Achieving a successful customer satisfaction is based on Total Quality Management in any organization. Al-Ibrahim, A. This is in fact a factor that impacts the use of benchmarking. An excerpt on quality management benchmarking from The Handbook for Quality Management (2013, McGraw-Hill) by Paul Keller and Thomas Pyzdek. Amazon Inc. (1999). ... One of the most important type of benchmarking practice is business process benchmarking. It is only customers that determine the level of quality an organization attains. The limitations that could be experienced by an organization are the comparison of the production time or the cost of a particular process to that of the competitor companies. And lastly, since people are the developers of results, involving employees is very necessary to an organization quality approach. The Benchmarking Level of Sports Direct International PLC, 100+ Electrical Engineering Research Topics Examples, Colony Collapse Disorder in The Honeybee Colonies, Use of Technology for Better Human Services, Accidental Heroes: Whether Heroes are Born or Created. The processes that can be studied and compared are technologies of a process, operating systems, flow of different processes, overall operations etc. This can be achieved by integrating all quality-related functions and processes throughout the company. As core processes are crucial to an organization's performance, so the improvement in core processes is very important. Benchmarking is a part of total quality management; it is the process of establishing a standard of excellence by measuring and comparing an organization’s processes with the practices and processes of other organizations. Retrieved August 3, 2016, from http://www.themediaflow.com/blog/uk-sports-retailers-search-benchmarking, Kaplan, R. S. (2006, September). Retrieved August 3, 2016, from surveymonkey/mp/6-keys-improving-teams-customer-service-skills/. The importance of efficient, effective business processes. Use of benchmarking worldwide continues to grow since Robert Camp wrote the first book on benchmarking in 1989. According to Fursule et al., 2012, Six Sigma is targeted at metric, which hence, directly impacts the design and process management of products/services. The organization in which will be benchmarked is Sports Direct, a British retailing organization in the business of sports-goods retailing operation. Sports Direct International PLC has been a renown British retailing organization established since 1982 by Mike Ashley. Benchmarking is a systematic process that identifies how much a company like Sports Direct quest for perfection. So whether foster quality improvement, the training of employees, and integrating quality into the process management are considered, only the customers can determine whether the organization’s efforts were worthwhile. It follows a concept based on everything manufactured will be used, thus, saving the organisation a huge sum of money and increases customer satisfaction. They were able to achieve each of their benchmarking process using various systematic tools such as Visibility Index, Google Trends, Keyword Volumes, Index Pages, and Takeaways. BENCHMARKING. In course of time, many derivatives of radical, breakthrough improvement and continuous improvement have emerged to address the difficulties of implementing major changes in corporations. Thus benchmarking is a part of the total quality management (TQM) system, and it relates well to other TQM initiatives. Others include Crosby’s step to improving quality, Kaoru Ishikawa’s contributions to TQM philosophy, and many others. Benchmarking goes beyond competitive analysis to compare how the product is engineered, manufactured, distributed, and supported. 5 6. (Jopson, 2011) In offering goods for sales, Amazon takes its customer services as a top priority. According to Joseph M. Juran, an important contributor to the development of TQM, the quality trilogy was introduced, these include quality control, quality planning, and quality management. (2016). Retrieved August 3, 2016, from isixsigma/new-to-six- sigma/getting-started/what-six-sigma/, What Is Total Quality Management Principles. The delivery of service or products should be looked from the outside-in. Other factors include the need to share the establishment and proven best practices by an organization as well as identifying and analyzing world-class performance. Managers of various organizations use this tool to determine whether their organization is providing their specific functions and activities and the need for improvement in their business processes. (2016). Advantages and Disadvantages of Total Quality Management. Amongst the principles of TQM, focusing on customer is a major principle that guarantees quality improvement. (Kaplan, 2006). to focus on meeting customer needs and organizational objectives.TQM views an organization as a collection of processes. It maintains that organizations must strive to continuously improve these processes by incorporating the knowledge and experiences of workers. In order to successfully carry out the benchmarking process, it is important to employ the Six Sigma Benchmarking. Moreover, to ensure the quality of services provided by the customer service is prompt and professional enough to meet customer demands, Amazon has automated some specific tools utilized by its customer support staff and also constantly planning for future enhancements. Toyota use Jidoka which is essentially automation with a human touch, This will define the gap between the set goals to achieve a better customer service and the current performance in the organization. TQM is a management philosophy that seeks to integrate all organizational functions (marketing, finance, design, engineering, and production, customer service, etc.) Process benchmarking: It is a type of benchmarking, the employee of the organization would demonstrate how other top-performing organizations would perform the same task. 3. Six Sigma Benchmarking is a very practical and cost-effective method of introducing the best practices to an organization. Christie, S. (2014). Retrieved August 3, 2016, from http://hbswk.hbs.edu/item/when-benchmarks-dont-work, Keys to Improving Your Team’s Customer Service Skills | SurveyMonkey. These ideas have been modified over the years and it was done for the sake of improving the quality of service for customers for their satisfaction. The process of Six Sigma also requires the sight of a business from the customers’ perspective, and not the organization’s. In order to achieve what they do, Amazon offers a number of e-mail addresses to ensure customers can request for information that bothers them, and also to encourage suggestions and feedbacks. The process of Six Sigma is targeted at the customer. (2006). Retrieved August 3, 2016, from http://www.telegraph.co.uk/finance/personalfinance/11103540/the-100-best-and-worst-companies-for-customer-service.html, General Electric. Functional benchmarking. Comparing results to an industry with which you do not compete directly … Over the years, the concepts have morphed into various business tools, including the TQM that is now a comprehensive tool used by almost all major firms in the Western world. Organizations often use management tools such as Demingâ s concept of Total Quality Management or the Baldrige Criteria for Excellence to guide process mapping. Term “Benchmarking” emerged in 1980s by ROBERT CAMP, logistics engineer who initiated Xerox’s benchmarking program. (Lee & Choi, 2006). If product and services meets or exceed these expectations from time to time, this will be called as quality products and services. Prior to engaging in benchmarking, it is imperative that corporate stakeholders identify the activities that need to be benchmarked. Acceptance sampling is a technique used for quality control. The Juran 7-Step Benchmarking Process has been developed over many years by the Juran Institute. Total quality management (TQM) helps an organization improve its internal functioning and customer satisfaction. In more conventional terms, benchmarking can be defined as measuring your performance against that of best-in-class companies, determining how the best-in-class … Total Quality Management (TQM) is an approach that seeks to improve quality and performance which will meet or exceed customer expectations. An analysis is shown below: Sports Direct recognizes the importance of benchmarking, and then takes it, based on the Company’s shares which fell towards the end of last year through till March 2016. Organizations, either new or already existing, must consider quality ... A project must be planned efficiently for successful completion. Fursule, N. V., Bansod, S. V., & Fursule, S. N. (2012). (“Sports Direct History”). Benchmarking Process Step one: Determining benchmark focus - During this phase, the company determines the specifics of the research project. 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