Challenge

Benchmarking

BENCHMARKING

Benchmarking is the practice of comparing business processes and performance metrics to industry bests and best practices from other companies. Dimensions typically measured are quality, time and cost.

Benchmarking is used to measure performance using a specific indicator (cost per unit of measure, productivity per unit of measure, cycle time of x per unit of measure or defects per unit of measure) resulting in a metric of performance that is then compared to others.

Also referred to as "best practice benchmarking" or "process benchmarking", this process is used in management in which organizations evaluate various aspects of their processes in relation to best-practice companies' processes, usually within a peer group defined for the purposes of comparison. This then allows organizations to develop plans on how to make improvements or adapt specific best practices, usually with the aim of increasing some aspect of performance. Benchmarking may be a one-off event, but is often treated as a continuous process in which organizations continually seek to improve their practices.

In project management benchmarking can also support the selection, planning and delivery of projects.

In the process of best practice benchmarking, management identifies the best firms in their industry, or in another industry where similar processes exist, and compares the results and processes of those studied to one's own results and processes. In this way, they learn how well the targets perform and, more importantly, the business processes that explain why these firms are successful. According to National Council on Measurement in Education, benchmark assessments are short assessments used by teachers at various times throughout the school year to monitor student progress in some area of the school curriculum. These also are known as interim government.

TYPES:

Benchmarking can be internal (comparing performance between different groups or teams within an organization) or external (comparing performance with companies in a specific industry or across industries). Within these broader categories, there are three specific types of benchmarking:

  • Process benchmarking
  • Performance benchmarking
  • Strategic benchmarking.

PROBLEM STATEMENT:

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, 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 commute to his office. His budget falls between 8 to 10 lakhs on road. Please suggest tofio him with options so that he will buy a good car for his family.

Note: Pughazhyendhii is fond of big cars

CUSTOMER REQUIREMENTS:

  • S. Pughazhyendhii has 5 members in his family. (5-seater car required)
  • He lives in Banglore which is a crowded City. (Shorter length car is preferred)
  • He goes daily to office in his car. (Car with good mileage is required)
  • He makes a long trip of 1000 kms up and down once a month. (Requires a highly stable car on higher speeds and should provide good comfort for all the passengers throughout the whole trip, especially the room for rear passengers should be adequate)
  • He requires a family car including his small 5-year-old child. (Safety must be given utmost priority)
  • His budget is 8 to 10 lakhs (Cars falling into this budget category are only chosen with the On Road Price in Bangalore as standard)
  • He is fond of big Cars (Premium Hatchback, SUV, Sedan and Crossovers are given more preference)

Based on the customer requirements, first we can select all the 5- seater cars currently available in 8 to 10 lakhs budget in the market. The following is the list.

  1. Maruti Suzuki Ciaz
  2. Maruti Suzuki S Cross
  3. Maruti Suzuki Baleno
  4. Maruti Suzuki Vitara Brezza
  5. Hyundai Venue
  6. Hyundai Verna
  7. Hyundai I20 – 3rd Generation
  8. Honda Jazz
  9. Honda Amaze
  10. Honda WR-V
  11. Honda City
  12. Renault Kiger
  13. Renault Duster
  14. Renault Triber
  15. Toyota Glanza
  16. Toyota Urban Cruizer
  17. Toyota Yaris
  18. Tata Tiago
  19. Tata Nexon
  20. Tata Altroz
  21. Tata Tigor
  22. Mahindra XUV 300
  23. Mahindra KUV 100 NXT
  24. Nissan Magnite
  25. Nissan Kicks
  26. Kia Sonet
  27. Skoda Rapid
  28. Fiat Punto
  29. Fiat Linea
  30. Volkswagen Polo
  31. Ford Aspire
  32. Fore Figo
  33. Ford Freestyle
  34. Ford Ecosport
  35. Chevrolet Sail Hatchback
  36. Chevrolet Sail

From this long list, we will select cars have 5-star crash test safety rating as safety is mandatory. Also, the bodies of cars which are stable during crash are only selected to increase the confidence of the driver while driving at higher speeds. So, the list gets shorter as follows.

  1. Maruti Suzuki S Cross
  2. Hyundai Verna
  3. Honda Jazz
  4. Honda City
  5. Tata Nexon
  6. Tata Altroz
  7. Mahindra XUV 300
  8. Nissan Magnite
  9. Nissan Kicks

Since Mr. D.S. Pughazhyendhii is in a crowded city and as he goes to office daily, mileage is considered as a parameter. Based on that, cars giving mileage above 16 kmpl are considered. The list is as follows.

