Improving efficiency through internal benchmarking

This paper gives an account of a real in-depth case study showing the successful application of internal benchmarking to a complex industrial environment. It focuses on improving the efficiency of the 'Distribution Logistics' process of a multinational cable manufacturer spanning three production sites in three European countries. Challenges addressed in this paper are how internal benchmarking was applied as a structured and systematic approach for improving a business process based on its productivity and its cost. Special attention is paid to the development of an inclusive and a consistent efficiency measurement system for the 'Distribution Logistics' process of the company. In the end, challenges and success factors for applying benchmarking projects to a complex business environment are presented by the authors to guide the potential 'benchmarker'.