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What is Benchmarking?
Benchmarking is simply the comparison of one organization's practices and performance against those of others. It seeks to identify standards, or "best practices," to apply in measuring and improving performance.
Benchmarking is a quality improvement tool that identifies:
What you're doing
How you're doing it
How others do it
How well you're doing it in reference to measures
What and how to improve
Here's what Benchmarking can do:
Management Analysis & Development benchmarked the Department of Administration's document microfilming operations (DocuComm).
Recommendations resulted in: a $25,0000 surplus after annual deficits of more than $50,000 new services and technology that meet customers' needs and improve customer satisfaction a team method of work production that creates job variety and improves employee morale elimination of repetitive motion injuries and workers' compensation claims union and DOER concurrence on restructuring of job duties and working conditions
The project team helped DocuComm design benchmarking site visits, incorporate customer input into redesigning services and products, and actively involve employees in the benchmarking process.
Here's how Benchmarking does it:
Tips on how to conduct the critical steps of the benchmarking process
1. Identify issues and practices to benchmark
a.Look for practices with significant impacts on your organization's:
Customers and other stakeholders
Budget and the bottom line
Problem and opportunity areas
Don't do everything; prioritize. Pick something significant to your organization that you have a good chance of changing and the resources to do.
Pick no more than 10 general, broad processes.