Benchmarking
BENCHMARKING IN AUTOMOTIVE INDUSTRIES
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
Benchmarking helps organizations to identify the areas where the gap between their standard and that of the industry is the largest. This helps organizations to prioritize the areas that they need to work on
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 team. 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.
An example of Benchmarking for the done for the following requirements of a customer is given below
Requirements :
- The car should be for 5 members including a baby
- Must be suitable for daily use in city
- Must be suitable for long rides with family
- Budget 7-10 lakh
For this we have selected four cars for benchmarking
Maruti Vitara Brezza, Hyundai Venue , Tata Nexon , Ford EcoSport
CONCLUSION
By comparing the cars according to the requirements we found Tata Nexon XM will be more suitable for the client even there is a tight competition with Ford EcoSport ,,because Tata Nexon XM have.
- 5 star NCAP safty
- A milage of 17.4 kmpl
- A good engine (1199 cc, 3 Cylinders Inline, 2 Valves/Cylinder, SOHC) with Enough power (118 bhp @ 5500 rpm)
- Have 2 Air bags as well as Child Seat Anchor points
- Price of the car is with in the Budget of the customer (9,94,355)