Challenge

Benchmarking

Benchmarking

In general, benchmarking is a process of comparing various parameters of the competitors to get a better product. In the automobile industry, it involves a structured comparison between similar products, services or processes on some parameters of performance. An important element in benchmarking studies is a diagnosis of the areas of weakness in order to identify potentially fruitful improvement activities. The goal is to create and implement innovations, state of the art features, affordability to improve the products life cycle.

This meant to be teasing the features of a product more closely to match the competitors offer, or changing the scope of services you offer to enable more personalized communications with customers.

The 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.

Benefits of Benchmarking

Benchmarking can be based on internal measurement where cooperative manufacturing process benchmarks of other manufacturers is a secondary measure. This goes to the heart of understanding the purpose and use of benchmarking. Often benchmarking is focused on the manufacturing process itself to:

  • Improve quality
  • Decrease manufacturing time
  • Reduce scrap and rework
  • Increase production

Benchmarking process

  • Planning

The first stage of benchmarking is the most important in the process. Planning includes highlighting what you want to improve, who you will benchmark yourself against, and expected features. Only once this step has been completed will you be able to move on to the next step as the results of planning will focus on the information you need to collect.

  • Collection of information

After planning, benchmarking is about collecting information on your processes and how competitors do them. If you make benchmarking for the cars, then you have to consider the body type, engine displacements, safety features, performance parameters and pricing. At this point, it is important to gather as much information as possible.

  • Analysis of Data

Once you feel you have all the information you can gather, you can start to plot it and begin to understand the shortcomings you may have. It is important to remember at this point in the process that no car is perfect and you must have an open mind to be able to analyse information objectively. Once findings start to be uncovered you can draft a report and start discussing the next steps to achieve better performance in this area.

  • Action

Presenting findings to a department is never an easy thing, especially when you are proposing changes. Gathering and analysing information is only worthwhile when you can implement changes and better the company in the process. Gaining buy-in from a department can involve concessions so make sure the MVP you present is accepted and will likely equate to the success highlighted in the planning stage.

  • Monitoring

No plan is ever complete without monitoring results to determine how successful the plan has been. The implementation phase will have highlighted metrics and goals for success within a time frame so monitoring these is the only way of knowing the efficacy of the changes. Monitoring can be over a short or long period of time depending on the desired outcomes.

Requirement:

In this project, we have discussed cars available in the market for benchmarking 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 5 members including his wife, 5-year boy, father and his mother. He once in a month visits his native place Madurai which is almost 500kms away from Bangalore. Also, he will be using his car to commute to his office. His budget falls between 8 lakhs to 10 lakhs on road. Please suggest options so that he will buy a good car for his family.

Note: Pughazhyendhii is fond of big cars.

My suggested cars are listed below:

Maruti Suzuki Vitara Brezza

Hyundai Venue

Nissan Magnite

Tata Nexon

1. Maruti Suzuki Vitara Brezza

Overview of the car

Body Style

:

SUV

Engine Displacement (cc)

:

1462

Max Power

:

105hp at 6000rpm

Max Torque

:

138Nm at 4400rpm

Gearbox Type

:

5-speed Manual Transmission

Seating Capacity

:

5

Mileage (Petrol)

:

17.03 kmpl

Pros

  • Competent 1.5-L Petrol Engine: The new K15 1.5-L engine is not just smooth and refined but also gets a strong low-end. The linear power delivery and decent fuel economy make it a great car for the city as well as for highway usage.
  • Complaint Suspension Setup: The overall suspension setup gives a great balance between ride-and-handling. The slow-speed ride is comfortable while the high-speed stability too is impressive.
  • Excellent After-Sales Service: well versed with the after-sales support provided by Maruti Suzuki India. In fact, the Brezza is one of the most affordable and dependable cars in the segment.

Cons

  • Small Boot: While the boot is wide and boxy, the overall capacity of the boot is not impressive.
  • Not So Responsive Engine: While the refinement levels of this new engine are impressive, the overall response to the throttle inputs could have been better. Hardcore driving enthusiasts will not appreciate the response from the engine is extremely uninvolving to drive.

