1. TASK - PRESENTATION

OUTLINE

• BENCHMARKING MEANING
• BENCHMARKING DEFINITION
• BENCHMARKING FEATURES
• WHY BENCHMARKING
• BENCHMARKING ADVANTAGES AND DISADVANTAGES
• BENCHMARKING PROCESS
• BENCHMARKING TYPES

WHAT IS BENCHMARKING?

At its simplest, benchmarking means:

“Improving ourselves by learning from others.”

Benchmarking is the process of improving performance by continuously identifying, understanding, and adapting outstanding practices found inside and outside the organisation.

It is the process of comparing one`s business processes and performance metrics to industry bests and/or best practices from other industries.

• Why are others better?
• How are others better?
• What can we learn?
• How can we catch up?
• How can we become the best in our industry?

DEFINITION:

Benchmarking is the practice of being humble enough to admit that someone else is better at something and wise enough to try and learn how to match and even surpass them at it.

FEATURES

Benchmarking has three main features:

• Continuous method of measuring and comparing a firm`s business processes against those of another firm.
• Discover performance gaps between one`s own processes and those of leading firms.
• Incorporate leading firm`s processes into one`s own strategy to fill the gaps and improve performance.

WHY BENCHMARKING?

• Traditional performance improvement trends seem not to be sufficient for the highly competitive markets. In other words, external environment and market conditions change rapidly.
• Customer`s expectations are highly liquid and are driven by standards set by best performer. Any product or service just below these standards may not catch the eyes of customer.
• Prevents the “re-inventing the wheel”.

Benchmarking gives us the chance of gaining:

Better awareness of ourselves(us)

• What we are doing
• How we are doing it
• How well we are doing it

Better awareness of the best (them)

• What they are doing
• How they are doing
• How will they be doing it

• Benchmarking is a more efficient way to make improvements. Managers can eliminate trials and errors.
• Benchmarking speeds up organisation`s ability to make improvements. Today, time is of the essence.
• Benchmarking has the ability to bring your performance up as a whole significantly.
• Learn from other`s experience.
• Set realistic but ambitious targets.

ADVANTAGES

PRODUCT AND PROCESS IMPROVEMENT

By implementing benchmarking activity, organisations can improve their operation process.

TIME AND COST REDUCTION

Benchmarking is time and cost efficient because it involves imitation and adaptation rather than pure invention.

COMPETITIVE STRATEGY

By implementing benchmarking activity, organisation can improve their operation process.

DISADVANTAGES

What is best for someone else may not suit you

Poorly defined benchmarks may lead to wasted effort and meaningless results.

Incorrect comparisons

Reluctance to share information

BENCHMARKING PROCESS

PLANNING

• Identify what is to be benchmarked
• Identify comparative companies
• Determine data collection method and collect data

ANALYSIS

• Determine current performance “GAP”
• Project future performance levels

INTEGRATION

• Communicate benchmark findings and gain acceptance
• Establish functional goals

ACTION

• Develop action plans
• Implement specific actions and monitor progress
• Recalibrate benchmarks

TYPES

On the basis of WHAT is being compared with other organisations and WHO is being compared with our organisation, we can classify benchmarking

On the basis of WHAT is being compared with other organisations we have four main types. These four major types of benchmarking are evolutionary beginning with

• Product
• Performance
• Process
• Strategic

On the basis of WHO is being compared with our organisation, we have these categories:

• Internal vs external
• Generic
• International
• Best in class
• Best of the best

2. TASK - CASE STUDY

INTRODUCTION

Benchmarking is the process of measuring the performance of a company’s products, services, or processes against those of another business considered to be the best in the industry, i.e., “best in class”. The point of benchmarking to identify internal opportunities for improvement. By studying companies with superior performance, breaking down what your business operates, you can implement changes that will yield significant improvements.

In simple words, benchmarking is evaluating something by comparison with another competitors.

CASE

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

Note: Pughazhyendhii is fond of big cars.

