Benchmarking- To Measure Competitiveness

Wednesday, January 7, 2009

Benchmarking is a great tools to create a better organization, it help you to create a comparative strategy that measures how a particular business or brand process differs from another one and why particular company is distinctly superior. There are two basic approaches to benchmarking in computing- the “scientific” and "quantitative" approach which are generally being used to find the true reference point for measurement of the effectiveness. There are one of the good reason to follow such measurement because it mostly relates directly to the strong branded product or service differentiation strategy from the very beginning...

Competitive Benchmarking is a process made up of the following steps by which you can measure your own position and you can be able to analyze how other competitors performing well or doing exceptionally well in similar niche?

* Identify what should be Benchmarked, Choose benchmark partners, companies from similar niche?

* Create the goal of the benchmarking process and classify the selective area into classes.

* Identify comparative companies best brand where those performance levels can be measured and the place those functions in question to solve it during benchmarking process.

* Determine data collection method and comparative and comprehensive database, the objective is to know what factors is working exceptionally well with a competitive brand?

* Analyze the discrepancies of yours and what your competitor are missing? Identify the unfulfilled demands of specific market segments.

* Define the future performance levels and follow the key trends

* Determine current performance gap and frame your strategy

* Find the overall gain acceptance and market penetration

* Frame your functional goals and develop Action Plans

* Make improvement plans or new procedures

* Know the factors in advance that can impact the future market.



* Work out your specific actions and monitor progress and plan ongoing benchmark, if you're operating few companies in same niche, go for generic benchmarking and benchmark each company to find the value proposition for each company and the unique class.

Benchmarking greatly help you to differentiate companies in similar niche and also help you to find the USP and stand out being unique in specific class or beyond the class... and let you sustain in even diversified situations.