Which of the following statements is true concerning benchmarking?
A) it seeks improvement by analyzing the internal process
B) it studies only organizations in the same industry
C) it studies the "best in class" organizations
D) it is a process for determining performance measures for the shop floor

Question

Quizplus · Accepted Answer

Benchmarking studies the "best in class" organizations and seeks improvement by analyzing their processes and performance measures. It may study organizations outside of the same industry or even outside of the company's own industry to identify best practices that can be adapted to improve performance. Option A is incorrect because benchmarking involves analyzing processes of external organizations, not just internal processes. Option B is incorrect because benchmarking can study organizations outside of the same industry. Option D is incorrect because benchmarking is not limited to the shop floor and can be applied to various business functions.

Which of the Following Statements Is True Concerning Benchmarking