REPORT

The above case of Mr. Pughazhyendhii leads to following filters. They are

• The number of commuters is five including a child and hence the vehicle should be spacious with enough leg room
• He uses his car for daily office connect and a monthly trip to his native. This would demand for long run vehicle.
• The budget is from 8-10 lakhs and he also fond of big cars.
• Based on these factors, the suggestion would be a choice of SUV VEHICLE.
• Considering the long run of the vehicle the viable options would be DESIGN VARIANT which helps to save fuel costs and other factors like maintenance, better mileage.
• In a crowded city like Bengaluru, automatic gear transmission would be best suited but due to budget constraints and fuel efficiency, MANUL TRANSMISSION is preferred.

Based on these requirements, a detail benchmarking is done to compare the specifications, advantages and other considerable parameters.

List of cars I have chosen to suggest:

1. Kia Sonet
2. Tata Nexon
3. Maruti Brezza
4. Hyundai Venue

KIA SONET

The kia sonet is a subcompact crossover SUV manufactured by kia since 2020. Developed mainly for the Indian market, the sonet is positioned below the seltos and is closely related to the similarly sized sibling Hyundai venue. It is marketed in emerging markets including India, Indonesia, south Africa, Vietnam, Middle East, and several Latin American countries.

The 2022 kia sonet is primarily available in six variants options- HTE, HTK, HTK+, HTX, HTX+, and the GTX+. Overall, this compact SUV is available in 21 trims. It is available in both petrol and diesel engine options. The 1.2-litre smartstream petrol engine with a Five speed manual transmission generates 82bhp at 6,000rpm and 115Nm of torque at 4,200 rpm. On the other hand, the advanced 1.0-litre Turbo-GDi petrol engine produces 118 bhp at 6,000rpm and 172nm of torque between 1,500-4,000rpm.

The 1.5-litre CRDi WGT engine with a six-speed manual transmission produces 99bhpat 4,000 rpm and 240nm of torque between 1,500-2,750rpm. Meanwhile, the 1.5-VGT diesel engine with a six-speed torque converter produces 112bhp at 4,000rpm and 250Nm of torque between 1,500-2,750rpm.

KEY SPECIFICATIONS

PRICE: Rs. 7.15-13.79 lakh

FUEL: Petrol, Diesel

MILEAGE: 18.2- 24.1km/l

SEATING CAPACITY: 5 people

WARRANTY: 3 years

ENGINE SIZE: 1197cc, 1493cc, 998cc

TRANSMISSION: Manual, Clutch less Manual, Automatic (DCT), Automatic (TC)

SIZE: 3995mm L X 1790 mm W X1610 mm H

FUEL TANK: 45 litres

SAFETY RATING: 3-star in global-NCAP

TATA NEXON

The Tata Nexon is a subcompact crossover SUV produced by the Indian automaker Tata Motors since 2017. It is the first crossover SUV from the brand, and occupies the sub-4 metre crossover SUV segment in India. The Nexon made its debut as a prototype exhibited at the Auto Expo 2014. The final model was presented in February 2016.

The engines are developed by Tata Motors and Austrian engineering company AVL. The petrol engine is the 1.2L revotron three-cylinder turbo 12 valve that delivers 81kW (109hp: 110 PS) and 170 Nm of maximum torque combined with a 6-speed manual or automatic transmission. The diesel engine as a 1.5L revotron four-cylinder common rail 16-valve that delivers 81 kW (100hp: 110PS) and 260 Nm of maximum torque, also paired with a 6-speed manual or automatic transmission.

Tata Nexon is available in seven variants- XE, XM, XMA, XZ, XZ+, AND XZA+. The automatic versions have 3 different driving settings. In 2018, Tata added a sunroof option.

