Question

9. Benchmarking is

a. relatively easy to do with the amount of available financial information about companies.
b. best done with the best in their field regardless of type of company.
c. simply reporting the magnitude of differences in costs or revenues across companies.
d. making comparisons to direct attention to why differences in costs exist across companies.

Answer 1

d. making comparisons to direct attention to why differences in costs exist across companies.

Step-by-step explanation:

• A benchmark is a simple comparison or evaluation of the business processes that measure productivity and time and costs.

• Used to measure the performance using specific indicators like cost, productivity and time per unit also referred to as the best practice of increasing the performance of the company.

• It has certain stages like the selection of subjects, definition of the process, identification of potential partners and collection of data.