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Organizational Behavior Essay

535 words - 3 pages

IntroductionMark Del Franco titles the article that I chose to review "Adventure in Benchmarking," The publication title is Catalog Age. The article discusses the importance of benchmarking in a company. The article gives a clear picture of how benchmarking is beneficial to different types of companies. They cover the important aspects from Cabela's, a based outdoor catalog, cooking catalogs, and Swanson Health Products.DefinitionThe term benchmark when looked up in a dictionary can have multiple meanings. It can mean: (1) a reference or measurement standard for comparison, (2) a performance measurement that is the standard of excellence for a specific business process, and (3) a measurable, best-in-class achievement ...view middle of the document...

Swanson Health Products used the concept to "test" their Customer Service Representatives. Glen Prier of chief operating officer of Swanson Health Products states "you've got to make sure that you're comparing yourself with similar companies" (Del Franco). A manager/employer needs to make sure they understand why things are done a certain way, this is why the comparison aspect in benchmarking is so critical. Benchmarking provides information containing insight in the gaps to achieve desired goals and objectives. It helps to build the basis for recommendations on changes, and improvements to sales strategies, organization, cost, investment, and the ideas that will fix any gaps.The article points out that many companies want to be a step higher than they are and fear they may be a step lower. Benchmarking can be the vehicle to better understand differences in performance. Taken in total, benchmarking helps the executive to focus on what should be done and then take the right strategic (and operational) decisions.ConclusionThere are many benefits to benchmarking. With a definition of "a performance measurement that is the standard of excellence for a specific business process" (http://retailindustry.about.com/), what business is not going to consider using the concept? There are many advantages to benchmarking as the article points out. Some of those advantages are:* New insight on things that might be overlooked* New perspective when looking and comparing your company to someone else's* New targets and goals are made after the comparison is completed* Projection of future especially the businesses financial future* Provides areas of focus and opportunities

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