Benchmarking

# Question :

1. Benchmark with presently available cars in the market for the following case.

Mr. D.S. Pughazhyendhii is a married man who lives in Bangalore which is a highly crowded city. His Family comprises five members including his wife, a five-year-old boy, his father, and his mother. He visits his native place Madurai which is 500kms away from Bangalore once a month. Also, he will be using his car to commute to his office. His budget falls between 8 to 10 lakhs on road. Please suggest to him options so that he will buy a good car for his family.

Note: Pughazhyendhii is fond of big cars

2. Prepare a report explaining what is Bench-Marking

3. Compare at least 4 vehicles.

4. Provide a proper conclusion for the report, suggesting a single suitable vehicle among the comparison made with images.

# Answer :

• What is Benchmarking :

Benchmarking, is a tool of strategic management, that allows the organisation to set goals and measure productivity, on the basis of the best industry practices. It is a practice in which quality level is used as a point of reference to evaluate things by making a comparison. The process helps in comparing and gauging.

Benchmarking is in its primary stage in the Indian automotive industry, and it still needs much more commitment from top management for its proliferation. Lesser significance is given to competitor benchmarking due to the fear of losing competitive advantage, and the problem of confidentiality.

While product benchmarking in the automotive industry traditionally involves other manufacturers, its primary purpose is to positively impact internal processes. Consequently, benchmarking can be based on internal measurement where cooperative manufacturing process benchmarks of other manufactures is a secondary measure.

As a first step on the way, vehicle manufacturers have to benchmark their vehicles in the competitive environment in order to understand and to strengthen or improve the potential of their vehicles. AVL newly offers a comprehensive vehicle benchmarking analysis of the most important, recently released passenger cars.

Benchmarking is the competitive edge that allows organizations to adapt, grow, and thrive through change. Benchmarking is the process of measuring key business metrics and practices and comparing them—within business areas or against a competitor, industry peers, or other companies around the world—to understand how and where the organization needs to change in order to improve performance. There are four main types of benchmarking: internal, external, performance, and practice.

• Different Types of Benchmarking :

1. Performance benchmarking involves gathering and comparing quantitative data (i.e., measures or key performance indicators). Performance benchmarking is usually the first step organizations take to identify performance gaps.

What you need: Standard measures and/or KPIs and a means of extracting, collecting, and analyzing that data.

What you get: Data that informs decision making. This form of benchmarking is usually the first step organizations take to identify performance gaps.

2. Practice benchmarking involves gathering and comparing qualitative information about how an activity is conducted through people, processes, and technology.

What you need: A standard approach to gather and compare qualitative information such as process mapping.

What you get: Insight into where and how performance gaps occur and best practices that the organization can apply to other areas.

3. Internal benchmarking compares metrics (performance benchmarking) and/or practices (practice benchmarking) from different units, product lines, departments, programs, geographies, etc., within the organization.

What you need: At least two areas within the organization that have shared metrics and/or practices.

What you get: Internal benchmarking is a good starting point to understand the current standard of business performance. Sustained internal benchmarking applies mainly to large organizations where certain areas of the business are more efficient than others.

4. External benchmarking compares metrics and/or practices of one organization to one or many others.

What you need: For custom benchmarking, you need one or more organizations to agree to participate. You may also need a third party to facilitate data collection. This approach can be highly valuable but often requires significant time and effort. That’s why organizations engage with groups like APQC, which offers more than 3,300 measures you can use to compare performance to organizations worldwide and in nearly every industry.

What you get: An objective understanding of your organization’s current state, which allows you to set baselines and goals for improvement.

• Process benchmarking of this kind can operate at several levels :

1. Between similar processes in the same factory or service branch
2. Between different factories or service branches
3. Between different competing organizations
4. Between different sectors using the same process

Benchmark with presently available cars in the market :

1. Honda WR-V (Subcompact crossover SUV)
2. Hyundai Aura (Subcompact sedan from Hyundai)
3. Suzuki Brezza (Subcompact crossover SUV manufactured by Suzuki)
4. Kia Sonet (Subcompact crossover SUV)

1. Honda WR-V (Subcompact crossover SUV)

The Honda WR-V is a subcompact crossover SUV produced by Honda since 2017. It is a crossover derivative of the third-generation Fit/Jazz with different front and bonnet treatments. Introduced at the 2016 São Paulo International Motor Show, the WR-V is built and sold specifically for the South American and Indian market. According to Honda, the name "WR-V" stands for "Winsome Roundabout Vehicle".

WRV Specs, Features and Price. The Honda WRV has 1 Diesel Engine and 1 Petrol Engine on offer. The Diesel engine is 1498 cc while the Petrol engine is 1199 cc. It is available with the Manual transmission. Depending upon the variant and fuel type the WRV has a mileage of 17.5 to 25.5 kmpl.

Specifications of Honda WR-V Honda WR-V is currently available in Petrol and Diesel engines. The 1199 cc Petrol engine generates a power of 88.50bhp@6000rpm and a torque of 110Nm@4800rpm. The 1498 cc Diesel engine generates a power of 97.89bhp@3600rpm and a torque of 200Nm@1750rpm. Honda WR-V is available in Manual transmission only.

It is available in 4 variants, 2 engine options that are BS6 compliant and a single Manual transmission. Other key specifications of the WR-V include a kerb weight of 1234kg and boot space of 363 Liters. The WR-V is available in 5 colours. Over 127 User reviews basis Mileage, Performance, Price and overall experience of users for Honda WR-V.

Things We Like

• High on cabin space and practicality; large 363 litres boot
• Good visibility and ease of driving
• Both petrol and diesel engines to choose from.

Things We Don't Like

• Misses out on an automatic option.
• The soft suspension is bothersome on windy sections of roads and speeds over 80kmph
• Rear seats lack armrest, dedicated AC vent and USB port

Specifications of Honda WR-V