2. Hyundai venue

Overview of the car

Body Style

:

SUV

Engine Displacement (cc)

:

1493

Max Power

:

100hp at 4000rpm

Max Torque

:

240Nm at 1500-2750rpm

Gearbox Type

:

6-speed Manual Transmission

Seating Capacity

:

5

Mileage (Petrol)

:

23.3 kmpl

Pros

  • Design: There is not a single per cent of doubt that the Venue design will not appeal to the buyers. Since its launch, it has sold over a thousand units and the split headlight design speaks for itself. This is a new-age design that gives the Venue a funky and aggressive look if it is customised right.
  • Aftersales and Service Network: Being in the country for more than two decades, Hyundai has surely increased its aftersales and service network. You can literally drive in anywhere in the country and you will find yourself any nearby Hyundai showroom. Also, the aftermarket sales network has surely proven how the South Korean carmaker has set its base in India.
  • Pricing: It is fairly priced in the segment and offers more features than its competitors.

Cons

  • Lack of rear space: Yes, even though the Venue is a compact SUV, it feels like a small hatchback at the rear. You just cannot seat 3 people comfortably at the rear for longer journeys. There is a lack of under-thigh support and legroom for rear passengers which makes it a complicated choice when compared with Tata Nexon or Maruti Brezza.
  • Narrow Second Row: The second row of the vehicle is not so spacious and may not accommodate three grown-up adults with ease. The rear seat is best suited for two adults and a small child.

3. Nissan Magnite

Overview of the car

Body Style

:

SUV

Engine Displacement (cc)

:

999

Max Power

:

100hp at 5000rpm

Max Torque

:

152Nm at 2200-4400rpm

Gearbox Type

:

CVT Automatic Transmission

Seating Capacity

:

5

Mileage (Petrol)

:

17.7 kmpl

Pros

  • The Magnite looks really good…that handsome face is a head-turner
  • Sheer value-for-money pricing. Turbo-petrol with a proper AT under 10 lakhs!
  • Peppy performance from the Magnite’s 1.0L turbo-petrol engine
  • Smooth well-tuned CVT in a sea of jerky AMTs. Has Sport and L modes too
  • Healthy legroom for rear passengers. Space packaging is brilliant

Cons

  • Stiff & basic ride quality. You feel each and everything on the road
  • The Magnite is built to a cost and it does show, especially in the budget-grade cabin
  • No diesel option is available on the Nissan Magnite
  • The cabin is narrower than some competitors. The narrow width makes it best for 4 adults
  • Nissan's tiny dealership network & lousy after-sales quality

4. Tata Nexon


Overview of the car

Body Style

:

SUV

Engine Displacement (cc)

:

1199

Max Power

:

118.36bhp at 5500rpm

Max Torque

:

170Nm at 1750-4000rpm

Gearbox Type

:

6-speed AMT Automatic Transmission

Seating Capacity

:

5

Mileage (Petrol)

:

17.7 kmpl

Pros

  • Build Quality: The Tata Nexon is one of the very few cars in the market that scored a perfect five-star rating in the crash tests conducted by GNCAP. Moreover, the overall build quality of the car is superb and the car definitely feels extremely solid.
  • Funky and Appealing Design Language: With the launch of the facelifted model, the Nexon now is offered as one of the best-looking compact SUVs in the market. In addition to this, the new headlights and the new front bumper design makes it look much more premium and upmarket than most of its rivals.
  • Ride-Handling Balance: The suspension of the Nexon is tuned to offer a supreme ride and handling balance. The car has sorted driving dynamics and in addition to this, remains extremely comfortable which is being driven on badly patched up surfaces and rough roads.
  • Spacious and Practical Cabin: There is an ample amount of space inside the cabin and the seats too are comfortable. There is no dearth of storage spaces inside the cabin and there is plenty of safety features and equipment on offer as well.

Cons

  • Unrefined and Not So Powerful Petrol Engine: The Nexon gets a 1.2-L turbocharged petrol engine which puts of decent power output figures for a car of this size. However, the refinement levels of this motor are not great and it does get vocal when pushed hard. In addition, the heavyweight of the vehicle too takes a toll on the overall performance of the car.
  • After-Sales Service: The customers report that the Nexon as a product is a great car but sometimes, they do face issues with the after-sale service and maintenance of the vehicle. Tata should definitely improve the overall after-sales experience to meet the customers' expectations.

Comparison of models:

Conclusion:

I would suggest Mr D.S Pughazhyendhii buy a Tata Nexon car, Since it comes with an AMT gearbox it provides good drivability in city condition as well as highway. Also, it comes with a turbocharged petrol engine that comes in handy on the highway for hassle-free overtaking. Moreover, this car provides best in class safety features and also got 5 star safety rating on the Global NCAP crash test.

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