Methodological strategies for benchmarking accounting processes

In this article it is contended that methodological issues implicit in benchmarking studies have to be clearly appreciated by management in assessing the reliability of performance gaps and the identification of sound practices that can be successfully adopted by other firms. There is no doubt that organisational design aspects of the benchmarking process are crucial to the success of the project. However, there are at least four methodological issues, extremely critical to the success of benchmarking projects, that have not yet been adequately analysed. These four methodological issues are: how to define the performance measures; how to achieve comparability of performances; how to identify best practices; how to evaluate the transferability of best practices. Strategies are developed to address these benchmarking issues. Then, these strategies are summarised in the components of a benchmarking model linking performances and best practices.