previous process of planning. The required procedure in this phase
described below-
Step 4 The improve process of the findings
Step 5 The improve process of the goal settings
 Planning of the integration

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This process includes two procedures and it is a connection among all the two above
stages and the last stage that is the action phase. The overall management is included in
these stages. The steps include in this phase are described below-
Step 6 The gain acceptance of the communicate findings
Step 7 Maintaining of new functional goals
 Phase of taking action
This phase is the of the Benchmarking process. This phase includes the improving
process that is taken into consideration. The steps included in this process are described
below-
Step 8 The implementation and development of action plan
Step 9 Keep the process continuous

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Difference between process benchmarking and product benchmarking
These two benchmarks are very different from the other benchmarking process. The
product benchmarking and process benchmarking is different from each other in various ways.
The goal of the product benchmarking relates to the comparison of the product with the best in
the industry and the improvement areas are identified (Ettorchi-Tardy, et al., 2012). The process
benchmarking includes the different process that relates to the different process used in the
benchmarking. The research of the competitors is different from the company measures. The
process benchmarking compares the different process includes in the evaluation process. The
business performance compares various strategies of other business.

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References
Babovic, J., Raicevic, V., & Caric, M. (2012). Benchmarking as a function of competitiveness
and efficiency in business. Ekonomika Poljoprivrede, 59(1), 115.
Ettorchi-Tardy, A., Levif, M., & Michel, P. (2012). Benchmarking: a method for continuous
quality improvement in health. Healthcare policy, 7(4), e101.
Hong, P., Hong, S. W., Jungbae Roh, J., & Park, K. (2012). Evolving benchmarking practices: a
review for research perspectives. Benchmarking: An International Journal, 19(4/5), 444-
462.
Kale, S., & Karaman, A. E. (2012). Benchmarking the knowledge management practices of
construction firms. Journal of Civil Engineering and Management, 18(3), 335-344.
Ketter, W., Peters, M., Collins, J., & Gupta, A. (2015). Competitive benchmarking: an IS
research approach to address wicked problems with big data and analytics. MIS
Quarterly.
Kitchin, R., Lauriault, T. P., & McArdle, G. (2015). Knowing and governing cities through urban
indicators, city benchmarking and real-time dashboards. Regional Studies, Regional
Science, 2(1), 6-28.
Rolstadås, A. (Ed.). (2012). Performance management: A business process benchmarking
approach. Springer Science & Business Media.
Williams, J., Brown, C., & Springer, A. (2012). Overcoming benchmarking reluctance: a
literature review. Benchmarking: An International Journal, 19(2), 255-276.