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Effectiveness of Benchmarking
towards Achieving Sustainable
Excellence
        By: Abdel Rahim Jallad, Ph.D.
            CEO - The Excellencors
               6 March 2012


                                        ARJ - 1
Presentation Outline
•   Benchmarking
•   Types of Business Excellence Benchmarking
•   Benchmarking for Excellence
•   Benchmarking for Sustainable Excellence
•   EFQM Benchmarking Methodology
•   Determining Benchmarking Fields / Subjects
•   Determining Benchmarking Partner Organizations
•   Effectiveness of Benchmarking

                                              ARJ - 2
Benchmarking
Types of Business Excellence
              Benchmarking


  Informal                           Formal


                   Performance                    Practices
• Case               (Results)
  Studies           Where are we?             How To Get there?
                    Where to Go ?
• Discussions
• Attending
                                              - Excellent
  Seminars         - Excellent                Organizations
• Internet         Organizations              - Core / Non-
• Articles         - Core Business            Core Business



                                              ARJ - 4
Best Practices?



         Best Results


@ Best / Superior Organizations


     & Adapted to Best Fit
                             ARJ - 5
Benchmarking for Excellence




                     Best Practices

                                      Innovation
      Benchmarking


                                                   ARJ - 6
Benchmarking for Sustainable Excellence




                                                    Sustainable
    Quality                     Excellence           Excellence
                    TQM
    Control

 • Good                                         • Outstanding
  Performance   • Very Good    • Best


 • Experience   • Self         • Benchmarking
                                                • Creativity &
                  Learning                        Innovation

 • Base Line    • Continuous
                 Improvement   • Competitive
                                                • Future Based
                 Based           Based
 • License to                                   • Leadership
   Practice     • License to   • License to       Assurance
                  Compete        Lead

                                                7   ARJ
The EFQM Benchmarking Methodology - (APQC)


 Phase 1 – Plan                                        Phase 2 – Collect
                                              Conduct secondary research
 Develop a process model for the
  organization
                                              Identify potential partners
 Decide which process to benchmark
 Form the benchmarking team
                                              Select Partners
 Analyse the process and decide
  what to benchmark
                                              Develop questionnaires Collect
 Develop project plan
                                               required data




 Phase 4 – Adapt
                                                       Phase 3 – Analyse

 Implement the improvement plan              Analyse Benchmarking Results
 Activly monitor & manage                    Determine Current Performance
  implementation                               gaps
 Recalibrate                                 Establish why these Performance
 Plan for continuous improvement              gaps exit
 Hold a project close out review             Develop improvement plans
Determining Benchmarking Fields


 Results of Self Assessments

 Results of External Assessments

 Strategic Orientation

 Competition

 New Technologies

 Paramount Stakeholders’ Expectations


                                         ARJ - 9
Determining Benchmarking Subjects


 Approaches/ Practices/ Methodologies

 Results - Target Setting

 Results Comparisons

 Processes/ Procedures

 Services/ Products




                                         ARJ - 10
Types of Benchmarking Partners


 Internal     : Large Organizations

 Competitors : Requires 3rd Party

 Functional   : Similar Function Activity

 Generic      : Supporting Common Activities (HR, IT, ..)




                                                  ARJ - 11
Determining Benchmarking Partner
                          Organizations


  Conduct Secondary / Primary Research:

 Consider Key Business Factors

 Organization Environmental set up

 Core Business vs. Non-core Business

 Industry-Business Leaders

 Award Winners – The Stars

 Poll/ Surveys Results



                                           ARJ - 12
Determining Benchmarking Partner Organizations



Consider EFQM Benchmarking Code of Conduct , including
Principles of:

Preparation, Contact, Exchange, Confidentiality, Use, Legality,
Completion, Understanding and Agreements, Competition.




                                                      ARJ - 13
Effectiveness of Benchmarking


   Analyze and Plan lessons learned
   Customize / Adapt to match environment
   Test Acceptance
   Organize Resources
   Assign Responsibilities
   Implement as fast as appropriate
   Assess & Refine
   Create & Innovate



                                              ARJ - 14
Do Not:


- Tourism Benchmark.

- Copy Benchmarking.

- Immediately Implement.

- Keep your Benchmarking
  partner at risk or loss, and
  answer; What’s in it for me?

