Top Reasons Why You Should Cascade Benchmark



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Navigation: All Balanced Scorecard Articles > Cascading in BSC

The use of business standards is not only for the top level of the organization. There is a need to cascade benchmark so that it will be successfully implanted within the company. Check additional information about cascade benchmark.

Benchmarking is considered very functional by many businesses. This is the process of discovering who or what is the very best and knowing what the standards are and who sets them. When using this is the business context, benchmarking will help determine what the best sales organization is at this point in time. Because of this, there really is a need for businesses to set the standards. Being able to define what the standard is will allow you to make comparisons. Thus, this is very helpful in terms of knowing where you stand against your competitors. Today, benchmarking is seen as a management tool that can be applied to any department in the business. However, it can only be effective if you are able to cascade benchmark effectively.

When you cascade benchmark, this means that you distribute your business standards and let them go through a succession of stages throughout the whole organization. For most people, what is important to them is that the executives, the managers or the individuals at the top level of the company know what the standards are. In addition to that, they only have benchmarks set for the leaders themselves. What they do not realize is that there is a need for everyone and everything in the company to undergo a business standards cascading process.

There are definitely a lot of reasons why you should cascade benchmark into the entire enterprise. Just like when you cascade BSC or balanced scorecard, both the top and the lower level of the company will be able to benefit from this process. There are three main motives why companies choose to cascade benchmark. The first one is that there is consistency of thought. Whether you are using a sales benchmark or a manufacturing benchmark, everyone in the business knows what they have to capture in terms of the business standards.

Another is that there is an insight into the ideas presented. This is important particularly to the large business companies in the world right now. Since there are a lot of data models as well as business rules presented to a huge corporation, it can be hard to gain a good insight as to how they will be able to manage the systems and the business as a whole. For instance, let us say that the suppliers understand the customer service strategy that your company is currently implementing. In this case, it will be easier for him or for the team to view the customer service parameters. Being able to do so will allow the business owner or the managers to store the most appropriate customer service data model.

Finally, there is consistency in gathering data. When there are benchmarks and they have been cascaded all throughout the company, it will be easier for you to determine your current position in the market. Aside from being able to measure your company up against the business rivals, you can also compare the skills of the employees and evaluate them afterwards. With the pieces of information that you have gained, you can make appropriate changes may it be in the processes or even to the employees.

If you are interested in cascade benchmark, check this link to find out more about Cascade benchmark. Also, you can check other articles in Cascading in BSC category.



 

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