Getting Back to Basics
Many companies today use the terms Benchmark and Key Performance Indicator (KPI) interchangeably; however, they are not the same. Many companies often mistake “Best Practice Benchmarks” as an end goal that if reached, means their business process is satisfactory or even excellent. In reality, once a company identifies an opportunity for improvement, they must then set initial targets for advancement through proper benchmarking. Then more specific performance indicators can be developed for charting the course between the present level of performance (as-is) and the desired benchmark level (to-be).