  1. Maruti Suzuki S Cross (18.55 Kmpl)
  2. Hyundai Verna (17.7 to 22 Kmpl)
  3. Honda Jazz (16.6 to 17.1 Kmpl)
  4. Honda City (18 to 23 Kmpl)
  5. Tata Nexon (17.4 to 19 Kmpl)
  6. Tata Altroz (19.5 t0 24 Kmpl)
  7. Mahindra XUV 300 (17 to 20 Kmpl)
  8. Nissan Magnite (17.7 to 19.42 Kmpl)

Since Mr. D.S. Pughazhyendhii goes on a long trip of 1000kms up and down once a month, the ride quality and comfort given by the vehicle matters a lot. So, lets consider and compare them. Three cars from the above list are not comfortable for rear passengers. They are Hyundai Verna, Honda City and Tata Altroz. Also, three cars from the above list have poor ride quality when compared to their competitors. They are Honda Jazz, Honda City, Hyundai Verna and Nissan Kicks. The above listed 5 cars are not suitable as per Mr. D.S. Pughazhyendhii’s expectations. So, they are neglected.

The following are the cars that are chosen and compared to suit Mr. D.S. Pughazhyendhii’s family.

  1. Maruti Suzuki S Cross
  2. Tata Nexon
  3. Mahindra XUV 300
  4. Nissan Magnite

Let’s compare their technical aspects more in detail to arrive at a better solution.

  1. MARUTI SUZUKI S-CROSS:

Overall Length

4300mm

Overall Width

1785mm

Overall Height (with Roof Rail)

1595mm

Wheelbase

2600mm

Turning Radius

5.5m

Engine Type

1.5L K15 BS6 Engine

Fuel Type

Petrol

Engine Capacity (cc)

1462

Fuel-Efficiency (km/l)

18.55 (MT) / 18.43 (AT)

Max Torque (Nm@rpm)

138@4400

Emission Type

BS VI

Fuel Tank Capacity (L)

48

Front Brakes

Ventilated Disc

Rear Brakes

Solid Disc

Front Suspension

McPherson Strut with coil spring

Rear Suspension

Torsion Beam with coil spring

Price

₹ 8,39,000 to ₹ 12,39,000

ADVANTAGES Of S-CROSS:

  • Good when driven in the city. It is smooth and quick in the traffic.
  • It has a great ride and handling balance.
  • The suspension functions silently and effectively when it goes through potholes.
  • The S-Cross has one of the most comfortable rear seats and plenty of legroom in its class.
  • The cabin is also very easy to get in and out.
  • Outstanding value for money.
  • Easily accessible and low-cost service.

DISADVANTAGES Of S-CROSS:

  • There are no AC vents, USB or 12-volt sockets to charge devices in the rear seat.
  • No cooled seats, wireless charging and sunroof.
  • No diesel engine variant.
  1. TATA NEXON:

Overall Length

3993mm

Overall Width

1811mm

Overall Height (with Roof Rail)

1606mm

Wheelbase

2498mm

Turning Radius

5.1m

Engine Type

1.2L Turbocharged Revotron (Petrol)

1.5L Turbocharged Revotorq (Diesel)

Fuel Type

Petrol, Diesel

Engine Capacity (cc)

1199 (Petrol)

1497 (Diesel)

Fuel-Efficiency (km/l)

17.4

Max Power (kW@rpm)

120@5500

110@4000

Max Torque (Nm@rpm)

170@1750-4000

260@1500-2750

Emission Type

BS VI

Fuel Tank Capacity (L)

44

Front Brakes

Disc

Rear Brakes

Drum

Front Suspension

Independent, Lower Wishbone, McPherson Strut with coil spring

Rear Suspension

Semi-Independent, closed profile twist beam with Dual path strut

Price

₹ 7,19,000 to ₹ 12,95,900

ADVANTAGES Of NEXON:

  • The 8-speaker Harman audio system stands out as something special.
  • Well defined and effective drive modes – Eco, City, Sport.
  • Bobbing or pitching is very less in the bumps.
  • Gives the confidence to ride at higher speeds and remains well balanced.
  • Spacious rear seats and legroom.
  • Value for money.

DISADVANTAGES Of NEXON:

  • Not good to drive in city.
  • Power delivery in low speed is not good.
  • Difficult to enter and exit the rear seat due to arched window line.

