Negotiate with Benchmarking Partners

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Continuous Improvement & Benchmarking

Negotiate withBenchmarking partners

Benchmark

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2 Continuous Improvement & BenchmarkingModule:Negotiate with Benchmarking partners

Learning objectives

Have the skills to:

Understand the ethics of 

Benchmarking

Identify the contact person Form a letter introducing

Benchmarking

Prepare a Benchmarking

information package Overcome resistance

Prepare a letter of agreement

EthicsContactIntroductionPackage

ResistanceAgreement

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Ethics of Benchmarking

1. Keep it legal

2. Be willing to give what you get

3. Respect confidentiality

4. Keep information internal

5. Use Benchmarking contacts

6. Don’t refer without permission 

7. Be prepared from the start

8. Understand expectations

9. Act in accordance with expectations

10. Be honest

11. Follow through with commitments

Source: International

Benchmarking

Clearing House,

 American Productivity

and Quality Centre,

Houston. USA

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Initial contact person

The Mayor 

The Commissioner 

The Deputy Commissioner  – related to the

service

Director  – related to the service

Manager  – related to the service

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Benchmarking contact person

Business development manager 

CIB Facilitator within the partner organisation

Manager related to the service or process

Senior staff responsible for the service or 

process

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Letter introducing Benchmarking

Definition of “Benchmarking” 

Preferred Benchmarking approach

The service to be Benchmarked

The Benefits of benchmarking

The level of involvement required

 Approximate timing of the study

Request for a personal meeting to negotiate

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Information package - medium

Paper slide show – booklet form

CD – self running slide show

E-mail slide show (attached file)

E-mail letter 

Paper letter 

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Information package - content

Definition of Benchmarking

Preferred approach

Other potential Benchmarking partners

Service to be Benchmarked

Benefits of Benchmarking

Level of Involvement and costs

Proposed Study schedule Lead partner/ facilitator contact details

Next step – acceptance and letter of Agreement

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Negotiation - overcoming barriers

Barrier Response

Personnel have no time Use a planned schedule – short duration

Cant afford the travel, accommodation Share information using e-mail

Have not done Benchmarking before Use a structured training program

Have other more important projects Many benefits – excellent opportunity

Past Benchmarking projects didn’t deliver  Use an effective and efficient process

Very difficult to collect information Only seek information that is available

Our business is confidential All sign the Agreement on confidentiality

We are already Benchmarking with others May compliment – use our BM process

Nervous that the information may go public All sign the Agreement on confidentiality

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Letter of Agreement – forecast difficulties

Forecast difficulties1. Miss meetings

2. Poor quality information

3. Dominate the meetings

4. Don’t contribute 5. Side with some partners – 

alienate others

6. Pessimistic attitude

7. Language difficulties

8. Personality clash9. Racist attitude

10. Poor communications

 Agreement content1. Schedule and req’ attendance 

2. Expectation on I quality

3. Fair & equitable conduct

4. BM relies upon contributions5. Equitable and fair 

participation for all members

6. Requires an open attitude

7. Use a common language

8. Facilitator will control meet’s 9. Zero tolerance

10. Minimum standards for telephone, e-mail facilities

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Letter of Agreement – general content

1. Purpose and subject service

2. Code of conduct to be signed and returned

3. Contribution to the costs

4. Name of facilitator/ trainer 

5. Names and contact details of partners6. Benchmarking study plan (see next slide)

7. Meeting schedule

8. Location of first meeting

9. Communication protocols10. Lodging a complaint or seeking arbitration

11. Publication of results and return of information

12.  Assessment of partner satisfaction at end

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Initial study plan to be agreed upon

Benchmarking plan for a Facilitated Network model

Benchmarking steps Month1 Month2 Month3 Month4 Month5 Month6 Month7

1 Appoint a facilitator

2 Arrange the logistics for partners to meet

and communicate with each other

3 Agree the overall plan with each partner

4 Train the partners in Benchmarking

techniques

5 Agree and define the processes to

Benchmark 6 Define the performance measures

7 Collect performance measure data

8 Process map the processes

9 Compare performance results

10 Compare processes

11 Agree best practice performance and

process features12 Complete a gap analysis between current

processes and performance to bestpractice

13 Develop improvement plan

14 Compare improvement successes (six

months later)

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Disclaimer 

The views expressed in this Toolkit are the views of the authors and do not necessarily reflect the views or policies of the Asian Development Bank (ADB) or Asian Development Bank Institute (ADBI), or their Board of Directors, or the governments they represent. ADB and ADBI do not guarantee the accuracy of the data included in this CD-ROM and accepts no responsibility for 

any consequences of their use. Terminology used may not necessarily be consistent with ADB official terms.