How can benchmarking improve quality




















The comprehensive methodology we propose here is called the quality benchmarking deployment QBD technique. Chen, H. Report bugs here. Please share your general feedback. You can join in the discussion by joining the community or logging in here. Benchmarking helps organizations to stay in sync with the market and customer needs. For instance, at a bank the turnaround time for any customer complaint could be 4 hours, hypothetically.

The bank might be tempted to believe that they are doing a great job by offering such a short TAT. However, if other leading banks have a TAT of 2 hours, then the scenario changes. Customers are likely to prefer a bank that resolves their concerns in the fastest possible timeframe. Now going back to the example of the bank with a 4 hour TAT. This is where the idea of not copying blindly comes in. A possible course of action for this bank could be to first study its own process to identify the bottleneck which is slowing down the complaint redressal process.

The company can then look at the cause for this and accordingly take corrective actions. One of the first things a company can do here is to align the employees with their customer strategy.

Once they know what the company wants to achieve in terms of customers, employees are likely to find it easier to take actions in line with the strategy. To further empower them employees could also be made acquainted with all the possible client scenarios and how to deal with them. The table above does not address the quality of the calls either. From a process perspective, do you have a call monitoring program in place to balance customer service with efficiency?

A benchmark is only one indicator of performance; hopefully it tells you where to look for process and quality improvement. For example, many centers may have lower total handling times during their peaks.

The customer order volumes can be 5 to 10 times higher than average day in non-peak. While there are more reps on line there is often a natural efficiency generated by volume sometimes. There are a couple issues here. Understanding why the competition is succeeding will give you important insight that will allow you to create measurable goals by defining success, develop innovative strategies to make an impact and effectively monitor your progress towards each goal over time.

As you monitor your progress, be sure to make adjustments when necessary to accommodate changes in the market or changes within your organization. Related: Different types of benchmarking examples. Another reason why benchmarking in business is important is because it gives you a way to discover new opportunities for increased growth and success.

This is especially important if your organization is stuck or not moving forward in the way you want it to. Performing benchmarks allows you to identify the areas to improve upon to get your company on par with the growth and success of other organizations within your industry or niche. By assessing what other companies are doing to be successful, you can develop a plan to boost performance and take advantage of new opportunities.

Strong sales greatly increase a company's overall success, but not having the appropriate insight to understand your sales performance can create a barrier for your organization. Benchmarking provides an opportunity to assess your sales figures and compare them to that of the most successful organizations in your niche or industry. For example, you could examine how much another company is selling, how many people they have on their sales team, how many sales teams they have and where they are located and whether your competitors are working with other major organizations in the form of partnerships.

There are several reasons why a company may have higher sales performance than your organization. Common factors to look into include how they are marketing and advertising their products, any perks they are offering their customers for repeat business and where they are selling their products and services. You should also look at the organization's internal situation. Assessing why a sales team performs well will help you determine what changes you can make internally for increased performance.

Regular benchmarking in business also provides a great opportunity to rejuvenate employees and increase their overall motivation and contribution to the organization. The best benchmarking to increase employee motivation is benchmark tests that evaluate the competition's individual departments.

You then compare these results to the departments within your own organization and set goals to match the competition.



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