What is the purpose of Benchmarking?

Elsmar Forum Sponsor
#2
Re: benchmark

Benchmarking is a method of comparing your organization to similar organizations (or even one internal activity to another internal activity) on a wide range of issues (metrics). For internal purposes, you have a great deal of flexibility over the metrics. With external benchmarks you are more limited. Most benchmarking services use blind metrics, so in order to participate, you fill out a detailed questionnaire. You are then compared with other similar organizations on those metrics. You have no idea of what companies participate, so you really don't know if you are being compared with your direct competitor, but they still give out great information.

The company I work for has an excellet database, and if the moderators will allow, I will post the link below. I am also posting another excellent site, so I will not tell you which one I am associated with.

www.benchnet.com/
www.performancebenchmarking.org

hopefully, those will be a great help.
 

somashekar

Staff member
Admin
#4
Re: Load Testing Benchmarking

First benchmarking comes out of total quality. One of the purposes of total quality is to make your service or product better and meet the needs of your customers.
So you want to improve your performance to meet the needs of your customers. And how are you going to do that? By comparing your product / service to other similar product / service and finding out who is doing better than you. Then identify the procedures they use to outperform you. ie: their best practices, and adopt those procedures to your product / service suitably so that you also perform better than what you are doing at present.
And benchmarking should be applied at least annually to monitor your progress towards improvement. Benchmarking is a method which should be used on a continual basis as best practices are always evolving.
< The above is a slight modification of a google search information>
 
P

prabhatchaddha

#5
what is purpose of benchmarking
I think its all about beating the best.

When toyota tried to be the automobile leader they first benchmarked Ford motors and set Ten fold improvement plan.
Once they were over ford they started to benchmark their internal processes and thinking about continuous improvement

Regards
 
C

Citizen Kane

#6
Hi !

Benchnmarking is OK, but only the sides you have for comparison are the same.

For example, in production of populating PCBs, you can get significant differences if you have products on witch you must place 50 components vs. ones with 300 components. Even if you do a calculation of efficiency based on placed components, still you will have a better yeald for the small qty. ones.

Also, for the whole location, depends on the products portofolio - a larger portofolio of products means more may CHOs.

Also, lesser CHOs and high quantities allow you to work with 1-2 people per SMD line - and this personel figure you cannot compare with a plant with lots of CHOs.

It's a tricky thing when presented to world wide management. Maybe that's why each location finds methods to cheat the system/reporting. On our example, some do the calculation of efficiency with maintenance and downtime due to materials problems included, some don't - and all in the same company.

Further more, if there is a world wide company, it;'s hard to know the exact situation on each plant - and you know everybody wants to look good in the reportings !
 
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