Improving Service Standards at AirCargo (Scenario)
AirCargo is a regional airline that ships freight between communities in the four western provinces and the northern territories. Company president Mick Ward has asked his team of managers to investigate several complaints he has received about the company's services. Mick is particularly concerned about complaints that the company is not achieving its service commitment to customers. AirCargo promises delivery within 24 to 48 hours between larger centres, and 48 to 96 hours between smaller communities. Unfortunately, Mick has learned that the company is not achieving this standard, particularly in some northern communities, where shipments are often delayed by more than a week. Mick has made it clear to his managers that the status quo is not an option; either delivery times must be improved or their service promise must be adjusted. Ultimately, Mick would like to see AirCargo achieve the same standard as industry leader FastFreight, who promise 48-hour delivery service between any two communities anywhere across Canada!
-Mick's desire to achieve the same standard as FastFreight is an example of ________.
A)market value added
B)immediate corrective action
C)basic corrective action
D)benchmarking

Question

Quizplus · Accepted Answer

Mick's desire to achieve the same standard as industry leader FastFreight is an example of benchmarking, which is the process of comparing one's own business processes and performance metrics against industry leaders or best practices to identify areas for improvement.