The association between benchmarking and organizational performance: an empirical investigation

This study examines the effect of four measures related to benchmarking and its successful implementation on organizational performance, controlling for size and industry. The four benchmarking measures are (1) internal preliminary competitive analysis, (2) external preliminary competitive analysis, (3) degree of organizational commitment, and (4) prior benchmarking experience (Elnathan et al. 1996). Data for the study was obtained from 157 U.S. manufacturing business units using a questionnaire instrument. The results indicate that three of the benchmarking measures have a positive effect on organizational performance that is significant. Prior experience with benchmarking, the commitment of the organization to benchmarking and internal preliminary competitive analysis meaningfully enhance firm performance.