KEY SPECIFICATIONS

PRICE: Rs. 7.60-13.95 lakh

FUEL: Petrol, Diesel, EV

MILEAGE: 16.3- 22.07km/l

SEATING CAPACITY: 5 people

WARRANTY: 2 years

ENGINE SIZE: 1497cc, 1493cc, 1353cc

TRANSMISSION: Manual, Automatic

SIZE: 3993mm L X 1811mm W X1606 mm H

FUEL TANK: 44 litres

SAFETY RATING: 5-Star in global-NCAP

MARUTHI BREEZA

The Suzuki Breeza is a subcompact crossover SUV from Suzuki and manufactured by Maruti Suzuki in India. The Breeza is the first Suzuki-branded car which was fully developed in India. The first generation Vitara Breeza was first unveiled in India at the 13^th Auto expo in February 2016. The second-generation Breeza was unveiled in India on 30 June 2022. The vehicle retained the body shell platform of previous generation with major revisions.

Like the current facelifted version of the first-generation Vitara Breeza, the new second-generation Breeza will also be available in seven variants- seven manual and three automatic. The manual variants- LXI, LXI(O), VXI, VXI(O), ZXI, ZXI(O), and ZXI+ will retain the 5-speed manual transmission of the current version. However, the automatic variants-VXI, ZXI, and ZXI- will get a new 6 speed torque converter with paddle shifters

The outgoing Vitara Breeza gets a1.5-litre K15B petrol engine with smart hybrid technology for automatic variants. The new Breeza will get the same engine with Dual jet technology- codenamed K15C-featuring two injectors per cylinder.

KEY SPECIFICATIONS

PRICE: Rs. 7.99-13.96 lakh

FUEL: Petrol

MILEAGE: 19.8- 20.1km/l

SEATING CAPACITY: 5 people

WARRANTY: 2 years

ENGINE SIZE: 1462cc

TRANSMISSION: Manual, Automatic

SIZE: 3995mm L X 1790mm W X1685mm H

FUEL TANK: 48 litres

SAFETY RATING: 5-Star in global-NCAP

HYUNDAI VENUE

The Hyundai Venue is a subcompact crossover SUV manufactured by the south Korean manufacturer Hyundai. Derived from the platform of the Accent, it was Hyundai’s smallest crossover globally prior to the introduction pf the Casper. Two versions of the venue were developed and produced for different markets. The Korean-made Venue is code named QX or QX1, while the Indian-oriented, internally code named as QXi, shorter in length and wheelbase than the Korean Version.

The Hyundai venue is offered in 16 variants namely E, S, S Opt, S Opt Turbo iMT, S Plus Diesel, SX, SX DT, S Opt Turbo DCT, SX Diesel, SX DT Diesel, SX Opt Turbo iMT, SX Opt Turbo iMT DT, SX Opt Diesel, SX Opt DT Diesel, SX Opt Turbo DCT, SX Opt Turbo DCT DT.

Hyundai Venue is currently available in Petrol and Diesel engines. The 998cc Petrol engine generates a power of 118.41bhp@6000rpm and a torque of 172Nm@1500-4000rpm. The 1493cc Diesel engine generates a power of 98.56bhp@4000rpm and a torque of 240Nm@1500-2750rpm. Hyundai Venue is available in both manual and automatic transmission.

KEY SPECIFICATIONS

PRICE: Rs. 7.53-12.72 lakh

FUEL: Petrol, Diesel

MILEAGE: 17.5- 23.4km/l

SEATING CAPACITY: 5 people

WARRANTY: 3 years

ENGINE SIZE: 1197cc, 998cc, 1493cc

TRANSMISSION: Manual, Automatic

SIZE: 3995mm L X 1770mm W X1617mm H

FUEL TANK: 45 litres

SAFETY RATING: 4-Star in global-NCAP

DECISION

From considering all the above information, TATA NEXON is best car will suit to Pughazhyendhii based on the benchmarking report done above. It offers much better stability in performance and spacious compared to other model and falls under the budget of 10 lakhs with top special model. Maruti Breeza also provides better features but, safety concern and fuel (only petrol) bring some negative marks.

• LARGE AIR BAGS FOR SAFETY

• WELL SPACIOUS INTERIOR CABIN

• WELL STRUCTURED AND SYSTEMATIC FRONT CABIN

• SPECIAL FEARTURES

• LARGE BOOT SPACE

• INTERIOR FEATURES

CONCLUSION

Finally, a case study on present available cars is successfully done and suggestion for the right car is made as per the customer requirement. Thank you.