                                 ARJ - 15
ً‫ﺷﻜﺮا‬
Thank You

    By: Abdel Rahim Jallad, Ph.D.

      CEO - The Excellencors

                                    ARJ - 16

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Business Innovation: The Importance of Benchmarking and Intellectual Capital Management in the Middle East by Dr. Abdel Rahim Jallad

  • 1. Effectiveness of Benchmarking towards Achieving Sustainable Excellence By: Abdel Rahim Jallad, Ph.D. CEO - The Excellencors 6 March 2012 ARJ - 1
  • 2. Presentation Outline • Benchmarking • Types of Business Excellence Benchmarking • Benchmarking for Excellence • Benchmarking for Sustainable Excellence • EFQM Benchmarking Methodology • Determining Benchmarking Fields / Subjects • Determining Benchmarking Partner Organizations • Effectiveness of Benchmarking ARJ - 2
  • 4. Types of Business Excellence Benchmarking Informal Formal Performance Practices • Case (Results) Studies Where are we? How To Get there? Where to Go ? • Discussions • Attending - Excellent Seminars - Excellent Organizations • Internet Organizations - Core / Non- • Articles - Core Business Core Business ARJ - 4
  • 5. Best Practices? Best Results @ Best / Superior Organizations & Adapted to Best Fit ARJ - 5
  • 6. Benchmarking for Excellence Best Practices Innovation Benchmarking ARJ - 6
  • 7. Benchmarking for Sustainable Excellence Sustainable Quality Excellence Excellence TQM Control • Good • Outstanding Performance • Very Good • Best • Experience • Self • Benchmarking • Creativity & Learning Innovation • Base Line • Continuous Improvement • Competitive • Future Based Based Based • License to • Leadership Practice • License to • License to Assurance Compete Lead 7 ARJ
  • 8. The EFQM Benchmarking Methodology - (APQC) Phase 1 – Plan Phase 2 – Collect  Conduct secondary research  Develop a process model for the organization  Identify potential partners  Decide which process to benchmark  Form the benchmarking team  Select Partners  Analyse the process and decide what to benchmark  Develop questionnaires Collect  Develop project plan required data Phase 4 – Adapt Phase 3 – Analyse  Implement the improvement plan  Analyse Benchmarking Results  Activly monitor & manage  Determine Current Performance implementation gaps  Recalibrate  Establish why these Performance  Plan for continuous improvement gaps exit  Hold a project close out review  Develop improvement plans
  • 9. Determining Benchmarking Fields  Results of Self Assessments  Results of External Assessments  Strategic Orientation  Competition  New Technologies  Paramount Stakeholders’ Expectations ARJ - 9
  • 10. Determining Benchmarking Subjects  Approaches/ Practices/ Methodologies  Results - Target Setting  Results Comparisons  Processes/ Procedures  Services/ Products ARJ - 10
  • 11. Types of Benchmarking Partners  Internal : Large Organizations  Competitors : Requires 3rd Party  Functional : Similar Function Activity  Generic : Supporting Common Activities (HR, IT, ..) ARJ - 11
  • 12. Determining Benchmarking Partner Organizations Conduct Secondary / Primary Research:  Consider Key Business Factors  Organization Environmental set up  Core Business vs. Non-core Business  Industry-Business Leaders  Award Winners – The Stars  Poll/ Surveys Results ARJ - 12
  • 13. Determining Benchmarking Partner Organizations Consider EFQM Benchmarking Code of Conduct , including Principles of: Preparation, Contact, Exchange, Confidentiality, Use, Legality, Completion, Understanding and Agreements, Competition. ARJ - 13
  • 14. Effectiveness of Benchmarking  Analyze and Plan lessons learned  Customize / Adapt to match environment  Test Acceptance  Organize Resources  Assign Responsibilities  Implement as fast as appropriate  Assess & Refine  Create & Innovate ARJ - 14
  • 15. Do Not: - Tourism Benchmark. - Copy Benchmarking. - Immediately Implement. - Keep your Benchmarking partner at risk or loss, and answer; What’s in it for me? ARJ - 15
  • 16. ً‫ﺷﻜﺮا‬ Thank You By: Abdel Rahim Jallad, Ph.D. CEO - The Excellencors ARJ - 16