Tag Archives: Benchmarking
Benchmarking is a systematic tool that allows a company to determine whether its performance of organisational processes and activities represent the best practices.
Benchmarking models are used to determine how well a business unit, division, organisation or corporation is performing compared with other similar organisations.
A benchmark is a point of reference for a measurement. The term 'benchmark' presumably originates from the practice of making dimensional height measurements of an object on a workbench using a gradual scale or similar
The term 'benchmark' presumably originates from the practice of making dimensional height measurements of an object on a workbench using a gradual scale or similar tool and using the surface of the workbench as the origin for the measurements.
Traditionally, performance measures are compared with previous measures from the same organisation at different times. Although this can be a good indication of the speed of improvement within the organisation, it could be that although the organisation is improving, the competition is improving faster...
FIVE TYPES OF BENCHMARKING
- Internal benchmarking (benchmark within a corporation, for example between business units)
- Competitive benchmarking (benchmark performance or processes with competitors)
- Functional benchmarking (benchmark similar processes within an industry)
- Generic benchmarking (comparing operations between unrelated industries)
- Collaborative benchmarking (carried out collaboratively by groups of companies (e.g. subsidiaries of a multinational in different countries or an industry organisation).
Google has expanded far beyond its original claim to fame as a search engine. Alphabet owns Google, as well as many other companies.
However, Google itself owns companies. The reach of this technology giant is so vast it is hard to imagine an area of modern life it has not touched.
Google owns more than 200 companies, including those involved in robotics, mapping, video broadcasting, telecommunications and advertising. Google is growing through acquisitions, but it is also increasing revenues in each of the companies it owns. In cases where an acquisition cannot grow revenues, Google tends to sell that company.
We have selected four companies to highlight based on their ability to produce consistent revenues. Each of these companies has a history of attracting customers and monetizing their services. All figures are current as of December 11, 2017.
1. Google Maps
You can look up any location in the world using Google Maps. The views are aerial for the most part, but Google also provides street-level views of many cities. Google Maps is embedded in real estate sites, as well as sites for businesses that want to make sure you can find them. And that's how Google Maps makes money.
The Chartered Institute of Management Accountants (CIMA) produce a range of 'Topic Gateways' which are intended as a refresher or introduction to topics of interest to their members and others involved in the practical application of finance within organisations.
This Topic Gateway explains the concept of benchmarking.
2017 was an interesting year for employment law with Brexit, the gender pay gap, sexual harassment and the gig economy dominating the headlines and we can expect 2018 to continue in the same vein.
ELAS employment law consultant Enrique Garcia takes a look at the areas to watch in the year ahead.
The GIG Economy: The future of the gig economy remains in the air as we await further clarification from the Supreme Court. EAT decisions against Uber and Pimlico Plumbers have been appealed to the Supreme Court and the eagerly anticipated rulings will have far reaching implications. Other cases against Deliveroo and City Sprint, among others, are still making their way through the tribunals and this could yet be the tip of the iceberg.
Employment status has long been the greyest area of employment law – is someone self-employed or are they really an employee or a worker? The Central Arbitration Committee (CAC)’s recent ruling that Deliveroo riders are self-employed has thrown more confusion into the arena, although it’s worth noting that this is not a binding authority. We await with interest the Tribunal ruling in the claim brought by 45 Deliveroo couriers to see how it compares to the CAC decision.
Gender Pay Gap Reporting: The first gender pay gap reports are due to be published in April 2018 for the payroll period including the snapshot date of 6 April 2017. Information on any bonuses paid also needs to be published at the same time for the 12 month period ending April 2017. All companies which employ 250 or more are required to publish this information. There is no obligation for companies to explain the gender pay gap, nor any duty to address it if a company is complying with the Equality Act however, as we saw when the BBC published the salaries of its top earners, there can be huge fallout and potential reputational damage where a large gap is shown with no explanation. Furthermore, the best candidates may not be attracted to working for companies with a big gender pay gap if they feel that their gender will adversely impact their career prospects. (more…)
In the introduction to the joint CBI / Pertemps Employment Trends Survey, Neil Carberry Managing Director, People & Infrastructure CBI says
The UK stands at the beginning of a new era – not just in terms of Brexit, but even more importantly in how we adapt to, and prosper from, new technologies that are reshaping how we live.
There can be no doubt that work will change, and with that change there is the possibility to create a higher skill, more competitive, more prosperous nation. We face an opportunity, not just a threat.
People will be at the heart of meeting that challenge. On skills, new technology and how we manage our workplaces there is much to do, as this survey sets out. We are delighted to have been able to work with Pertemps again this year to bring it to you. The positive base we start from shines out clearly from the data – high employment rates are likely to persist and employee relations are good.
The highlights of the report include:
Businesses believe they can continue to generate jobs growth
• Over half (51%) of respondent businesses are looking to grow their workforces over the next 12 months
• Confidence is highest among small and medium-sized employers, with a positive balance of +58% expecting to add jobs in the coming year
• Growth is expected across all job types, with positive balance scores for permanent (+35%), temporary (+12%), graduate (+18%), and apprenticeship positions (+42%).
Businesses are walking a difficult line on pay
• Half of respondents (52%) aim to raise pay for their employees in line with (or above) inflation in the coming year and only 3% are planning to freeze pay
• Over half of businesses (55%) are now affected by the national living wage, with actions to cope with the costs among those affected ranging from raising prices (21%) to increasing investment in training (32%) to boost the value added by employees
• Looking four years ahead, a quarter (25%) of respondents affected are expecting to restructure their business models while nearly a third (30%) intend to increase automation.
Many well known Japanese companies such as Toyota and Canon use Kaizen, with a group approach which includes everyone from CEOs to janitors on the factory floor - but is it still a relevant approach in today's ever-changing business world?
Kaizen means literally: change (kai) to become good (zen).
Japanese companies distinguish between innovation, a radical form of change, and Kaizen, a continuous form of change.
This group approach has been adopted successfully in other regions of the world as well, but Japanese workers have refined it to an art form.
It is Kaizen mindset and process-oriented thinking, as opposed to the result-oriented thinking favoured by most Western firms, that has over the years, enabled Japanese industry to attain its competitive edge in the world markets.
It has been suggested that Kaizen works particularly well because Japan is a collective culture, and Kaizen relies on collective values. People in more individualistic cultures may struggle with some of the basic principles of Kaizen.
Independent study shows investors and businesses fail to see eye-to-eye on what drives innovative companies to attract private investment and scale up.
British businesses are missing opportunities to secure investment, grow and scale up because of misunderstandings in what investors are looking for, according to a new report published by Innovate UK.
‘Scaling up: the investor perspective’ compares the views of investors and scale-up small to medium-sized enterprises on the factors for success. It includes the views of investors both in the UK and internationally.
Mismatch between businesses and investors
The report finds that business leaders consistently underestimate the value investors place on ‘softer’ aspects, for example:
- 78 percent of investors thought chemistry was important, versus 53 percent of businesses
- poor communication was a deal breaker for 84 percent of investors, compared to just under half (46 percent) of businesses
- a lack of adaptability and resilience was a deal breaker for 87 percent of investors. Only 58 percent of businesses thought this to be the case
Strong management vital to success