Benchmarking
BENCH-MARKING
Benchmarking involves a structured comparison between similar products, services or processes on some dimensions of performance. For example it can be used to compare the availability and delivery of features in a product and in this form often provides the basis of consumer tests and reviews. These look at products and services and provide recommendations based on which is best or some form of ranking amongst competitors. It is particularly useful when comparing not only performance but also practice – in other words what do the different organizations do to enable that performance to be delivered? And applied in this way it is a powerful tool in process innovation sin e studying how the ‘best’ achieve their performance can provide powerful clues for changing the way processes operate. Process benchmarking of this kind can operate at several levels:
• Between similar processes in the same factory or service branch
• Between different factories or service branches
• Between different competing organizations
• Between different sectors using the same process
Whilst if offers a significant learning opportunity benchmarking between competing organizations is harder than the other three because competitors do not want to disclose their process information since it is a source of competitive
advantage to tem. So benchmarking of this kind often involves a third party who can collect the data, make the comparison and provide feedback but all on a confidential basis.
Given that Mr. D.S. Pughazhyendhii is a married man who lives in Bangalore. His Family comprises five members. He visits his native place Madurai which is 500kms away from Bangalore once a month. His budget falls between 8 to 10 lakhs on road. He is a frequent traveller both in metropolitan roads and in highways.
Based on the current markets available cars, the following table gives the benchmarking for 5 products.
Mahindra XUV300 is the BEST option for Mr. D.S. Pughazhyendhii.
References
- https://www.spinny.com/blog/index.php/popular-car-brands-india/#mg-motors
- https://www.india.com/car-and-bike/latest-news/news-cars/top-7-most-searched-cars-and-automotive-brands-in-india-3301211/
- https://www.drivespark.com/cars/8-10lakhs/
- http://www.innovation-portal.info/wp-content/uploads/Benchmarking-in-the-automobile-industry.pdf