The Idea Behind Benchmarking and Best Practices Is to

question 59

Multiple Choice

The idea behind benchmarking and best practices is to

• A)identify which companies are the best performers of a strategically relevant activity and then copy their methods exactly.
• B)search the world for a company that performs a strategically relevant task or value chain activity at the lowest possible cost and then use business process reengineering techniques to try to meet or beat the costs of the world's low-cost performer of that activity.
• C)perform each activity in the industry value chain according to standard industry practice and then regularly benchmark the company's performance to see if it is actually achieving the industry standard.
• D)identify companies that are the best performers of an activity and then adapt their practices to fit the company's own specific circumstances and operating requirements.
• E)determine whether a company has a world-class value chain.

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Definitions:

Justice View

A perspective focusing on fairness in the distribution of rewards and burdens among members of a society or organization.

Utilitarian View

An ethical perspective that suggests actions are right if they are beneficial or bring the greatest good to the greatest number of people.

Ethical Behaviour

Conduct that is in accordance with accepted principles of right or wrong governing the conduct of a profession.

Results-Oriented

A focus on achieving specific outcomes or goals, emphasizing the end result rather than the process used to get there.