When companies use benchmarking, their goal is to identify how their performance compares to other companies and hopefully identify how they can improve costs and performance. Nearly every sizeable company pays for benchmarks. And there is a large benchmarking industry (and my company, Everest Group, participates in this industry). But I believe there is a problem with the way companies use benchmarking, so they end up not getting the information they seek.
Why Benchmarking Is Of Limited Use
When companies use benchmarking, their goal is to identify how their performance [...]