Irish Productivity Centre PHARE Business Support Project Practical Issues to Consider When Planning...

Irish Productivity Centre

PHARE Business Support Project

Practical Issues to Consider

When Planning a Benchmarking Visit

Norbert Gallagher, Vincent Steadman, Colin Mc Glynn,

Teresa Hanratty, John Corrigan

Tel. +353 1 8227125 HTTP: www.ipc.ie

Working with our clients to improve business performance



Benchmarking is…

Benchmarking is the continuous process of measuring products, services and practices against the toughest competitors or those companies recognised as industry leaders(David Kearns, CEO, Xerox Corp.)

Benchmarking is the search for industry best practices that lead to superior performance




Benchmarking is…

A process

as opposed to a task

Continuous

because the environment keeps changing

Includes measurement

both inside and outside the company

Looks at products, services and practices

not just aimed at competitive analysis




Benchmark Planning

PreparationDesign the Template

Establish Language

Human Resource and Access Strategies

Define Key areas of interest

Design initial/Specialist Inputs

Confirm Learning Objectives

Case Study/Role Play/Dry Run


Direct Experience

Real Examples

Operational Issues

Leading Edge Practices

Similar Sector Among the Team on the Road

Within their Professional Group

With Others

Locally/Nationally

Programme for Benchmarking Abroad

Diffusion



Benchmark Planning

Planning Phase

1. Identify what is to be benchmarked

2. Identify comparative companies

3. Determine data collection methods


4. Determine current performance “gap’’

5. Project future performance levels

6. Communicate benchmarking findings and gain acceptance

7. Establish functional goals

Analysis Phase

Integration Phase

Action Phase

8. Develop action plans

9. Implement specific actions and monitor progress

10. Recalibrate benchmarks

Return to Step 1



Strategy for Analysis of Critical Issues


Business Confederation

Trade Union Confederation

Cultural Considerations

Political Context and History

Role of the Social Partners

Structure and Ideology

Are key issues/learning transplantable?

Role and strategy

Social democratic/neo-

liberal



… learning from others in a global community

Lean Production• Investment intensity• Fixed vs. liquid assets• Capacity utilisation• Productivity• Make vs. buy

Market Attractiveness• Growth• Concentration• Innovation• Customer power• Logistical complexity

Competitive Strength• Market Share• Relative Share• Relative Quality• Patents• Customer Coverage

Performance

Hands-on Excellence• Lean organisation• Participative culture• Incentives• Training• New vs. old hands

Measuring and Improving your Business Profile…




Trade Union Context

Density

Coverage

Representation

Vertical

Horizontal

Open

Closed

Adversarial

Co-operative

Ideology

Level at which bargaining takes place

Power at or away from the point of production

Degree of influence within society




Employer Context

Idology of confederation

Size and Influence

Level at which bargaining takes place

National

Industry

Local

Single Employer

Multi-Employer




Chronology of Events

Be precise about what you want to

benchmark

Who needs to be involved?

Can you make contact with host

organisation?

Can you gain access?


What training is required prior to

visit?

Do visitors know what to look for?

Flights, hotels, transfers, contact

names, gifts, protocol

Who should travel?

How will learning be internalised?

How will learning be transferred?

What are the critical implementation

issues?

Measure, improve, evaluate, re-

measure

Irish Productivity Centre PHARE Business Support Project Practical Issues to Consider When Planning...

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