Total Quality Management

Benchmarking

Presented by
Muhammad Waqas Chughtai
 Historical Quotes
SUNTZU,
a Chinese General in 500 B.C.

If you know your enemy and know yourself,

you need not fear the results of a hundred
battles.
 Continued…

Japanese DANTOTSU word has the

“meaning of striving to be the ‘BEST

OF BEST’. This is the essence of
BENCHMARKING”
 What is Benchmarking?
Benchmarking is a systematic method by
which organization can measure themselves
against the best industry practices.
OR
BM is the process of borrowing ideas and
adapting them to gain competitive
advantage
 What is Bench Mark?
Bench Mark is the systematic search for best
practice, innovative ideas and highly effective
operating procedure .

W. Edward Deming
It is Hazard to copy .It is necessary to understand
the theory of what one wishes to do.
 Continued…

It is the search for the

industry best practices
that lead to superior
performance.
 Benchmarking Concept
What is our What are others’
performance level performance levels?
How did they get there

Creative
Adaptation

Breakthrough
Performance
 Why Benchmarking?

1. To achieve Business & Competitive

Objectives.
2. Goals & Objectives Based on External
Environment.
3. Cost Efficient.
4. Continuous Improvement & New
Development.
Bench Marking Template
 Benchmarking Process
Phases S.no Steps
Planning 1 identify what is to be Bench Marked
?
2 Identify the best competitor
3
Determine the data collection
method and start collecting data
Analysis 4 Determine the current performance
GAP

5 Project future performance levels

 Continued…
Phases S.no Steps
Integration 6 Communicate bench mark findings
and gain acceptance
7 Establish Functional Goals

Action
8 Develop Action Plans
9 Implement specific actions and
monitor Progress
 Continued…

Phases S.no Steps

Maturity 10 Recalibrate Benchmarks
11 Attain the Leadership position

12 Integrate Practice into the Process

Bench Marking Template
 Reasons for Benchmarking

Defining Customer Requirements

Establish Goals and Objectives
Measures of Productivity
Becoming Competitive
Industry best practices to be achieved
 Types of Benchmarking
Internal Benchmarking

Competitive Benchmarking

Functional Benchmarking
 Benefits of Benchmarking
1. Best Practices incorporated into the
process
2. Motivation for creativity & innovation
3. Technological Breakthrough in one’s
industry
4. Better professional growth
5. Meet effectively customer requirements
6. Assist in attaining competitive position