  1. MAHINDRA XUV 300:

Overall Length

3995mm

Overall Width

1821mm

Overall Height (with Roof Rail)

1627mm

Wheelbase

2600mm

Turning Radius

5.3m

Engine Type

1.2-Litre 3-Cylinder Petrol Engine

1.5-Litre 4-Cylinder Diesel Engine

Fuel Type

Petrol, Diesel

Engine Capacity (cc)

1197 cm3 (Petrol)

1497 cm3 (Diesel)

Fuel-Efficiency (km/l)

17 - 20

Max Power (kW@rpm)

81 kW (110.1 PS) @ 5000 r/min (Petrol)

85.8 kW (116.6 PS) @ 3750 r/min (Diesel)

Max Torque (Nm@rpm)

200 Nm @ 2000 - 3500 r/min (Petrol)

300 Nm @ 1500 - 2500 r/min (Diesel)

Emission Type

BS VI

Fuel Tank Capacity (L)

42

Front Brakes

Disc

Rear Brakes

Disc

Front Suspension

MacPherson Strut with Anti-roll Bar

Rear Suspension

Twist Beam Suspension with Coil Spring

Price

₹ 7,95,962 to ₹ 13,09,000

ADVANTAGES Of XUV 300:

  • Safety at its best for children.
  • Cabin is very spacious.
  • The vehicle performs at its best in normal and comfort modes.
  • The rear seat is very comfortable for 3 persons.

DISADVANTAGES Of XUV 300:

  • The back seat is low and leg support is less.
  • No automatic transmission.
  • No rear AC vents and USB charging vents.
  • Sports mode is less responsive while approaching a corner at high speed.
  • Middle and higher end variants are costly (above 10 lakhs).
  1. NISSAN MAGNITE:

Overall Length

3994mm

Overall Width

1758mm

Overall Height (with Roof Rail)

1572mm

Wheelbase

2500mm

Turning Radius

5m

Engine Type

HRA0 1L Petrol

HRA0 1L Turbo Petrol

Fuel Type

Petrol

Engine Capacity (cc)

999 cm3

Fuel-Efficiency (km/l)

18.75(Petrol)

20 (Turbo Petrol)

Max Power (kW@rpm)

72 kW @ 6250 r/min (Petrol)

100kW @ 5000 r/min (Turbo Petrol)

Max Torque (Nm@rpm)

96 Nm @ 3500 r/min (Petrol)

160 Nm @ 2800-3600 r/min (Turbo Petrol)

Emission Type

BS VI

Fuel Tank Capacity (L)

40

Front Brakes

Disc

Rear Brakes

Drum

Front Suspension

MacPherson strut with Lower Transverse link

Rear Suspension

Twin tube telescopic shock absorber

Price

₹ 5,59,000 to ₹ 9,90,000

ADVANTAGES Of MAGNITE:

  • Effortless driving in city traffic.
  • Even the high-end version is relatively fairly priced.
  • The car’s exterior and interior design looks appealing.
  • Plenty of space and leg room inside.

DISADVANTAGES Of MAGNITE:

  • No diesel engine option.
  • Poor build quality of plastic interiors.
  • Road noises are heard when passing through bumps on the road.
  • No sunroof.
  • Less responsive when turning in a corner.

From the above comparisons it can be inferred that all the four cars are similar in their segments (Crossover) and are very spacious for the passengers to sit.

When comparing the four cars (Maruti Suzuki S-Cross, Tata Nexon, Mahindra XUV 300 & Nissan Magnite), Mahindra’s XUV 300 is very highly priced and certain features can be accessed only on the mid and top variants which costs more than 10 lakhs. So, Mahindra XUV 300 can’t be a perfect choice.

Tata’s Nexon is good in terms of higher speeds. But it is difficult to drive it in low speeds in traffic. Mr. D.S. Pughazhyendhii goes to office daily in a crowded city. So, it makes Nexon unfit for him to go to office.

Nissan’s Magnite is good in city but less responsive at higher speeds. So, it can’t be suitable for Mr. D.S. Pughazhyendhii ’s family to go for long trips.

Even though Maruti Suzuki’s S-Cross lacks certain features like rear AC vents, USB charging, etc it doesn’t matter as Mr. D.S. Pughazhyendhii is not concerned about that. It is also good to ride in city as well as provides comfort and confidence at high speeds in highways. So, Maruti Suzuki’s S-Cross is suitable for Mr. D.S. Pughazhyendhii ’s family requirements.

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