The objective of benchmarking is to understand and evaluate the current position of a business or organisation concerning best practice and to identify areas and means of performance improvement. 

The Benchmarking Process

Benchmarking involves looking outward (outside a particular business, organisation, industry, region or country) to examine how others achieve their performance levels, and to understand the processes they use.

In this way, benchmarking helps explain the processes behind the excellent performance. When lessons learned from a benchmarking exercise are applied appropriately, they facilitate improved performance in critical functions within an organisation or in areas of the business.

The application of benchmarking involves four steps:

  1. Understand in detail existing business processes
  2. Analyse the business processes of others
  3. Compare own business performance with that of others analysed.
  4. Implement the steps necessary to close the performance gap

Benchmarking should not be considered a one-off exercise. To be effective, it must become an integral part of an ongoing improvement process, the goal being to abreast of ever-improving best practice.

Types of Benchmarking:

  • Strategic Benchmarking
  • The performance or Competitive Benchmarking
  • Process Benchmarking
  • Functional Benchmarking
  • Internal Benchmarking
  • External Benchmarking
  • International Benchmarking

Case study for my college

The case study of Procter & Gamble illustrates well how the brand, always attentive to competition, outlined its marketing, communication and quality management strategies – becoming a reference in the sector of personal hygiene, cleaning products and baby care.

One of the most revolutionary products that appeared on the market was the company’s disposable Pampers diaper, the first to be marketed in 1961 before that, disposable diapers weren’t popular. Babies always wore cloth diapers, which leaked and required much work to wash. Pampers provided a convenient alternative, albeit at the environmental cost of more waste requiring landfill. Amid recent parents’ concerns about diaper ingredients, Pampers launches the Pampers Pure collection in 2018, which is a “natural” alternative to diapers. The company operating in more than 70 countries, “reported a profit attributable to the controllers of $ 3.2 billion in the second fiscal quarter of 2019 and is used by approximately 5 billion people worldwide”.

According to the company’s file, in the section “Doing what is right”, the company’s principles and values ​​encompass aspects such as:

  • Sustainability
  • Impact on the community
  • Gender equality
  • Diversity and inclusion
  • Alternative to animal testing (with animal welfare policy)

Advertising Action

 The brand worked, above all, with TV in a campaign in Brazil, the company raffles R$ 200 thousand in prizes for consumers who bought their products and registered on a promotional website. Detail: the prizes were placed in the airplane, nominate “Avião do Faustão” – after all, had to surpass a competitor who, previously, had a track called “Caminhão do Faustão”. According to P&G, more than 140 million Brazilians were impacted in the first and second edition of the campaign.

The campaign with Faustão was Procter & Gamble’s first significant move to take on the maternity of its products. Founded 173 years ago, the owner of market leaders such as Pampers, Gillette, Pantene and Eukanuba had never insisted on giving visibility to the corporate name. The global marketing guideline determined promotion of products and not of the company – exception made to the operations of Japan and the Philippines, which had already prioritised the communication of the corporate brand for some time. If it was possible to do it there, why wouldn’t it work in Brazil? Procter & Gamble products had great potential in the Brazilian market but weren’t well known. Showing that they are all from the same family was a way to make people aware, try and buy again”, says Nizan Guanaes, from Africa, the advertising agency of Procter & Gamble.

Sponsorship Action

In the second half of 2011, the company closed a millionaire contract with Flamengo, to be the master sponsor of its football team. The value of the deal was 5.6 million for a 4-month contract.

Procter & Gamble was one of the main sponsors of the London 2012 Olympic Games sponsoring 150 athletes, as well as one of the main sponsors of the 2014 Winter Olympics in Sochi. He also sponsors the 2016 Olympic Games in Rio de Janeiro and the 2018 Winter Olympics in Pyeongchang, South Korea.

Quality management

P&G believes that the safety of its products is a prerequisite for responsible business and this philosophy is reflected in the company’s Statement of Purpose “We provide branded products and services of superior quality and value that improve the lives of consumers worldwide, now and for generations to come. Safety is an intrinsic part of the quality and value of our products. “

Procter & Gamble invests massively in customer relations – it’s most significant differential – in brand management, product innovation, in addition to creating long-term strategies and perspectives, quality strategies, brand extension and seeking aggressive sales force.

It is the main objective to gain strength to subsidise the coming of global brands that are not yet in the Brazilian market and uses mapping strategies and study of the organisational environment to serve different social classes in Brazil.

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