Which one of the following statements about benchmarking is TRUE?
A) Benchmarking is only useful when a company compares itself against other companies.
B) Because of the power of benchmarking, specific plans of action are not necessary.
C) Benchmarking is the same as the plan-do-check-act cycle in continuous improvement.
D) Benchmarking focuses on setting quantitative goals for continuous improvement.

Question

Quizplus · Accepted Answer

Benchmarking involves setting specific quantitative goals for continuous improvement by comparing performance against industry standards or best practices. Choice A is incorrect as benchmarking can also be done internally within a company. Choice B is incorrect as specific plans of action are necessary to implement changes based on benchmarking results. Choice C is incorrect as benchmarking is a tool that can be used within the plan-do-check-act cycle, but it is not the same thing as the cycle itself.

Which One of the Following Statements About Benchmarking Is TRUE