Bench marking is setting some standard to the level of products and services being produced or offered to customers while still minimizing costs. The role of benchmarking is providing a reference point. The discipline of bench marking is focused on analyzing, identifying, studying and adopting best practices in an organization like customer satisfaction, product quality, throughput and implementing the findings. Performance measurement is the regular collection, reporting and analyses of resources used, work produced and whether the specific intended objectives were realized. Performance measurement is usually based on set goals and expected obligations against the outcome. There is a clear difference between a Performance Measure and a 'Benchmark'. The former provides a continuing measure of productivity, cost efficiency, operating excellence or level of quality and service delivery. A Benchmark on the other hand is a point of reference or target. In order to bench mark, the management needs to understand the needs and potential of the organization through its budget mostly and to avoid chasing the target while not accomplishing goals. It’s therefore clear that after setting the benchmark, the performance measures come in place to evaluate how the business did. Performance measurement is something that is done periodically over time to determine whether the business is working towards its goals.
In building a performance measurement system, one should take into account the four principles; Principle one; Establish broad goals to help in decision making;- review the organization strategic plan. The goals should be developed after an assessment of community conditions, a review of all applicable plans, and a review of internal oper...
... middle of paper ...
...ions-Management-Principles, Accessed on 6th Dec 2013
Alan Probst, (2009), performance measurement, benchmarking & outcome-based budgeting for Wisconsin local, government, local government center, Accessed on 6th Dec 2013
David Gillen, (2001), the role in quality management, benchmarking and performance measurement: Accessed on 6th Dec 2013.
Dr. Jens Brunner, Dr. Rainer Kolisch and Dr. Jesper Larsen, (April, 2013) Airport Operations Management, http://www.journals.elsevier.com/computers-and-operations-research/call-for-papers/special-issue-airport-operations-management/, Accessed on 6th Dec 2013
Economist, Expanding Heathrow westwards could give London the airport capacity it needs at reasonable cost, (2013) http://www.economist.com/news/leaders/21574486-expanding-heathrow-westwards-could-give-london-airport-capacity-it-needs-reasonable, Accessed on 6th Dec 2013
The benefits to those organizations that choose to embark on the process of developing a long-range plan are numerous as well as invaluable. Organizations that commit to such planning are able to establish objectives and priorities, make clear their future direction, adapting to both internal and external environmental changes, resolve major issues that impact the organization and obstacles and provide a clear and justifiable rationale for decision making (Bryson & Einsweiler, 1988, p. 3). Ultimately, the public is better
Benchmarking should not be considered simply a tool of management, but rather an integral part of the business strategy of a firm. When implementing benchmarking, management must consider the overall issues of performance and process re-engineering.
At its most fundamental core, quality improvement of healthcare services and resources requires disciplined attention to the measurement, monitoring, and reporting of system performance (Drake, Harris, Watson, & Pohlner, 2011; Jones, 2010; Kennedy, Caselli, & Berry, 2011). Research points to performance measurement as a significant factor in enabling strategic planning processes and achievement of performance goals (Tapinos, Dyson & Meadows, 2005). Thus, without a system of measurement that accounts for the performance behaviors of healthcare professionals, managers and administrative employees, quality improvement remains a visionary abstraction (de Waal, 2004).
For small airports, fully integrated systems are not always necessary. Previous study point towards that small airports (processing around 5 million passengers per year) are able perform maintenance and capital planning tasks using spreadsheet tools developed by airport staff.
In the mid 1980s, and into the 1990s, business leaders realized that a renewed focus on quality was required to continue to compete in an expanding global market. (NIST, 2010) Consequently, several strategic frameworks were developed for managing, and measuring organizational performance. Among them were the Malcomb Baldrige National Quality Award, which was created by and act of congress and signed into law by the President in 1987, and The Balanced Scorecard, which is a performance management tool that was born out of research conducted in the late 1980s and early 1990s by Robert S. Kaplan, and David P. Norton published in 1996 (Kaplan, 1996). Initially, the renewed emphasis on quality management systems was a reaction to the LEAN approach to quality management implemented by many Japanese businesses to great success post World War II.
Young, S., and Wells, A., (2011). Airport planning and management. 6th Edition. New York, New York. McGraw-Hill Professional.
‘If you can’t measure it, you can’t management it’, [Dan vesset and Brian, M. 2009]. Performance management is concerned with the measurement of results and with studying progress to achieving objectives base on the results. Managing performance can tell you what you’re doing well in, and also reveal areas where you need to make adjustments. Measuring performance tells you how far you’ve gone achieving your ultimate
1 The systems intended purpose was the integrate the policy-planning and budgetary process, focusing on improving service delivery to Canadians. It was supposed to be a management tool to provide a better analytical basis for decision-making. Certain agencies were to set priorities, which departments budgets were to align or contribute to those priorities. The system failed because it incorporated information that was hard to obtain, gauge and demonstrate.
Kaufman, Roger. Strategic Planning Plus: An Organizational Guide. Sage Publications, Inc.: Newbury Park, California, 1992.
Young, S. B., & Wells, A. T. (2011). Airport Planning & Management. McGraw-Hills Companies Inc.
race begins. A flare gun or a horn usually starts a race. In case of a
[12] timely2.com/TQM.htm, "timely2.com/TQM.htm," n.d.. [Online]. Available: http://www.timely2.com/TQM.htm. [13] T. F. Prosser, "When and Why Does Total Quality Management Work, and Why Isn't It Still Prevalent," n.d.. [Online]. Available:
There are numerous systems emulated by associations to accomplish and administer obliged level of value. A few associations have faith in the ideas of Total Quality Management (TQM) and a few others put stock in inside and outer norms.
Life is all about setting goals and trying to achieve them. The same theory also applies in the managerial industry. The accomplishment of desired results in a business is called performance. One of the major concerns of the top managers of a firm is the actual performance of the firm so its measurement is unavoidable.
Performance management is a useful and powerful tool that can be used by managers to identify what areas of their organisation they need to improve to increase the organisation’s overall performance. The idea of a balanced scorecard enforces a sensible distribution of resources and effort across all aspect of performance an organisation is, or should be, concerned with.