Knowledge Management: Top Performing Companies Reveal Effective Benchmarking Tactics.

Business Editors

CHAPEL HILL, N.C.--(BUSINESS WIRE)--May 6, 2003

Successful companies harness the power of benchmarking to lower cost positions, increase productivity and drive greater competitiveness, according to a study from research and consulting firm Best Practices, LLC.

"Best Practices in Developing the Benchmarking Function," available at http://www3.best-in-class.com/rr39.htm, shows how the composition of the benchmarking team can mean the difference between success and failure when identifying optimal operational procedures. The companies studied shared the following insights on successful team formation:

-- Designate benchmarking experts as team members for strategic

projects. One company assigned two benchmarking experts within

its human resource function to serve as team members for

projects that are of strategic importance for the company.

-- Represent employees from multiple levels on the benchmarking

team. A benchmarking team that has representatives from

throughout the reporting hierarchy has an advantage when it

comes to building buy-in for its findings.

-- Ensure balance of skills and authority on benchmarking teams.

Ideally, benchmarking teams have at least one team member with

the authority to implement findings.

Nine leading benchmarking organizations, spanning nine industries and economic sectors, shared proven tactics for success in the study. These companies represent a small "brain trust" of insights and expertise, and exceed 80 years of active leadership and management of the benchmarking function.

"Benchmarking is not an end in itself," said Best Practices, LLC Vice President Chris James. "When used effectively, it serves as a powerful tool to spur superior performance and to create greater productivity."

Download a summary of "Best Practices in Developing the Benchmarking Function" at http://www3.best-in-class.com/rr39.htm. For more information about this report or other benchmarking reports, contact Steve Walters at (919) 767-9256 or at swalters@best-in-class.com.

ABOUT BEST PRACTICES, LLC

Best Practices, LLC is a research and consulting firm that conducts work based on the principle that organizations can chart a course to superior economic performance by studying the best business practices, operating tactics and winning strategies of world-class organizations. For more information, call (919) 403-0251 or visit http://www.best-in-class.com.