Customer-Driven Benchmarking: A Strategic Approach Leading To Sustainable Performance

Abstract

Most benchmarking methods used by companies are based on comparing financial and operational indicators with that of the leader in the market. Comparing financial and operational indicators may not be a sustainable approach in today’s highly competitive and dynamic markets. This paper proposes a dynamic customer-driven benchmarking approach that captures changes in customer’s expectations and subsequent changes in service standards set by “experienced customers as best practice.”