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Quality Management Benchmarking Chapter 10

Quality Management Benchmarking Chapter 10. Achieving Organizational Success. Benchmarking. Benchmarking

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Quality Management Benchmarking Chapter 10

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  1. Quality ManagementBenchmarkingChapter 10

  2. Achieving Organizational Success

  3. Benchmarking • Benchmarking • During the benchmarking process, a company compares its performance against a set of standards or against the performance of a best-in-class company. With the information provided by the comparison, a company can determine how to improve.

  4. Benchmarking • What is benchmarking? • It is a tool that will: • Compare and measure your business performance against world class companies. • Highlight areas where your business performance is sub-optimal. • Highlight worldwide best practices that lead to superior performance. • Help to continuously improve your performance. • Introduce new ideas.

  5. Benchmarking • What are the major benefits of benchmarking? • Identifies opportunities for improvement • Motivates action by external example of excellence • Clarifies current status • Stimulates change • Identifies strengths and assets • Provides an urgency for change • Uncovers new ways of improving processes • Promotes improvement

  6. Benchmarking • What are the different standards for comparison? • AWARDS/CERTIFICATIONS • Malcolm Baldrige National Quality Award • ISO 9000 – qualitydigest.com • Deming Prize • Supplier Certification Requirements • Best-in-field organizations

  7. Benchmarking • What are the other standards for comparison? • Public (free) studies • Industry Week Magazine • The BenchMark Exchange • www.benchnet.com -you have to contribute

  8. Benchmarking • What are the other standards for comparison? • Private (pay-to-see) studies • Example: mpi-group.net • MPI’s U.S. Benchmarking Toolkit for one year for $995 • Many many others…

  9. Benchmarking • How is benchmarking done? • Determine the focus • Understand your organization • Determine what to measure • Determine whom or what to benchmark against • Benchmark • Improve Performance!

  10. Flowchart of the Benchmarking Process

  11. The Five Ws and Two Hs

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