The purpose of the article is to improve the effectiveness of benchmarking by detecting and reconciling possible inconsistencies in manufacturing strategy process and identifying benchmarking areas that are critical to organizational success.
The paper develops the following five propositions and uses survey data to test the propositions: P1, organizational goals and objectives are consistent with core competencies; P2, organizational goals and objectives are consistent with competitive priorities; P3, organizational competitive priorities are consistent with core competencies; P4, manufacturing performance objectives are consistent with organizational competitive priorities; P5, manufacturing action plans are consistent with manufacturing performance objectives.
The article shows evidence of misalignments, inconsistencies and lack of consensus at the organizational level, as well as within the specific manufacturing area.
Lack of proactive strategy to develop organizational core competencies, over‐emphasis on cost reduction objectives, and under‐emphasis on critical objectives such as changing manufacturing organization culture, improving inter‐functional communication, improving employee morale, and improving supplier relationship are the primary areas of misalignment. Successful resolution of these inconsistencies is essential before committing resources to external benchmarking.
